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The following was adapted from the February issue of Online Vanguard, an organ of the Minority Business Enterprise Legal Defense and Education Fund Inc., founded in 1980 by former Congressman Parren J. Mitchell.

MBELDEF has obtained from the United States Government a report dated October 30, 2002 that reveals that the NEC-Mitsubishi Corporation is laughing at you while simultaneously raising its middle digit in your direction.  As you should know, Public Law 95-507, monumental legislation introduced and sponsored by our founder, required that any contractor that does business with the federal government  (with value in excess of $500,000 or $1 million for construction contracts) must engage in business with minority and women owned businesses to the maximum practicable extent.  Such businesses must submit to the federal government a subcontracting plan outlining how it plans to do business with minority and women owned businesses; within such a plan they must state their subcontracting goals for doing business with Minority and Women Business Enterprises (MWBEs).

NEC-Mitsubishi’s cumulative fiscal year subcontract awards involving small business concerns and large business concerns amounted to $78,863,654.00.  Of that amount, only $1,500 went to minority businesses. (No, this is not a typo.)

How many minorities purchase NEC Mitsubishi products?  Wait.  There is more.

The NAACP publishes a fine series of  “report cards” as a part of its Economic Reciprocity Initiative.  Its report card on the automotive industry reveals that Mitsubishi Motors North America, Inc received its second lowest evaluation (D).  The rating considered African American employment, expenditures with African American advertising and marketing firms, African American suppliers and vendors, African American dealerships, and charitable donations to African American causes.

Also, let us not forget the gender harassment allegations that occurred in the 90s.

Within the city of Detroit, General Motors is king.  It is a part of the community in which it lives, so much so that it filed an amicus brief supporting minority admissions in the University of Michigan case decided last year.  General Motors deserves the business that it gets from the African American community.

MBELDEF calls upon everyone within our “voice” to share any anecdotal evidence of unfairness by NEC-Mitsubishi.  How much longer will you permit this bully to spit in your eye?

The Battle for Justice in the Marketplace

Since it was founded in 1980, MBELDEF has been a singular voice in the “wilderness” proclaiming that economic justice within the marketplace is the final frontier of the struggle for civil rights within this country.  MBELDEF’s website, www.mbeldef.org outlines the extent of our activities to advocate for, litigate on behalf of, and educate our members about justice for minority businesses.  Like our founder, former Maryland Congressman Parren J. Mitchell, MBELDEF remains standing as the “last angry man” within the universe of minority business development.

Over the years, MBELDEF has watched the economic landscape as it has been reshaped by changes in corporate competitive strategy.  During the last decade, consolidation in the form of mergers and acquisitions has changed the structure of most industries.  Where industries were once highly competitive, they are now oligopolistic.  Minimum competition exists.  MBELDEF is concerned about the manner in which minority businesses should respond to this development, especially since most minority businesses have not adjusted to this shift in economic philosophy.

The Journal of Mergers and Acquisitions points out that over 15,000 mergers and acquisitions have occurred in this country alone over a four-year period; however, it appears that less than .1% of these mergers involved minority businesses.  The mission is clear.  In order to keep pace with this economic evolution, minority businesses must learn how to “play” within this arena.  Accordingly, MBELDEF R&D has been formed.

MBELDEF R&D intends to help increase the number, size, and viability of minority firms through the acquisition process.  In order to accomplish this, several deliberate and systematic techniques will be employed.  They will include but will not be limited to faculty training and development, case study development, training, enhancing relationships with HBCUs, marketing, financing, and networking.

You will hear more about MBELDEF R&D in the immediate future.  In the meantime, do not permit yourself to be limited within the paradigms of a past age.  Be prepared to march with us.

MBELDEF is a national, non-profit, public interest law firm whose activities are intended to achieve equity and fairness in the marketplace. Its current President is Anthony W. Robinson. Contact: [email protected]

 

 

February 5, 2004
Issue 76

is published every Thursday.

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