Companies which solve big national challenges will always receive special goodies from governments. In America, Intel, GE, SpaceX, etc will get special benefits which are not available to New York street traders.
Simply, as a company, when you accumulate and compound capabilities to solve problems in economies which governments want solved, but have limited capabilities, governments will listen to you. I have called this “conglomerate tax”, a phenomenon where nations and citizens pay “taxes” to conglomerates, because they help them fix massive market frictions in their economies, which most times only those corporations can fix at scale!
As we welcome new learners to Tekedia MinMBA, most begin by reading my ebook – The Dangote System: Techniques for Building Conglomerates. In the book, I provide a mechanism on how to build category-king companies, and unlock those conglomerate taxes!
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It is as simple as ABC; if you have $10 billion to invest in the Nigerian agro sector, healthcare sector, power sector, etc, the government will give you many goodies, because you are coming big. Begin reading here
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Register for Tekedia Mini-MBA (Sept 9 – Dec 7, 2024), and join Prof Ndubuisi Ekekwe and our global faculty; click here.