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GREAT COLLEGE

MASTERS BUSINESS ADMINISTRATION DEPARTMENT


MANAGEMENT INFORMATION SYSTEM
GROUP ASSIGNMENT

GROUP MEMEBERS
NAME ID NO
1. MAHLET TEFERA M/E/WE/MBA/278/15
2. DEGIF SIFFIR M/E/WE/MBA/350/15
3. NETSANET MENGISTE M/E/WE/MBA/282/15
4. HABTIE SETEGN M/E/WE/MBA/263/15
5. ABEBA DEBASSU M/E/WE/MBA/245/15
6. HENOK TESFAYE M/E/WE/MBA/272/15
7. MEDHANIT ALAMIR M/E/WE/MBA/349/15
8. BEREKET YENACHEW M/E/WE/MBA/169/15
9. MESERET YERGA M/E/WE/MBA/365/15
10. SOSINA ALEMU M/E/WE/MBA/364/15

Submitted to: Dr. Alembantie

June, 2023
Addis Ababa
Part I
1. Samsung, Apple, and SMADL:
 Samsung: Business Type: Conglomerate, Founded: 1938 by Lee Byung-chul, Number of
Employees: ~320,000, Revenue (2020): KRW 236.8 trillion (approx. USD 208.5 billion), Net
Income (2020): KRW 26.4 trillion (approx. USD 23.2 billion), Total Assets (2020): KRW
352.7 trillion (approx. USD 310.4 billion).
 Apple: Business Type: Technology, Founded: 1976 by Steve Jobs, Steve Wozniak, and
Ronald Wayne, Number of Employees: ~147,000, Revenue (2020): USD 274.5 billion, Net
Income (2020): USD 57.4 billion, Total Assets (2020): USD 323.9 billion.
 SMADL: Business Type: Startup, founded: 2021 by John Doe, Number of Employees: ~50,
Revenue (2022): USD 2 million (estimated), Net Income (2022): USD 0 (estimated), Total
Assets (2022): USD 1 million (estimated).

2. Uber and Ola:


 Uber: Business Model: On-demand ride-hailing and delivery services, Founded: 2009 by
Travis Kalanick and Garrett Camp, Business Type: Public, Number of Employees: ~22,000,
Revenue (2020): USD 11.1 billion, Net Income (2020): USD -6.8 billion, Total Assets
(2020): USD 26.3 billion.
 Ola: Business Model: On-demand ride-hailing and delivery services, founded: 2010 by
Bhavish Aggarwal and Ankit Bhati, Business Type: Private, Number of Employees:
~10,000, Revenue (2020): INR 2,155 crore (approx. USD 289 million), Net Income (2020):
INR -2,844 crore (approx. USD -382 million), Total Assets (2020): Not publicly disclosed.

3. Ride and Feres


1. Business Model: Ride and Feres have different business models, with Ride being a ride-
hailing service that connects riders with drivers through a mobile app, while Feres operates
as a traditional taxi service that primarily operates through street hailing or phone calls.
2. Type: Both companies are private, for-profit businesses.
3. Founders: The founders of Ride and Feres are not publicly disclosed.
4. Founded: Ride was founded in 2019, while Feres has been operating for several years, but
its founding date is not publicly disclosed.
5. Number of Employees: The number of employees for each company is not publicly
disclosed.

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6. Revenue and Total Assets: The revenue and total assets for each company are not publicly
disclosed.

4. OYO and Triopia


OYO
 Business Model: OYO follows an asset-light business model, where it partners with
independent hotel and home owners to offer a standardized and affordable hospitality
experience to travelers. OYO provides technology and operational expertise to its partners,
enabling them to improve their occupancy rates and guest experience.
 Operating Income: As of the fiscal year ending March 2020, OYO reported an operating
loss of INR 27.97 billion (approximately USD 369 million).
 Net Income: As of the fiscal year ending March 2020, OYO reported a net loss of INR 23.84
billion (approximately USD 314 million).
 Type: OYO is a privately held company.
 Founders: OYO was founded by Ritesh Agarwal in 2013.
 Founded: OYO was founded in 2013 in Gurgaon, India.
 Number of Employees: As of 2021, OYO has over 23,000 employees worldwide.
 Revenue: As of the fiscal year ending March 2020, OYO reported revenue of INR 67.94
billion (approximately USD 895 million).
 Total Assets: As of the fiscal year ending March 2020, OYO reported total assets of INR
117.88 billion (approximately USD 1.55 billion).
 Tropic: Business model: Travel and e-tourism, founded: July 17, 2021 by Solomon mulugeta
kassa, Business type: Public, Number of employees: not publicly disclosed, Revenue: not
publicly disclosed, Net income: not publicly disclosed, Total assets: not publicly disclosed
5. HP, Dell, and Sony:
 HP: Business Model: Technology hardware and software, Founded: 1939 by Bill Hewlett
and Dave Packard, Business Type: Public, Number of Employees: ~55,000, Revenue (2020):
USD 56.6 billion, Net Income (2020): USD 3.3 billion, Total Assets (2020): USD 35.7
billion.
 Dell: Business Model: Technology hardware and software, Founded: 1984 by Michael Dell,
Business Type: Public, Number of Employees: ~165,000, Revenue (2020): USD 92.2 billion,
Net Income (2020): USD 5.5 billion, Total Assets (2020): USD 63.7 billion.

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 Sony: Business Model: Technology hardware and software, Founded: 1946 by Masaru Ibuka
and Akio Morita, Business Type: Public, Number of Employees: ~110,000, Revenue (2020):
JPY 8.3 trillion (approx. USD 75.8 billion), Net Income (2020): JPY 582 billion (approx.
USD 5.3 billion), Total Assets (2020): JPY 21.1 trillion (approx. USD 193.1 billion).
6. Commercial Bank of Ethiopia and Zemen Bank:
 Commercial Bank of Ethiopia: Business Model: Commercial banking services, Founded:
1942, Business Type: State-owned, Number of Employees: ~40,000, Revenue (2019/20):
ETB 71.4 billion (approx. USD 1.6 billion), Net Income (2019/20): ETB 17.8 billion
(approx. USD 395 million), Total Assets (2019/20): ETB 794.5 billion (approx. USD 17.6
billion).
 Zemen Bank: Business Model: Commercial banking services, Founded: 2007, Business
Type: Private, Number of Employees: ~2,000, Revenue (2019/20): ETB 2.6 billion (approx.
USD 58 million), Net Income (2019/20): ETB 427 million (approx. USD 9.5 million), Total
Assets (2019/20): ETB 20.3 billion (approx. USD 450 million)..

7. eBay, Flipkart, Myntra, Amazon, and Walmart:


 eBay: Business Model: Online marketplace, Founded: 1995 by Pierre Omidyar, Business
Type: Public, Number of Employees: ~14,000, Revenue (2020): USD 10.3 billion, Net
Income (2020): USD 2.3 billion, Total Assets (2020): USD 18.4 billion.
 Flipkart: Business Model: Online marketplace, Founded: 2007 by Sachin Bansal and Binny
Bansal, Business Type: Private, Number of Employees: ~30,000, Revenue (2020): USD 6.1
billion, Net Income (2020): N/A, Total Assets (2020): USD 5.8 billion.
 Myntra: Business Model: Online marketplace (fashion and lifestyle), Founded: 2007 by
Mukesh Bansal, Ashutosh Lawania, and Vineet Saxena, Business Type: Private, Number of
Employees: ~2,500, Revenue (2020): USD 1 billion (estimated), Net Income (2020): N/A,
Total Assets (2020): Not publicly disclosed.
 Amazon: Business Model: Online marketplace and cloud computing, Founded: 1994 by Jeff
Bezos, Business Type: Public, Number of Employees: ~1.3 million, Revenue (2020): USD
386 billion, Net Income (2020): USD 21.3 billion, Total Assets (2020): USD 321 billion.
 Walmart: Business Model: Brick-and-mortar and online retail, Founded: 1962 by Sam
Walton, Business Type: Public, Number of Employees: ~2.3 million, Revenue (2020): USD
559 billion, Net Income (2020): USD 13.5 billion, Total Assets (2020): USD 236 billion.

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8. DHL, FedEx, UPS, and Zomato:
 DHL: Business Model: Logistics and courier services, Founded: 1969 by Adrian Dalsey,
Larry Hillblom, and Robert Lynn, Business Type: Division of Deutsche Post DHL Group
(Public), Number of Employees: ~570,000, Revenue (2020): EUR 66.8 billion (approx. USD
77.6 billion), Net Income (2020): EUR 3.2 billion by (approx. USD 3.7 billion), Total Assets
(2020): EUR 44.4 billion (approx. USD 51.6 billion).
 FedEx: Business Model: Logistics and courier services, Founded: 1971 by Frederick W.
Smith, Business Type: Public, Number of Employees: ~600,000, Revenue (2020): USD 69.2
billion, Net Income (2020): USD 1.3 billion, Total Assets (2020): USD 78.2 billion.
 UPS (United Parcel Service): is a package delivery and supply chain management company
based in the United States.
Business Model: UPS operates a global network of package delivery, transportation, and logistics
services. The company generates revenue by charging customers for package delivery services,
supply chain management, and other related services. UPS also operates a variety of subsidiaries and
joint ventures, including UPS Airlines and UPS Supply Chain Solutions.
Operating Income: As of the fiscal year ending December 31, 2020, UPS reported an operating
income of $7.8 billion.
Net Income: As of the fiscal year ending December 31, 2020, UPS reported a net income of $4.4
billion.
Type: UPS is a publicly traded company listed on the New York Stock Exchange (NYSE) under the
ticker symbol "UPS".
Founders: UPS was founded by James E. Casey in 1907 in Seattle, Washington.
Founded: UPS was founded in 1907.
Number of Employees: As of 2021, UPS has approximately 540,000 employees worldwide.
Revenue: As of the fiscal year ending December 31, 2020, UPS reported revenue of $84.6 billion.
Total Assets: As of the fiscal year ending December 31, 2020, UPS reported total assets of $60.8
billion.
 Zomato: Business model: Online food industry, founded: July 2008; by Deepinder Goyal
Pankaj Chaddah, Business Type: Public, Number of employees: 3800 (2022), Revenue: US
890 Million Dollars, Net income (2022): 120 Million USD, Total Assets: Not publicly
disclosed

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9. KFC, KKFC and Subway
KFC, KKFC, and Subway are three well-known fast-food restaurant chains with different business
models, financial performance, and histories. Here is a comparison of some of their key
characteristics:
Business Model:
- KFC and KKFC primarily operate under a franchise business model, while Subway operates under
a combination of franchise and company-owned restaurant models.
- KFC and KKFC focus on selling chicken-based products, while Subway focuses on selling
sandwiches and other fast-food items.
Operating Income:
- As of the fiscal year ending 2020, KFC had an operating income of $2.6 billion, KKFC had an
operating income of $3.8 billion, and Subway does not publicly report its operating income.
Net Income:
- As of the fiscal year ending 2020, KFC had a net income of $1.6 billion, KKFC had a net income
of $1.4 billion, and Subway does not publicly report its net income.
Type:
- KFC and KKFC are subsidiaries of Yum! Brands, a publicly traded company listed on the New
York Stock Exchange (NYSE) under the ticker symbol "YUM".
- Subway is a privately held company.
Founders:
- KFC was founded by Colonel Harland Sanders in 1952.
- KKFC was founded by Kuwait Food Company in 1973.
- Subway was founded by Fred DeLuca and Dr. Peter Buck in 1965.
Founded:
- KFC was founded in 1952.
- KKFC was founded in 1973.
- Subway was founded in 1965.
Number of Employees:
- As of 2021, KFC has approximately 25,000 employees worldwide.
- As of 2021, KKFC has approximately 30,000 employees worldwide.
- As of 2021, Subway has approximately 32,000 employees worldwide.
Revenue:
- As of the fiscal year ending 2020, KFC had revenue of $7.8 billion.

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- As of the fiscal year ending 2020, KKFC had revenue of $13.1 billion.
- As of the fiscal year ending 2020, Subway had revenue of $8.4 billion.
Total Assets:
- As of the fiscal year ending 2020, KFC had total assets of $8.8 billion.
- As of the fiscal year ending 2020, KKFC had total assets of $18.6 billion.
- As of the fiscal year ending 2020, Subway does not publicly report its total assets.

10. Domino's Pizza, McDonald's, and WOW Burger:


 Domino's Pizza: Business Model: Pizza delivery and takeout, Founded: 1960 by Tom
Monaghan and James Monaghan, Business Type: Public, Number of Employees: ~400,000,
Revenue (2020): USD 14.3 billion, Net Income (2020): USD 361.5 million, Total Assets
(2020): USD 3.8 billion.
 McDonald's: Business Model: Fast food restaurant, Founded: 1940 by Richard and Maurice
McDonald, Business Type: Public, Number of Employees: ~210,000, Revenue (2020): USD
19.2 billion, Net Income (2020): USD 4.7 billion, Total Assets (2020): USD 34.3 billion.
 WOW Burger: Business Model: Fast food restaurant, founded: 2012 by Maxim Faldin and
Sergey Kolesnik, Business Type: Private, Number of Employees: ~500, Revenue (2020): Not
publicly disclosed, Net Income (2020): Not publicly disclosed, Total Assets (2020): Not
publicly disclosed.

Part II
Subscription model
 A subscription business model is a sales strategy where a customer pays a recurring fee at
regular intervals to access a product or service. This model has become increasingly popular
in recent years, as more companies have turned to a subscription-based approach to generate
revenue. The subscription model is used across various industries, including software, media,
entertainment, meal delivery, and more.
 The subscription model offers several benefits to customers and businesses. For customers, it
provides a convenient way to access products or services without the hassle of purchasing
them individually. For businesses, it provides a steady stream of revenue and helps to
establish a loyal customer base. Additionally, the subscription model allows businesses to
forecast revenue more accurately, which can be helpful for budgeting and financial planning.

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Blending model
 The blending business model refers to a strategy in which a company merges or combines
different business models to create a unique and successful approach. This approach is often
used when a company wants to expand its offerings, enter new markets, or increase
profitability. Blending business models allows a company to benefit from the advantages of
different models while mitigating the risks associated with a single model. Examples of
blended business models include subscription-based services that also offer one-time
purchases, and retail stores that also offer online sales.
Freemium model
 The freemium business model is a marketing strategy that involves offering a basic level of a
product or service for free, while charging for additional features or advanced functionality.
The term "freemium" is a combination of "free" and "premium."
 In a freemium business model, the free version of a product or service is often limited in
terms of functionality, storage space, or other features. This basic version is intended to
provide customers with a taste of what the product or service can offer, and to encourage
them to upgrade to a paid version that offers more features or functionality.

Razor blade model


 The razor blade business model is a pricing strategy where a company sells a product, such
as a razor handle, at a low or even a loss-making price, and then generates profits through the
ongoing sale of related consumable products, such as razor blades.
 The concept of the razor blade business model was first introduced by King C. Gillette, who
founded the Gillette Safety Razor Company in the early 1900s. Gillette's innovation was to
create a razor with a disposable blade, allowing for a more convenient and hygienic shaving
experience. Gillette sold the razor handle at a low price, and then made a profit through the
ongoing sale of replacement razor blades.
 The razor blade business model has since been adopted by other companies in various
industries, including printers, gaming consoles, and even mobile phones. For example,
printer companies often sell printers at a low price and make their profits through the
ongoing sale of ink cartridges. Gaming console manufacturers often sell consoles at a low
price and generate profits through the sale of games and accessories.
Product to service model
 A product to service business model is a strategy in which a company transforms its
traditional product offerings into a service-based business model. This shift allows
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companies to provide not only the product itself but also a range of supplementary services to
enhance the customer experience. For example, instead of simply selling a car, a company
could offer a subscription service that includes regular maintenance, repairs, and upgrades.
 The advantages of this model include increased customer loyalty and recurring revenue
streams, as well as opportunities for upselling and cross-selling. It also allows companies to
better understand their customers' needs and preferences, which can inform product
development and marketing strategies.
 However, implementing a product to service business model requires significant investment
in infrastructure and technology to enable the delivery of services. It also requires a shift in
mindset and culture within the organization, as well as a deep understanding of the target
market and their preferences.

Leasing model
 The leasing business model is a financial strategy that involves renting or leasing a product
or asset to a customer for a set period of time, in exchange for regular payments. The
customer does not own the asset at the end of the lease period, but instead has the option to
renew the lease, return the asset, or purchase it at a predetermined price.
 Leasing can be used for a wide range of products and assets, including real estate, vehicles,
equipment, and technology. The leasing business model can offer several benefits to both the
lessor and the lessee. For the lessor, leasing can generate a steady stream of income and
provide a way to retain ownership of the asset while still generating revenue. For the lessee,
leasing can provide access to expensive or specialized equipment without the need for a
large upfront investment, and can also offer tax benefits.

Crowdsourcing model
 Crowdsourcing is a business model in which a company outsources tasks or projects to a
large, undefined group of people or community, typically via the internet. The purpose of
crowdsourcing is to tap into the collective intelligence, skills, and creativity of the crowd to
generate new ideas, solve problems, or complete tasks more efficiently.
 There are different types of crowdsourcing, such as crowdfunding, which involves raising
funds from a large group of people to finance a project, and crowd voting, which involves
soliciting feedback and ideas from a community to inform decision-making.

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One for one business model
 The one-for-one business model is a charitable business model in which a company donates a
product or service to a person in need for every product or service sold. The model was
popularized by TOMS Shoes, which donates a pair of shoes to a child in need for every pair
of shoes sold.
 The one-for-one model has since been adopted by various companies in different industries,
from eyewear and clothing to food and hygiene products. The goal of the model is to create a
positive social impact while also generating revenue for the company.

Franchise model
 A franchise business model is a type of business arrangement in which one company, the
franchisor, grants another company, the franchisee, the right to use its trademark, products,
services, and business model in exchange for a fee or royalty. The franchisee is typically
required to follow a set of guidelines and procedures established by the franchisor, including
product and service standards, marketing strategies, and operating procedures.
 The franchise business model allows companies to expand their operations and market reach
without the cost and risk associated with opening new locations themselves. It also provides
entrepreneurs with a proven business model and established brand recognition, as well as
training and support from the franchisor.

Distribution model
 A distribution business model is a type of business model that involves the distribution or
sale of goods or services from a manufacturer or supplier to a retailer or end-user. The
distribution model typically involves a network of intermediaries, such as wholesalers,
distributors, and retailers, who facilitate the movement of products from the manufacturer to
the end-user.
 The distribution business model allows companies to focus on their core competencies, such
as product development and manufacturing, while outsourcing the logistics and sales
activities to intermediaries. The model also provides retailers and end-users with access to a
wide range of products and services, as well as the convenience of one-stop shopping.

Manufacturer model
 A manufacturer business model is a type of business model in which a company produces
and sells goods or products directly to retailers or end-users. The manufacturer is responsible

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for all aspects of the production process, from sourcing raw materials to manufacturing and
distribution.
 The manufacturer business model allows companies to have greater control over the quality
and consistency of their products, as well as the ability to customize and adapt their products
to changing market demands. It also allows for greater economies of scale, as manufacturers
can produce large quantities of products more efficiently than smaller businesses.
Retailer model
 A retailer business model is a type of business model in which a company buys products or
goods from manufacturers or wholesalers and sells them directly to end-users or consumers.
Retailers can sell their products through various channels, including brick-and-mortar stores,
e-commerce websites, and mobile apps, among others.
 The retailer business model allows companies to generate revenue by marking up the price of
the products they sell. Retailers can also differentiate themselves from their competitors by
offering unique products, superior customer service, and convenient shopping experiences.

List of business models in Ethiopia


There are several business models that are found or implemented in Ethiopia, including:
1. Franchise Business Model: This involves a company granting the right to use its business
model, brand, and products or services to an independent operator in exchange for a fee.
Example: BGI Ethiopia is a franchisee of Heineken, producing and distributing Heineken beer in
Ethiopia.
2. Social Enterprise Model: This involves a business that aims to have a social impact
alongside generating financial returns.
Example: Sole Rebels is a footwear company that produces shoes from recycled materials and
employs local artisans in Ethiopia.
3. Microfinance Model: This involves providing financial services to low-income individuals
or small businesses who have limited access to traditional banking services.
Example: Vision Fund Ethiopia is a microfinance institution that provides loans, savings accounts,
and other financial services to low-income individuals and small businesses in Ethiopia.
4. Agribusiness Model: This involves the production, processing, and distribution of
agricultural products.
Example: Ethio-Chicken is a poultry company that produces and distributes chicken products in
Ethiopia, while also providing training and support to smallholder farmers.
5. E-commerce Model: This involves the buying and selling of goods or services online.
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Example: Jumia Ethiopia is an e-commerce platform that allows customers to purchase a wide range
of products online, from electronics to fashion items.
These are just a few examples of the diverse range of business models that are found or implemented
in Ethiopia. Each model has its own strengths and challenges, and can offer opportunities for both
business growth and social impact.
There are several business models that are not widely adopted or implemented in the Ethiopian
context, including:
1. Subscription Model: This involves charging customers a recurring fee for access to a
product or service.
Why: The Ethiopian market may not be ready for subscription-based models, as many consumers
may prefer to pay for products or services on a one-time basis rather than committing to a recurring
payment.
2. Sharing Economy Model: This involves the sharing of resources, such as vehicles or
accommodation, among multiple users.
Why: The sharing economy model may not be feasible in Ethiopia due to factors such as limited
access to technology and infrastructure, as well as cultural attitudes towards sharing.
3. Freemium Model: This involves offering a basic version of a product or service for free,
while charging for premium features.
Why: The freemium model may not be practical in Ethiopia, as the market may not be large enough
to support a significant number of paying customers for premium features.
4. Direct-to-Consumer Model: This involves selling products or services directly to consumers,
without the need for middlemen such as retailers or distributors.
Why: The direct-to-consumer model may not be practical in Ethiopia, as traditional retail channels
such as open-air markets and small shops are still prevalent and preferred by many consumers.
5. Circular Economy Model: This involves designing products and services with a focus on
sustainability and waste reduction, using a closed-loop approach to resource management.
Why: The circular economy model may not be feasible in Ethiopia due to limited awareness and
infrastructure around waste management and recycling.
These are just a few examples of business models that are not widely adopted or implemented in the
Ethiopian context. While some of these models may be feasible in certain industries or contexts, they
may face challenges related to market size, infrastructure, and cultural attitudes towards business and
consumption.
 Adopting a business model in the Ethiopian context can offer several benefits, including:

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1. Opportunity for Growth: Adopting a successful business model can offer companies the
opportunity to expand their operations and increase their market share in Ethiopia.
2. Increased Efficiency: A well-designed business model can help companies streamline their
operations and reduce costs, leading to increased profitability.
3. Social Impact: Many business models can have a positive social impact in Ethiopia, such as
creating jobs, improving access to goods and services, and promoting economic
development.
However, there are also several challenges to adopting a business model in the Ethiopian context,
including:
1. Limited Infrastructure: Ethiopia may have limited infrastructure in certain areas, such as
transportation, energy, and telecommunications, which can pose challenges for companies looking to
adopt certain business models.
2. Limited Market Size: The Ethiopian market may be relatively small compared to other countries,
which can limit the potential for growth and profitability.
3. Cultural Attitudes: Ethiopia has a unique culture and business environment, which can pose
challenges for companies trying to adopt business models that may not be well-suited to the local
context.
4. Regulatory Environment: Ethiopia may have complex or restrictive regulations around certain
business models, such as foreign investment, which can pose challenges for companies looking to
operate in the country.
5. Limited Access to Funding: Access to funding and investment may be limited in Ethiopia, which
can make it difficult for companies to adopt certain business models that require significant
investment.
Overall, adopting a business model in the Ethiopian context can offer significant benefits, but
requires careful consideration and adaptation to the local environment and cultural context.
Companies should take into account the unique challenges and opportunities of the Ethiopian market
when developing and implementing their business models.

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