By Janelle De Souza Thursday, January 26 2012

Traditionally, Trinidad and Tobago’s economy has been dependent on the US and European markets. However, with the financial meltdown in the US, the debt crisis in the Eurozone, and the liberalisation of Asia’s capital markets, the world’s economic centre of gravity has moved to the East.

Therefore, sourcing and capitalising on new markets are essential to the local economy. It was suggested the Community of Latin American and Caribbean States (CELAC), is an additional opportunity for local business investment, especially since Small and Medium Enterprises (SMEs) are making their mark on the global economy due to their strategic importance in reengineering the industrial sector.

Andrew Sabga, president of the TT Chamber of Industry and Commerce noted the above at the Third Biennial Conference hosted by the Nova Committee of the Trinidad and Tobago Chamber of Industry and Commerce at the Trinidad Hilton. The conference focussed on SMEs with the theme, “Make it happen… Success in Any Environment.”

He noted by the end of 2010, there were 18,000 SMEs employing 200,000 people and contributing 28 percent to TT’s GDP.

“We see our SMEs as the future of the Trinidad and Tobago economy, and our priority is to assist those SMEs with growth potential to develop the strategies and capabilities they require in order to grow, create new jobs and contribute to the country’s economic recovery,” said Sabga.

In that case, the board of directors at the Chamber decided to focus on SME development over the next three years.

According to Sabga, SMEs have unique advantages in that they can act as shock-absorbers during a crisis, respond more readily to vagaries in the market and, with the absence of layers of authority, decisions can be made faster and so market expectations can be fulfilled. However, they suffer from non-availability of loan finance, low levels of technology and research and development, and inadequate physical infrastructure.

“We are confident that SME sector development will continue to be an integral part of the development thrust in TT given its potential as a vehicle for employment generation, poverty eradication and promoting an entrepreneurial culture,” he said.

Minister of Labour and Small and Micro Enterprise Development Errol McLeod also described SMEs as the hub of economic growth and a building block for globalisation. Therefore, he said, the country’s SMEs need to be equipped to survive and flourish in any environment and have the internal fortitude to remain viable and become more progressive.

That being the case, government has facilitated increased productivity and entrepreneurship by way of information exchange through several initiatives by providing opportunities for SMEs to interact with counterparts, for continuous support of international expertise and organisation, training and research through educational facilities.

“The exchange of knowledge and data are imperative to making and sustaining alliances, and strengthening potential ones,” said McLeod.

According to McLeod, attention needs to be paid to existing and future workforce who are becoming increasingly knowledgeable and vocal of their rights. “Government wishes to stress an increased demand for social dialogue among the tripartite partners to preserve the indigenous talent that will ultimately strengthen our aspiration of economic prosperity in a quality society,” he said. SMEs therefore need to focus on focus on recruiting, integrating and refining the best people in their respective fields thereby attracting more and better-paying jobs and boosting the economy.

McLeaod also pointed out with the internet, customers, who are the cornerstone of a company’s existence, are more informed and have much more choices than before.

“Any strategy that does not put the customer at the centre of development is likely to endanger the customer relationships that foster long-term organisational growth,” he said. “I encourage all SME owners to build a customer-driven enterprise by establishing consistent dialogue with your loyal and new following over time.”

Focussing on the customer, Mario Sabga-Aboud, chairman of the Pizza Boys Group of Companies told the audience that one of the keys to success in any business is to listen to the customers’ needs. This will allow the company to create a product customers would want to buy again and again.

In 1986, Sabga-Aboud and his brother Norman opened their first Burger Boys at the Corner of Frederick and Queen Streets, Port-of-Spain. They later added Pizza Boys, Vie de France, Wok ‘n Roll, Imperial Garden, Gourmet Club, Bottecellis, Donut Boys, Church’s Chicken, Captain D’s and Rituals Coffee to their list of enterprises.

Sabga-Aboud said he found technology and ambiance to be of importance. Investments in technology improve timeliness of information which facilitates quicker decision making and, as people’s tastes change with time, any company’s look and image will need to be renovated intermittently.

Aside from that, he advised entrepreneurs to have a pioneering spirit, unbending determination, unflinching self belief and to ignore naysayers. He also said it is important to work hard but to have a positive attitude, keep an open mind, be disciplined, learn from those who came before, and to treat people with dignity and respect.