The Addis Ababa city administration should get out of this and leave it for the private business
Posted: 29 Apr 2020, 14:02
Good the factory is built by Midroc Ethiopia but still it should not be run by the city Administration.
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Dawi,Dawi wrote: ↑29 Apr 2020, 14:17jeni,
What "City business"?
It is the "wheat" stupid! Where is it?
There're idol bakeries in the City as we speak. If anything, this monster is going to put them out of business. Check the for sale businesses in AA; you'll see a medium sized bakery there. I guess it's anticipating its demise for it trying to run away quick.
DefendTheTruth wrote: ↑29 Apr 2020, 15:55Dawi,
this is the time Ethiopia will say that she too got also into the business of "mass production" and with that, the main gain is the economy of scale (for the owners, automatically leading the monster factory be the sole elephant in the field).
What comes with mass production? many things may come but one thing is certain, which is lose of quality. The good old days bread will be the thing of the past for the customers of the elephant, the consumers.
What is left to the small businesses then? The answeer is simply the vacum left by the monster itself: concentrate on the needs of the those who are not going to buy the products of the monster, who are seeking the quality old day's bread of the middle class and are ready to pay more in response. For more quality they (the old bakeries) can demand more price.
I visited home before sometimes in the past and wanted to eat the old day's grilled beef in Addis, but sorry couldn't find any, for whatever reason. It could be that i didn't find the right place or there is no more old day's quality beef (yebere tibs I used to enjoy at Sanga-Tera of old days, but unfortunately I couldn't even say where exactly Sanga-Tera lies today , it could be my taste that changed or the old good quality products are no more there these days.
So, coming back to the fate of the "old good bakeries" they have two options: take the remaining slot in the market and tend to the need of the growing middle class consumers of the city and ask for more price or come together and create their own consortium that could keep them afloat in the pursuing fierce competition of free market economy or wither out and lose at the end.
This scheme will expand to all sectors, i am afraid and it is upto those in the respective fields to realize this simple logic before it could be too late for them.
Dawi,Dawi wrote: ↑29 Apr 2020, 17:19Defend,
"Mass production" of what? We don't grow the wheat to do that but, we have the land to grow.
I am worried of "white elephants" in Africa; look at the Renaissance dam? I maybe exaggerating but, we can use the small to medium sized bakeries that exist today who don't produce full capacity as we speak. As I said, one medium sized is trying to sell and run before its demise.
With smaller things, we can manage and put more people to work. More owners of small businesses flourish etc. The next stage will come in time. It is just that the government's track record is not encouraging to support your view.
The input is lacking; the wheat is not there yet; US aid only send processed flour to mainly recycle their strategic storage? So much for the grandiose Takele's Bakery Inc. then?
First grow enough wheat for god's sake! Then build white elephants to process it; can we do that? We have huge youth population running around without jobs in millions to do that.
We try to build 10 or 20 sugar industries; super mega hydor power? Thanks to the incompetent TPLF/EPRDF not a single factory is completed yet. It's probably good to stick to something you know first; like farming; growing wheat.
DefendTheTruth wrote: ↑29 Apr 2020, 15:55Dawi,
this is the time Ethiopia will say that she too got also into the business of "mass production" and with that, the main gain is the economy of scale (for the owners, automatically leading the monster factory be the sole elephant in the field).
What comes with mass production? many things may come but one thing is certain, which is lose of quality. The good old days bread will be the thing of the past for the customers of the elephant, the consumers.
What is left to the small businesses then? The answeer is simply the vacum left by the monster itself: concentrate on the needs of the those who are not going to buy the products of the monster, who are seeking the quality old day's bread of the middle class and are ready to pay more in response. For more quality they (the old bakeries) can demand more price.
I visited home before sometimes in the past and wanted to eat the old day's grilled beef in Addis, but sorry couldn't find any, for whatever reason. It could be that i didn't find the right place or there is no more old day's quality beef (yebere tibs I used to enjoy at Sanga-Tera of old days, but unfortunately I couldn't even say where exactly Sanga-Tera lies today , it could be my taste that changed or the old good quality products are no more there these days.
So, coming back to the fate of the "old good bakeries" they have two options: take the remaining slot in the market and tend to the need of the growing middle class consumers of the city and ask for more price or come together and create their own consortium that could keep them afloat in the pursuing fierce competition of free market economy or wither out and lose at the end.
This scheme will expand to all sectors, i am afraid and it is upto those in the respective fields to realize this simple logic before it could be too late for them.
Defend,DefendTheTruth wrote: ↑29 Apr 2020, 17:37Dawi,
I said that it is not politics of scale rather it is economies of scale (it is simply the economy that dictates it, we may like it or dislike it, it would going to happen). Did I hear Sheik ALMudin is the most successful business man in Ethiopia? If so, rest assured, he knows more than most of us, where to put his money.
Do you think the Sheik is not versed in understanding where to find the supply to such a mega factory before concieving a mega factory, without any viable business blue print for it?
Don't forget also that Ethiopia just introduced tractors into the hands of the small farmers in the country for the first time in the whole of its whole history...
If you think that, then no wounder that you and me are poor dreamers and people like the Sheik are true makers,....
Dawi,
Defend,DefendTheTruth wrote: ↑30 Apr 2020, 03:51Dawi,
you couldn't have done me any worse than expecting me to listen to the duriye guys of so called 360 or what ever.
Is it not the same club of the likes of Ermias Legesse, someone who has morally liquidated himself already by openly lying in the public.
Sadacha - I concur! It is nice to hear from Ethoash.Sadacha Macca wrote: ↑01 May 2020, 17:32the economist professor ethoash does make sense here. interesting.
Ethoash,