The World Trade Organisation reports that small businesses account for 95% of business enterprise, up to 70% of employment and more than half of the global GDP.
Our solution will come from creating an environment that enables micro, small and medium-sized enterprises to thrive.The focus has mostly been on the ugly state-owned enterprise monsters such as Eskom and SAA, and not on the termites that destroy the building from below. A research report titled Bureaucrats in Business: The Economics and Politics of Government Ownership, published by the World Bank in 1995, explains that “reform entails political costs” and SOEs can easily be used to start internecine wars in a party as divided as the current ANC.
Our obsession with Jacob Zuma’s failed presidency blinds us to the real problems that are continuing to eat away the fabric of our country. In any case, most artists are either freelancers or belong to production companies which fall into the small business category. The complex and dynamic nature of the business environment today makes it impossible for any one entity to have a monopoly on wisdom, so government shouldn’t even try.
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