A note from Alternativ
The last few months have certainly been a turbulent time for Alternativ partner organizations, training graduates, our local supporters and families and communities all over the world.
A recent blog by the World Bank Managing Director of Operations Axel van Trotsenberg claims that “due to the impacts of the COVID-19 crisis, four out of five people in the global workforce of 3.3 billion are currently affected by full or partial workplace closures.”
Those closest to us have lost their jobs and entered into hardships never before seen. Alternativ graduates and daily wage earners all over the world have been forced to shut down their businesses. In Uganda, new apprentices and other recent hires empowered to seek opportunities for the first time in their lives have been laid off. In Nepal, families surviving on remittances from their loved ones working abroad have suddenly seen sources of income evaporate. More of the same can be seen both locally and wherever Alternativ and our partners have worked to empower communities and inspire entrepreneurial ecosystems.
Before 2020, acting under the guidance of the UN SDGs (learn more), the international community had celebrated consistent and steady declines in global poverty for almost 30 years. For the first time since 1990, it is more than certain that these numbers will again rise (see UN working paper: https://www.wider.unu.edu/sites/default/files/Publications/Working-paper/PDF/wp2020-43.pdf)
The same World Bank blog states:
“The economic and social impacts of the pandemic are reverberating globally: amid great uncertainty, we can all foresee a very different world for a long time to come. Millions more people are likely to fall into extreme poverty as a result of COVID-19, and the existing poor will experience even deeper deprivation.”
Should we hope to curb the global economic effects of today’s concerns, it is then, without question, that we work to integrate and optimize development programs with a long-term focus, emphasizing what has worked effectively and promoted self-sustainability. Although great strides have been made, as has been argued and proven time and time again (view more on our why business page) as well as emphasized in various formal studies, standard practices in development and aid have not shown to be very effective in eliminating poverty. This study by William Easterly, Economics at NYU, makes the same conclusion using quantifiable indicators and empirical models looking specifically at both UN and private development initiatives.
https://williameasterly.files.wordpress.com/2010/08/61_easterly_williamson_rhetoricvsreality_prp.pdf
When we invest in entrepreneurship, education, and business support, we encourage learning and we encourage trial and error. We break dependency. We promote innovation.
As Deirdre N. McCloskey. esteemed professor at the University Of Chicago, outlines in her book “Bourgeois Dignity: Why Economics Can't Explain the Modern World”, by investing in entrepreneurship, we “enable poor societies to find ways to create new approaches to help them move out from their plight.”
And we have seen this occur naturally, evident by Alternativ graduates all over the world rapidly shifting their business models or jumping on new opportunities to make a difference in their lives.
Alternativ Graduates shift business models to make Masks - Picture credit TOLI International
Alternativ Graduates shift business models to make masks - Picture credit TOLI International
Shanitah closed the doors of her shop, but not her business, keeping in touch with her customers via phone and FB and selling off have of her stock by the time lockdowns subsided.
Soap and cleaning supply business started to provide essential communities needs during lockdowns. - Picture credit TOLI International
Alternativ’s Business Essentials Curriculum and Mentorship Program has had incredible results uplifting individuals and families all over the world. But it’s only one part of the equation.
American entrepreneurs and business owners (like many of you reading this blog) did not get where you are alone. You surrounded yourself with effective team members and mentors. You grew up in an environment where taking risks was encouraged, where ongoing education was valued. You had access to business resources and support bodies, lawyers to help file patents, bankers to give credit, and more.
When society as a whole adds legitimacy, dignity, and liberty to entrepreneurs, entire social ecosystems change. When women are given opportunities to earn money, domestic situations improve. When people are shown how to budget and manage finances they are better prepared for emergencies. When communities come together to learn and pool resources, they unite and they grow. When individuals are taught business, they bring new markets and services into their community and they provide solutions to community problems. When local leaders in one village in The Democratic Republic of Congo see jobs and innovation grow after Alternativ Training, others request it in their village, for their own communities. Slowly but surely, individuals are equipped with the tools they need to get out of poverty. Slowly but surely, even the most marginalized gain equality and inclusion. Slowly but surely, governments and policy makers take notice.
“Entrepreneurship can be harnessed to fuel positive, sustainable global impact much faster than any other form of social good”
CEO - All Across Africa
Now, more than ever, Alternativ is committed to the truth that #BusinessIsBetter. While we, as a global society, move past addressing short-term emergency concerns brought on by COVID-19 and look towards addressing global poverty and refocusing on UN SDGs, we know that charity doesn’t end poverty. But business can.
P.S. Want to support Alternativ in its mission to promote business as a tool to eradicate poverty? Donate today or join The A Team as a corporate sponsor.