Dangote Cement: The Challenges of Pan-African Expansion

in Entrepreneurship in Africa
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This paper explores the expansion of Dangote Cement into other African countries. It shows how diverse forces have affected the investment of Dangote in some of these African countries. Although both the Economic Community of West African States (ecowas) and the African Union (au, formerly the Organization for African Unity, oau) are supposed to help promote such intra-continental business expansion, the reality is more complex. While the advent of Dangote Cement into other African countries has helped promote competition, its investments and strategies in some of these African countries have been questioned. This paper also further demonstrates that adverse economic developments in Dangote Cement’s home country is now beginning to affect the company’s Pan African expansionist bid. Specifically, the recently deteriorating economic situation in Nigeria, which has resulted in the scarcity of foreign exchange, has forced Dangote to scale down its ambitious Pan African expansion plan.

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