Comments on: Unlocking the Wealth at the Nigerian Bottom of the Pyramid http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/ Cogitations on sociopolitical and economic issues focusing on Nigeria & Africa Thu, 20 Nov 2008 13:59:37 +0000 http://wordpress.org/?v=2.5 By: Whythawk Meme on Informal Market Economies in Africa « beninmwangi.com http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17963 Whythawk Meme on Informal Market Economies in Africa « beninmwangi.com Sun, 12 Aug 2007 08:22:11 +0000 http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17963 [...] Emeka, Omodudu, Imnakoya, Mr.K, Hash, Robert Shaka, Adjetay, A B Kargbo, J Arrey, and Nii Simmonds are just a few of the names which have contributed to the thoughts and discussion on Africa’s informal economies. Now someone that I have corresponded with several times on this topic with is Whythawk-aka Mr. Gavin Chait. And if you are a.) from South Africa or b.) a follower of development economics in Africa then this fellow needs no introduction. However, I still thought it appropriate to include a snippet of his bio before proceeding: Gavin Chait specializes in economic and enterprise development. He both creates systems for economic and business generation and then project manages these through the implementation phase. [...] […] Emeka, Omodudu, Imnakoya, Mr.K, Hash, Robert Shaka, Adjetay, A B Kargbo, J Arrey, and Nii Simmonds are just a few of the names which have contributed to the thoughts and discussion on Africa’s informal economies. Now someone that I have corresponded with several times on this topic with is Whythawk-aka Mr. Gavin Chait. And if you are a.) from South Africa or b.) a follower of development economics in Africa then this fellow needs no introduction. However, I still thought it appropriate to include a snippet of his bio before proceeding: Gavin Chait specializes in economic and enterprise development. He both creates systems for economic and business generation and then project manages these through the implementation phase. […]

]]> By: Benin Mwangi http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17947 Benin Mwangi Sun, 12 Aug 2007 04:05:18 +0000 http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17947 I think that what Whythawk says about how much of a country's economy is formal vs informal is very telling-as to the level of support given by that country's government. But that notwithstanding, it is within the scope of global entrepreneurship that the BOP participants become empowered. I am almost inclined to say that it is a waste of time for the traders in Africa's vast open air markets to wait for their respective governments to come to their aid. But just when I prepare my pen to say this I realize that the market traders, just by virtue of trading outside of the confines of the formal market, are already asserting their independence from state direction by taking 100% of their business outcomes into their own hands-i.e. why pay taxes and or go through the trouble of lengthy business registrations if those taxes will be used to fund projects that don't benefit them. In other words, the informal economies are a quiet revolt against unscrupulous state leadership. But what can be done to empower this group of entrepreneurs who operate below the radar? For one, what is being done right now. We can continue to publicize them. For another, we can go a step further and consider them as business partners for which to purchase from or help us get products to the market. If one really stops to consider it, we have already been buying from this sector, but have been going through layers of middlemen. But with the world shrinking technology at our disposal it is now possible to side step the usual suspects who buy from the informal market and sells the product to someone else who then sells the product to the rest of the world. One example is in the tourism industry. I have heard of several informal movements within at least two African nations whereby small, local groups who historically have been marginalized by local gov't in tandem with larger market players have teamed up to cut out the middle man who come to visit their neck of the woods-I have heard of this is happening mainly within the lodging and restaurant sector of the tourism industry in S. Africa and in Kenya. I think that what Whythawk says about how much of a country’s economy is formal vs informal is very telling-as to the level of support given by that country’s government.

But that notwithstanding, it is within the scope of global entrepreneurship that the BOP participants become empowered. I am almost inclined to say that it is a waste of time for the traders in Africa’s vast open air markets to wait for their respective governments to come to their aid. But just when I prepare my pen to say this I realize that the market traders, just by virtue of trading outside of the confines of the formal market, are already asserting their independence from state direction by taking 100% of their business outcomes into their own hands-i.e. why pay taxes and or go through the trouble of lengthy business registrations if those taxes will be used to fund projects that don’t benefit them. In other words, the informal economies are a quiet revolt against unscrupulous state leadership.

But what can be done to empower this group of entrepreneurs who operate below the radar? For one, what is being done right now. We can continue to publicize them. For another, we can go a step further and consider them as business partners for which to purchase from or help us get products to the market. If one really stops to consider it, we have already been buying from this sector, but have been going through layers of middlemen. But with the world shrinking technology at our disposal it is now possible to side step the usual suspects who buy from the informal market and sells the product to someone else who then sells the product to the rest of the world.

One example is in the tourism industry. I have heard of several informal movements within at least two African nations whereby small, local groups who historically have been marginalized by local gov’t in tandem with larger market players have teamed up to cut out the middle man who come to visit their neck of the woods-I have heard of this is happening mainly within the lodging and restaurant sector of the tourism industry in S. Africa and in Kenya.

]]> By: Nii Simmonds http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17425 Nii Simmonds Sat, 04 Aug 2007 01:26:56 +0000 http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-17425 This is a time for all Africans to look at other developing markets and try to mimic what has worked, and ignore what hasn't. India and China are growing at phenomenal rates and attracting foreign capital. There is no reason why Africa can't be in the same position in 5-10 years. Africa is in a new renaissance that is empowering women, African cheetah's, and others to be assertive and not to depend on foreign aid hand-outs or the government for help. Nubian Cheetah This is a time for all Africans to look at other developing markets and try to mimic what has worked, and ignore what hasn’t. India and China are growing at phenomenal rates and attracting foreign capital. There is no reason why Africa can’t be in the same position in 5-10 years.

Africa is in a new renaissance that is empowering women, African cheetah’s, and others to be assertive and not to depend on foreign aid hand-outs or the government for help.

Nubian Cheetah

]]> By: OMODUDU http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-16576 OMODUDU Tue, 24 Jul 2007 20:00:58 +0000 http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-16576 Kunle you hit the nail on the head. Kunle you hit the nail on the head.

]]> By: Kunle Adeyeye http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-16575 Kunle Adeyeye Tue, 24 Jul 2007 19:46:09 +0000 http://grandioseparlor.com/2007/07/unlocking-the-wealth-at-the-nigerian-bottom-of-the-pyramid/#comment-16575 There is only one way to return wealth to the bottom billion: Find out what they do for a living and add value to it. In the the Nigeria context for example, the 25 million cassava growers in Nigeria will be swimming in wealth if a bowl of garri goes for USD70 on the international market just like the barrel of crude oil which currently restrict wealth to the pocket of very few. But where are the economic geniuses that will put cassava products in the meal of every American, European or Chinese? Where are the technological geniuses that will convert cassava products into indispensable inputs for the manufacture of foods, drugs and other industrial products the world over? If you can answer these questions, then you can possibly answer this last one: Why on earth do I think this is any remote possibility in the current African civilization? There is only one way to return wealth to the bottom billion: Find out what they do for a living and add value to it. In the the Nigeria context for example, the 25 million cassava growers in Nigeria will be swimming in wealth if a bowl of garri goes for USD70 on the international market just like the barrel of crude oil which currently restrict wealth to the pocket of very few.

But where are the economic geniuses that will put cassava products in the meal of every American, European or Chinese? Where are the technological geniuses that will convert cassava products into indispensable inputs for the manufacture of foods, drugs and other industrial products the world over?

If you can answer these questions, then you can possibly answer this last one: Why on earth do I think this is any remote possibility in the current African civilization?

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