Case ID: TB0283
Solution ID: 7737

Rwanda Dimension Technology Treading Water in Africa Case Solution

Case Solution

Jules Munyampeta, founder and CEO of RD Tech Rwanda, was questioning his company's current strategy. The ICT market in Rwanda had changed considerably since the organization began in 2005. RD Tech started like a computer importer that acquired new laptops from Dubai. Munyampeta soon recognized that the marketplace for new computer systems in Rwanda was really small, and subsequently had positive results with a brand new approach-posting and selling refurbished used computer systems in the U . s . States. The low cost point for refurbished computer systems permitted RD Tech to grow its market and also have a greater effect on Rwandan society. Initially, the organization offered pcs to people, but rapidly moved focus to colleges and government institutions consequently of alterations in government policy. This change led to rapid growth, and RD Tech Rwanda broadened distribution of refurbished computer systems throughout Rwanda, Burundi, and eastern Democratic Republic of Congo. RD Tech made it the outcome from the global economic crisis, competition from Chinese newcomers in to the Rwandan market, and NGOs, for example One Laptop per Child, supplying free computer systems to schoolchildren when, all of a sudden, sales found a crashes halt. The Rwandan government made rapid technological advancement important for public schools and native governmental agencies, but refurbished computer systems and monitors were no more appropriate for these institutions. Munyampeta considered his options. Was integrating the repairs procedures in to the East African logistics the solution? Would this tactic deliver sufficient financial savings to warrant the first capital outlay and ongoing operational costs? If that's the case, could Winter and Brice enhance the capital needed to help make the change? Or might coming back towards the original not successful type of selling new computer systems certainly be achievable? Munyampeta wondered if, rather than concentrating on a rise strategy, he ought to be thinking about a liquidation strategy.

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