In this paper, we employed a blend of multiple and historical case study design, and a mix of institutional, behavioral, resource-based, and multinational theories, to examine the nature of... Show more In this paper, we employed a blend of multiple and historical case study design, and a mix of institutional, behavioral, resource-based, and multinational theories, to examine the nature of multinational companies’ (MNC) engagements in local economic development and capital export practices in an African context. Evidence from our Nigerian case analysis (FrieslandCampina, Nigerian Breweries Plc. and Dangote Cement) confrms the proposition that, faced with a similar degree of uncertainty and constrained institutional environment and laying claims to difering sources of competitive advantage, both local and foreign MNCs would repatriate profts and limit exposures to local value chains (LVCs) mainly as a strategy for mitigating country risks and preserving corporate value. Such limited exposures detach MNCs, especially the foreign ones, from the LVCs, and by doing so push them to deeper reliance on the global value chains (GVCs). Linking local businesses to the GVCs is central in the inclusive development (ID) debate essentially because it allows for the redistribution of economic benefts, helps in building a complementary (rather than competitive) relationship between MNCs and local businesses, and facilitates local businesses’ access to international markets. We, therefore, recommend that in pursuit of the inclusive and sustainable development projects in Africa, industrial policies need to be tailored toward stabilizing the policy environment, protecting investments from risk of expropriation, and incentivizing MNCs’ participation in the LVCs. Show less
Akinyoade A., Kazimierczuk A.H., Ekumankama O. Agbaje T., Dietz A.J. 2020
This report presents the research findings on the key social, economic and agronomic dynamics in communities whose livelihoods depend predominantly on the farming of sorghum in northern Nigeria.... Show moreThis report presents the research findings on the key social, economic and agronomic dynamics in communities whose livelihoods depend predominantly on the farming of sorghum in northern Nigeria. Sorghum has become a major element in producing beer and malt by companies like Nigeria Breweries (NB), which is partly owned by Heineken. The two main objectives of this study were to obtain NB’s diverse sourcing modalities and sourcing practices and to examine farm-level issues. In order to achieve the stated objectives, a mixed methods approach was adopted. Four-stage fieldwork was undertaken in 2018 and 2019 in six sorghum- producing states: Kaduna; Niger; Zamfara; Gombe; Katsina; and Yobe States. Researchers from Dutch and Nigerian academic institutions conducted interviews with six vendors from Kaduna and Kano state, administered a questionnaire survey among 433 farmers in the six sorghum- producing states, and conducted interviews and focus group discussions (FGD) with selected sorghum farmers. Based on the data collected, two main groups of sorghum value chain actors were distinguished for further analysis: ‘regular farmers’ and ‘aggregator-farmers’. The former group is further divided into five sub-groups, based on the size of owned land: smallholder farmers I (< 5 ha), smallholder farmers II (6-10 ha), smallholder farmers III (11-20 ha), middle-range farmers (21-200 ha) and large scale farmers (over 201 ha). The latter group consists of vendors and aggregators who combine their commercial activities with sorghum farming Show less