Zimbabwean companies have been urged to take a global approach to penetrate the international markets and meet the growing demands of the population. Speaking at the inaugural Africa Business Leadership Summit held in Harare last week, Professor Arthur Mutambara said local companies should move from being national companies to become international companies in order to match the growing demands of globalisation.
“Business leaders must think of expanding globally in order to be competitive on the global market,
“There is need for a paradigm shift from having national sovereignty tags to regional and international players,” Professor Mutambara said.
Prof Mutambara said that in order for African nations to be competitive, they should approach the global market as a cluster or as a continent.
“Africa is too small to be sovereign under globalisation, therefore it should approach the global markets in a united formula, and numbers speak volumes,” he added.
He also took a swipe at mining companies that were not complying with the country’s indigenisation policies.
“Mining companies should desist from having a mindset that discovering a mineral is ownership.
“Mineral resources belong to the people of Zimbabwe and mines should have strong corporate social values in empowering the locals,” he said.
Sir Mark Moody Stuart, who was the guest speaker at the summit, echoed the same sentiments that mining companies should comply with the indigenisation law.
“There should be production sharing contracts between mining companies and the Government where profits are shared and then channelled towards economic development,” he said
He also added that the policy of indigenisation is also being practised in different countries in Asia and is producing positive results.
Zimbabwe introduced indigenisation and economic empowerment regulations that compel foreign-owned companies to transfer majority shareholding to locals. The programme has, however, received negative responses from the Western media.