Why many indigenous companies close shops — Senator
Many indigenous companies do not last long because of the obsession with making high profits in their early years of operations, Otunba Gbenga Daniel has said. Daniel, a serving senator, said this during the 35th year anniversary of his engineering company, Krestal Laurel Limited, on Thursday in Lagos. “Many indigenous companies were not established for […]
Former governor of Ogun State, Otunba Gbenga Daniel,
Many indigenous companies do not last long because of the obsession with making high profits in their early years of operations, Otunba Gbenga Daniel has said.
Daniel, a serving senator, said this during the 35th year anniversary of his engineering company, Krestal Laurel Limited, on Thursday in Lagos.
“Many indigenous companies were not established for the future because their owners concentrated too much on making profits in their early years of operations. That’s why many closed shops- they didn’t set up for the future”, Daniel who was a two-term governor of Ogun State said.
The senator representing Ogun East Senatorial district argued that companies aren’t set up solely for profits but to also leave a legacy.
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He said the collapse of industrialisation in the country is the major cause of high unemployment, calling on Nigerians to address it.
He said many people didn’t give Krestal Laurel any chance of survival when it was established in 1990 because at the time many foreign players were in the sector then.
He said: “Being an indigenous company many people wrote us off. Some didn’t not even want to give us jobs, they believed expatriates are better than us. But we didn’t give up and we didn’t chase profits as the main motivating factor. We forged ahead despite the challenges and today, we still stand.”
He said though becoming an industrialist isn’t a small task in Nigeria because of many challenges associated with it, the country’s economy can only thrive better when many people go into industrialisation.