MNB3701 – REPORT 3
Table of Contents
EXECUTIVE SUMMARY ....................................................................................................... 1
Literature Search ............................................................................................................. 2
Background ..................................................................................................................... 3
Formal Institutional Frameworks ..................................................................................... 5
Informal institutional frameworks ..................................................................................... 7
Resource Appraisal ....................................................................................................... 10
Challenges Trading Internationally – Sanlam Mozambique .......................................... 14
Foreign Direct Investment (Sanlam Mozambique) ........................................................ 17
Exchange Rates ............................................................................................................ 21
Global, regional and bilateral economic integration ....................................................... 24
Socially Responsible Business ...................................................................................... 27
Conclusion .................................................................................................................... 29
BIBLIOGRAPHY ........................................................................................................... 32
0
,TITLE: A REPORT ABOUT SANLAM INSURANCE COMPANY MOZAMBIQUE
Executive Summary
This report is compiled research on multinational enterprise, Sanlam in Mozambique,
focusing on important factors such as formal and informal institutional frameworks, key
resources and capabilities of the enterprise, challenges trading internationally, foreign
direct investment, exchange rates, global and regional integration, and corporate social
responsibility. This report motive is dive deep into Sanlam`s expansion in the African
market. The objectives of this report are to analyze Sanlam`s expansion into
Mozambique.
Research on Sanlam`s expansion into the African Mozambican market will include a
better understanding of the growth strategy, objectives, and local laws. This report will
highlight the outcome of Sanlam`s strategic expansions and performance in the African
Markets. Sanlam is a non-banking financial services group providing the public with
financial services such as life insurance, general insurance, and investments. Key
findings have indicated strategic motivations through market broadening, leadership
goals, and the analysis for financial inclusion. An opportunity came to light for middle-
class groups with a lack of insurance or investment businesses in the market. Strategic
alignment in building positive partnerships, being the market leader, and financial
inclusion show the group`s interest in creating a service of value for the African market.
The complexities of implementing a non-banking financial service. Conclusions drawn
from the report will highlight the refined understanding of the formal and informal
institutional frameworks involved in expanding into Africa. This will entail the importance
of legislation, building positive relationships, and adapting to a different environment
with different cultures, values, and diversity.
1
,The report all-inclusive underlines the importance of background understanding and
strategic adaption into the African market. The report highlights Sanlam`s strategic
plans, efforts, involvement, and commitment to extending non-banking financial services
to the Africa Market working closely with formal and informal institutional frameworks.
Literature Search
My The literature search compiled for this report was comprehensive and systematic
with the motive of gathering information on reliable sources. on Sanlam`s growth into
the Africa Market includes an assessment of scholarly resources that looks into the
company`s expansion strategy and action plans in the African market. The research
period is based on the year
2010 to 2016 and sources used to study the literature search are the Sanlam website, Formatted: Space After: 0 pt
News24, and ProQuest.
Key search items include keywords such as Sanlam, Sanlam`s annual report, Sanlam`s
sustainability report, multinational enterprises, Mozambique, Mozambican trade laws,
formal and informal institutional frameworks, exchange rates, and corporate social
responsibility. These keywords assisted in reducing search results to find information on
the subject matter.
The research and analysis conducted was across various different databases such as
JSTOR and Google scholar. These websites are renowned for detailed information on
academic literature. By making use of these resources, the literature search entails a
detailed and wide collection of information from renowned databases to ensure the data
in this report is evidenced-based and recent research. The period utilized for this report
is between 2021 and 2023. Research compiled for this period aid this report with recent
information and is based on the current state of the topic on multinational enterprises
with the motive of a solid base for findings and conclusions.“Sanlam`s expansion into
Africa”, “Articles on Sanlam`s strategic plans into Africa”, ““Sanlam`s insurance and
2
, investment services”, “Sanlam`s Financial Performance”, “Advantages and
Disadvantages of Sanlam expanding in Africa”, “Sanlam`s market share in Africa”,
“Sanlam`s financial performance in Sub-Saharan Africa”, “Sanlam`s direct competitors
in Africa”, “Sanlam`s expansion into Mozambique”, “Sanlam`s business overview on
Mozambique”. Based on the research on Sanlam`s expansion into Africa I put together
data from relevant articles, business journals, Sanlam`s website, Business source
ultimate and JSTOR.
The information gathered is from 10 resources which include business financial
performance reports, newspaper articles, advertisements and the company`s website.
In compiling a literature research on challenging trading in the African Markets, a broad
approach was taken using various search teams and databases. Search terms selected
for this research were key words such as market entry, sub-Saharan Africa, local laws,
and economic development. Databases used for research is JSTOR, ERIC, Scopus,
IEEE explore, Cochrane, ESSA, web of science, and Direct of open access journals.
Google scholar and google was also used to aid the literature search for a wide
research. Based on all the search terms and utilized, a broad range of information was
compiled, totaling to an estimate of 132 of which only 42 articles were used to compile
the second and third report. In using this approach to support the first report, this
created a solid foundation for the next stages of the research.
Background
Sanlam a provider of non-banking financial services was established in 1918. The
company started by offering life insurance at a subscription fee and gradually expanded
its range of products and services.
Sanlam analyzed the African market and findings from the research gave the group
insight into opportunities to expand their business by introducing their services to the
African Market. The company`s expansion into Africa consisted of strategic initiatives
such as building positive partnerships and acquisitions to build a customer base in
Africa. Sanlam`s main focus was to offer core financial services such as insurance,
3
Table of Contents
EXECUTIVE SUMMARY ....................................................................................................... 1
Literature Search ............................................................................................................. 2
Background ..................................................................................................................... 3
Formal Institutional Frameworks ..................................................................................... 5
Informal institutional frameworks ..................................................................................... 7
Resource Appraisal ....................................................................................................... 10
Challenges Trading Internationally – Sanlam Mozambique .......................................... 14
Foreign Direct Investment (Sanlam Mozambique) ........................................................ 17
Exchange Rates ............................................................................................................ 21
Global, regional and bilateral economic integration ....................................................... 24
Socially Responsible Business ...................................................................................... 27
Conclusion .................................................................................................................... 29
BIBLIOGRAPHY ........................................................................................................... 32
0
,TITLE: A REPORT ABOUT SANLAM INSURANCE COMPANY MOZAMBIQUE
Executive Summary
This report is compiled research on multinational enterprise, Sanlam in Mozambique,
focusing on important factors such as formal and informal institutional frameworks, key
resources and capabilities of the enterprise, challenges trading internationally, foreign
direct investment, exchange rates, global and regional integration, and corporate social
responsibility. This report motive is dive deep into Sanlam`s expansion in the African
market. The objectives of this report are to analyze Sanlam`s expansion into
Mozambique.
Research on Sanlam`s expansion into the African Mozambican market will include a
better understanding of the growth strategy, objectives, and local laws. This report will
highlight the outcome of Sanlam`s strategic expansions and performance in the African
Markets. Sanlam is a non-banking financial services group providing the public with
financial services such as life insurance, general insurance, and investments. Key
findings have indicated strategic motivations through market broadening, leadership
goals, and the analysis for financial inclusion. An opportunity came to light for middle-
class groups with a lack of insurance or investment businesses in the market. Strategic
alignment in building positive partnerships, being the market leader, and financial
inclusion show the group`s interest in creating a service of value for the African market.
The complexities of implementing a non-banking financial service. Conclusions drawn
from the report will highlight the refined understanding of the formal and informal
institutional frameworks involved in expanding into Africa. This will entail the importance
of legislation, building positive relationships, and adapting to a different environment
with different cultures, values, and diversity.
1
,The report all-inclusive underlines the importance of background understanding and
strategic adaption into the African market. The report highlights Sanlam`s strategic
plans, efforts, involvement, and commitment to extending non-banking financial services
to the Africa Market working closely with formal and informal institutional frameworks.
Literature Search
My The literature search compiled for this report was comprehensive and systematic
with the motive of gathering information on reliable sources. on Sanlam`s growth into
the Africa Market includes an assessment of scholarly resources that looks into the
company`s expansion strategy and action plans in the African market. The research
period is based on the year
2010 to 2016 and sources used to study the literature search are the Sanlam website, Formatted: Space After: 0 pt
News24, and ProQuest.
Key search items include keywords such as Sanlam, Sanlam`s annual report, Sanlam`s
sustainability report, multinational enterprises, Mozambique, Mozambican trade laws,
formal and informal institutional frameworks, exchange rates, and corporate social
responsibility. These keywords assisted in reducing search results to find information on
the subject matter.
The research and analysis conducted was across various different databases such as
JSTOR and Google scholar. These websites are renowned for detailed information on
academic literature. By making use of these resources, the literature search entails a
detailed and wide collection of information from renowned databases to ensure the data
in this report is evidenced-based and recent research. The period utilized for this report
is between 2021 and 2023. Research compiled for this period aid this report with recent
information and is based on the current state of the topic on multinational enterprises
with the motive of a solid base for findings and conclusions.“Sanlam`s expansion into
Africa”, “Articles on Sanlam`s strategic plans into Africa”, ““Sanlam`s insurance and
2
, investment services”, “Sanlam`s Financial Performance”, “Advantages and
Disadvantages of Sanlam expanding in Africa”, “Sanlam`s market share in Africa”,
“Sanlam`s financial performance in Sub-Saharan Africa”, “Sanlam`s direct competitors
in Africa”, “Sanlam`s expansion into Mozambique”, “Sanlam`s business overview on
Mozambique”. Based on the research on Sanlam`s expansion into Africa I put together
data from relevant articles, business journals, Sanlam`s website, Business source
ultimate and JSTOR.
The information gathered is from 10 resources which include business financial
performance reports, newspaper articles, advertisements and the company`s website.
In compiling a literature research on challenging trading in the African Markets, a broad
approach was taken using various search teams and databases. Search terms selected
for this research were key words such as market entry, sub-Saharan Africa, local laws,
and economic development. Databases used for research is JSTOR, ERIC, Scopus,
IEEE explore, Cochrane, ESSA, web of science, and Direct of open access journals.
Google scholar and google was also used to aid the literature search for a wide
research. Based on all the search terms and utilized, a broad range of information was
compiled, totaling to an estimate of 132 of which only 42 articles were used to compile
the second and third report. In using this approach to support the first report, this
created a solid foundation for the next stages of the research.
Background
Sanlam a provider of non-banking financial services was established in 1918. The
company started by offering life insurance at a subscription fee and gradually expanded
its range of products and services.
Sanlam analyzed the African market and findings from the research gave the group
insight into opportunities to expand their business by introducing their services to the
African Market. The company`s expansion into Africa consisted of strategic initiatives
such as building positive partnerships and acquisitions to build a customer base in
Africa. Sanlam`s main focus was to offer core financial services such as insurance,
3
