Upstart from the West Bank Ponders Her Next Startup

Waed al Taweel is one of many entrepreneurs in Washington recently for the Presidential Summit on Entrepreneurship. When al Taweel was in high school in Ramallah, she started Teen Touch, a company that organizes special events. She has since sold the firm.

Before becoming chief executive of online shoe store Zappos.com, Tony Hsieh co-founded and then sold an advertising company to Microsoft Corporation.

Craig Newmark is founder of Craigslist Inc., an online classified ads company that is private and for-profit.

Waed al Taweel

Waed al Taweel

Waed al Taweel:
When I was a high school student in St. Joseph’s School in Ramallah on the West Bank, I started my own business, named Teen Touch. It convinced me that entrepreneurship offers a way to relieve the hardships in the lives of Palestinian youths.

I speak from experience, although I am only 20 years old. I hired 28 classmates to staff the Teen Touch business. We specialized in organizing social events, such as birthday celebrations. We took care of all arrangements, from sending out invitations to renting the facilities to catering the food. In addition, we sometimes decorated buildings on holidays.

I entered Teen Touch in a competition for young entrepreneurs sponsored by the INJAZ organization, which trains young people in business skills in 12 countries in the Middle East and North Africa. I was named “best student CEO in the Arab world,” and Teen Touch was named “the best student company in the Arab world.” What great honors!

My next business plan – on hold until after I finish my university studies – is to build a recreation and entertainment center for Palestinian youths. The center will have a bowling alley, a skating rink, a miniature golf course, and a library with books and magazines from many countries. There is a big need for this kind of a center. Palestinian young people don’t have many places to spend their free time. It is usually in the streets or in their homes.

I know that launching this kind of a center will not be easy because it is difficult to get access to capital. But I have confidence that I can succeed through proper planning, adequate management and perseverance. (See profile article on Waed al Taweel).

Tony Hsieh

Tony Hsieh

Tony Hsieh:
I love the idea of building a recreation and entertainment center for youth. My suggestion would be to have the young people help build it, which will give them a sense of ownership and accomplishment once it is complete.

In my upcoming book, Delivering Happiness: A Path to Profits, Passion, and Purpose, I write about one framework for happiness that consists of four elements: perceived control, perceived progress, connectedness (the number and depth of your relationships), and being part of something bigger than yourself.

Involving Palestinian teenagers in the design and construction of the youth center would hit on all four of these things. They would have a sense of control over what the youth center eventually looks like, which would cause them to be more likely to use the center once it has been built. They would be able to see the daily progress of their work. They would feel more connected to the other young people working on the project. And they would all be involved in building something that was bigger than just
themselves.

Their involvement doesn’t have to be limited to just design input and construction help. They could become part-owners of the business, or it could be set up as a co-operative. Over time, they could learn various skills such as fundraising (sales) and managing day-to-day operations.

Craig Newmark

Craig Newmark

Craig Newmark:
This effort to build a recreation center for Palestinian youth sounds really good to me. I don’t know much about the field, but I know part of the solution will be to start connecting with other folks, particularly in your target market in the West Bank. Start connecting with people via Facebook, Twitter, whatever works for you. In particular check out ArabCrunch.net.

If you want, email me at craig(at)craigslist.org, and I’ll do an e-mail introduction between you and Gaith Sager, who runs it. Anyone can e-mail me. If I don’t respond in, let’s say, 36 hours or so, e-mail me again. That should work.

It doesn’t hurt to try to reach out to a possible mentor. Most people will be understanding. If someone is not, he or she is probably not a good mentor.

Albanian Fills the Shoes of a Successful Exporter

Donika Mici is one of many entrepreneurs at the Presidential Summit on Entrepreneurship from countries with sizeable Muslim populations, April 26-27. Mici is founder and chief executive of DoniAnna, a shoe company based in Tirana, Albania.

Bogdan Pukszta is executive director of the Polish American Chamber of Commerce in Chicago.

Donika Mici

Donika Mici

Donika Mici:
When communism collapsed in Albania, the economic conditions were as bad as business opportunities were great. State-owned companies were going bankrupt, workers were losing their jobs, credit was unavailable, market regulations were still taking shape, and corruption and incompetence in the government were endemic. At the same time shop shelves were empty, labor was extremely cheap and competition was nonexistent.

When I took over a failing, state-owned shoe company 1992, I knew I had to be tough to survive in such an environment. I was one of the first Albanians, and certainly the first woman, to set up a private business.

As an economist, I knew that only exporting made economic sense at that time. However, Albania had been cut off from the outside world. Its telecommunications infrastructure was so outdated that identifying and getting in touch with potential buyers was a formidable challenge.

By hook or by crook, I managed to find and persuade Italian buyers, that, yes, Albania still existed and, believe me, Albanians could make quality shoes cheaply. My company, DoniAnna, hired 120 workers (including former engineers, professors and doctors) and started making shoes. We hired Italian specialists to train our employees and improve manufacturing operations so that we could meet international standards. Within a few years, DoniAnna was exporting hundreds of thousands pairs of shoes a year.

Most Albanian competitors manufacture at least part of their shoes in Italy to gain the cachet of a “Made in Italy” label. But I wanted to prove that a “Made in Albania” label isn’t an impediment to international success. Last year, I launched my own brand of shoes and today Macy’s, Bata, Aldo and Kenneth Cole are among my clients. With more than $20 million in sales in the first half of 2009 and 1,400 employees, DoniAnna is among the largest exporters in Albania.

I strongly believe in, and am proud of, the business I’ve created and opportunities it has brought to others, particularly in poor parts of Tirana, where my manufacturing operations are located. I look ahead with a desire to strengthen my business and improve the product.

Bogdan Pukszta

Bogdan Pukszta

Bogdan Pukszta:
Donika’s story is beautiful, optimistic and encouraging. It is also familiar to me.

I met similar women in Poland about 20 years ago now, when the country was transitioning from state control to free markets and democracy. Although conditions in Poland and Albania at the end of the communist eras were quite different, entrepreneurs in both countries faced tremendous challenges, some of which Donika mentions. These entrepreneurs were able to overcome challenges thanks to private initiative, hard work, energy, creativity and street smarts.

Not all successful businesspeople from the former communist bloc have been able to break into international markets as Donika did. She must have special talents, which are appreciated by marketers and buyers around the world. But stories of successful businesspeople whose skills were dormant or suppressed by communism can be found in all countries that have chosen privatization and market-based systems. And one can only hope that some others won’t wait long to choose similar reforms and give a chance to their entrepreneurial people.

There is something about human beings everywhere, that if there is room for private ownership and free enterprise, it’s only a matter of time for success stories to emerge and for economic growth to occur.

I am a bit concerned though – as someone who now lives in the USA and cares about economic growth here – that as more countries decide to transition to capitalism and democracy, fewer people from those countries may choose to come here to realize their dreams. For centuries, such immigrants have boosted the workforce and economy of the USA.

On the other hand, as market forces around the world strengthen, America will gain more investment, business and trade opportunities overseas.

Where Halal Cosmetics Meet Modest Fashion

Dr. Mah Hussain-Gambles is one of many entrepreneurs coming to the Presidential Summit on Entrepreneurship from countries with sizeable Muslim populations, April 26-27. She is founder of Saaf Skincare, the world’s first certified halal and organic skincare line, based in the U.K.

Zeena Altalib is an Iraqi-American and the founder of www.PrimoModa.com, an online retail company that sells apparel. Its slogan is “Where modesty and style come together.”

Dr. Mah Hussein-Gambles

Dr. Mah Hussein-Gambles

Mah Hussain-Gambles:
My husband, Malcolm Amir, is 6 foot 8 inches, so he was costing us a lot in organic body washes. He uses halal products that are permissible according to Islamic law.

Since I’m a chemist, I started making body wash for him. It was a hobby at first, but became a way to make a living. I set up a home business that allowed me to look after my twins.

I wanted an “eco-ethical business” that would be commercially viable. I didn’t want to take any employees on; everything was outsourced to local companies. We used our savings to launch the Saaf brand “11 SKU Head to Toe range.” We started small – filling bottles by hand at 3 a.m. – but now products are made in a factory and sold in 13 countries.

To start a business, you need a higher purpose; money alone cannot sustain you for what you go through. The eco-ethical mission and halal sustains me.

I’ve made mistakes. Being inexperienced, I believed that when somebody gave his word or shook hands it was a sure agreement. (Don’t let my mistake cause you to stereotype me – I am a Muslim woman who used to ride a motorbike.) “Get written, proper contracts” is the best advice I can give.

I’ve also had success thinking big. I set up a halal certification body for cosmetics and pharmaceuticals in the United Kingdom. Today, I work with the International Halal Integrity Alliance and the Halal Development Corp. to standardize definitions of halal around the world. It’s a challenge because religion is involved.

When in Washington, I’ll be looking for American distributors/promoters for Saaf. I would love to partner with an organization that could advise me on promoting Saaf globally and extending into perfumes, food supplements and other products.

Zeena Altalib

Zeena Altalib

Zeena Altalib:
It is a wonderful opportunity to meet you online. Your vision is a great one, and it inspires many women entrepreneurs to seek business opportunities that are ethical and sustainable. I share this vision in starting my company, Primo Moda, a retail clothing store for women who choose to dress modestly yet fashionably. I’m delighted to share ways that I have marketed my company in America.

Here, an online presence is crucial as the Muslim population is widely dispersed throughout the United States. My online store has been successful here and makes my products available abroad. Online marketing through Google AdWords has worked, because it allows me to target a niche market. It could work for you because there are few halal cosmetics products available to women who want them. I also encourage you to be involved in Facebook, Twitter and LinkedIn.

Most Muslim businesses attend Islamic conventions. One convention that I attend every year with a high turnout is the Islamic Society of North America (ISNA) annual convention. It is four days long and includes a massive bazaar with over 500 vendors — a marketplace for anything Islamic, halal and not available in the U.S.

American Muslim magazines for women would be an excellent way to market your products here. In almost every American Muslim woman’s home you see Azizah, Muslim Girl and Horizon magazines.

Home parties are popular among American Muslim women and would be worth exploring in the U.K., too. One woman would host her friends and allow you to introduce your products and to educate the women about halal cosmetics and the importance of taking care of one’s skin. Such parties allow potential customers to try the products firsthand.

I participate in a number of local American “chambers of commerce” for small businesses and women-owned businesses. These networking groups give small businesses an opportunity to recruit and refer each other.

Best of luck!

PS – I am in the Washington, DC, area and would like to meet you during your visit in April. The blog editor can share my contact information. Looking forward to it.

Fakes Are Never in Fashion

Actress Sharon Stone poses beside a poster of the first Russian edition of Harper’s Bazaar magazine.

Actress Sharon Stone poses beside a poster of the first Russian edition of Harper’s Bazaar magazine.

The fashion magazine Harper’s Bazaar wants you to know that “fakes are never in fashion.” Valerie Salembier, the senior vice president and publisher of the publication, has emerged as a leading advocate against counterfeiting. And we hope her campaign continues … and keeps fashionistas and wannabe fashionistas aware that counterfeiting has its costs to us all.

Valerie took center stage at the U.S. Chamber of Commerce’s IP (intellectual property) event in Washington last month (http://www.uschamber.com/content/0905_8b.htm). Emerging from an audience of blue suits in her couture yellow jacket, she proclaimed that buying fakes is hardly harmless. She hit an experienced, been-there-done-that IP crowd from Europe and the United States with powerful news that luxury product companies are starting to do something to combat counterfeiting. Despite carnage to their industry, luxury product manufacturers have done little to fight the proliferation of fakes on city streets. Valerie brilliantly linked the counterfeiting of luxury products to problems in child labor, terrorism and human trafficking. She noted that it’s not just about ripping off high-end French and Italian manufacturers. It’s about honest consumers supporting a wretched, criminal business syndicate that derails economies and ruins lives. Counterfeits come from the underbelly of society, not resourceful creators or entrepreneurs. You can learn more about Harper’s efforts to counter counterfeiting at this Web site: www.fakesareneverinfashion.com.

Vive la Valerie!

Aretha Franklin's Hat

Aretha Franklin sings the national anthem at President Obama’s inauguration.

Aretha Franklin sings the national anthem at President Obama’s inauguration.

Show a little “respect” for the Queen of Soul … or at least her hat designer. Luke Song, a milliner from Detroit, Michigan, became an international celebrity of sorts when the hat he designed for Aretha Franklin took center stage at President Obama’s inauguration on January 20. Ms. Franklin, who sang “My Country, ’Tis of Thee” at the event, completed her outfit with a dove-gray wool chapeau, designed by Song, topped with a giant bow sparkling in Swarovski crystals. The hat became an international sensation, generating media interest around the world.

Of course, the knock-off fashion pirates were not too far behind. A representative from Song’s shop confirms that the design of the hat was in fact ripped off shortly after Ms. Franklin completed her song. She told me, “I see no point in trademarking or copyrighting, unless you have a team of lawyers. What good does it do?”

Luke Song had this to say about the matter:

“The issue of intellectual properties seems to keep people from sharing and expanding with the world from the fear of being ‘stolen.’ I appreciate the protection the government offers, but how does it protect average Americans? I don’t know.”

I asked my friend and colleague, Ralph Oman, former register of copyrights for the United States (1985–1994), what he thought of the situation. Here’s his response:

“The problem is that the United States does not have design protection laws, other than for boat hull designs. Hats and shoes and handbags and clothing enjoy almost no protection. You can protect fancy buttons and fabric designs, but not the shape or cut of the article of clothing itself. So Aretha’s hat can be knocked off by anyone.”

Not good news for emerging designers like Song. Designers are the lifeblood of a free economy. If their rights are not protected by the law, and their designs are easily knocked off, without any fear of legal repercussions, we are destined for nothing more than a global pirated economy. Oman notes that the U.S. Congress is considering legislation on this issue, but has been slow to react. Let’s protect entrepreneurial designers around the world so they can reap the benefits of their artistry.