INFORMATION TECHNOLOGY AND ENABLE SERVICES
Kenyan firms have often found most success focusing on the local and regional markets. Knowledge of local contexts and the remaining importance of proximity to customers have been important factors here. The country has been moderately successful in attracting foreign BPO/ITES firms to Kenya. This has the dual benefits of enhancing the country’s reputation in the area and creating employment. However, there are also potential negative consequences such as crowding out the market for local firms and pushing down wages. Foreign firms are also likely to divide work between geographical locations and often retain high value work in other areas. Kenya has been able to build a positive and successful brand around the BPO/ITES sector. The power of this brand is not to be underestimated. While the brand is largely based around a few success stories, Nairobi is seen by many businesspeople in Africa and around the world as a city able to thrive in a digital economy.