LSBM303 - Critical Issues in Business: Digital Trade and AfCFTA

This report examines critical issues in business management, focusing on the increasing importance of digital trade, its trends, challenges, and opportunities within the Commonwealth, especially considering the impact of COVID-19. It further discusses the African Continental Free Trade Area (AfCFTA), its significance, current state, and potential for transformative and inclusive growth, particularly for women. The report also includes an elevator pitch scenario, suggesting actions for the Commonwealth and G7 to boost trade. It concludes that digital trade significantly influences Commonwealth operations, offering productivity and performance gains, and highlights its crucial role in AfCFTA, supporting African women's entry into global markets and future skilled work.

Critical Issues in
Business Management

Contents
INTRODUCTION.......................................................................................................................................3
MAINBODY...............................................................................................................................................3
Discussing why is digital trade more vital than ever along with its main trends, challenges and
opportunities in the Commonwealth including the impact of COVID – 19?...........................................3
Discussing the comment on The African Continental Free Trade Area (AfCFTA) and what is its real
significance, the current state of play and how transformative and inclusive can it be, especially for
women?...................................................................................................................................................6
CONCLUSION...........................................................................................................................................7
REFERENCES............................................................................................................................................8
The African Continental Free Trade Area,2020[Online]Available
Through<https://www.worldbank.org/en/topic/trade/publication/the-african-continental-free-trade-area />
.................................................................................................................................................................... 8
Women and e-commerce in Africa[Online]Available
Throughhttps://www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_corporate_site/
gender+at+ifc/resources/women-and-ecommerce-africa/.........................................................................8
INTRODUCTION.......................................................................................................................................9
MAINBODY...............................................................................................................................................9
Boris Johnson, the UK Prime Minister is the current Chair of the Commonwealth and President of the
G7. If you found yourself sharing an elevator with him for 60 seconds at the UN Headquarters, what
would you suggest to him that the Commonwealth and the G7 can do to bolster and boost trade we can
all benefit and why?.................................................................................................................................9
CONCLUSION.........................................................................................................................................10
REFERENCES..........................................................................................................................................11

INTRODUCTION
The digital trade has been on the boom in the modern-era and has seen a sharp rise in the
situation of COVID – 19 pandemic. This rise in the trend relative to the pandemic has enable
various countries to focus on operating on digital platforms in order to achieve high level of
productiveness due to closed boarders and various restrictions. The following report will
highlight the various trends along with channels of digital trade. It will also focus on The African
Continental Free Trade Area along with impact of digital trade on the women of Africa and how
it will play out in their favor.
MAINBODY
Discussing why is digital trade more vital than ever along with its main trends, challenges
and opportunities in the Commonwealth including the impact of COVID – 19?
Digital trade:
Digital trade has rapid growth and consists of digital transaction relative to goods and
services that can be of both digital and physical nature. Furthermore, it involves government
along with consumer firms. There are various forms of digital trades that help and provide
assistance in increasing sales along with scope and speed relative to the speed of transactions
especially for Commonwealth. In addition to this, it allows developing new products and
services to a massive number of digitally connected consumers across the globe. In context to
Commonwealth, digital trade allows in the establishment of creative as well as innovative tools
that help in overcoming barriers that help in attaining growth and provides facilities for payment
relative to cross trade. Furthermore, Commonwealth is able to attain collaborations along with
investments related to fixed assets through cloud-based services and utilizing alternative funding
mechanisms through digital trade.
The concept of digital trade has altered the overall aspect of trading of goods and services
through the utilization of multiples online platforms which helps in increasing the number of
small packages that are sold across international borders. The various countries are enabled to
develop secure and suitable channels of trade through digital trade. It allows the countries to

attain high level of productivity along with performance. In addition to this, digital trade realties
in issues relative to policy-makers which consist of physical management of parcel trade for risk
management (The impact of digitalization on trade).
Main trends of digital trade:
The overall concept as well as trend within digital trade has been altered due to the
overall situation of COVID – 19 pandemic. The changes in trends have majorly impacted global
agendas along with governments and result in orientation towards domestic rather than
international issues which raise issues and fear of protectionist policies. Given below are key
trends relative to digital trade:
Develop digital trade of goods by reducing cost and barriers:
Digital trade provides allows in attaining high level of productivity along with
performance relative to offering products and services which has been an effective trend in the
market. It helps in reducing cost of providing goods to both suppliers as well as the consumer.
Developing new market growth:
Digital trade relative to Commonwealth has proved to be an optimal method in order to
enter new market in an effective manner. This trend has seen a sharp rise due to the situation of
COVID – 19 pandemic as it has restricted international borders as well as port constricting
overall supply and demand channels.
Alter global value chain:
The concept of digital trade has altered the overall operations of global value chain at a
major level. This is the result of increase in trend relative to utilization of technology within
trading operations. In addition to this, it impacts the overall system of trading and operations
resulting in inefficiencies.
Opportunities and challenges of digital trade:
The concept to digital trade consists of various challenges along with opportunities. The
challenges in digital trade can lead to ineffective operations, whereas opportunities allows the

concept to establish effective and structures meaning of trading that are secure. Given below are
few opportunities as well as challenges within digital trade:
Opportunities:
Reduced cost:
The concept of digital trade provides an optimal opportunity to reduce the cost overall
various sectors such as tech manufacturing and natural resources. This makes digital trade a
crucial aspect and an opportunity to reduce the overall price of goods and service in an optimal
manner and gain high level of productivity.
Higher level of access:
Digital trade allows in attaining the opportunity to expand reach in an optimal manner. In
addition to this it helps in gaining high level of performance within operations and provides
systems with security which is an essential component for smooth transactional operations which
makes it a vital opportunity (The chaining nature of digital trade, current and future barriers
and ideas to overcome them).
Challenges:
Ineffective communication:
The concept of digital trade give rise to the challenges of developing effective channels
of communication in order to ensure that all the operations are effective and optimal. This can be
a challenge relative to the situation o COVID -19 pandemic for the Commonwealth as digital
trade requires high level of experience in order to develop appropriate functions.
Development of infrastructure:
Digital trade is complex in its initial stages and through its development which can make
it challenging relative to Commonwealth. This makes it crucial that digital trade is developed in
an optimal manner through effective infrastructure in order to ensure high level of performance
(The Future of Trade).

Discussing the comment on The African Continental Free Trade Area (AfCFTA) and what
is its real significance, the current state of play and how transformative and inclusive can it
be, especially for women?
The African Continental Free Trade Area agreement has provided essential support in
developing the largest free trade that is measured by the number of countries that participate. The
overall impact of AfCFTA has helped in connecting over 1.3 billion individuals and across 55
countries along with a combined gross domestic product that are valued at US$3.4 trillion. The
overall aspect has helped in providing assistance that will help in the lifting of over 30 million
people that lie in extreme poverty. The potential of AfCFTA is based on various polices along
with reforms in trade facilitation measures.
The aspect of AfCFTA is essential as it aims to reduce the tariffs amongst the member
countries and helps in covering policies that arise from trade facilitations and services. The
overall impact of AfCFTA will provide crucial support in reshaping the markets as well as the
economy across the region and help in enhancing the output services along with natural resource
sectors. The overall global market has been negatively impacted by the situation of COVID -19
pandemic that makes AfCFTA an essential opportunity that will help Africa to diversify its
major exports and accelerate its growth relative to the global market through foreign direct
investments. In addition to this, it will help the country of develop its global market for goods
and services which will further help business and investors within Africa to attain growth. The
overall aspect of AfCFTA will help Africa to demonstrate that it is a emerging leader within the
global market for trade.
The African Continental Free Trade Area has the ability to provide high level of
employment opportunity along with income to people of Africa. It will provide support in
effectively expanding opportunity s of lifting 68 million people out of poverty and help the
country to become completive relative to the global market. Although it implementation will
consist of key factors such as monitoring the impact on all workers. It helps in providing optimal
opportunity as it will enable Africa to enhance it income by 450 billion in the year of 2035 which

will represent a gain of 7 per cent along with enabling the addition of 76 billion to the income. In
addition to this, it will provide support to the county by enhancing its export by $560 billion
through majorly its manufacturing operations. Moreover, it will also boost the overall
development of skilled and unsk illed works where 10.3 percent represents unskilled works and
9.8 percent represent skilled workers. In addition to this, it will provide the support that will
boost the economy and allow gaining the opportunity to enter the global trade market in an
efficient manner. Furthermore, it will ensure that Africa is bale to trade within the global market
through high level of performance (The African Continental Free Trade Area).
The global market consists of various opportunities and has gained expansion as a result
of increasing within the number of online shoppers as well as suppliers. The overall increase is at
an average of 18 percent every year since 2014. This makes it a crucial aspect and opportunity
for the women of Africa to become independent as it will ensure that they are able to provide
essential contribution in the global market. In addition to this, the aspect of AfCFTA will help in
the establishing off gender equality and provide support to the women of Africa to be
independent through expansion of work and income. Moreover, it will support the women of
Africa to sell products and service and become investors in the digital market through the
utilization of digital technology. Furthermore, AfCFTA will help the women in Africa to gain
essential support in order to operate in the international market and will ensure that women are
able to operate in a structure that is systematic and optimal for growth and success.
CONCLUSION
From the above report it has been conclude that, digital trade has a major influence as
well as impact on the overall operations of Commonwealth that allows in gaining opportunity
relative to high levels of productivity along with attaining optimal performance in global trade.
The concept of digital trade allows high level of security in transactions that enhances
collaboration among members. Moreover, the report was able to highlight that digital trade will
play a crucial role for Africa relative to the aspect of AfCFTA. It will also provide support to the
women of Africa relative to the entrance of global markets and help them earn a living that will
result in decreasing poverty and gain skilled works in the future.

REFERENCES
Books & Journals:
Online:
The impact of digitalization on trade,[Online]Available
Through<https://www.oecd.org/trade/topics/digital-trade/
>
The chaining nature of digital trade, current and future barriers and ideas to overcome
them,2021[Online]Available Through<https://www.wilsoncenter.org/article/changing-nature-
digital-trade-current-and-future-barriers-and-ideas-overcome-them
>
The Future of Trade,2021[Online]Available
Through<https://f.hubspotusercontent00.net/hubfs/2509857/Future%20of%20Trade/2021/Future
%20of%20Trade%202021%20-%20DMCC%20-%20EN.pdf?utm_campaign=Future%20of
%20Trade%20-%202021&utm_medium=email&_hsenc=p2ANqtz-
99KIvoh3zWi9L6G5caj0T7QGR01oTPlUyMC4RbXJET-
h8mVvfY69XaBZomzOJpVKYZ9ICrD4ughlvgiC5FhVWN0PAyqNK66ohqRHTwHYPaRxvhZ
1Y&_hsmi=131535821&utm_content=131535821&utm_source=hs_automation&hsCtaTracking
=7883c878-2266-4bfe-9b1c-2ad59762ac25%7Cc4760dba-aa1b-4cf2-bdec-c676cb097367
>
The African Continental Free Trade Area,2020[Online]Available
Through<https://www.worldbank.org/en/topic/trade/publication/the-african-continental-free-
trade-area />
Women and e-commerce in Africa[Online]Available
Throughhttps://www.ifc.org/wps/wcm/connect/topics_ext_content/ifc_external_cor
porate_site/gender+at+ifc/resources/women-and-ecommerce-africa/

INTRODUCTION
The concept of elevator pitch refers to a persuasive speech that is brief in nature and
enables in the establishment of interest that helps in conveying message. It can be effectively
utilized to develop interest relative to projects, ideas along with products and services. In order
for an elevator to be effective it is crucial for the pitch to be brief and no longer than a elevator
ride (Gaines., 2018). The report will consist of an elevator pitch that will focus on the
conversation with the UK Prime Minister and the Current Chair of the Commonwealth along
with President of the G7, Boris Johnson. It will include appropriate suggestions related to
Commonwealth and the G7 and how it can boost trade in an effective manner.
MAINBODY
Boris Johnson, the UK Prime Minister is the current Chair of the Commonwealth and
President of the G7. If you found yourself sharing an elevator with him for 60 seconds at
the UN Headquarters, what would you suggest to him that the Commonwealth and the G7
can do to bolster and boost trade we can all benefit and why?
Aspect to be covered in elevator pitch:
Establishing unified supply chain:
According to me I think it is crucial for the Commonwealth and the G7 to pay emphasis
on developing a supply chain that is unified by all its members in order to enhance the overall
performance as well as productivity to supply and demand. It will also provide high level of
security and allow the Commonwealth along with G7 to ensure development of enhanced
relations among countries that are members in order to post trading operations in an optimal
manner (Murrell., 2018).
Developing optimal partnership:
I would suggest that the Commonwealth along with G7 should focus on developing
partnership with its members that is strategic in nature as it will ensure that trading operations are

secure and highly productive in nature. It will also provide support in establishing strategic
alliance with other members resulting in improved trading operations in the global market and
gain the opportunity to save cost.
Gaining market opportunity:
Prime minister I would suggest that Commonwealth and the G7 can focus on
understanding various opportunities in the markets through the introduction of digital trade. This
can allows in effective trading operations and help in ensuring the trading operations are highly
effective as well as productive. In addition to this, the will allow Commonwealth to optimize its
trading through digital aspects and gain high level of performance.
Effective offering:
I would recommend that the Commonwealth and the G7 need to focus on enhancing their
offerings in order to enhance their global market operations in order to improve their
performance. It needs to pay emphasis on identifying resources that are sustainable in order to
enhance their trading operations along with utilizing technology and methods that are innovative
to reduce cost and gain high level of productivity (Pelczarski., 2020).
CONCLUSION
From the above report it has been concluded that, an elevator pitch is an essential tool to
promote ideas and though in an effective manner due to its brief nature. It helps an individual to
express their though in a structured as well as systemic manner. in addition to this, it is crucial
for the pitch to be short yet detailed in order to convey ideas in an optimal manner.

REFERENCES
Books & Journals:
(Gaines., 2018)(Murrell., 2018)(Pelczarski., 2020)
Gaines, T. L., 2018 THE ELEVATOR PITCH.
Murrell, B., 2018. Pitch perfect: Top tips for pitching to publishers. Writing Queensland, (261),
pp.6-7.
Pelczarski, K., 2020. You've got 45 seconds-go!. Tribology & Lubrication Technology, 76(5).
pp.90-94.