Minority businesses are growing faster than are all other small business segments. But when it comes to high-performing businesses, minorities in telecom are in a league by themselves. Average revenue is much greater.
The federal government operates programs that provide preferences to economically and socially disadvantaged individuals to compensate businesses for past and present discrimination.
Firms in IT and telecom industries owned by African Americans, Latino Americans, Asian and Pacific Islanders, Subcontinent Asians and Native Americans are outperforming other firms.
Government agencies established minority business programs to address decades of unfair treatment of minority businesses. Today, many unfair practices have ceased, but some issues remain.
The world is shifting from narrowband to broadband and within the latter, mobile broadband is emerging as the dominant platform. Minority entrepreneurs must participate in this rapidly emerging platform.
Government opportunities prompted an increase in minority business startups and lead to the formation of more successful companies; minorities are also more dependent on government opportunities.
The court ruled the federal government’s Section 8(a) Program is constitutionally valid. This second part profiles minority firms in the 8(a) Program by race and revenue and explains the decision.
In the case of DynaLantic v DOD, the court ruled that the program on its face is constitutionally valid; however, the way in which the program remedies were applied in the DynaLantic case failed to pass muster.
The high unemployment and poverty among Blacks and Hispanics and the location and employment patterns of their businesses suggests they can help restore the nation’s economic well-being.
Government sector contracting is fundamentally important to the success of minority businesses. However, public sector procurement officers are adjusting to austerity budgets by bundling contracts.