The announcement that South Africa will host the 2010 FIFA World Cup served as a beacon of hope for many young South African Small, Medium and Micro Enterprises (SMMEs) looking to benefit from the tournament.
However, with less than 130 days left before kick off is seems that South African SMMEs could be in for a disappointment.
In 2009 SME Survey released research findings that revealed that the promise of a World Cup windfall for South African business in 2010 is likely to fall dramatically short for SMMEs. Especially because FIFA is known for fiercely protecting the rights of its sponsors to do business in zones surrounding match locations and as a result this counts against many SMMEs.
Sponsored by Standard Bank, National Youth Development Agency (NYDA) and Fujitsu, SME Survey is in its seventh year and polls 2,500 SMME business decision makers on the issues they face and how they overcome these to remain competitive and sustainable in the current economic climate.
The recent reports that Zakumi, the 2010 soccer World Cup’s official mascot, is being produced in China has further re-enforced these sentiments. “The 2010 FIFA World Cup brought with it the opportunity to promote and sell the South African experience. As the NYDA we were hoping that young entrepreneurs in industries such as arts and culture, food and beverages, transportation and accommodation would get cash injection during this tournament, said Steven Ngubeni, the NYDA CEO.
According to Ngubeni the lack of benefits to SMMEs should not in any way cast any doubt on South African SMME’s ability to offer world class products and services. “There is no doubt in our minds that there is a pool of talented young South African SMMEs that are running successful businesses and can deliver at the drop of a hat,” says Ngubeni.
He added that young entrepreneurs should continue to look for business opportunities outside the match location zones, businesses that will survive beyond 2010. They should also explore working in groups. In return the NYDA will support them by offering business loans, business mentorship, entrepreneurship training and business development services such as marketing, legal services and accounting and bookkeeping.
“The production of Zakumi in China should not deter South Africans from supporting the biggest sports spectacle this country has seen to date. As the NYDA we will continue to support the LOC with mobilising youth to support the World Cup,” Ngubeni concluded.
For information please contact:
Refilwe Mphane
National Youth Development Agency
Cell: 084 308 5860
E-mail: rmphane@nyda.gov.za
Siyabonga Magadla
National Youth Development Agency
Cell: 083 686 9016
E-mail: smagadla@nyda.gov.za
Issued by: National Youth Development Agency
3 February 2010
Source: National Youth Development Agency (http://www.nyda.gov.za)
