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It's foolish to compare African markets holistically to say Europe or Asia, but in some characteristics - such as the optimal number of operators in a territory to guarantee sufficient competition and economies of scale, it's clear that Africa has far too many operators in many of its countries. Uganda for example has seven operators - from a total market revenue perspective, it's over capacity. Because ARPUs are so low, one of the key things that companies need to do - both within a territory and on a pan-Africa basis - is consolidate some of the back office functionality. For example, inter-continental minutes clearing; it's expensive for a small operator in a country like Uganda, but if you can consolidate that into a group like Zain or MTN, then it makes a lot of sense. It's still early days, and in most of the major markets it can be advantageous to be small, agile and commercial, and to let the consolidation happen at a later date. It can be difficult for large telecoms groups to come into markets like that and effect change that is positive and doesn't impede the process of customer acquisition. DT: So the investment that a larger player would bring to the market is not necessarily the right move for now? MG: Potentially, some of the economies of scale of a larger group - i.e. an operator working at 35% - 40% market shares - or the capabilities that it can bring will be advantageous. However, there are relatively few markets where that's true; South Africa and to a lesser extent Ghana and Kenya all have the foundations of competition established, but in the majority of areas that isn't the case.

Yet China's lack of originality matters less than you may think, believe Dan Breznitz and Michael Murphree of the Georgia Institute of Technology. In a new book, "Run of the Red Queen", they argue that it is wrong to equate innovation solely with the invention of breakthrough products. In an emerging economy, other forms of innovation can yield bigger dividends. One is "process innovation": the relentless improvement of factories and distribution systems. Another is "product innovation": the adaptation of existing goods to China's unique requirements.

Kenya is on the brink of becoming Africa's ICT hub due to the continued growth in Internet and mobile technology use in East Africa's biggest economy with investors flooding the country.

FOUR out of five Latin Americans live in cities, compared with fewer than half of Asians or Africans. The region's 198 biggest cities-those with more than 200,000 people-account for 60% of its economic output, with the ten largest alone generating half of that. The productivity gains that flow from bringing people together in cities have been one of the drivers of economic growth in Latin America over the past half century or more. But congestion, housing shortages, pollution and a lack of urban planning mean that Latin America's biggest cities now risk dragging down their country's economies, according to a report* by the McKinsey Global Institute, the research arm of McKinsey, a firm of management consultants.

Vying with Nigeria to be Africa's largest producer of crude oil, Angola is awash with Chinese credit to the tune of $14.5 billion. The IMF reckons its GDP will grow by 7.8% this year and 10.5% next. Portuguese building companies such as Teixeira Duarte, Soares de Costa and Mota Engil have been switching from the home market to Angola's. Portuguese banks dominate Luanda's financial sector. But the tables may be turning. Now Angolan state and private investors are eyeing Portugal. Angola's Banco BIC, part-owned by Isabel dos Santos, the eldest daughter of Angola's president of 32 years, José Eduardo dos Santos, is to buy Portugal's Banco Português de Negócios (BPN) for $58m, a fifth of the original asking price of $260m. The IMF made the sale of BPN a condition for Portugal to get its recent bail-out of $113 billion.