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BUSINESS ENTERPRISE
Your Business: Why Others Grow While Yours Struggle
a n interesting phenomenon is currently shaping up to be an interesting story told in the Kenyan economy. Just recently, an article was written about former blue chip companies now trading as penny stock. To expound on this will require that I give proper illustrations on this phenomenon.
EDWIN KIMANI
The writer is a Lawyer and the managing partner at Avikele Services, a professional services firm offering legal, tax, accounting, business development and consulting services to enterprises of all sizes and industries. The firm offers growth strategies and funding advisories to startups and enterprises.
Startupmagazine.co.ke
July 2019
Previously, companies such as Kenya Airways, Mumias, National Housing Finance and National Bank of Kenya, among others, were considered as a reliable investment for those willing to invest in the stock market and the country. They enjoyed a great deal of adulation. However, the tide has changed. . As the writer notes, they trade at prices well below the price of a tomato and struggle to make a profit year in year out. Currently, the Nairobi Securities Exchange is dominated by Safaricom which commands almost half of a day’s shares traded as well as banking stock. You may be wondering what this has to do with your startup, family business or your small or medium sized enterprise. A lot. To be honest, times are hard in this
Kenyan economy, but so are times hard everywhere and only good businesses, founded on good ideas, led by charismatic leaders and not mere managers that adapt to circumstances with vision shall emerge as true market leaders in their respective niches in the larger market. In a while, only the most resilient have and shall continue to grow. If your business stagnates and you feel that the economy is to blame, then here is some advice for you. So, what should I know when my business struggles? Understand your idea To monetize your idea, an understanding of that idea is key. To illustrate this, allow me to refer you to two movies that I highly recommend to each and every entrepreneur, The Social Network and The Founder. What is common about the movies is that those considered the founders of those businesses were not really the founders of the respective ideas that birthed the businesses. Those that grabbed the opportunities to develop the ideas are different from those that started the ideas because they understood the ideas and monetized them, thus forcing the owners of the ideas to submit and part with them. Back home, I happened to advice a
