Top Black Business stories for the week of June 15th to June 21st

Top Stories

  • Robert F Smith said large corporations should use 2% of their income to help minority communities (Forbes)
  • Quaker Oats drops racist Aunt Jemima brand (USA Today).  J & J will stop selling skin lightening creams (Reuters). 
  • The history of Black business management (Quartz)  — Really good and interesting
  • Black history and Bourbon (Forbes) – Recommended
  • You Tube accused of discriminating against Black artist (Economic Times of India).  – You Tube is accused of racial discrimination by steering ads to different groups and thus cheating Black artists out of ad revenue.
  • Chase Bank Chicago made only 8% of all loans in Chicago’s Black Neighborhoods (WBEZ).
  • Evanston, Illinois discussed detailed reparations plan including housing policy (Evanston Roundtable) – Evanston is probably further along the reparations path than any municipality in the country.
  • Oakland proposes Black owned NFL Franchise (SFGate)

Protest

  • Google announces $175 Million dollar fund for Black businesses; promises to diversify leadership (CNBC)
  • Walter Williams argues Black people hurt themselves by rioting (Creators)

Coronavirus / Paycheck Protection Program

  • COVID-19 widens racial wealth gap, hitting Black businesses especially hard (Free Press)
  • San Francisco $1.5 million relief fund for Black owned business (San Francisco Business Times)
  • Black Businesses struggle during coronavirus. Black banks help. (LA Times)
  • Fifty-Eight Percent (58%) of Black Businesses at risk or distressed because of Covid-19 (NY Fed) – Forty nine percent of Hispanic businesses were also at risk or distressed. About 60% of all at risk or distressed businesses said they would use personal funds to survive.  Another 45% said they would go into debt, while 30% said they might close or sell. 
  • St. Louis businesses use GoFundMe to survive (St. Louis American)

Large Company Activities / Corporate Misbehavior

  • Lloyds of London apologized for helping slavery (Insurance Journal) — Lloyds insured slaves as “cargo.”
  • Quaker Oats drops racist Aunt Jemima brand (USA Today) (MarketWatch)
  • Johnson and Johnson will stop selling skin lightening creams (Reuters).  – The creams are primarily sold in Asia and the Middle East.  P&G, L’Oréal and Unilever also sell the creams.
  • Comerica Bank Launches $1 million dollar Black Capital Access Program (Comerica Bank)
  • PNC Commits $1B to Support Economic Empowerment for Blacks (Detroit Business)
  • PNC to commit $1 billion to programs to end racism and support black communities (Post Gazette)
  • Economic justice as a path to healing systemic racism (Technically) – VC firm starts a socially conscious fund.

Black Business / Interesting Businesses Stories

  • First Independence Bank (Detroit) reaches 50 years (Free Press)
  • Fayetteville highlights Black businesses (ABC11.com)
  • Yelp lets business tag themselves as Black Businesses. You can try it by signing into Yelp->Business Information->Known for
  • Yelp and MyBlackReceipt promote Black business (Yelp)
  • TruGenomix (MEA Magazine) – A Black veteran owned company with a test for PTSD.
  • The history of Black business management (Quartz) – Very good.
  • Black run PR firm gives discounts to Black Businesses (LA Patch)
  • Essence Communications hopes to raise $100 million dollars for social justice (Business Wire). The initiative is called the “Essence Unstoppable Collective”
  • A online panel discussion on: “The future of the Black Economy” was captured on Vimeo. They also had a panel on the future of the LatinX economy. (Vimeo) .
  • Walker’s Legacy is sponsoring a “Women in Business Digital Summit” (Walker’s legacy)
  • Even the solid waste recycling industry issued a statement on police killings (Resource Recycling)

Discrimination

  • Chase vows to do better in Chicago (WBEZ).
  • Activist was Chase Bank Chicago to pay reparations for mortgage lending discrimination (WBEZ).
  • Chase Bank Chicago made only 8% of all loans in Chicago’s Black Neighborhoods (WBEZ). Definitely looks like redlining. They made only 9% in the Chicago’s Latino hoods.
  • You Tube accused of discriminating against Black artist (Economic Times of India).  Here is the legal brief with details of how the scheme worked (ClassAction.Org). You Tube announced $100 million dollar funds to support Black artists (Variety). – You Tube is accused of racial discrimination by steering ads to different groups and thus cheating Black artists out of ad revenue.

Reparations / Affirmative Action

Straight up Econ

  • Whitewashing Capitalism (Common Dreams) – Discrimination and racism are barely taught in economics but they are fundamental to how US capitalism works.
  • Economist silence on racism is a 100 year problem (Newsweek)
  • Do Black economist matter (Economic Policy Institute)
  • Here is a link to the original “41% drop in Black business” paper that is quoted so often in the press.  The paper is called “The impact of covid-19 on small business owners.” Here.
  • “19 Black economists to know” (Fortune) – Nice roll call of the current top Black economists.  Missing, and rightly so, is Roland G Fryer who was accused of sexual harassment.
  • Old (Dec 2019): Center for American Progress announces council on closing the Black-White wealth gap. (CAP) – Hamilton, Louis Gates, Cook, Baradaran, Kendi, Logan, Price , Rothstein. Funny, don’t even need first names any more, except Gates.
  • Employment in Black and White: Wage differences (The Real Economy Blog)
  • Salary History Bans help Black women (BU School of Law)

Education

  • How to talk to students about racism (Chronicle of Higher Education) – There is some push back on the internet as to whether people are qualified to teach the subject.
  • Texas approve $100 million college scholarship fund for low-income and diverse students (WTAW)

Tech / Apps

  • Goalsetter savings app (UrbanGeekz) (Tech Crunch)
  • MyBlackReceipt launches app, website and Black Business List (MyBlackReceipt) – They are also are partnering with yelp (Yelp Blog) to spend $5 million with Black businesses. Yelp report a 35 times increase in people searching for Black business.
  • MyBlackReceipt also has Black business list. (Black Business List)
  • Ending slavery was a libertarian idea (Cato Insititute) – Just checking if you read this far

Sports

  • Oakland proposes Black owned NFL Franchise (SFGate)

Stock Market  / Investing

  • There is interest in Black owned or Black oriented stocks. Three Black stocks have increased volatility (Benzinga)
  • When venture capitalist try and invest in Black Businesses (Harvard Business Review)

Politics / Government / State and Local

  • WalletHub ranks states by economic inequality (WalletHub) – Interesting but little depth. More like a web ad. Criteria is good for scorecard. 
  • Wisconsin’s economy ranked last on racial equality (Milwaukee Journal Sentinel). Ohio is ranked as one of the worst states for racial economic equality (Columbus Business First)
  • Photo of Raphael BosticAtlanta Fed President Bostic gives views on racial inequality (Bloomberg) – The best discussion of his remarks.
  • We have a Moral and Economic Imperative to End Racism (Atlanta Federal Reserve Bank) — Atlanta Fed President Bostic says racism is holding back the economy
  • Philadelphia could be the first city with Black stimulus package (WHYY)
  • Fed Chariman Powell and other make the case for helping the vulnerable (ThinkAdvisors)

Other

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