I have chosen the case study on Sweden to focus on the importance of establishing immigrant networks to develop international economic opportunities and to recognise that the availability of jobs is the primary factor in a newcomer’s decision to stay or leave. It was evident from the research for this case study that equal opportunity increases growth. It is also apparent that both Australia and Sweden have a large proportion of their population being made up of immigrants and that there is a need to keep them in their countries for the development and growth of their respective economic prosperity. In order for this to occur there must be a strong element of inclusion as opposed to exclusion of the immigrants in the workforce and that in order for this to happen there must be certain strategies adopted for this to be implemented.
Maroun Aoun, (2014) CEO of the Swedish Association of Ethnic Entrepreneurs visited Toronto to Canada’s largest city. He came away believing a lot can be achieved when doors were opened for people with initiative and they are given the chance to realise their visions.
Whilst Maroun (2014) was on tour in Toronto he was able to have an informal chat with members of the Professional Immigrant Networks (PINs), an initiative of TRIEC (Toronto Region Immigrant Employment Council.)
Maroun (2014) was impressed by the existence of many ethnic chambers of commerce and associates that were active in pushing the business case for diversity. He acknowledged the structured approach to integration and inclusion unlike Canada and their multicultural approach. Sweden wants immigrants to assimilate.
Maroun (2014) felt sure that either way economic integration and prosperity should come first. In order for this to work Sweden needs to attract immigrant workers and entrepreneurs. Sweden needs to do its best to attract immigrants and allow them to flourish, work innovate and build more enterprises.
Entrepreneurs with a foreign background are often a key to international markets. Knowledge of business culture and language along with networks in other countries removes many barriers to exports. I have personally experienced the power of the mix of Swedish and Iraqi contractors on a trip to Kurdistan. (Maroun,2014)
Maroun (2014) came up with 3 ideas to help newcomers build Professional networks. They are:
(1) Turning top students into high impact entrepreneurs and national -building business leaders into successful future business leaders. It is called the next 36 project and its aim is to turn the country’s top students into its most successful future b business leaders and innovators.
(2) Multi-service agency to assist the entire newcomer family to settle. This is called The Newcomer Centre of Peel. They assist by helping them get ready for jobs or starting a business
(3) The idea is to adopt the Connector Program in Halifax, Nova Scotia. This program helps immigrants build professional networks by connecting them with established community, business and government leaders.
Partnership President and CEO Paul Kent (2013) said that most highly skilled newcomers face a common challenge when looking for work – a lack of local connections and networks.
How can a city help its newcomers quickly leap over this hurdle?
For cities the potential is obvious. Newcomers get jobs, cities get skilled residents and thriving labour markets. Recognising that the availability of jobs is the primary factor in a newcomer’s decision to stay or leave.
Most highly skilled newcomers face a common challenge when looking for work – a lack of local connections and networks.
Halifax Regional Municipality (HRM)it has made workforce retention and recruitment a primary goal of economic plans.
The cities lead an economic development organisation the greater Halifax partnership (the partnership) it was engaged by HRM to deliver the connector program.
The approach of the connector program was to
(a) Have businesses and community leaders share their professional networks to newcomers (b) Use face to face interactions – 30 minute meetings- and networking events to facilitate connections between employers and newcomers (c) This will provide newcomers with opportunities to learn about the local job market, enhance their networking skills, build a professional network and improve their job search.
The program has ambitious objectives to raise awareness and change perceptions on the benefits of hiring immigrants help newcomers establish a professional network and find employment in their field connect employers to skilled employment-ready newcomers and establish Halifax as a welcoming city and make it the destination of choice for talent.
Dick Miller (2014) a connector from the Shaw group explains “businesses connect with immigrants to try to develop business leads for them, employment opportunities talk to them about benefits and to also help them develop network.it creates an opportunity for an immigrant to engage with the business community.
Don Sinclair (2013) of Halifax insurance company Fraser and Hoyt recently met with newcomers interested in the insurance industry and came away both impressed and committed to help with this economic growth concept through partnering with immigrant entrepreneurs.
He says “I met a group of very bright focused and keen young men and women who see a positive future for Nova Scotia. I’ll be chatting with my contacts in the local insurance industry this week.”
Prasad Ranay (2013) a program participant says “for me, being a person from outside of Halifax it makes a lot of sense for the initial touch and contact within the community. It expanded my network as well as expanded my skills and reach in the community”
Another program participant Evgenia Tumik (2013) is also thrilled at the opportunity the connector program offers. “Through meetings I had while at participating in the Connector Program I was able to develop strong network of professional in my filed. The referral process led me to apply to the position where I am currently employed. With the help of the connector program, I managed to find a position in my field right after graduation. I am so happy to be living in Halifax and hope to give back to other newcomers in the future.’
Over 500 local connectors representing over 300 organizations – including 3 levels of government – have already participated working with 428 international students and new comers. As a result, 177 new immigrants have found jobs. The model is easily adapted for use and 14 other Canadian cities are replicating the program.
Another networking initiative to develop economic development by using immigrant networks and incorporating the integration of migrants into the city in Aachen, Germany. It was called the “Business Network Aachen.”(Relying on Immigrant Networks: Business Network Aachen,2012).
The goal was to target innovative growth – orientated ethnic companies. By using a member driven network made up of entrepreneurs, executives, and leaders from trade associations, public institutions and industry related organizations, the network would stimulate the growth of business opportunities while changing public perceptions about immigrants and their contribution to the city. Funding for this project came from the city and a state grant. (Relying on immigrant networks: Business Network Aachen,2014)
The program was officially launched in April 2011. They hold regular networking events as a well as workshops to discuss strategies, plans and goals To develop existing and new contacts for building business opportunities. Since the emphasis is on inclusions not all, members need to have an immigrant background. They only need to be interested in strengthening Aachen as an international business location to become a member of the voluntary network. To ensure it success other organizations are involved such as Aachen Chamber of Commerce. (Relying on immigrant networks: Business Network Aachen,2014)
It is now a city to a growing number of international companies. One in twelve companies is foreign - owned. The city wants to tap into networks already in place where immigrant entrepreneurs have access to two or more sets of networks in Aachen and other cities in Germany and in the country of their birth.
For Aachen globalisation means a great opportunity. Mayor Marcel said We are an international city
The business network Aachen has already achieved some significant milestones. The organisation has members representing 37 countries and 35 different industries and is seen as a community of “internationally – active/interested” companies this has allowed entrepreneurs to break out from the general only circles and leverage their skills, resources and diversity to strengthen their potential on national and international economic markets.
The business network Aachen has sent successful trade missions to Istanbul and Bursa in Turkey.
Maroun (2014)said “Entrepreneurs with a foreign background are often a key to international markets. Knowledge of business culture and language along with networks in other countries removes many barriers to exports. The power of transnational networks is the concept of staying competitive in an increasingly globalized economy.
There are approximately 1.8million people with immigrant background that live in Sweden. And like many other parts of the world they tend to start businesses more often than the native born. There are about 70,000 migrant owned businesses that together employ about 250,000 people. (Nurturing immigrant entrepreneurs in Sweden 2014)
The biggest challenge for immigrant entrepreneurs is the raising of capital and contacting financiers. The language difficulties, cultural differences and the limited knowledge of the regulations which govern entrepreneurship can make starting a company harder for immigrants. (Nurturing immigrant entrepreneurs in Sweden 2014)
IFS was founded in1996 to help immigrants overcome these hurdles. Its primary aim is to stimulate and increase entrepreneurship and raise competence amongst individual business owners.
Sweden has established Almi owned by the Swedish government. IFS offers a free advisory service across the country. This advisory service gives Sweden a new - found diversity and can communicate in 28 languages.
Sweden has initiated several projects to promote entrepreneurship. They are:
The Urban Movement Project or YUMP. This program assists them with training, competition and a kick-start for your business. The program is based on e- learning but you will still have physical meetings with business coaches to develop your idea.
IFS with Europe Refugee Fund, the Confederation of Swedish Enterprise and others has produced 2 films “Start your own company in Sweden” and; “Ayten – Kurd, Swede, Entrepreneur”. The films show migrant entrepreneurs who have succeeded in Sweden. They are being screened all over the country.
Another initiative from the IFS is to create a corporate culture that offers equitable business opportunities for everyone by implementing a program similar to the public procurement plan of the National Minority Supplier Development Council in the United States to enable the immigrants a better insight for immigrant entrepreneurs into the supply chains of Swedish companies’ Maroun (2012) said.
Success
The Swedish Agency for Economic and Regional Growth has found that immigrant entrepreneurs tend to be more ambitious with 86% hoping to expand their business compared to 76% Swedish –born owners and 65% aspire to hire more employees as part of their expansion compared to 48% of Swedish-born owners.
Conclusion
The transnational networks are proving to be successful for integrating immigrants into new cultures and to increase economic growth by creating equal opportunities.
To be a part of this initiative doesn’t require anyone to reinvent the wheel but rather, evaluate programs from other cities and look for hidden assets within immigrant groups to enhance larger business objectives.
In a nutshell the answer is in developing effective networks and processes to integrate immigrant businesses with the mainstream and keep the message inclusive. This way all members of the business community feel welcome.