Background
Competency-based education (CBE) has been gaining popularity across African countries over the past five years. Also known as competency-based learning (CBL) or competency-based curriculum (CBC), the concept has become common in Nigeria, Ghana, Kenya, Tanzania, Rwanda, and South Africa among other nations around the continent (Strohschen and Lewis, 2019). The trend was influenced by an assessment of the traditional curriculum introduced by the colonial powers in these regions that identified several weaknesses. It emerged that these traditional systems focused more on preparing students for white-collar jobs. The problem with this traditional curriculum is that in Africa, leading employers are in the agricultural and industrial sectors. As such, a trend was emerging where skills earned through the schooling system were not compatible with practical requirements needed in the workplace. The mismatch of skills and requirements meant that most of the graduates were not competent enough to work in sectors where their services were required.
The assessment of the traditional curriculum left by the colonial forces also revealed another major weakness regarding the emphasis on academic performance. As Harper (2021) observes, some students may not register excellent performance in classwork, but they may have unique skills in music, art, cooking, and sports. These are skills needed in real life and can form the basis of a successful career. The problem was that the old curriculum ignored these skills, emphasizing academic excellence. It became evident that a new system of education was needed that would nature the skills of each learner. One who cannot excel in sciences can focus on other subjects or fields in which they have unique skills. Teachers are expected to identify and nurture these skills to ensure that each learner is supported based on their capabilities.
The CBE has been considered an effective solution to this challenge. However, Abubakar (2020) explains that the effective implementation of this curriculum has remained a major challenge. The Nigerian government, through the Federal Ministry of Education, has spent a lot of money trying to implement the new curriculum. It has invited consultants from other parts of the world to help it make a smooth transition from the old to the new system. However, just like many other African countries, Nigeria has faced numerous challenges that limit the ability to successfully implement the system. MH+A has a team of experts and experience that can help facilitate the implementation of the new system of education. It can help the Nigerian government to implement the CBE system using templates that have worked in other European countries where the firm has worked.
MH+E has a unique opportunity to enter Africa’s largest market if it becomes the consultant for the Nigerian Federal Ministry of Education in the implementation of the CBE. Nigeria is Africa’s most populous nation and with the largest economy. It has become one of the most attractive destinations for foreign firms keen on investing in Africa. The potential that it presents to this UK consulting firm is immense. According to Okolie (2020), the federal government currently has over 2 million teachers in its database, and there is a gap of more than 250,000 teachers. All of them will need some form of training on the implementation of the CBE system of education. If the company is successful in partnering with the government to implement the system, it will not only strengthen its reputation in the region but also earn financial benefits. This report assesses the environment in this country, challenges that may be faced, ad benefits that this company stands to gain through this investment.
Macro-Analysis of the Country Using PESTEL Model
Making a successful entry into the Nigerian market presents numerous challenges that a firm should be ready to deal with effectively. Ademola (2019) explains that although the Nigerian market is highly attractive because of the massive population and the size of its economy, it requires effective planning for a firm to realize success. A company must understand the environmental forces that may directly or indirectly influence its operations in the new market. The management of MH+A should take into consideration the following external environmental factors:
The political environment is one of the major forces that may affect a firm making an entry into a new market. The level to which the political class is involved with the activities of the business community, especially foreign investors, is always a major concern. According to Linus (2020), Nigerian politicians tend to use every means necessary to win political mileage during the electioneering period. Sometimes it may involve directly attacking foreign firms viewed as taking over opportunities that should be meant for local companies. MH+A may overcome this challenge because it has been demonstrated that these local firms cannot assist the government to fully implement this system. The political class understands the fact that there is a need to partner with a foreign entity that has the knowledge and experience of the new system. To further protect this firm from such attacks, the management of MH+A should consider training and hiring locals to facilitate the implementation of various programs. The goal is to give this foreign firm a local image as a way of eliminating or significantly reducing any attacks from politicians.
The economic environment is another factor that the management of this firm will need to consider as it plans to make an entry into the Nigerian market. As a consultancy firm, there is a need to ensure that activities done are capable of generating income that can sustain its operations. The economic goal of this firm can be achieved in two ways as it makes an entry into the Nigerian market. One of the ways of achieving this is the direct remuneration that the firm will get from the government of Nigeria as a consulting fee. The Federal Ministry of Education has spent a significant amount of money on other consulting firms to facilitate the implementation of CBE, but they have not yielded the desired results. If this company can assure the government that it has the potential to solve challenges that the new education system faces, then this government will not have a problem making the relevant payment. As the largest economy in Africa, it is evident that the Nigerian government can pay for such services.
The second approach of earning economic benefits from the initiative is to work with the UK government as it plans to invest in education in Africa. Recently, the UK government invested millions of pounds in Ghana to help improve the education system in the country (MacKay et al., 2020). It may also consider investing in Nigeria. In such a case, it can partner with the UK government to facilitate the implementation of CBE in Nigeria. The Nigerian government only needs to accept the assistance of MH+A. The UK government will then make available the resources that this firm needs to implement an effective strategy in this foreign country. Other educational institutions in Nigeria may also need services that this firm can effectively offer. They will pay for such services.
The social environment is another factor that the management of the UK firm should consider. Nigeria has one of the most culturally diverse people in Africa (Benna, 2019). However, society is strongly based on African principles and beliefs. Education and exposure to western culture have had a major influence on the current cultural practices in the country (International Food Policy Research Institute, 2019). MH+A will primarily be concerned about how the socio-cultural environment affects the education sector, specifically the implementation of the CBE system. Nigeria has one of the most advanced art and music sectors in Africa.
Nigerian Nollywood is one of the most advanced film industries in the world, attracting hundreds of thousands of actors. Implementing an education system that can help identify and nature such talents at an early stage is likely to get massive support from this society (Organisation for Economic Co-operation and Development, 2019). It is also true that Nigerians are lovers of football and athletics. This new curriculum also supports such activities among learners. With the knowledge that this firm will help in the implementation of a wholesome and comprehensive education system, it will likely receive massive support from the entire Nigerian community.
Technology is an important factor that influences the operations of a firm in a given country. Effective implementation of CBE requires some level of technology to be introduced. When training teachers and administrators on the approach they need to take when using this model, MH+A will need technological assistance. The trainees may need to spend time watching how the same system is working in other countries even if it has a different name. it means that the training centers will need to be equipped with internet-enabled computers to facilitate such training processes (Pedro, 2020). However, in Nigeria, access to internet-enabled computers for teachers and students is still a major challenge.
Some of the senior teachers do not even have the basic computer skills needed to facilitate such training. However, the problem can be overcome by the use of the phone. There is a massive penetration of smartphones among the majority of adults in Nigeria (Oqubay et al., 2020). These gadgets can be used to facilitate the training process and overcome the gap identified above. It is also important to note that there is significantly high coverage of internet connectivity in the country, especially in major urban centers.
Ecological or environmental concerns should not be ignored when a firm is making an entry into a new market. As Idowu, Schmidpeter and Zu (2020) observe, the global economy is currently concerned about global warming, climate change, and the consequences of these factors. Nigeria has been experiencing cases of prolonged drought and massive flooding, all associated with climate change. Of concern is whether the activities of this firm may have a major impact on the country’s ecology. As a consulting firm, the activities of MH+A will have a negligible impact on the environment. The firm only needs to ensure that all stakeholders in its conferences and training sessions responsibly dispose of waste materials, especially plastic bottles, as a way of protecting the environment. The training program may also focus on how schools can facilitate forest growth and reduce environmental pollution. Although it is important, it is not a major issue that may affect the operations of this firm in Nigeria.
The last factor, which is equally significant as the others discussed above, is the legal environment. a foreign firm making an entry into a new market should assess and understand the legal forces in that market. Nigeria, just like the United Kingdom and many other countries around the world, has a set of rules that foreign firms have to observe before they can be allowed to operate. First, MH+A will need to register itself in Nigeria as a consultancy company. Besides registering this firm, the management needs to ensure that its operations abide by the laws and regulations set by the government and the Federal Ministry of Education of the country. Following these regulations will help to eliminate any litigations that may be filed against this company.
Analyzing the Education Sector Using Porter’s Five Forces
When the external environment has been assessed, the management should analyze industry-specific factors. The education sector in Nigeria has been growing rapidly and in terms of population, it is the largest in Africa, and one of the largest in the world. it means that it has been attracting many firms offering similar consulting services. MH+A will have to find a way of penetrating the market despite the existence of local and international players. Porter’s five forces model, shown in figure 1 below, makes it possible to critically assess the attractiveness of a market.
One of the major issues that the management of this consulting firm has to consider is the rivalry among the current competitors. At the moment, the number of firms offering similar services as NH+A, in Nigeria is small. The company has custom-made its products in a way that creates a unique niche in the market. The existing players have failed to help the government successfully implement CBE. The low level of competitive rivalry in this foreign market shows that there is potential. Although there are local and foreign consulting firms in the education sector in the country, they do not pose a major threat to this firm.
The threat of new entrants is always an important concern that the management of a company cannot ignore. These new entrants will target the existing market share, which means that they will stiffen the rivalry in the market. The Nigerian government is keen on inviting foreign firms to help it improve its education system. The country’s large population and rapidly developing economy mean that the industry is attractive to similar firms (Amelia, Salamah, and Sofyan, 2019). As such, there is a huge threat of new entrants. They may be local firms keen on taking advantage of the growing market or foreign companies interested in expanding to the African market.
The bargaining power of the suppliers may also affect the ability of a firm to succeed in a given industry. It is important to define the suppliers of MH+A to help determine their power. Materials that this company will need during the training program include internet connection, personal computers, and writing materials. In Nigeria, numerous firms offer these products. As such, this company will not struggle when sourcing for them. It will choose firms offering the best deals in terms of cost and quality. Some of these materials may also be offered by the government or the sponsor of the project. It means that the company does not need to worry about the bargaining power of suppliers.
The model above identifies the bargaining power of buyers as another major factor that needs to be considered when making an entry into a new market. According to Katsikeas, Leonidou and Zeriti (2020), when the buyer is powerful, it becomes difficult for a firm to negotiate favorable deals because the client has the power to dictate terms. The primary client for MH+A is the Federal Ministry of Education in Nigeria. As Morgan et al. (2019) observe, organizational buyers, tend to have strong bargaining power. The government can choose another company to do the job. Given the immense power of the buyer, the management of this company must ensure that it presents a deal that the client feels favorable. As it continues to attract new clients such as universities and colleges in the country, the bargaining power of the clients will be reduced considerably.
The threat of substitute products is the firth factor as identified in the model shown in figure 1 above. When a product can be easily substituted, then it faces immense competition in the market because a firm has to prove that it offers a greater value than competitors (Eriksson, Bigi and Bonera, 2020). The consultancy services in the education sector that MH+A offers cannot be easily substituted. The Nigerian government can only use the services of a different consulting firm, but it must get the assistance it needs to implement the CBE system. The alternative is to ignore the new system and stick to the traditional one, which the government has shown is not an option. It means that the management of this UK firm does not need to be concerned about the possible substitute products in the foreign market.
Barriers to Entry
When planning the entry into the Nigerian market, it is necessary to assess possible barriers that may affect the initiative. Assessing the barriers enables the management to find effective ways of overcoming them. It defines the preparation that the management of MH+A needs to make before approaching the client. It also helps in determining the resources that will have to be invested in the project to make it a success. The following are some of the possible barriers to entry.
Legal Considerations
The legal environment in Nigeria requires all firms setting up operations in the country to be duly registered. This firm will have to be registered as a limited liability company based on the requirements set by the government. It will have to pay the necessary fees needed by the federal government, state government, and other relevant regulatory bodies in the country. Olson et al. (2018) explain that registering a company in Nigeria may be complex because of the numerous authorities that must approve the applications. Operations can only begin after obtaining all the necessary legal documents showing that the company has been permitted to start its operations.
Visa Requirement
Individual employees and directors of MH+A will need to be physically present in Nigeria to facilitate its operations, especially at the initial stages before the firm can employ locals to help in the training of teachers. They will require a work visa to allow them to work in the host country. The government of Nigeria has become strict when issuing work visas, often insisting that such visas should only be granted to individuals whose expertise the country lacks (Vieira et al., 2019). It will be necessary for the firm to convince the Nigerian embassy in the United Kingdom that those who will be coming to Nigeria have unique skills needed but lacking in Nigeria.
Culture
The culture in Nigeria is significantly different from that in the United Kingdom. The beliefs and practices of the majority are based on traditional African cultures (Food and Agriculture Organization, 2020). Urbanization, technology, and integration have significantly influenced the culture in this country, especially the constant interaction with the west through movies, music, and direct interaction (Mafukata, 2021). Employees from the United Kingdom will find the Nigerian culture unique. However, it will not stop them from executing their mandates as expected. One of the possible concerns is the language barrier, which may limit the ability to interact with the locals. However, English is one of the nationally spoken languages. It is the official language used in Nigerian schools, which means that it is not a barrier.
Taxation Policies
Nigeria has a tax policy that it expects all companies operating within its borders to observe. Not all forms of tax in Nigeria will be relevant and payable for this firm. One of the tax regimes that the company will have to comply with is the corporate tax. It is the amount of tax this firm will be paying on the profits made from its operations after deducting costs (Ogegbo, Tijani and Adewusi, 2020). Personal income tax, sometimes referred to as individual income tax or pay-as-you-earn, is the tax levied on the employees of a corporate entity. Nigeria has a clearly defined tax system based on the amount of income an individual makes. All the employees of this firm will have to pay this tax. The payroll tax will be deducted on employees earning to pay social security and insurance programs while the firm will need to pay capital gains tax as it continues to expand its operation in the country. Understanding these tax regimes will ensure that the firm prepares and operates within the legal environment in the country.
Sustainable Strategy
When making an entry into the Nigerian market, the management of MH+A should ensure that there is the sustainability of the strategy that they employ. The client must be able to understand the benefit of what this firm is presenting. Hill (2020) argues that large corporations and government entities tend to be strict when it comes to taking projects that may affect their socio-economic and political system. The political leadership of this country is keen on achieving success with the newly introduced CBE system of education. The consultant should explain how its strategies will help the ministry to achieve the set goals and objectives under the new system. As this firm seeks to ensure that the program is beneficial to the government (client), it also needs to ensure that it is sustainable to its operations. As it serves the government of Nigeria today, the strategy that it uses should ensure that it can serve this and many other clients in the future. The suitability of the strategy to the firm should be assessed based on social, economic, and social factors.
Economic Sustainability
The firm’s operations in the new country should earn it enough resources to support the current and future operations. The researcher proposed two economically sustainable strategies that the firm can use when offering its services to the Nigerian government. The first strategy was to present its proposal to the Federal Ministry of Education and request funding. MH+A will present itself as a consultant that seeks to address the challenge of implementing the CBE system in the country. In this strategy, the ministry will be fully responsible for funding project activities. The fee that the government will pay should be able to meet all the expenses of the firm and ensure that it earns a profit.
The second strategy was to partner with the government of the United Kingdom to sponsor the project. The UK government has been supporting education programs in Africa, and Ghana was one of the most recent beneficiaries (Gbadamosi, 2019). The management of MH+A should address the UK government with the proposal, explaining the relevance of the project, how it will benefit the education sector in Nigeria, and how it will foster a positive relationship between the two countries. If the government of the UK approves the program, it will fully fund the project. The firm will ensure that the invested amount pays all the expenses and earns it a profit.
Environmental Sustainability
Environmental sustainability is another factor that the management of this company should consider. The United Kingdom and Nigeria have both been involved in initiatives meant to protect the environment. For this company to get the necessary approval from the relevant agencies, it must demonstrate the environmental sustainability of its actions. Although the activities of this consultancy firm do not significantly affect the environment negatively, it can commit to helping in fighting pollution and other forms of environmental degradation (Malechwanzi, 2019). The proposed curriculum should include how schools can help protect the environment through tree planting, protecting the natural forest, and fighting plastic wastes. The company should demonstrate its commitment to protecting the environment as a way of winning trust among the two governments and other future customers keen on protecting the environment.
Social Sustainability
The social sustainability of the strategy that the firm uses is also crucial, especially with the fact that this company will be operating in a foreign country. As was mentioned earlier, the cultural environment in Nigeria is significantly different from that in the United Kingdom. However, this firm will have to ensure that its strategies are socially sustainable. One of the ways of achieving the goal is to hire locals (Arnold and Lewis, 2019). The firm retains its top managers, most of whom are British nationals. These top managers in Nigeria will be responsible for the development of major strategies to facilitate the implementation of CBE. However, it should recruit and train local Nigerians to facilitate the actual implementation of these strategies.
The locals already understand the socio-cultural values in the country. They will only need to be trained to understand company values and how to implement specific policies (Zhou, 2021). This strategy will not only be beneficial to the firm socially but also politically as well. As had been explained in the external environmental analysis above, the political class in this country is keen on protecting employment opportunities for the locals. When MH+A employs locals to undertake the implementation of these strategies, it will be viewed as a job creator. It will not be subject to political attacks directed to foreign firms. It may gain the support of these politicians who will want to associate with the firm for creating jobs and facilitating the successful implementation of CBE.
What Nigeria Can Offer MH+A
The management of MH+A should also critically assess what Nigeria can offer it irrespective of the entity that will sponsor the initial investment. The goal of this firm is to stay in Nigeria longer than the period of implementing this project. The firm seeks to find new ventures in the country that will facilitate its continued operations, as is the case in the United Kingdom. The following are the benefits that Nigeria can offer this firm if this project is initiated.
Increase Revenue
Making an entry into the Nigerian market will have a direct financial implication on this company. When this project is completed, the Nigerian government, through the Federal Ministry of Education, will pay for the work done. It will be an increase in the revenue of this firm as it expands its market coverage. There is also a possibility that this company can find other clients in Nigeria, especially institutions of higher learning, which will increase its revenues.
Improve Reputation
MH+A has been keen on expanding its operations beyond Europe, especially to the developing markets of Africa and Asia. Nigeria offers it the best opportunity to make a successful entry into the African market because it is the most populous and with the largest economy (Huang, 2020). If this firm succeeds in helping the Nigerian government to implement the CBE system, it will improve its reputation in the region because other consultancy firms have not been successful. The reputation can enable it to expand to the regional and continental markets.
Increase Customer Base
MH+A is facing competition in the home market as other consultancy firms continue to emerge in Europe. Nigeria offers the company a new market through which it can increase its customer base. The Nigerian government may continue being a client of this firm as it will seek other consultancy services in various sectors. The company will also have an opportunity to create other customers that may require its services. Universities, colleges, and other learning institutions will be the next target as soon as the firm starts its operations in Nigeria. The following is a sales plan, indicating the sales forecast in Nigeria for the next five years.
Figure 1: MH+A five-year sales in Nigeria forecast
Offer Partnering with Federal and/or State Governments
When this program is completed, the state or federal governments in Nigeria may want to partner with this consultancy company to implement other major programs. The country is introducing major changes in various sectors of the economy, and services of MH+A will be needed. Such partnerships, if successful, will not only increase the firm’s revenue but also its reputation in the entire region.
Allow for Diversification
The targeted country offers the company an opportunity for this company to diversify its product portfolio. One of the areas that this company can expand on is how to fight corruption. Working closely with various ministries, MH+A can develop a model that can be used by different government ministries to fight corruption and other vices in public institutions. This new product is highly relevant in many African countries which are struggling with the problem of corruption in the public sector (Abang, Ozoji and Okuoyibo, 2019). If successful, this product can be introduced across Africa and in other Asian and South/Central American countries facing the same problem.
Offer a Fun and Rewarding Experience for MH+A
The opportunity to work in Nigeria will offer individual employees of this company fun and rewarding experience. Some of these employees have never visited or worked in Africa. This will be a new opportunity for them to be in a new country. They will learn the African culture and even get an opportunity to try local foods. They will expand their social and career networks to this region.
Gain Competitive Advantage
The company will gain a competitive advantage over its rivals if this program is a success. It will be able to cite this project as one of its successes. If the Nigerian government is satisfied with the outcome, the publicity that will be created across the region will increase the competitiveness of this firm in the region. It will be easy to attract and retain new customers, especially government institutions. The financial benefits from the project will also strengthen the competitiveness of the firm.
Increase Access to Talent Pool
It was suggested that the management of this firm will recruit and train local Nigerians to be part of its talent pool. It means that this project will offer the firm an opportunity to expand its talent pool to the African market. When it will be necessary to move to neighboring countries, this firm will only need to send its experts from Nigeria. As a consultancy company, expanding its pool of talents is the best way of expanding its reach. It makes it possible to handle a larger customer base.
Ease That May Be Experienced When Entering Nigeria
When making an entry into the Nigerian market, it will be necessary to assess the ease that may be experienced by the firm. Some of the challenges had been identified above, but it is important to admit that the firm may also benefit from some of the factors unique to this country. The following are some of the factors that may make entry into the Nigerian market seamless.
Analysis of the People and the Ideas
The Nigerian people, unlike others in the African continent, use English as one of the languages. Teachers and administrators in the ministry of health who will be the target group in this program can fluently communicate in English. There may be a variation in the accent but that does not hinder the ability to pass the message that is intended. As most of the African communities, Nigerians are welcoming, and the idea of empowering learners in different fields will most likely receive their support.
Analysis of the Business Environment and Place
The country provides an attractive business environment for MH+A to grow as a consultancy firm. Although there are numerous processes that a firm needs to follow for it to be registered in the country, there are numerous benefits. They include the huge population, the size of the country’s GDP and its rate of growth, and the growing demand for consultancy services. Relative political stability in this place, especially in major cities, will also benefit the growth of this new company in the market.
Potential Project and Comparing it to Previous Projects
The review conducted before developing the plan for this project revealed that similar projects to implement CBE had been conducted in this country. The Federal Ministry of Education in this country had invited other consultants from the region to help with the implementation of this new curriculum. It is possible to compare this suggested project against the previous one’s success criteria only based on the outcome. Studies and government report only indicate that they were not successful in defining specifically how this new curriculum should be implemented. For instance, it has remained unclear how to make a smooth transition from the traditional system to the new one.
CBE also requires greater involvement of parents in the learning process of their children, unlike the previous system. The previous programs failed to demonstrate how parents should be involved in this process. As Makgato and Barabasch (2021) observe, when involving parents, care should be taken to ensure that their normal schedule at work is not affected because they have to remain the breadwinners of their families. However, it should be possible for them to remain constantly informed about the progress of their children and where necessary, they should work closely with teachers to assist these learners. These are the specific areas that this new project that must succeed.
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