Unpacking the competitive relations among Chinese business actors in Africa

Abstract

Chinese outward foreign direct investment (OFDI) in Africa has attracted much discussion on the competitive relations between Chinese companies and their foreign or local counterparts. There is however limited research examining the increasingly competitive relationships among Chinese business actors themselves and the complex implications of their activities for African economic development. Existing studies often either treat Chinese actors as a homogeneous entity pursuing a collective, state-directed agenda or emphasize the collaborative networks among Chinese business groups during their transnational entrepreneurial expansion. This paper aims to fill this gap by investigating the nature and consequences of intra-Chinese competition in Africa. It draws upon a critical reading of multidisciplinary literature in international businesses, management studies and economic geography, an extensive review of empirical cases across Africa, as well as field research in Ethiopia and Nigeria. Findings shed light on the competitive interests, logics, and strategies of Chinese overseas actors in construction, telecommunications, manufacturing, and retail sectors, and identify the challenges associated with managing intra-Chinese competition and fostering positive economic impacts in Africa.