Conglomerate business: the Mthwakazi way

Mthwakazi Brands is a business that is modelled to and for the catering of the Mthwakazi communities. It is the parent company that shelters a diversified portfolio of businesses. There is a huge gap in the market and as Mthwakazi brands sees it, it is up for the taking for anyone willing and able to. A conglomerate business consists of a parent company that owns a series of diversified, smaller companies. These businesses are typically large which enables them to diversify across industries and mitigate risk. Some conglomerates own a series of companies that make up the entire labor and supply chain for a single product. This definition of conglomerate business is one that clearly shows what Mthwakazi is about. OUR OBJECTIVE: Mthwakazi Brands is to create companies, using a methodology that allows abaThwakazi bonke jikelele, to OWN various businesses that will be seen operating within and outside of Mthwakazi. Every sector is in focus; Mining, Farming, Transportation, Engineering, ICT, Manufacturing, Real Estate, Healthcare, Retail, etc. There are various pros to the formation of this type of business and regrettably cons are to be expected also.


Some of the pros of conglomerate businesses include but are not limited to

  1. Conglomerates can mitigate financial risk by spreading their financial stakes across many smaller businesses in different industries.
  2. Conglomerates benefit from internal capital markets, which can be allocated across its companies. If one business in a conglomerate performs poorly in the financial markets or with revenue, this loss can possibly be offset by the other businesses which may be performing better.
  3. Companies within the conglomerate can establish synergy. The costs of running the many businesses that make up a conglomerate can be reduced through consolidation, where businesses share inputs or resources across the conglomerate’s subsidiaries.


There are a number of huge companies with brands that are well known throughout the entire world that are conglomerate businesses. Some notable mentions would be Mitsubishi, Samsung and Walt Disney company. They are proof that this business model is one that can be sustainable hence Mthwakazi Brands feels confident to be in this business of pulling human minds and efforts in order to uplift the community rather than cry foul.