African Entrepreneurship Record
Chapter 1381 - 368: Urban Transformation (Part 3)
Chapter 1381: Chapter 368: Urban Transformation (Part 3)
This is also the truth. Calculating the permanent population of Mbeya City, the population is over one million, and its economy, industry, science and education, and transportation are all advanced, making it a major city even in other countries.
Valence said: "Your Harare, being the provincial capital, is comparatively fortunate, as its resource endowment is not much worse than Mbeya City. As long as the direction is adjusted, transformation can surely succeed. Our Guilu, however, faces much bigger problems."
"Apart from mining and metal refining, Guilu has no other industries that can take the lead, so even if we want to transform the city, the difficulty is beyond what you can imagine."
As the capital of Bohemia Province, Harare does not lack public resources like administration, education, and medical services. It is also a transportation hub and has various industries, so even going through transformation involves only a short period of adjustment and eventual success.
But Guilu is entirely different. Although it is also a Prefecture-level City, Guilu is a typical resource-dependent city with a very singular industrial structure, ultimately established based on local mineral resources.
Ikti said: "The development prospects for Guilu City are indeed grim, and this is an issue many cities within the province face, especially numerous small and medium-sized towns, whose predicament is even more severe than yours."
"According to the provincial government’s requirements, a portion of towns will inevitably be eliminated during this round of transformation, unless they can find sustainable industries."
"And there are many competitors in such industries. Your advantage lies in relatively better foundations, so integrating your resources and supporting emerging industries is the only way out. Clearing through it will lead to broader horizons, but failing will only lead to gradual demise."
Resources-dependent cities are not without other advantages, but these advantages are all brought by mineral resources, such as hospitals, schools serving miners, railways built for mineral transport, and factories invested in and constructed.
However, all these industries are supporting projects originally for mining and related industries. If resources become exhausted, significant issues will arise. If no other pathways are found, population outflow will inevitably follow, which in turn will lead to the closure of some schools, hospitals, and factories, further intensifying outflow and creating a vicious cycle.
This is why Bohemia Province is anxious, with Guilu City being a typical industrial and mining city.
Valence said: "This is also my concern. In fact, Guilu is at least a Prefecture-level City, and no matter how there is disparity, as long as the administrative level is maintained, it can be sustained. But more importantly, it’s the towns below Guilu."
"Therefore, when I return this time, I plan as much as possible to reorganize the city’s resources, initially retain the enterprises and public units, eliminating a batch of unreasonable enterprises and units, or directly driving some enterprises to transform locally."
"Bohemia Province doesn’t have poor foundational conditions, and Mbeya City’s successful transformation over the years has relied on local geographical and policy advantages."
"Geographically, Guilu surely can’t change, so in policy, we must aim to learn from Mbeya City, especially in supporting the development of certain conventional enterprises, which is a crucial point."
So-called conventional enterprises can be understood as unremarkable companies with no outstanding characteristics, but these are actually the most unconventional, as most businesses belong to this category.
For example, the rough processing of agricultural products has no technical content, but the market is relatively stable and can drive employment, which Valence values. Of course, part of Valence’s reasons for not being optimistic about high-quality enterprises willing to develop in Guilu.
After all, Guilu is merely an unremarkable city throughout East Africa, so what can attract high-quality enterprises? Just like some cities without prestigious universities and weak industrial and economic foundations, engaging in seemingly cutting-edge industries mostly ends in failure, as their inherent foundation is weak; if the base isn’t solidified well, later developments can easily become aberrant.
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