Vandudzayi Zirebwa Buy Zimbabwe
The failure by Zimbabwe’s Warriors to translate their total dominance over Libya into goals in the CHAN semi-finals last Wednesday is almost akin to the situation obtaining in the local market.Many of our local companies are failing to translate their advantages and strengths into opportunities to gain market share, through innovation.
Experience has shown time and time again if companies don’t innovate to suit changing market conditions they are guaranteed to fail.
Indeed how many of our local companies and products that were once household names are now no longer visible because they failed to do one or two things like changing the packaging to enhance appeal or to look for new markets.
If a company is ahead it has to constantly reinvent itself to stay ahead or else it will be overtaken by competitors. The intense competition that is unfolding in the mobile services is a classic example.
NetOne, which used to be the marker leader, has been relegated to third position after Econet and Telecel. We also had numerous service providers like ZELCO that made a name for themselves but are no longer around. The stiff competition has resulted in the two leading mobile services providers coming up with new innovative products that have benefited consumers.
One of the most popular products to emerge out of the competition is Ecocash. Econet saw the unbanked market as a huge opportunity to leapfrog the competition and secure new clientele and with coming in of Stewart Bank, the mobile services provider has been giving most commercial banks a run for their money.
Latest figures suggest that the resultant saving scheme introduced for mobile phone users has surpassed US$1 million. It has become the fastest growing banking product and many banks have been pressing Econet to open up the service to them yet when they had the opportunity to create these synergies they did not do so.
Telecel has in turn seen an opportunity to capitalise on the impasse between Econet and commercial banks through the introduction of Telecash that will rival Ecocash.
The market is ruthless on companies that are complacent. For one to succeed in the market here is need to pay heed to its many salient aspects and work out programmes that cajole, persuade and respond to it’s often unstated wants and preferences.
The good news is that while challenges that our companies face are not peculiar to Zimbabwe alone but are affecting other companies abroad.
What is important is how we respond to these challenges. For instance when Samsung realised that their niche was in telecommunications they cut their ties with agriculture.
Prominent hardware and software company Apple realised after 10 years of systematic decline that they needed its founder Steve Jobs back and with his return the company became the fastest growing in the whole world.
As Buy Zimbabwe we are witnessing a slow and gradual increase in Zambian products on the local market. The sweets market, which once was a preserve of the likes of Arenel is now being bombarded by Trade Kings from Zambia.
Even Cairns who have done a commendable job by remaining resilient in the face of internal and external pressures, seems to be a new target.
Now we have new potato chips that are flooding the market. They too are coming from Lusaka. They are better packaged and are slowly gaining market share.
Then we have companies like Dendairy and Pro Brands who have spent a lot studying market conditions and are standing their ground against the influx of imports.
In both cases their ability to win in the face of a hostile market place has led to a decision to increase their investment in the manufacture of local products.
The result has been that the companies have been able to employ more Zimbabweans and contribute to the fiscus. There are many other examples locally and globally, which show that the ways around challenges is always to innovate.
Speaking continuously about the liquidity crisis, worsening economic circumstances is not very useful. We must deal with these issues. The publication of obscene salaries that some executives, who are running State enterprises, are earning is a starting point.
We now realise that with the right leadership, a problem that may have been left unattended for months can be one that takes a matter of days to deal with.
That said we should not be blind to the challenges that confront businesses in Zimbabwe. As the rand continues to decline the urge to import has increased as products from that country have become even cheaper.
This obviously threatens our efforts to stem the growing tide of imports. Hopefully, that rand decline will also result in cost pressures building up in that country and workers who are losing value clamouring for more salary adjustments.
Whatever the case we must remain vigilant and keep on working on our competitiveness and ensuring that we shift in line with market trends.
The Buy Zimbabwe team visited a leading accounting firm recently and it was gratifying to note that the company was looking at long term objectives.
According to the company the time to set a platform for robust growth is now. While most companies are pre-occupied with finding solutions to present challenges this accounting fame is already bracing for the future.
Till next week, God Bless and please remember that in the face of challenges, we must innovate. Premature death is never a pleasant experience. Buying Zimbabwe is about wealth, pride and Jobs.
email: vandudzai@buyzimbabwe.org.zw Cell 00263773751878