Statistics show a rise in black entrepreneurship. Let explore two views on this:
CON: by Barbara L. Thomas, National Black MBA Assn.
When the U.S. Census Bureau reported last year a remarkable jump in African Americans’ entrepreneurial activity, it sounded like good news.
On reflection, however, the question arises: What’s really behind all these new businesses? What could cause a 45% jump in the number of black-owned businesses in just five years?
Consider the news that chilled New York City’s enormous advertising industry just as the Census Bureau was reporting the rise in African American entrepreneurship.
The city’s Human Rights Commission threatened major firms with sanctions because the industry’s woeful record in hiring and promoting African Americans had scarcely improved in the 30 years since the commission last looked. Thirty years!!!
Many African Americans take the entrepreneurial route at least in part because, for them, the corporate ladder is missing some rungs. They may be successful on their own, and they may be happy—but it won’t be because Corporate America tried so hard to keep them.
As president of the National Black MBA Assn., I am privileged to work with corporations trying to improve the diversity of their workforces.
And I’m optimistic. I won’t deny for a moment the problems, but I’ve seen such change, just in my own lifetime, that I never doubt the even greater progress that lies ahead.
PRO: A Step Forward, Not a Retreat
By BW.com Staff
Frustration with the MBA’s sluggish return on investment in Corporate America knows no race. (see BusinessWeek.com, 5/16/07, "MBA: A Mere Option?").
Perhaps the number of black MBAs who have traded the executive suite for entrepreneurship is disproportionately high.
Couldn’t it simply mean more of the businesspeople had enough gumption to say: "I’m tired of sitting in endless meetings and going through seven layers of management to get a simple yes or no. I don’t want to wait... Let me create my own enterprise and do things my way."
African American entrepreneurship has long had a profound effect on U.S. culture. Striking out on one’s own takes more talent than coasting along at a giant corporation.
And the fact is, entrepreneurship has always served as a ticket to success for up-and-coming ethnic groups. And thanks to globalization, the Internet, and free trade, entrepreneurs of all extractions can contribute to U.S. strength in the world economy, too.