A Dissertation Submitted in Partial Fulfillment of the Requirements for the
Degree Master of Business Administration in Corporate Management
(MBA-CM) of Mzumbe University
The study assessed the trade implications of the African Continental Free Trade Area
(ACFTA) in Tanzania. It is guided by three specific objectives which includes
implication of creating single continental markets for goods and services,
harmonization of trade liberalization and ways to resolve ACFTA challenges, which
brought about three research questions. Data was collected using the questionnaires
from the employees of the Ministry of Industry and Trade, Ministry of Foreign Affairs
and East Africa Cooperation, Tanzania Private Sector Foundation (TPSF), and private
companies including Bakhresa Group and Mohamed Enterprises. The collected data
from the questionnaires and interviews was analyzed using the Statistical Package for
Sciences (SPSS) version 23.0. Descriptive statistics were produced to provide
information on the profile of the respondents. Multiple regression analysis was
performed to show the relationship between study variables; specifically on the first
and second specific objectives.
Qualitative information was analyzed using a content analysis approach which was
narratively described with themes to support the findings. Findings indicated that
ACFTA supports free trade in a way that it is influenced by trade tariffs and quotas,
competitive advantages, and foreign market expansions as independent variables. On
the causal relationship between independent variables that include trade tariffs and
quotas, competitive advantages and foreign market expansions have a positive and
statistically significant effect on free trade practiced by Tanzania. The study
recommends that political instability and one currency among members are mojor
challenges faces AFCTA and proper solutions is needed to be addressed quickly
incudes maintaining peace within and among boarders and unstable imports and
exports should be provided on time so as to fast track free trade processes and attain
the ACFTA common goals.