Creating a market for skills transfer: A case study of AVIC International’s skills transfer programs in Kenya

The document examines AVIC International's approach to skills transfer in Kenya, arguing that the company views local development as a business priority and a strategic tool for market expansion. It identifies a 'bootstrapping' model of development where projects evolve organically based on encountered obstacles. While stakeholders report high satisfaction with the programs, the study finds that concrete outcomes in terms of widespread job creation and machinery utilization remain mixed.

• AVIC International treats local skills development as a top business priority, driven by a combination of pragmatic market expansion goals and a belief that social investment is a business imperative for long-term survival.
• The company has transformed skills development into a distinct business line, using its Kenyan programs as a showcase to secure opportunities in other African nations including Gabon, Ghana, Zambia, and Uganda.
• AVIC International employs a 'bootstrapping development' approach, characterized by flexibility and social learning, where each project evolves from the challenges identified in the previous one rather than following a rigid pre-defined plan.
• The company's flexible methodology is viewed more favorably by Kenyan government partners than the procedural approach of Western institutions like the World Bank.
• AVIC International utilizes a hybrid funding model, combining for-profit government contracts with non-profit corporate social responsibility (CSR) projects, creating a feedback loop where CSR activities provide a competitive advantage for securing commercial contracts.
• Stakeholders, including students and teachers, report high levels of satisfaction and improved perceptions of Chinese companies following participation in AVIC's programs, such as the Africa Tech Challenge.
• Despite positive qualitative feedback, the programs have not yet achieved widespread industrial impact; machinery utilization in outfitted schools remained at approximately 35 percent, and large-scale job creation has not occurred.
• General data on Chinese firms in Africa contradicts the stereotype that they do not hire locals, with research indicating that 80 to 90 percent of workers hired by Chinese firms are locals.

APA

Sun, I. Y., & Lin, Q. (2017). Creating a market for skills transfer: A case study of AVIC International’s skills transfer programs in Kenya. South African Institute of International Affairs. https://saiia.org.za/wp-content/uploads/2017/09/CARI_WP14_SunQiAVICIntl.pdf

Chicago

Sun, Irene Yuan, and Qi Lin. Creating a market for skills transfer: A case study of AVIC International’s skills transfer programs in Kenya. South African Institute of International Affairs, 2017. https://saiia.org.za/wp-content/uploads/2017/09/CARI_WP14_SunQiAVICIntl.pdf.

Wikipedia

{{cite report |last1=Sun |first1=Irene Yuan |last2=Lin |first2=Qi |title=Creating a market for skills transfer: A case study of AVIC International’s skills transfer programs in Kenya |publisher=South African Institute of International Affairs |date=September 2017 |url=https://saiia.org.za/wp-content/uploads/2017/09/CARI_WP14_SunQiAVICIntl.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{sun2017creating, author = {Sun, Irene Yuan and Lin, Qi}, title = {{Creating a market for skills transfer: A case study of AVIC International’s skills transfer programs in Kenya}}, institution = {South African Institute of International Affairs}, year = {2017}, month = sep, url = {https://saiia.org.za/wp-content/uploads/2017/09/CARI_WP14_SunQiAVICIntl.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }