What clear message is coming from the ban of kombis? Covid-19 has ushered in formal opportunities. Those with big buses will benefit at the expense of kombis. Those with registered bus companies have no worries about opportunities.
How about the transportation of tobacco? The script is the same, organised transport companies have more to benefit than small scale transporters.
Vendors operating from illegal structures? We all witnessed what transpired.
Covid-19 has brought in the need for order in the biggest sector in the country (Zimbabwe has the second largest informal sector in the world). The sector is expected to be orderly and meaningfully contribute to economic growth through taxes, levies and formal economic participation.
What opportunities do we see on the horizon?
Transport: Kombis, mshikashikas and other transport players can pool resources andlobby the responsible authorities to be allowed to operate as groups of companies. If all kombis in Mabvuku register under one company, rebrand and have trained professional staff, then there might be leniency from policy makers. If the company can provide evidence of driver training, customer care skills, self regulating mechanisms and evidence of tax compliance, then they have improved chances of getting an ear from responsible ministries. This is better than operating your own kombi and hoping that the ban will be lifted.
Vendors: In countries such as Thailand, they have a selected vendors who use designated places and they operate from neat and professional vending carts. An opportunity for registered vendors to engage city officials with proposals.
Online Tutors: E-Education is the new norm but there is the issue of many scattered tutors and it is difficult to assess quality or conduct reference checks. Great opportunity for a registered body of online tutors with impeccable credentials.
There are many more opportunities coming but the key word is formalisation! It is also being organised and working as teams.
Working as teams is a huge challenge in Zimbabwe and the late Prof Masipula Sithole aptly captured it when he said ‘If you take 2 Zimbabweans to the moon, the following day they would have formed 3 political parties’
Having worked with thousands of entrepreneurs across SADC, the most difficult ones are found in Zimbabwe. As soon as progress starts showing signs, intense jostling of positions commences-many fights break out. Even people who had not shown interest suddenly join in the scramble for power and resources. This is the curse that has destroyed many group initiatives.
If the informal sector has to succeed, then there is need for a paradigm shift. Keep fighting or pulling each other down and the train of opportunities will keep moving in full speed!
Home work for you-are you helping to build formal and organised groups of businesses or you prefer flying solo? Calculate the opportunity cost of solo and informal businesses…..