Those that dismiss the recent looting spree of foreign businesses in Soweto as petty criminal acts have a simplistic view. The problem runs deeper than most think.
It could be a case of South Africans projecting their failure to start and manage small businesses on hapless foreigners, commentators concur.
Of all views expressed, Thami Mazwai’s are very coherent. The Executive Chairman of Mtiya Dynamics singles out two main factors as hindrances to the success of locals in business – the legacy of apartheid and the “entitlement syndrome”.
Mazwai says by barring black people from being entrepreneurs, apartheid did prevented them from acquiring critical entreprenuerial skills. This factor puts them at a great disadvantage when competing with foreigners who are well-experienced.
Secondly, Mazwai notes that locals have an “entitlement syndrome”. He says: “They always look to others for assistance.
“These outsiders also have strong networks as they do not expect strong assistance from the local government so they are very competitive. They have their own banks (money which they keep under the mattress) and they help each other.”
