Barriers to Entry to Black Industrialists

Public Platform: Barriers to Entry to Black Industrialists

7 May 2015

21 years after the advent of democracy, arguably the most notable commentary on South Africa’s economy is how little the structure of ownership has changed. The post-apartheid government has introduced many policies to try to shift the economy onto a different growth path, with limited success. There continues to be a strong path dependency where markets are structured and shaped by previous investment decisions, state interventions and entrenched interests. With the industrial policy focus now on re-industrialisation and the recent launch of the DTI’s “Black Industrialists” programme, it is pertinent to re-visit the debate about how to achieve broader participation in the economy.

The NDP and other policy documents refer to the need to reduce barriers to entry but it is not clear that there is an appreciation of the true nature and magnitude of the hurdles facing black entrepreneurs. There is a need to understand what is required for meaningful economic participation in concrete terms in order to be able to reduce these barriers. Drawing on insights from a case study that reviews the experience of a recent entrant in the beer industry, the public platform will highlight the challenges faced by black entrepreneurs when entering traditionally concentrated industries.

This CCRED public platform invites stakeholders from Government, the private sector and trade unions to debate key questions related to facilitating entry of efficient firms:

  • What is required to facilitate entry by black entrepreneurs into concentrated sectors?
  • How does government (including agencies) through its role as policy maker, regulator and development financier facilitate or frustrate the process of entry?
  • How do the actions of incumbent firms make successful entry easier or more difficult?

The panel includes; Xolani Qubeka (Black Business Council), Pamela Mondliwa (CCRED), Nhlanhla Dlamini (Entrepreneur), TBC (Industrial Development Corporation) and Neo Bodibe (Numsa), chaired by Mark Burke (CCRED).

VENUE: CCRED SEMINAR ROOM, 2ND floor, 5 Sturdee Avenue, Rosebank, Johannesburg Click here for map
TIME: 16:00-18:00
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