LETTER: Government’s localisation drive — what could go wrong?
There’s no space for SMMEs and the concept of competitive advantage in manufacturing neither appreciated nor understood
18 February 2022 - 15:00
byNick Steen
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What is notable with government’s whole master plan/localisation drive is that actual measurement of net employment growth (jobs created less jobs lost due to the initiative) does not feature. Plans are proudly rolled out, with commitments trumpeted and the (estimated) jobs created quoted as if it’s a certainty.
In reality existing (large) businesses, both retail and manufacturing, cozy up to government in what is actually a protectionist cocoon. There’s no space for SMMEs, the impact of online retailing is ignored, and the concept of competitive advantage in manufacturing neither appreciated nor understood.
What could go wrong?
Nick Steen
Via BusinessLIVE
JOIN THE DISCUSSION: Send us an email with your comments to letters@businesslive.co.za. Letters of more than 300 words will be edited for length. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
LETTER: Government’s localisation drive — what could go wrong?
There’s no space for SMMEs and the concept of competitive advantage in manufacturing neither appreciated nor understood
Donald MacKay’s coffee machine parody refers (“Smell that coffee: a master plan for localising failure”, February 17).
What is notable with government’s whole master plan/localisation drive is that actual measurement of net employment growth (jobs created less jobs lost due to the initiative) does not feature. Plans are proudly rolled out, with commitments trumpeted and the (estimated) jobs created quoted as if it’s a certainty.
In reality existing (large) businesses, both retail and manufacturing, cozy up to government in what is actually a protectionist cocoon. There’s no space for SMMEs, the impact of online retailing is ignored, and the concept of competitive advantage in manufacturing neither appreciated nor understood.
What could go wrong?
Nick Steen
Via BusinessLIVE
JOIN THE DISCUSSION: Send us an email with your comments to letters@businesslive.co.za. Letters of more than 300 words will be edited for length. Anonymous correspondence will not be published. Writers should include a daytime telephone number.
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