This week, we stop to address some of the questions and comments posed by the readers. A scan of the articles reveal about fifteen questions. We will address about half in this issue and the others, dealing mostly with a learning organisation in a subsequent issue. The areas to be addressed in this issue include:
i) Importance of culture in success
ii) Is doing business in Dominica the same as doing business in other Caribbean countries?
iii) How can the common day folks in Dominica make a living in small business ventures or hustle?
iv) Is the film and art business profitable in Dominica?
v) What about red tape and the stealing of ideas by authorities?
vi) Are these theories always applicable to us locally?
vii) Why is it so difficult to open business in Dominica?
Culture defined simply as “the way we do things here” is a major determinant of how people operate in all facets of life and business is no exception. This will determine the attitude of the people and consequently the types of businesses that flourish, the support received by government and non-governmental agencies, including banks. And while theories are applicable, there will or may be differences, which are often attributable to the culture of the country and in some cases, the organisation. In the Caribbean, we share some common elements of culture, however each country has some unique features and cultural aspect and these account for some of the differences in doing business in the countries. As an example, in discussions with friends from various Caribbean islands including Barbados, some believe that local businesses in Barbados do much better than in most other Caribbean countries as the Barbadians are very supportive of their own. They then go on to cite the support by the government which is evidenced through its “Buy Local Campaign” that runs year-round, the concessions given, the ease of process of starting a business, the prominent display of “Locally Made Products” in the supermarkets and what they term the “Buy /Use Bajan First” attitude of Barbadians. They even go on to cite the relative ease in which the Barbadian civil servants accepted an 8% reduction in salary from October 1, 1991 to September 30, 1993 as part of an IMF supported stabilization programme. I have not conducted nor have I seen any research supporting these assertions and my friends may not be a representative sample however I think this view provides the opportunity for an interesting study.
Culture also plays a role in the level of red tape, perceived and real corruption that exists. In all cultures, there is red tape as there are procedures to follow to establish and operate a business; what differ are the type of and the ease with which one gets through the red tape. Admittedly, there is some difficulty in easing through the red tape in various areas in Dominica, however from my experience, persistence, respect, a positive attitude and sharing one’s urgency helps. There is always the risk that one’s ideas may be “stolen” or developed by others, however as I indicated last week, one needs to develop a core group or network with whom one can share, develop and obtain support for one ideas. I also believe that the incidence of people in authority or positions of trust, like bankers “stealing” people’s ideas or placing stumbling blocks to frustrate the efforts of those with their bankable and workable ideas and plans are much lower than perceived.
It is difficult to advise on what type of business that will be profitable without knowing about the persons going to manage the business and the resources available as success in business is not inherent. It is often believed that bakeries cannot fail, for even in the worst of times, when people buy nothing else they will buy bread, however research revealed many failed bakeries, and there are examples in Dominica. While an inherent demand for a product or service is an important component of success and it is possible to create a demand or a niche in an already saturated market. Leadership and management capabilities of owners and managers are critical. This will determine how key decisions are taken, for example human resource, particularly recruitment & selection, research, marketing and operations.
Jim Collins, the author of “From Good to Great”, (a must-read for anyone in leadership and management) offers some key pointers for success: i) good is the enemy of great, and instead of focusing only on what to do, focus should be placed on what to do, what not to do and what must be stopped. One should also determine and know one’s core competency and concentrate on turning it into one’s competitive edge. One needs to determine what one is passionate about, best at and can make a profit out of. If one were able to combine all three elements, one is on to a “winning” idea. ii) Level 5 Leadership, that is leaders who have unique characteristics such as humility and professional will towards excellence and who take the credit for poor performance give the credit to others when things go well. Leaders must also be able to confront the brutal facts and create a culture where truth is always told. iii) First Who…then What – He disputes the notion that “people are the most important asset”, instead positing that “the right people (emphasis is mine) are the most important asset. He argues that the right people should be hired and placed in the right jobs and the wrong people terminated. He advocates hiring disciplined people with characteristics that cannot be easily instilled. With disciplined people, one does not need hierarchy; one should manage processes and not people, he argues. And above all iv) Recognise that “good to great” transformation does not take place overnight (though to outsiders it may appear so). It is the result of years of persistence and consistently doing the right things.
Next week, we continue our series on “Doing Business in Dominica”. Until we meet again, may God continue to keep us in the palm of His hands.
Valda Frederica Henry, VF Inc.’s CEO and Principal Trainer is a Chartered Financial Analyst (CFA), Certified Global Professional in Human Resources (GPHR), Certified Myers Briggs Type Indicator (MBTI) Practitioner, holds a PhD in Industrial Relations & Business, a Masters in Business Administration and a BSc Management Studies. VF Inc. is a Human Resource & Finance Consultancy firm with a Training and Recruitment arm, and the producer and host of a live TV program “The Cutting Edge of Business”.
I am of the view that our culture is our greatest road block towards growth and development, I would really like to see you point out the relevant practices based on the Dominican context, one which I feel is most taxing is the “pull string culture”, which bypasses peoples abilities and qualifications placing more emphasis on relationship while contributing to brain drain.
have you ever considered a radio program, maybe just one hour? as you must know many don’t read and some who could benefit may never get the information.
the article is great. i have learnt a few things, thanks again.
The articles are very informative, but I find the heading to be misleading. These principle are general business principles not all unique to Dominica. I think a lot of our small businesses would benefit from that type of education.
Sometimes when I visit Dominica, I get the impression that they have invented their own economic and business principles. If one objects to a price or the condition of a product, these small business people take it as a personal insult. They can be downright hostile to a potential customer if they are uncomfortable with a question.
Even in real estate (not strictly a business when one is selling ones house, but it is a business transaction all the same), the house would remain on the market for donkey years, but some people will not budge on the price. It is obvious to everyone else that the demand is just not there to accommodate their asking price, but they hold onto it for ever.
Good article I will soon be relocating to Dominica to start my own small business. Thanks for the tips on how to make it successful!
Question: why do we pay taxes and what are the obligations of the authorities to the tax payers? Would truly appreciate if you could address this as there is more to it but I would like to get an understanding of this tax system firstly. This also ties back into the question of culture along with its willingness to evolve.
Do we have leaders in Dominica like this…Most are arrogant and lack honesty and not trusted. Level 5 Leadership, that is leaders who have unique characteristics such as humility and professional will towards excellence and who take the credit for poor performance give the credit to others when things go well. Leaders must also be able to confront the brutal facts and create a culture where truth is always told.
Your sound like a very practical Doctor. I have a practical business idea…. I hope I can visit VF Inc so you can help me expand it at a practical cost……
This is very important (cool) information for our people. This is the kind of information that needs to be shared in developing Dominica. I notice that no one is rushing here to comment. I hope we Dominicans Pay attention to these articles just as much as the other ares here on DNO. Thank you for the Article.
We are paying attention, not commenting hastily is our way of showing respect. Thanks to Valda for her inspiration.
“They even go on to cite the relative ease in which the Barbadian civil servants accepted an 8% reduction in salary from October 1, 1991 to September 30, 1993 as part of an IMF supported stabilization programme.” Street demonstrations seem like relative ease to me
Your articles are sensible but they are terribly lengthy and convoluted indeed. I would be happy if the author deals with honesty within management and the structure within organizations and how that can inhibit efficiency.
I applaud your themes and in the main your work is quite relevant to modern day Caribbean. You are an exemplary woman of great intellectual worth, my heroine and mentor.