Surviving The Economic Tsunami: Mta Do?

By kenyanentrepreneur Friday, February 6th, 2009
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I want to move away from talking about politicians because they are going to continue to do whatever it is they want to do and at this point, we just have to move on and start worrying about ourselves.

So, I’m going to assume that most of the people who read this blog are not politicians and are not going to be able to steal their way to wealth.  This of course means, that you are going to have to figure out a way to make ends meet through your own sweat and equity.

However, this economic tsunami is sweeping across the world and things are getting worse and it doesn’t really matter what part of the world you are in because all human beings have the same needs.  So, I want to know what you are going to do for yourselves in light of these economic times.

I’ll preface this piece by highlighting some of the idea’s I’ve heard:

  • Becoming a slum-dog millionaire in Kenya:  This is the dream of many NRK’s (non-resident kenyans) who are still obsessed with real estate in Kenya.  The idea here is to start saving money from your salary in America and then use those savings to build apartments in Kenya for low-rent earners. What do you think of this idea?
  • For NRK’s (again) – shelve any plans of moving back to Kenya. I’ve heard this from a couple of people.  The thinking here is that if they are going to be broke, they’d rather be broke in Europe or America than in Kenya.
  • If you are based in Kenya, what are you going to do? what are you going to sell? beer? there’s always a market for that, isn’t there? Everyone and their mama seems to be going to China to buy goods.  Are you planning on making that trip? and if so, to buy what?
  • About the only people who I know are feeling safe in their jobs right now are those who work for grocery stores (because people have to eat) and those who work in the medical field, doctors, nurses, pharmacists, etc, etc (because you can’t let sick people die — you have to treat them and you have to give them their drugs).  I have a friend who works for a pharmaceutical company who told me that they had their best financial year ever.

    You see? you have to make things that people need for their everyday survival or, you have to sell cheap things that will “transport” people away (even for a short moment) from their daily struggles:  recreational things like movies, music, liquor, etc, etc…

    Someone said to me once that goods of vanity always sell — things like anti-aging creams, weight loss pills, penis enlargement pills, viagra, etc, etc….(these are things that can be sold cheaply and that make people feel good about themselves, which everyone is always looking to do).

    So, the tsunami is coming and mta do?

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    51 Responses to “Surviving The Economic Tsunami: Mta Do?”

    1. Ole Mibei

      KE,

      You never cease to amaze me with your posts… I had to laugh first after reading it because… It really is interesting…

      I think the general agreement is keeping your unga on the table… As long as I keep my job… am not worried about competing with some looters in Nairobi.. Thank God i don’t have to see them everyday…. driving those Range rovers and hummers and stroking the belly’s with all that stolen money…

      Pesonally..

      I have shelved all my plans of ever returning to Kenya …. I’d rather keep my house here in the west where they have respect for my property rights…
      I also don’t want to be part of a looting pedigree in Kenya- I leave that to the Sons and daughters of politicians & their proxies !!!

      Other than that- I think i’ll visit South America more these coming years- Just to unwind and remind myself of the tropical climate that I once was a part of.

      #103067
    2. Dee

      ole mibei,
      I understand your pain but please don’t give up too soon. We aren’t Somalia or other kind of failed state. There’s still a chance.. Yes we can!

      #103071
    3. Is this going to be the new mantra for all failing African states? plagarizing Obama’s lines? Oh..Yes we can!

      I just heard the foreign affairs minister of Nigeria utter this line on a BBC interview he gave.

      Hope & change and change & hope…yes, we can.

      Keep hope alive and anything else that comes along with it….

      Oh, yes we can, but we still haven’t…..

      Yes, yes….

      #103072
    4. Joe

      Non resident Kenyans who want to hide in the west have nothing at home. Its shameful to return yet your peers may be in a better position than you. So do not blame the govt for not returning. The people I see returning have made it and most have a couple of rental properties. The fact is that most non-resident Kenyans in the west are losers. Believe me I worked there for 8 yrs

      #103074
    5. Kinoo

      KE: I like the male enhancement theory. Only problem most negros seem to be blessed in that dept.

      As what I’m doing? Riding the storm. As a small business owner, cutting cost is a daily chore. Keeping vendors happy is a challenge and satisfying the customers a must. Company’s that survive such hard times and position themselves to take advantage of such times will certainly do great in better times.

      Joe: Your loser comment is lame. True there are peeps that need to do better but that’s across the line even in Europe/India you name it. And for you to judge NRK as having nothing, let me give you a scenario to ponder:
      I buy two rental properties in Huruma/Kayole since technically Muthaiga/Runda would be in the upper price range, doyou think after leaving in a civilized country I want to spend my time driving in mud pit in kayole to collect $100 rent? I can make that in an hour here without the danger of encountering mugiki or gun welding idiots.

      Maybe you were a weakling and couldn’t hack it in the west. Had to run to Daddy and Mummy for support.

      I second a vacation in the South America too. Hawaii is even better. They speak English.

      #103079
    6. JIM

      Joe,

      America is the Leader of the Free World- Trying to compare NRK’S in the free world and you there in Nairobi… Is a strange pre occupation !!

      Who needs to have properties in Nairobi … Clearly I’d rather have property in the west or any other developed country than Nairobi… I don’t know of any genuinely rich person with property in Nairobi..

      #103080
    7. Joe

      Of course there are some NRK who are doing well.
      I do not need support from parents.
      I was a NRK until I made a couple million dollars and I decided I am better off living close to family. Thing is parents are getting older.

      Kinoo: 2 or 3 properties and you think you made it.( Huruma and Kayole!!!). I have friends who never left kenya and have much more – all under 35. By my standards NRK should excel much more than their kenyan counterparts who have simply worked hard in their fields. You technically you need to step up. Loser

      JIM: To me kenyans who want to hide in the west all their life have nothing to go back to in kenya. Could be their parents still live in the village

      #103081
    8. Kinoo

      Clearly there is no way a person of your intelligence made two million dollars unless you were pan handling some wall street jack off.

      Where did I say in my statement I own anything in kayole/Huruma?

      I probably own more property than your whole clan put together. But there is a reason I chose to be where I am.

      And who said having money = success? What does age have to do with anyways? You sound like a pampered mamas boy who probably run back to go suckle. Moron!!! Grow UP!!! Calling people losers???

      Ask yourself a simple question? Why did mum and dad send you to the west and no where else? You probably did not qualify for university in kenya (see you are a real moron) and when you got where you went, you couldn’t get along with anyone.Meaning you probably jerked off a lot and needed mum/dad again to intervene and get you a girl in Kenya.

      Go show off your dads car in Carnivore tonight. You may get a better girl than the house girl you are used too.

      #103083
    9. Mamiwata

      Sell viagra – that is a sure winner.

      #103084
    10. Joe

      Kinoo:
      I know NRKs like you who see home as some primitive place. and we have too many of you.
      Dont call me a moron – i am a quant trader and have a masters in enginnering/finance
      I did not say I made 2 milion dollars, I said a couple – means more than 10 and going
      Obviously I am more successful than you. So put that in your pipe and smoke it

      Back to my point, a large percentage of NRKs in the west ( US, thats where I lived) are not doing great. Many do not even go home. Some because they have not helped their folks at home and are ashamed.

      Only NRKs who truly love their homeland can help the folks at home, not those who seem to be afraid of home.
      If you see like you are living in a civilized country and see kenya as uncivilized, the you have no ties in kenya. You have obviously abandoned your folks. maybe your life in kenya sucked.

      Obviously I get angry at people like Kinoo who think Kenya is uncivilized

      #103086
    11. Msema Kweli

      Joe,

      Wacha zako(Im smiling)… Dude sema Ukweli kisee…..

      What happened… We’ll accept you like a brother…. Tell us man…. What happened ?….

      From your vibe …. For anybody to go to Kenya and start talking ill of America .. There must be something stuck in their throat.. i’ll help you Heimlich Maneuver…

      I’ll give you a list of options….

      Option 1 – I could not get the dream I came for in America…

      Option 2- It was too tough to get a job and money at home was dwindling..

      Option 3- I had my girlfriend in Kenya and I could not starve myself any longer..

      Option 4- My future is ruined after I reached JKIA and found that even the bathrooms don’t have water…

      Option 5- My future is still ruined because – nobody can pay me what I used to earn back in the states..

      Option 6- I’m Pitching for my parents to die so that I can Inherit all the property !!

      Dude … I can give you more options but … I know its tough for you to tell us the the truth… Don’t worry brother sometimes calculations give the wrong answers….

      #103087
    12. Pisces

      Msema Kweli,

      What a fresh perspective-

      I think i will take Option 6 and Option 1 for Joe- I think the dude is pitching waiting for his paro’s to kick and from the way he’s ego tripping- He obviously did not achieve the American dream.

      The guy is a real scavenger !!

      #103088
    13. Joe

      Msema Kweli: Its people like you that make no sense to me. You see home as some place far off. I am sure you are stuck in the west. its people like you who cannot go home, coz you are out of status. you keep doing hourly jobs that pay like shit. if you go home, you are ashamed coz you have nothing. Your comment about JKIA tells me the kind of person you are. Currently I am in US, making deals, if you want to meet let me know. May be I can beat the living shit out of you. Start thinking big man. Obviously you think making big money is out of reach. 10 million dollars is nothing. I sued to make over a million in bonuses/year. you are thinking too small. Obviously what you do is not working. try something else

      Pisces: You obviously have no sense. May be you should do something unusual, like suck some dick. you might stop using your rear for thinking. One thing about you is true, you have nothing in kenya, and you are ashamed of it. help your folks there.

      #103089
    14. Joe

      If you are a NRK living in dispora and the following applies to you, you are a LOSER:

      1. You are out of status and you are doing hourly jobs
      2. You make enough to get by
      3. You are ashamed of going home, you have nothing there or Have little money saved
      4. you cant visit your folks, coz you cant come back

      Over the long run, a kenyan in kenya with a degree will do better than you.

      just my 2 cents folks

      #103090
    15. Msema Kweli

      Joe,

      Oops !

      I think I hit a raw nerve… oops !

      It makes sense now … You never worked for your money.

      You had to sue to get money!!

      I’m not interested in meeting you Joe…. I’d rather meet Joe the Plumber instead… At least he has a brain …. You don’t !!

      I’ll give you more time to think over the options I gave you..

      #103091
    16. Pisces

      Joe..

      Please use your brain- Oh I forgot – You don’t have one…

      Msema Kweli,

      The guy is so pissed he wants to beat up bloggers…. I mean this just tells you what kind of moron this asshole Is.

      #103092
    17. Anonymous

      I totally agree with Joe. I have been in the US for 8years. Working for a wall street firm after MBA. I started small transport company two years ago. That small business generates more income than my wall street job. I am make 175,000 USD a year which puts me in the top ten bracket of US income earners. I a moving to Kenya in May to expand on my business and to start something in IT. I see an inflection point with cable that will enjoin mombasa and Fujaira. I want to be among the first movers. People wake up…..maybe you have not been home for a long time………I have been going to Kenya twice each year…….Nairobi is a beautiful city…….with money you can live the life of your choice…….I would say better than New York City. We need to move out of a mindset that the West is the best because it is not…..It is however true to many Kenyans who came to the US working for years in group homes without getting a good education. Good Luck guys…..always keep an open mind.

      #103093
    18. JIM

      ANON,

      You got to be kidding me… Kenya doese’nt even have oil… blah blah blah…. yawn !!

      When Kenya strike Oil then ask someone like me to go back…. Not some stupid cable !!

      #103094
    19. seldom

      I agree with you Joe, I have lived in the US for 14 years living the American dream. I own my own house, two cars (both paid for), great job. but at the end of the day life is so much more than that. I go home twice a year and am now making plans to move back. Life is so much better in Kenya.

      #103095
    20. Joe

      The only NRK who want to go back and live in kenya/invest are the successful ones. rest of them are living illegally doing hourly jobs. they have nothing at home and have not even helped their parents. still in the village and they are ashamed of going back. What do you have to show for being in the dispora.
      I know your kind. I hear your talk in choma zones/bars and your argument does not hold water.

      The cable is going to help many kenyans who will get jobs. In the long run a kenyan who know what he is doing in kenya does way better than a NRK doing an hourly job in the West( or doubles or triples – I know you people working as valets, nurse assistants, chinese/hair shops, fast food stores,warehouse and on and on. Such people are the ones who talk like Jim.Pisces or Msema Kweli).

      think about it. If you have been in the dispora and you do an hourly job or you have 2 do more than one job, you are doing worse than folks at home. Believe me you are a Loser.

      Plan for the long run my friends

      #103096
    21. I’d like this thread to return to it’s orginial intent, which was to spur on a POSITIVE discussion about the issues I raised, not go off on tangents about what people chose to do for a living wherever in the world they may be.

      So, please, let’s just focus on the issues.

      #103097
    22. Pysd off

      KE,
      I recently watched a history channel program on the dark ages, and finally understand that this is where Kenya/Africa is in its evolution. Add to that (dark age position) the global crunch, and the best one can do is buckle down, do as much subsistence farming as possible to cut costs of basic material, forget about buying mafuta to fry food, or salt and sugar, and and quit eating meat; better yet, start making your own soap, etc. All this will help you stay healthy and avoid expensive doctor visits. I do not for one minute believe that people living in “civilized” economies are better off. Mainly because if they don’t have money they won’t be able to survive. At least those in Kenya have a network of relas to help them, and globe cinema roundabout to plant sukumas. This is my plan at any rate, given that i live in a “primitive” economy. But since most of us want to sit around complaining that oil and meat and maize are expensive, without figuring out alternatives, we’ll suffer mentally ’cause we’ve refused to adopt a pollyanna attitude (that every cloud has a silver lining).

      @Joe: now that you appear to know very well the condition of most NRKs, why don’t you give andivices on how they can get out of the rut. It is not helpful for you to laugh at someone who has dirty clothes. Better to give them suggestions on how to get out of their predicament. This is the problem with Kenya. Once we make it out the hole, we want to rub everyone’s nose in it, instead of pulling people up to join us. Complete and total dark age mentality. As for that cable, just know the IT equivalent of the maize scandal is awaiting the landing of it. Good luck actually getting proper access (free of long stories and scams) to it. Its effect will be minimal ’cause it will be subject to the Kenyan eating culture.

      #103101
    23. mzeiya

      KE,
      This must be the most interesting thread!!!

      MSEMA KWELI…lol..dude your funny, cracked me up

      JOE

      No disrespect but judging from the way you talk / reason, you sound like someone whose acheieved monetary success, but with little brain power, yaani a rich fool. pesa iko lakini akili ndogo!

      You seem to disparage the jobs people do in the west as first generation immigrants, shows that you are a spoiled kid.

      I do not see why you’re blaming people who do not want to return home to settle, U can’t blame them.

      who would want to return to a place where basic essential services are luxuries like clean drinking water ( and I’m talkin about the massess , not the privilledged few like urself )

      Where basic systems have collapsed, look at the fire in nakumatt and how chaotic the response was from the authorities ?

      where so many are so poor with no real chance of making it, while a minority are actually making it, the social oder will just lead to chaos, e.g. election time.

      However, I’ll agree with u that when u are makin it in kenya, u are golden, you’ll not want to come back to the west.

      ati u have a master degrees in engineering and finance ? aaii, honestly, labda ni ya Devry coz I don’t see what schools would make someone that pompous

      #103102
    24. Joe

      # mzeiya: after a masters its very easy to get an MBA.
      At least I have seen worthwhile comments. I try to help kenyans like try to show them companies that will give them tuition reimbursement coz that’s how I paid for my tuition. biggest issue is that we drop of school. if we can all graduate, we would be better off

      I know the cable will have a very big effect coz I have been looking at the outsourcing jobs and seen that almost everything now is outsourced. From programming projects to sales/marketing to design to finance to web design. Indians and asians are reaping billions from the west and europe every year. I have seen the statistics. . I project at least a million new jobs by 2012 if it lands in june 2009 properly.

      Help yuor fellow Kenyan

      #103112
    25. B N Mwalimu

      Mzeiya,
      :lol: :lol:
      “labda ni ya Devry” :lol:

      #103113
    26. Joe:

      Let’s talk about this outsourcing business.

      How are you going to do get the clients for this outsourcing business. Assuming of course that you’ll be able to access high speed internet services from whatever providers are available, your main dilemma will be finding American or European companies to switch their work to Kenya.

      How are you going to get these clients and what kinds of companies will you be targeting? Big companies, small one’s? what?

      I’m thinking about Access Kenya as I write this, I don’t get what those guys are doing (another post is due on that company).

      #103114
    27. Pysd off

      KE, nice try.
      Joe, do tell us all. After it happens. Of course. 365 days to go before the model is zinuliwa’d rasmi?

      #103115
    28. Joe

      # kenyanentrepreneur you and I seem like our visions for Kenya fall along same paths.

      Its not hard to switch. All you have to do is show your qualifications and sample work you have done and references. In my last job we routinely sent projects less than 50K dollars to new providers in India (new in that we never worked with them before. )

      There are a bunch of resources online which I can compile and you will see how easy it can be done. You do not need like a mjor company to outsource big projects. You need to focus on many projects that are small and have less competition.

      For instance I know an american web design company that charges $750 for a 10 page site. But they never do it. They outsource to South America for 250 and pocket the rest,

      Search google for indian web designers and you will see them, they work from India.

      Thats just one field in many others that can be done by Kenyans even in campus

      The reason I am hard on kenyans is that sometimes you have to push people, make them see that they could do better. So my intentions are good

      #103116
    29. JIM

      Joe,

      You got to be kidding me… Are you still trying to bait people- with the same old line- outsourcing…

      I think you forgot something… You need to outsource a brain first…. You talk like you are an ideal success story…. But you are Not..

      Think about it…. Help yourself first… before thinking about other Kenyans..

      Just as a side question…. Which university did you attend again ? … I’m beginning to fall for Mzeiya’s assertion …Devry…

      BUT
      If you are not ashamed of the university you attended ….. Tell us… So that we know… I dare you !

      #103118
    30. Joe:
      You didn’t really answer my question and what you have said here is very basic. I’ve used Indian outsources before through online companies like elance. Anyone can do that and actually, with so much free software today, building a website is not even something you have to outsource to India anymore. It’s becoming easier and easier to do (and cheaper).

      This is how I can tell that you probably have never run a business or are not trying to set one up now. Like Kinoo told you, getting customers and keeping them happy is the toughest thing to do and it’s where most owners will put all of their energy.

      And I can tell you that when it comes to internet businesses, designing a website is nothing, even a monkey can do that. The complexity comes when you have to drive traffic towards those sites in order to bring in the customers and that has nothing to do with web design. That’s a whole other set of skills that you have to learn.

      So, the same thing will apply to outsourcing. The technology for outsourcing is very basic. That’s not what will separate the winners from the losers. The difficulty will be in getting the clients.

      That’s why we’ve had a long discussion on Kencall on this blog and my focus has been on trying to figure out who their clients are, how they get them and what they do for them.

      #103119
    31. mzeiya

      KE, what’s wrong with the site ? it’s behaving wird when we try post comments

      #103120
    32. JIM

      KE,

      What do you mean…. Their biggest client is TeleKom Kenya.(I thought you knew this)

      They used to bid international but they found that the local was more profitable and easier to manage…

      Like you said earlier… Pleasing the customer and making sure that they are satisfied is the big challenge for the international ones.

      There is a youtube clip here..

      #103121
    33. Dear All,

      Please don’t insult DeVry… our $10 million Joe left for the USA with his Dad’s stolen $25,000,000. Of course, Joe converted it to $10mn.

      Now, when Joe realized it easier to steal from the Kenyan government (even an illiterate like kariuki ‘ati, who is Karl Marx’ chotara OR dan ‘the thief’ moi OR emilio ‘19th hole’ kibaki) than actually do any kind of math… he made the smart choice… he returned to Kenya

      Bottomline: Unless Kenyans kick out the thieves running the show, Kenya will remain a 3rd World piece of shit…

      Regards,

      CT

      P.S. I used to be upbeat on Kenya but every month has a new scandal. It’s like ordering a scam of the month. Kenya never misses a delivery!

      And I am also a fool who bought into the ‘New Kenya’ in early 2007. I am regretting it ever since. There are few ‘true’ opportunities in Kenya at the moment.

      Why do I say so?

      The government is hell-bent on doing almost everything wrong & reversing earlier gains:

      - Subsidies & price controls (maize)
      - Bureakrazy
      - Increased government control (NOCK & price controls)
      - Corruption (Too many to list)
      - Slow judiciary (even martha karua complained about them)
      - Mis-guided expenditure (focused on recurrent expenditure)
      - Reduced levels of ‘Human Rights’

      #103124
    34. JIM

      CT,

      Kwani you used to live in the states ?

      I wonder what is wrong with this place(Kenya) … Why is everybody complaining ?

      Kwani you are Indian Kenyan @ CT ?

      Everyone who moves form States to Kenya comes back with the same story.

      Keep updating us on what is going on there..

      Aii….. Jameni… What are these politicians doing !!
      KE,

      There is also some other Info on Kencall here
      http://news.zdnet.com/2100-3513_22-157829.html

      #103125
    35. Singapore gave it citizens the FREEDOM to conduct commerce.

      Kenyans are STUPID in this respect & the politicians reflect that… Kenyans like controls. Price controls. Exchange controls. Movement controls. Licensing. No wonder corruption blooms!

      In the days of yore, it was always the Mhindi to blame whereas the shortages were caused by the silly ‘command & control’ style of production & distribution. What bullshit. They have been trading for centuries. And now practice their skills on 5 continents. Of course, there are ALWAYS some bad apples. As are bad apples among Wafrikas & Wazungus & Wachinas &…

      Anyway, for those NRKs in UK… the richest Asians/Indians are ex-East Africa esp Uganda & Kenya. Also found in many European cities.

      For NRKs in USA, almost every major US city has an Indian street that caters to both Indians & non-Indians. No matter where in the world I am, I like masala tea.

      For NRKs in Australia, I know many successful Kenyan-Indians in Sydney & (esp) Perth. A Kenya-born Indian also played for the Australian national cricket team. I understand Australia (in cricket) is like a combined Brazil+Germany+Italy in football.

      So back to Kenya:

      - Many Kenyans have a grudge against ALL kikuyus. This is wrong. Most of the kikuyus in RV were there for 40+ years. The kales were doing little or NOTHING with the land. I am not talking of land-grabbers like the kenyatta family BUT decent folk who BOUGHT the land. And worked it.

      Nowadays, the kikuyus get blamed for all the ills. The only difference is that kikuyus have political clout (which the Mhindis do not) & can fight back. It is not the kikuyus stealing maize but the political elite – kikuyu & others.

      ruto’s bitch – jackson kibor – bought & sold maize on paper. It was pure theft BUT it happened coz of subsidies!!! If NCPB had sold the maize at market prices, then the highest bidder wins. And Kenyans win.

      Kenyans want ‘controls’ yet complain about shortages & such!

      - Price controls lead to shortages. Fact of life. I do not blame the maize farmers for wanting more for their produce. It should be market-driven.
      - Lakini these same farmers want a ‘minimum’ price when the times are good. The government should tell them to stuff it.

      I think I shall blog about this later.

      #103126
    36. mzeiya

      Yeah,
      I think CT Is a Kenya Indian.
      I too was like CT a while back i.e. very bullish about Kenya especially in 07, however the current reality just proves me wrong.

      Honestly, where is Kenya headed ? There must be something so sweet about having power in Kenya that makes otherwise upright people corrupt.

      lol..ati Ruto’s bitch Is Jackson Kibor….man, these people have some nerves, first they slaughter kyuks in RV, Now They’re stealing maize meant for the wananchi and profiting off of it…..

      Honestly, the blame should go to Kibaki for being entirely useless!!. This guy shudda just stepped down and ran for one term. Now the guy is completely destroying any legacy he had.

      If u look back at Kibaki’s real history, you’ll see that this guy has been in wealth and power/influence positions for most of his life, since independence days. No wonder the guy is seen to be aloof, coz he honestly CANNOT Relate to the reality of life in Kenya.

      I seriously dunno what became of Kenya, with nothing to show for.

      #103127
    37. annon

      Coldtusker:

      What do you mean they are no opportunities to speak of in kenya right now? I know many people who are making lots of money doing various businesses. In kenya you have to hustle and real estate is still a booming business, why don’t you get into that instead of just complaining all the time?

      #103128
    38. Jim:

      I knew their biggest client was telkom kenya and that shocked me. There’s no way they can say that it is more lucrative to have kenyan based clients than u.s. or european one’s. That would make the indians stupid for going after american firms. They are saying that precisely because they can’t get clients outside of kenya and that is a problem for their long-term growth prospects.

      This is what differentiates the kenyans from the indians — the indians are getting clients from around the world, while the kenyans are stuck hustling for things like telkom kenya. That doesn’t even make sense.

      #103129
    39. JIM

      KE,

      I’ll tell you a secret KE…

      In Kenya if you cannot get a contract from the government…. There is no way your business will survive the downturn…

      Not unless you have a monopoly or some form of oligopoly..

      Business in Kenya is really tricky….. This is the truth a lot of people won’t tell you..

      The trendy phrase used by many in the league is ….. “Milking the Cow”

      If you can get to milk the cow … Then your things are smooth….Nicholas Nesbitt and brothers are milking the cow…

      Im sure somewhere along the way… They realized the pay to play game !!

      #103131
    40. Kinoo

      Every time I hear the experts making millions in Kenya, they all say ‘people are making money in Kenya’ – realize nobody says exactly what is it they do.

      Those people in Molo stealing fuel were doing business too. Who in their right mind would go near a truck full of fuel at 36 C/85 F degree weather? And imagine the idiot who ignited the fire and the askaris who were supposed to be guarding the truck but selling the fuel. This is business for you in Kenya. Idiots all around. Joe included.

      Joe, you go MIA when the question was posed to you??? Daddy’s holding your allowance?

      And to those who question my loyalty to my country Kenya. Criticism does not mean I don’t love my country. What most peoples sentiment are there is a better way. Not necessarily the western way.

      NRK – There is no shame here. I call the country I live now home. Been living there over half my life. My folks are well taken care of. My investments in the country are sound and a vacation once in a while is humbling.

      I don’t have any apologies to make for my choices. I would not invest in Rift Valley even for free :smile:

      #103132
    41. Rengoku

      JIM,

      Nicholas Alexander Nesbitt also works at the CBK … Yep … You heard me right …

      He’s one of the directors at CBK … executive appointment by Kibaki himself….

      Many people don’t know some of these people ….. I guess its part of the power play…. You snooze you loze.

      The power must have gotten Kibaki into his head !!!

      Its unbelievable some of the things this guy does… Sir Edward Clay was unmistakably right !!

      My question is… What about the conflict of Interest ?

      Doesn’t owning Kencall(which gets Telkom’s contract) and being one of directors to CBK amount to Conflict of Interest ?

      I think Kibaki is trying to sell Kenya to the highest bidder !!
      Talk about another blago affair..

      #103135
    42. mzeiya

      RENGOKU,

      BLAGO must have some kenyan blood in him. I mean, for a guy to be caught on tape asking for bribes (kenyan style) and then he blatantly denies and dismisses the evidence as “my political enemies are out to get me”…surely where have i heard that before……hhmm..Kenya Offcourse!

      and by the way, who are the other board members of the CBK ? Isn’t it supposed to be Public information ?

      In Kenya, if u have found a way to make money, then you’ll be set for life, but if you’re the majority of kenyans struggling, life will not be that smooth

      #103144
    43. Phil

      I wonder if this is affecting some NRks too( from CNN.com )

      #103145
    44. Kinoo:
      You are right about no one telling you exactly what they do and if you make the mistake of inquiring, you’ll be accused of being jealous of their “success”. It’s a very strange phenomenon that I have mentioned here on several occasions. It’s very different from American entrepreneurs who’ll go on tv to talk about how they did it, they’ll write books, they’ll give lectures, etc, etc….It’s one of the reasons I believe that a lot of the money is just being stolen.

      Rengokou & Jim:
      You have raised an interesting point about Nesbitt and in some ways, it highlights the limitations of many Kenyan businesses and their inability to expand beyond the borders of kenya.

      If your businesses success is almost entirely dependent on corruption or on getting breaks from the government, you will never learn how to compete outside of that corrupt enclave and that’s why your only customers will end up being people like Telkom Kenya — government agencies who’ll give you their business not based on your ingenuity, creativity or hard work, but rather based on your connections.

      The Indians on the other hand, are not entirely dependent on corruption and that’s how they’re getting these global companies as clients. Now, if you are a kenyan business used to getting these breaks, how will you ever learn how to compete with the Indians when the playing field is leveled? you can’t do it.

      I just ordered a book by Nandan Nilekani, the founder of Infosys, one of the largest outsourcing companies in India and I’m very much looking forward to reading about how he did it. You see? if you’ve made your money cleanly, you’ll talk about it and you’ll write books, so others can see how you did it, but if the money is dirty, you have to hide.

      Kenyans need to stop thinking that the only kind of stealing one can do is when you actually walk out of a bank with a gunia full of money. There’s a lot of ways that one can steal. Let me give you an example:

      A family friend of mine was in the business of selling cigarettes. He also happened to be close to Nyachae at one time. So, one day, he asked Nyachae to write a letter forbidding anyone else from selling cigarrettes in the entire eastern province. Nyachae did it for him and the guy made a killing because he had illegally wiped out all the competition.

      Now, without competition, you don’t have to think or even be innovative and without innovation, your levels of production will remain stagnant.

      #103153
    45. mzeiya

      KE,

      Your friend didn’t steal, he merely deployed strategies that would give him an unnatural advantage over competitors….

      anyway, why am I deceiving myself, he did business the kenyan way, rub my back I’ll rub yours.

      It’s true most kenyan “businessmen” are not forthcoming or open about what / how they make their money.

      On the same hand, I can’t completely blame most for being guarded in a place like kenya where intellectual property rights do not exist, or if they do, are not enforced.

      Kenya as a culture, I don’t think we have reached that level of openess yet, I mean, ho can afford to be open when u know that millons are in grinding poverty.

      If I was making madd millons like Joe in kenya, I’d also be guarded..partly coz maybe I’m subconsciuosly feeling a little guilty knowing that most pple are suffering.

      In the west it’s differnt, there are certain standards that majority of the people are at. E.g, running water, heat / hot water, food are not luxuries, a milliionaire, middle class guy or blue collar person would all buy foods from McDonalds.

      But at the same time, If I made my money thru stealing, I’d have no incentive to xplain my wealth. Example, Harun Mwau, very wealthy guy, but when asked how he made his money being a former cop, he is very guarded.

      #103156
    46. Mzeiya:

      Do you honestly believe “joe’s” story? :roll:

      #103163
    47. Pocahontas

      Telkom is actually one of the remaining clients for kencall. The company has been losing clients of late largely due to the global financial crisis. One American company still remains thought albeit with fledgling business. One blunder I see being made by Kencall though is the over reliance on Telkom to provide business. When all these other clients pull out, the agents are being pushed onto the Telkom side of things. The blunder in this lies in the fact that Telkom is setting up its own call center and once established, it will no longer need Kencall’s service. What then happens to all these agents?

      No one seems to be seeing this growing monster and everyone on board is pretty complacent. I fear for the people who will be affected. I don’t think Outsourcing has much of a future seeing the way things are headed globally.

      #103170
    48. Pochantas:

      You would think that this global financial crisis would actually be a boom for outsourcing companies since so many people are looking to cut costs. Actually, I would say that American companies are going to be massively outsourcing many of their operations in the coming 2 years.

      The question is, why is Kencall relying on Telkom Kenya and is it because, like other Kenyan businesses, they have become used to doing things “corruptly” and without this “corruption”, they can’t compete outside of Kenya.

      This is not to say that the Indians are not corrupt (we saw what happened to Saytam) — but for some reason, the Indians are able and willing to compete with anyone in the world and I think this does require a certain level of competence and skill.

      The Indian government is not helping Infosys get American clients. Infosys had to learn how to do that on their own and they did.

      This is why I keep wondering if there’s too much in-breeding in the Kenyan economy. In a country of 35 million, where only about 2% have any real buying power, in-breeding is not viable for the long-term. At some point, you’ll have to export.

      #103171
    49. Ole Mibei

      KE and All,

      Kenya: MPs Pay Reaches KSh1.4 Million Monthly-

      Kenyan mp’s earn more than earlier thought….

      This is broad day Thuggery with aggravated assault !!

      #103173
    50. Pocahontas

      Outsourcing from American companies to increase? nahh I don’t think so. Obama was elected on a platform of taking back American business back to America. Companies are being promised tax breaks to bring back business to their country. With unemployment rising, labour costs are bound to drop, no need to run to the Indians. Moreover, lesser spending power means less business, so more cuts coming in.

      #103184
    51. analysans

      @All with gripe over NKRs/KRs, Kindly create another forum to vent your #&@%*?

      Please allow this forum (KE’s Blog) to be a place for exchanging ideas/experiences za kujenga msingi wa kujiinua. STOP wasting the most valuable commodity in the world bitching over non-issues!

      Wonder why Indians on the sub-continent na wale wa hapa nyumbani are always a step ahead in biz?… COLLABO between those at home and those in the diaspora.

      Salaaaaalah…WTF?

      @KE, Endelea

      #103223

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