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This case study presents innovative work by a Chinese state-owned enterprise (SOE) to use corporate social responsibility (CSR) as a key component of its business strategy in Kenya. AVIC International’s (“AVIC INTL’s”) core business is exporting Chinese machinery and vocational training to enhance the use of equipment in host countries and to build local training capacity. Through active learning with stakeholders in Kenya, AVIC INTL has developed the “Africa Tech Challenge” to host training and competitions for candidates from Kenya. This project, first initiated in 2014, later became a signature CSR project for the company, one which was repeated annually and received Chinese government awards for companies’ overseas brand-building. This case study shows how CSR can be an effective business strategy for Chinese SOEs operating in African states. Chinese SOEs have started to use CSR projects to gain market access, build a positive image, and cultivate ties with host country politicians, industry, and civil society. The study also demonstrates how Chinese SOEs, over the course of overseas operations, have experienced a steep learning curve in host countries and how, despite structural asymmetry vis-à-vis China, African actors can actively shape the behavior of Chinese SOEs that are financially powerful and technically strong.
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