Friday, September 10, 2010

Pathways To A New Black Economy: The Indispensable Factor

Ali & Malcolm XHands are fascinating things, more fascinating to me than feet, although feet, too, have a fascination all their own.

When you give it some thought, you realize that we rarely use one finger to accomplish much. We can use one finger with which to scratch, but an itch of any magnitude wouldn't long stand for that, and would cry out for more than one finger, or all of them at once, to bring faster relief.

Similarly, with one finger we can type in a "hunt and peck" kind of way, but if you've learned to type, even in a rudimentary way, you know that typing, using all eight fingers and two thumbs, is a quicker, and more efficient way to transfer letters onto sheets of paper, or along imaginary lines of cyberspace.

I don't think I have to belabor the value of hands working in unison, and toward a common purpose (Rarely does one hand not know what the other is doing.) to drive home the point that individual action alone--although desirable at times--cannot surpass, or compete with, the concerted effort of even a few participants committed to a common cause.

On such occasions, committing both hands to the task (all digits on the hand working together), makes an arduous task easier, efficient, and quicker. In the picture above, Ali is cradling a writing pad in his left hand, while penning something with his right--a cooperation of mind and body that runs deeper than this simple act.

And, too, nature knows a thing or two about things working together to achieve common goals. Our ecosystem is designed for such cooperation, and when man intrudes upon this system, as is often the case, and upsets this carefully balanced cooperation, and interrelatedness, disaster may strike, and the whole may suffer because a part of the whole has either been ignored, or has, in some way, been damaged.

The next two blog entries (articles) will explore one of the means available to us to create a Black Synergy, a Black Ecosystem, and a Black Cooperation that will allow us to overcome the hurdle of distance, and help us create a structure, a system, and a mechanism by which we may combine our energies, and our resources, so that we may integrate them to create a New Black Economy using our collective will.

We often hear the oft-repeated saw: "There's strength in numbers."

True. And when those numbers are in agreement, working toward one purpose, with one mind, pursuing the same goal--the intention that is built up around that common idea is virtually unstoppable, and irrepressible.

And we're reminded of that other saw: "There is nothing more powerful than an idea whose time has come."

It's that kind of devotion to a cause that's often required to achieve on a large scale, but that level of achievement only comes when we can put aside our differences, and our individual pursuits long enough to create and develop the kind of synergy required to carry out, and carry through, a common purpose.

So, as someone has already mentioned, finding those of like mind, with a similar desire to pursue a common goal is requisite, and would permit the Fourth Pathway to a New Black Economy to be a piece of chocolate cake.

Muhammad Ali, and Malcolm X appearing together in the photo above are emblematic of the kind of cooperation that's needed among our people if we're going to seriously advance our cause with diligence and speed.

Ali, the cocky prize fighter, and Malcolm X, a student of race relations in this country, both, at the time, representing a breaking with the economic and political power structure of their day--one that dominated black life, and frustrated the realization of black economic autonomy.

Ali used the system to earn millions of dollars, a fortune that would assure him a life of luxury, and financial independence. Malcolm, on the other hand, opposing the system, achieved the same end--financial independence--but with an additional advantage: Malcolm possessed the knowledge of how best to use his fortune, and invest it back into the black community, so that all blacks could prosper. Had the Nation of Islam not been a religious movement, but, instead, an economic movement, for the betterment, and advancement of the black community, I believe we'd be farther along in our efforts to build a mostly independent black economy.
The Indispensable Factor
If you've come this far in the article, you have certainly intuited what factor represents The Indispensable Factor: It's a black collective willingness to collaborate in large enough numbers, on a broad enough scale, to push our economic agenda forward with great deliberation, and great haste, taking advantage of those means at our disposal to expedite this push.

Just as the hand rarely operates efficiently and quickly by relying solely on one finger to bear the burden of the whole, neither should we rely on the efforts of one individual (even if he's the president of the United States), if we're going to progress at a pace that's meaningful, and ameliorative. If we don't find ways to conflate our sundry interests, then progress will be slow and laborious--not unlike what it's been up to now.

I believe that Booker T. Washington, and W.E.B. Du Bois, would have expected more from us, although Du Bois believed that issues around the "color-line" would dominate the previous century, when he wrote: "The problem of the twentieth century is the problem of the color-line—the relation of the darker to the lighter races of men in Asia and Africa, in America and the islands of the sea."

And their vision for blacks in this country--Washington, and Du Bois--wasn't all that incompatible, although Washington was seen as an accommodationist, and Du Bois an agitator for social change. Both visions could have stood side by side, and should have.

Had the two men found ways to meld the interest of both, and worked on behalf of the other, social, political, and economic progress would have come in leaps and bounds, rather than small, halting steps.

I've always contended that the Negro has no problems, at least not an inherent one. His problem exists as an existential one. Yet, it's a problem that he has within his grasp the means of besting. We've heard the saying, "There's safety in numbers." Well, there's another thing that recommends "numbers," especially numbers of great size, representing millions of people with a common cause. Those numbers are the kind of numbers that force others to take notice, and give their respect.

The next article will serve as the flagship article for the series of articles exploring the development of an autonomous black economy. But for now, let me leave you with more statistics for consideration, but this time giving background information on blacks as consumers.

The Black Consumer Market

"The Black population is younger than the rest of the U.S population. In 2008 the median age of the Black population was 41 compared to the general U.S. population at nearly 45. In addition, females represent a greater percentage of the Black population in the United States. While the Black American median household income is lower than the U.S. average, the percentage of Black American households with an income of $50,000.00 or more grew 13.5% between 2003 and 2009, compared with 8.4% for the total U.S. households.

"According to the University of Georgia’s Selig Center for Economic Growth, the buying power of Black Americans was $855 Billion in 2008 and estimates the buying power in 2012 to reach $1.1 trillion. In that same year, the US Census Bureau estimated the number of Black residents at 40.7 million, comprising 13.5% of the total US population. The number of Black-owned businesses was 1.7 million in 2008, a 58% increase since 1997 and Black businesses generated revenues of $92.7 Billion that year. Black Americans are also gaining ground in education. In 2008, 18% of Black Americans held Bachelor Degrees and 1.5 million held advanced degrees (Master’s, J.D., M.D. PhD).

"Black Americans are attracted to companies that represent their lifestyle with targeted messages and images. It is the responsibility of marketers to attract and maintain a relationship with the Black consumer.

"'Black folk are not just dark-skinned white people. Marketers who consciously establish a relationship with this lucrative yet under-served market, by better understanding the African-American culture, mindset, attitude, behavior and lifestyle, will reap significant long-term rewards from a loyal, influential, increasingly affluent customer base,' - Herbert Kemp, Founder & CEO of What is Black about IT? LLC."
Source

17 comments:

Blinders Off said...

BD,

If you've come this far in the article, you have certainly intuited what factor represents The Indispensable Factor: It's a black collective willingness to collaborate in large enough numbers, on a broad enough scale, to push our economic agenda forward with great deliberation, and great haste, taking advantage of those means at our disposal to expedite this push.


The hurdle is Willingness to collaborate in large enough numbers

Check your email

Black Diaspora said...

Blinders Off, thanks for the information on the foundation. It's well thought-out, and organized.

You have some forward thinking family members with a love of family, and a willingness to make that love a concrete reality through their generosity.

I will e-mail you back, soon. I wanted to let you know that I've received your e-mail.

And you're right about the hurdle. It's a major sticking point.

Anonymous said...

BD,

I just wanted to check and let you know I'm here. This is a good one and as usual, very well written. I have loads of comments. Gimmie a couple of days. I was helping a relative move this weekend, so I've been hoping.

Greg L

Anonymous said...

hoping=hopping

Black Diaspora said...

"I have loads of comments. Gimmie a couple of days. I was helping a relative move this weekend, so I've been hoping.

Greg L"

Greg, I'm looking forward to your comments. I'm working on the next segment. This one will be up for a while.

Kathy said...

Black Diaspora, I am here too, as to your question about my blog, I just can't seem to figure out a focus point, when I do, I will be back.
This is a very stimulating series you have been writing.
I am looking forward to reading more of the comments, here.

Kathy said...

I mean, too, not "here", lol.

Black Diaspora said...

@Kathy: Thanks for responding to my concern about your blog, Kathy.

In time, you'll find your focus: I'm sure of it; and you'll be back at it, in short order.

The commenters have been small in number, but the comments, I agree, have been "stimulating," perhaps more so than what I've had to offer.

I've just about completed what I term the "flagship article," which, because of length, I had to divide into parts.

Keep returning, we haven't as yet turned the corner on this topic, but we're getting there.

Greg L said...

“I don't think I have to belabor the value of hands working in unison, and toward a common purpose (Rarely does one hand not know what the other is doing.) to drive home the point that individual action alone--although desirable at times--cannot surpass, or compete with, the concerted effort of even a few participants committed to a common cause.”

BD,

Once again, I thank you for providing these series of posts on this topic. As you and your readers might suspect, this is one of my favorite topics and I’ve some thoughts to share on what I see as the central theme of working in unison towards the betterment of all.

There’s a book I read about ten years ago that you’ve prompted me to pull out and re-read now. It might be worthy of review by any of us who are interested in this topic. The name of the book is “Tribes: How Race, Religion and Identity Determine Success in the New Global Economy” written by a guy named Joel Kotkin. In the book, he chronicles how certain ethnic groups were able to use their culture to attain economic success. He suggests that the values and the cultural networks that exist within the ‘tribe” can give rise to a situation where the hands work almost unconsciously together for a common purpose or greater good. Of course, the major difference between African-Americans and the groups he studies (Jews, the British, Chinese, Japanese and Indians) is that all of these groups were never severed from their cultural bonds even as some were exploited with colonialism. Most have long ancient histories that are well known that give them a context into which to place their culture even if they were colonized at some point.

As I was writing this, I took a moment to briefly review Chinese history. In a way, it’s not unlike the history of Africa or that of our antecedents here in America. The European powers, including our own nation, actually forced opium into China to cure a trade imbalance hence addicting major portions of populace. They wound up fighting two wars to force the Chinese to allow continued opium sales and forced a number of unfair and uneven treaties on them. (Yes, two wars were fought to sell drugs). Typical of the African colonial experience, they sent in the missionaries who were a source of great resentment which spawned yet another attempt to throw off the yolk of colonialism with the boxer revolution. That was ultimately put down with the European powers, the US and Japan once again carving up China and trying to dissolve it as a viable state. The onset of the World Wars forces these powers to quit and the country descends into warlord rule. After the end of World War II, Mao comes along with his cultural revolution, making huge missteps that made that nation an economic basket case while conducting countless purges and senseless killings. The story of Mao’s rule in China is one of intrigue, double dealing and purges with little forward movement at all. The one thing that seemed to be the main organizing mechanism was the communist party, but dissension and constant crabs in the barrel type infighting ruled the day. After his death in 1976, only 34 years ago, does China set out on its economic juggernaut as evidenced today led a guy Mao tried to hem in--Deng Xiaoping. Although no one says much about it now, we all know that the Chinese governmental philosophy is drastically different than ours in the sense that they’re a communist nation; the old bogeyman that we had air raid drills for back in the day. (For all the talk of Obama’s supposed “socialism”, it’s a wonder someone hasn’t pointed out the communist miracle that funds our nation’s profligacy—but let me not digress)

Greg L said...

part 2

This is not to suggest that China is not without problems, but I say all of this to suggest that the challenges we face are not unlike those of other peoples. It’s not as if they possessed a magic bullet that supported their rise economically. To me, it just seems that there was a confluence of events combined with the appropriate leadership that “matched the moment” that gave impetus to their rise. So I’m in agreement with this statement:

“I've always contended that the Negro has no problems, at least not an inherent one. His problem exists as an existential one. Yet, it's a problem that he has within his grasp the means of besting.”

The main issue I believe we face is how to re-inculcate a value system that’s aligned to that which we need to develop our communities economically. I say re-inculcate as this was something that we had at one point in the post reconstruction period. The newly freed slaves were not without challenges, but in the main possessed the sort of “values” not much different than those ethnic groups chronicled by Kotkin. The shared experience of slavery, as horrible as it was, and Jim Crow segregation created a clear outside threat that was actually a unifying force that spawned Little Black Wall Street in Oklahoma and similar places all over the country. There were no illusions about what we needed to do because we had no other options.

Getting the hands to work together really gets boils down to one thing—leadership and we’re talking about a much different sort of leadership than what we’re accustomed to. We’re talking about the type of leadership that’s capable of showing the way with both a vision and a model of execution; something we sorely lack in a number of spheres within the community. Those who lead can’t just say it, they must do it.
I believe that our current model of organization presumes that this must be a mass effort and although it may ultimately become that, I believe a dedicated few are fully capable of making a disproportionate impact even if their numbers are small. For example, although I don’t have the statistics, no one could convince me that drug dealers and gang members outnumber the rest of us. They seem so numerous and have a disproportionate impact because they happen to be more organized than anything else in some communities. Moreover, they have presented a model that works, even though it’s twisted and destructive. So, in the absence of a competing model, folks sign up with them by default. This issue relating the paucity of effective models cuts across the community on the business, political and social fronts IMO.

Greg L said...

So the key task for leadership—and I consider anyone who addresses the issues we’re discussing here in a meaningful way a leader—to be set about the task of creating the models with the notion that if you build it, they will come, get involved with something that works and ultimately emulate and improve upon the model. Everyone wants to be part of something that’s winning. This will get some of the hands working in unison. The models must be extremely competitive and decisively beat the ideas that have gained currency now.

BD, you’ve mentioned a number of interesting statistics here in this post and the preceding one and I’d like to come back and comment on those further as they’re significant on the question of economic development. The economic malaise that besets us currently also provides an interesting backdrop in my opinion. It is actually phase one of a larger crisis that will be enlarged by an energy crisis as the demand for fossil fuels begins to hit the wall of supply constraints. (For now, the energy issue is flying under the radar). The economic crisis is frequently addressed in the context of what this contributes to a variety of maladies like black unemployment, increased food stamp usage and etc., but I’ve not seen where this is considered as a planning opportunity in the context of how we can position ourselves not only to mitigate damages but to seek opportunities.

To some extent, China’s and India’s emergence as economic powerhouses was an outgrowth of the financial reversals of their colonizers making colonial empires financially unwieldy. The removal of these outside influences allowed these nations to independently craft a course aligned to their interests. The point I’m attempting to make here is that any crisis upsets and displaces elements within the existing economic/political/social order and depending upon how one is aligned to the new order that emerges dictates whether he’s in the winning or losing column.

As we discussed previously, one of the biggest outgrowths of this economic crisis will be profound disenchantment with big business, government and anything else that’s far flung and unaccountable. The supply problem on energy will combine with this and create a huge demand for all things local. If 59% of the African-American is concentrated in 10 states, some of which happen to be among the most populated in the nation, this could be a huge boon for anyone who can position themselves to sell goods and services to those markets as the competitive factors that exist now might be considerably lessened under the weight of these crises.

Whether we’re able to position ourselves optimally to the emerging circumstances is function of leadership.

Finally, I most apologize for the length of this response. I normally try to be conscious of this sort of thing, but the topics you raise here don’t lend themselves easily to brevity

Anonymous said...

BD,

Can you delete the posts at 10:15 and 10:19? They were posted out of sequence and replaced with the last three posts. Blogger gets me everytime which is why I find this platform challenging at times. Thanks

Greg

Black Diaspora said...

@Greg L: "The main issue I believe we face is how to re-inculcate a value system that’s aligned to that which we need to develop our communities economically. I say re-inculcate as this was something that we had at one point in the post reconstruction period."

I quickly recognized that there were many assumptions built into my model for black autonomy, the main one being: Would enough blacks see the benefit of collaboration, and collective participation, in a system that purports to economically elevate the black community.

I don't think that we, as a group, have cultivated that willingness--that value--that says, I can find, and see my good, in the collective good of others: In this case, black others.

You're right to say: We possessed this "value" once, but over time, that value has eroded, and have fallen victim to the value of the larger economy, and our effort to circumvent it--"Don't pay full price for anything," and, if you can, "Keep up with the Jonses."

In a new black economy, just the opposite may be true: Buy black, even though you may have to pay more, and sacrifice trendiness and what's in vogue, if necessary, so that the black economy may prosper.

This new value: To sacrifice individual satisfaction, occasionally, in support of, and in pursuit of, the collective good is not a value that many blacks have had to live with, let along subscribe to.

"There were no illusions about what we needed to do because we had no other options."

Black sociologist, E. Franklin Frazier posited once, as a thesis: As integration became a reality for blacks, black institutions would disappear--black businesses, black newspapers, black colleges, or what have you.

So eager were we to sit anywhere but the balcony, to frequent restaurants that were off-limits to us, that we abandoned our own, for the lure of what was once forbidden.

It was a mistake, but not an unexpected one: Integration meant that, at last, we were equals.

Of course, we weren't in their eyes.

"If 59% of the African-American is concentrated in 10 states...this could be a huge boon for anyone who can position themselves to sell goods and services to those markets as the competitive factors that exist now might be considerably lessened under the weight of these crises."

My next article examines this reality. I will address it again in a subsequent article. There's always opportunities available in disasters: We need only realign the stars.

"So the key task for leadership...to be set about the task of creating the models with the notion that if you build it, they will come, get involved with something that works and ultimately emulate and improve upon the model. Everyone wants to be part of something that’s winning. This will get some of the hands working in unison. The models must be extremely competitive and decisively beat the ideas that have gained currency now."

That's a tall order, but not impossible. All models have an upside and a downside. The trick is to create one that has more upsides than downsides--and keep the trajectory trending upward.

Greg L said...

… So eager were we to sit anywhere but the balcony, to frequent restaurants that were off-limits to us, that we abandoned our own, for the lure of what was once forbidden.

There are people who do nothing other than figure out what social and political movements mean from an economic standpoint. The black community is constantly studied in this sense even as most of us are totally unaware. Here's another quote from you BD a few months ago when you and I were having a discussion about Rand Paul that's germane here:

Ours was a great longing. We did not see ourselves as real Americans unless we had access to what whites had access to. Knowing this, whites used separation as a weapon. Segregation was used to affirm our inferiority--that is, our supposed natural state. Whites used it to reinforce their supremacy, and our inferior status. For blacks, that couldn't stand. Either we (blacks and whites) stood as equals, or we didn't stand at all.

Marketing in business is all about how people are feeling, but most of us aren't conscious about this. If we were, we wouldn't got for half the stuff we get sold. If one feels bad about being overweight, I can make money if I can come up with something to address those feelings. If you feel bad about being poor, I might come up with financing mechanisms (credit cards, car leases and etc.) that can give you the illusion of feeling rich even as I make you poorer. The point here is clear. On a certain level, having the privilege to spend money in integrated establishments played to our longing to be accepted. It played to our feelings. So the social change fostered by integration was a marketing and business bonanza. Those who made out like bandits were those who anticipated the change and got ahead of the curve. Sometimes, people get impatient and actually push for change simply due to economic considerations. At other times, they observe the natural course of events and position themselves relative to where they believe things are headed. Certainly the latter occurred with integration and for all we know, there may have been agents involved to guide things in a certain direction. Both have occurred in America on other issues and continue to occur now largely invisible to those who are the targets.

What are matters of justice for us is a matter of economics for others. Our proper pursuit of justice is frequently used against us in an economic sense. The fact that we positioned as victims ensures a continued pursuit of it which reinforces the longing for acceptance which feeds those who live off this. I believe that folks are working overtime to ensure we remain in this sort of position and our leadership unwittingly assists in this role. This is why certain people are funded. For example, you can mention Al Sharpton’s name to most whites and most have a very low opinion of him, but if that’s the case, why is corporate America funding him? And no, I can’t go for the “shakedown” explanation either and these corporations aren’t simply being altruistic. This is an investment in our continued positioning and he’s an indispensible component in that. They want victims, folks longing for acceptance and chaos as that supports the economic order. I believe Sharpton plays an unwitting role in this agenda.

I don't argue against the need to pursue justice. I just think that getting requires power and that is not coming from the directions that are typically pursued.

I’m sorry if I seem as if I’m off topic here, but our economic development is not separate from those social/political aspects that are shaped deliberately and explain why there was more economic development in the post reconstruction period versus where we’re at now. There was a class of black consumers created for someone else's benefit and not our own. Of course, there’s no need for that to continue which is the whole point of this series.

Greg L said...

I just can't seem to figure out a focus point, when I do, I will be back.

I felt like this for a time as well. And even now, my focus point on my own blog changes. In a way, I just gave up on having a specific focus point other than what I feel like writing about.

Blinders Off said...

The shared experience of slavery, as horrible as it was, and Jim Crow segregation created a clear outside threat that was actually a unifying force that spawned Little Black Wall Street in Oklahoma and similar places all over the country. There were no illusions about what we needed to do because we had no other options.

Black Wall Street is proof that a black economy can exist. I also believe it was destroyed because whites were envious and threaten of the success of Black Wall Street. One can only imagine what today would be like had Black Wall Street not been destroyed.

Getting the hands to work together really gets boils down to one thing—leadership and we’re talking about a much different sort of leadership than what we’re accustomed to. We’re talking about the type of leadership that’s capable of showing the way with both a vision and a model of execution; something we sorely lack in a number of spheres within the community. Those who lead can’t just say it, they must do it.

A different sort of leadership than we are accustomed to definitely needs to change. For too long, the black community looked to their pastor or reverend as their leader, when he or she should only be their leader for spiritual guidance and not for economic or political guidance. The subject of how spiritual leaders mislead is touchy to many. However, it must be discussed if we are going to have a true discussion on how we can develop and empower our community economically, socially, and politically.

Greg L said...

"A different sort of leadership than we are accustomed to definitely needs to change. For too long, the black community looked to their pastor or reverend as their leader, when he or she should only be their leader for spiritual guidance and not for economic or political guidance. The subject of how spiritual leaders mislead is touchy to many. However, it must be discussed if we are going to have a true discussion on how we can develop and empower our community economically, socially, and politically."

Let the blog say amen! Blinders, I agree totally.