Why this is important to Wisconsin businesses: Wisconsin is home to many small and midsize specialized consultancies that already are involved in international business, and may find opportunities throughout the continent.
On the African continent, more businesses are seeking advice from consultants. According to a report by Mordor Intelligence, management consulting in Africa and the Middle East was estimated at $9.75 billion in 2023 and is expected to see a combined annual growth rate (CAGR) of 4.2% from 2023-28. By 2028, the market will be nearly $12 billion.
Driving the increase are factors such as strong economic development and regulatory changes in the financial sector, the report said. The consulting industry includes areas such as business models, corporate strategy, skills training, market dynamics, and mergers and acquisitions.
According to Mordor Intelligence, both local and international consulting firms have a presence in Africa and the Middle East, including Ernst & Young Global, Deloitte Touche Tohmatsu, McKinsey & Co., Arif Kitchlew Management Consultancy, and Decision Management Consultants.
A 2022 report by Consulting Quest estimated the value of the consulting market in Africa alone at $4.5 billion.
The report said business consultant services are available in more than 30 African countries, and are most heavily used in South Africa, Nigeria, and Morocco. South Africa alone accounts for about two-thirds of the entire consulting market in Africa.
In addition to the standard business consultant market, the demand for digital expertise is also rising. According to a 2024 report by Research and Markets, the consultant market for digital transformation services in Africa and the Middle East was valued at $14.8 billion in 2023 with a projected CAGR of nearly 26% through 2029.
Technological advances are nudging businesses to seek the expertise of digital consultants. Investments in sustainability initiatives, the rapid proliferation of smart devices and applications, cybersecurity, and the adoption of advanced technologies such as adaptive artificial intelligence (AI) are some of the issues fueling the trend, Research and Markets said.
Along with the greater need, there are challenges to the adoption of advanced technology in the Africa and Middle East market. They include an “inherent resistance” to cultural and organizational change and escalating concerns over data privacy and security that develop as the digital systems become part of the business procedures, the report said. Integrating the new technology is also a complicated process as many established businesses in the market have been working with outdated infrastructure, and there’s a shortage of skilled professionals to carry out the initiatives.
Wisconsin companies with expertise in the various specialties of business consultancy may find opportunities in the growing market in Africa.
Related Posts
