Market Research in Tanzania
Tanzania is a republic in East Africa. Its north border meets Uganda and Kenya. The Republic of Congo, Rwanda, and Burundi are to the west. Tanzania also shares borders with Malawi, Mozambique, and Zambia to the south. Additionally, The Indian Ocean washes the country’s eastern coastline.
Tanzania’s nickname is “The Soul of Africa.” This appellation came about due to its rich culture and history and its diverse wildlife. Another attribute is its national parks, which include the Serengeti. Also located in Tanzania is the African continent’s highest peak, Mount Kilimanjaro, a dormant volcano standing at 5,895 meters (19,340 feet).
Mining, energy, construction, and engineering make up the Tanzanian economy.
Furthermore, Tanzania exports agricultural commodities, raw materials, ores, metals, and manufactured goods. Coffee, tobacco, cotton, cashew nuts, and tea amount to almost half of Tanzania’s total exports.
The global economic slowdown has affected export-oriented industries. Tourism and traditional exports are two such sectors. The crisis also dampened domestic economic activity, as well as imports, impacting livelihoods.
Dar es Salaam, meaning “haven of peace” in Swahili, is Tanzania’s top city. Moreover, Dar es Salaam is Africa’s fastest-growing city. Its population has been rising since the mid-1980s. As a matter of fact, it is on its way to becoming one of the biggest commercial hubs in East Africa.
Masaki is an affluent area of Dar es Salaam. In addition, it has a concentration of foreign ex-pats and dignitaries. Not to mention, a variety of cuisine is available from around the world and back. What’s more, many bars and lounges combine with these restaurants for a vibrant nightlife.
Bahari Beach has a mix of young and older family homes. This safe area gives lots of room to roam. A growing population means more shops, eating options, and transport connections.
The official capital city of Tanzania is Dodoma, located about 300 miles inland from the Indian Ocean. Efforts to move the government from the old capital have been slow due to Dar es Salaam’s growth.
Then there’s Zanzibar, an island rich with spices and a culture that attracts international wanderers. It is a secret paradise with crystal clear waters during the day and full moon parties all night.
The past decade brought robust economic growth to the United Republic of Tanzania. There is a recent focus on operating a leaner administration. The government states that this will lead to improvements in public sector efficiency. In the meantime, it has employed other efficient strategies. For example, it uses electronic processing for documents and payments. Digital infrastructure for things such as taxes and trade-related files shows marked progress.
By 2025, the Tanzania Development Vision seeks to transform the state. It aims to make it a middle-income and semi-industrialized economy.
Commercial opportunities in Tanzania look bright. The energy sector is shining. As transportation infrastructure becomes reformed, reliable, and more efficient, Tanzanians can expect export growth. There is also potential export growth for manufactured goods and agriculture. With more activity in ports, services and tourism can increase in the medium term.
The country needs further developments in the business sector. Advancement in this sector will help Tanzania improve global business environment rankings. Difficulties with corruption and poor infrastructure have hindered the country in the past. Another roadblock used to be difficulty in accessing financing.
Benefits and Strengths
Tanzania ranks high among its regional peers in foreign direct investment. Many multinational companies focus on the country’s energy resources because Tanzania has natural gas reserves along the southern coast. The Tanzanian government encourages local and international investment.
Tourism is one of Tanzania’s fastest-growing sectors, alongside real estate and transportation.
During the pandemic, many Tanzanians experienced financial losses. The rise in unemployment came from sharp decreases in sales and little cash flow. Economic shocks push the average Tanzanian population closer to the poverty line.
Reasons to Grow Your Business in Tanzania
Those investing in Tanzania have the benefit of entering a market with steady growth. The World Bank recently upgraded the Tanzanian economy from low- to lower-middle-income. Thus, the time to invest is now as demand and consumer disposable income increase.
International partnerships are the focus of the Tanzanian government. Companies listed on the domestic stock exchange can have 100% foreign ownership. There are also tax and investment incentives for qualifying businesses.
Market Research in Tanzania
Any seasoned investor knows the value of market research. Even those exploring potential business ideas should perform Qualitative, Quantitative, and Strategy Research. Market Research in Tanzania will prepare your business to enter the Tanzanian market.
Interviews and Surveys can also give you a deeper understanding of market opportunities. Focus Groups and Data Analysis are other beneficial tools for Market Research in Tanzania.