Kenya is a country that has a history of political instability and violence amongst its citizens. Kenya has a large agricultural sector and is a very low-resource country that has very high levels of population growth. These high levels of population growth lead to a large labour force of unskilled workers. Public and Private Investment is crucial for upgrading a firm’s technology and ensuring technological progress. In recent years, Kenya has had very low investment levels, which leads to very poor economic infrastructure. The Kenya government has recently made it its goal to improve the skill of its labour force and the economic infrastructure. With an increase in visitors into the country, it looks like Kenya is on its way to more public and private investment. This does not diminish some of the risks of doing business in Kenya, such as violence, poverty, and political unrest.
2.1 Country Description and Macro Environment
Kenya is an Eastern African country, which has neighboring countries that include Ethopia, Uganda, Somalia and South Sudan. Agriculture is the main industry that contributes to Kenya’s GDP and other main industries are food and beverage processing, and manufacturing of petroleum products. Top exports are tea, coffee, hides, skins and beer. It has a well-developed air transport system, with over 150 airstrips throughout the country (6). Kenya’s main airport, which is the biggest one in Eastern Africa, is being expanded to a capacity of 4 million passengers (4). Kenya has one major seaport in Mombasa, which connects all of the other major seaports around the world. The Mombasa seaport has been known to be inefficient, especially with regards to custom clearance (1). Also, in Mombasa is Kenya’s single-track railway system that branches out to other Kenyan cities. Paved roads connect most of the country but have been mostly unmaintained in recent years and have started to deteriorate. Various Internet system providers have