INDIANS WHAT MAKES YOU SO SPECIAL?

What makes the Indian community so special in the South African entrepreneurial context?

Views expressed in this article are not meant to offend, degrade or marginalize any racial, political, social or economic group or individual, but are meant to merely serve as a commentary of unrefined personal perspectives which may be open to review and constructive criticism.

Indians and Pakistanis are the most prejudiced group in terms of how their entrepreneurial ethics are generally perceived in my opinion, because I am one to believe that they use nepotism as a tool to elevate themselves in their respective business environments but we know that small and micro business(with 1-50 employees) in the formal sector in South Africa is the main employment creator and accounts for 68% of the private sector employment in South Africa. the Indian community is in my opinion the most visible demographic in that level of business.

The unemployment rate is very high in South Africa but I am one to believe that there are communities in South Africa that are generally not affected by it namely; jewish and Indian and Portuguese. Why? They simply have a culture of entrepreneurship and nepotism, Quite frankly I have never seen an Indian, Portuguese or Jewish hawker before anywhere in South Africa. They are all neatly tucked away in petite establishments like the one shown below if not in big business.

Looking at the landscape of business in Johannesburg CBD we see a lot of businessmen of Asian descent particularly of Pakistani origin. Most of those businesses are thriving businesses, although they are perceivable to be survivalist in nature, but they are sustainable!Bbusinesmen from these communities are mostly running independent establishments but they are all in close proximity with each other, selling almost the same products thus they suffocate their competition easily anywhere they go because they flock together"Uncles and Aunties". Something they call “specialisation” in business economics.

Why do I call it “specialisation”? When consumers, especially those from the black community, go to their establishments they don’t recognise the name of their entities before their race(which automatically become their brand) and that to some extent provides them with reasonable assurance. So in reality when an Indian opens a shop next to an Indian it becomes “Combination” not just “specialisation” because when one doesn't have something available in stock they can always refer you to their Aunty or Uncle next door.

 

One thing that makes Indians stand out in their business in South Africa is their openness to negotiation, hence they never lose a sale. The Indian community has been around for ages in South Africa since the Dutch East Indian Company was established in South Africa way back in the days, even their first ever trip to South Africa was for business!

Where would South African business be without them?
The question is:

•  are Indians really entrepreneurs?

•  Do the close family relations compromise their integrity as entrepreneurs?

•  or are they really as resourceful as any other entrepreneurs?

Now I have a case which should convince you that Indian INDIVIDUALS are just as resourceful as anybody else.


SEDA, which is the Small Enterprise Development Agency, is an organisation which helps small businesses have a better value proposition in South Africa and provides a myriad of services that helps start ups to big business grow and get off the ground.

They recently initiated the biggest entrepreneurs’ competition in South Africa which offered a prize pool worth 5.5million rand and hauled more than 5000 valid applications from entrepreneurs from all around South Africa.

The Seda competition, according to one of the speakers at the national award gala event, ranks among the top ten business and entrepreneurial contests in the World in terms of prize money.

The winner of the competition happens to be an Indian but the merits of his business concept are real and his sincere passion for his business is what the judges emphasised to be the main reason for his win. Adesh Naidoo owner of “Clean Streets” in KZN was announced SEDA small business stars competition overall winner at the National Award Ceremony at Focus Rooms in Sunninghill, Johannesburg.

Photo taken 22May2012 by Thato Molefe Above: from left Hlonela Lapuwana(Seda CEO), Adesh Naidoo(National winner), Linda Ngomezulu(Seda chairman)

To echo my new sentiments that our beloved Indian community is as opportune in business as any other community all the three National runner ups of the 2012 leg of the competition are women, two of them being of black descent.

References http://www.seda.org.za/Happening/LatestNews/PressReleases/Pages/SEDAannounceswinners.aspx

 

left:Xolani Gwala(MC) with one of the talented entrepreneurs who graced the occasion

 

 Photos taken 22May2012 by Thato Molefe



Above: key speakers at the event: with the Director general of the DTI shown below addressing on behalf of the deputy minister.