Kenyan Supermarket Chain Faces Competition From Global Giant

In many African countries, an open marketplace is a common destination to get groceries and other wares, regardless of socio-economic class. However, malls and supermarkets tend to be reserved for quickly growing middle class groups in across the continent. Kenya is no exception.

Nakumatt Supermarkets, a rapidly expanding supermarket chain with locations throughout Kenya and some in Uganda and Rwanda, has been doing rather well since it's first store opened in 1987. The stores bring goods from across the globe to East Africa.

A global supermarket giant has noticed the progress and economic growth and potential of several African nations and has decided to first make it's mark by purchasing the South Africa-based retailer, Massmart. Massmart has stores of several of its brands in 13 African countries, including Nigeria, Ghana and Uganda. This monster that is taking over is none other than Wal-Mart.

Atul Shah, managing director of Nakumatt, is actually welcome to the competition. In an interview with CNN International, he sees Wal-Mart's interest as a businesses really seeing Africa beyond the stereotype and as a place where money and investments can be made.

I have to agree with him. Finally, this move and many others (despite what it's outcome could be), shows that this continent is not as in despair as people outside of Africa (especially in the US) may presume. Don't get me wrong, there are dire situation that are occurring in several parts of the continent, but in many other places, there is peace and stability (Ghana and Botswana two of many great examples). Now, what would be the next retailer to come Africa. H & M?