SPONSORED PAGE
Amid
111
milli
111 0 110 IX ig vr,
MI10
111.1
110
1914
IP( IP( 110(
ast mg
Detroit Journalism art 1.1
COOPERATIVE
Al'
Detroit's Hispanic business community
weathering time of economic crisis.
By Cecilia 1-11jar
Latino Press
T
he Latino Press explored
the effects of the cur-
rent economic crisis in
Detroit on the business environ-
ment of the Hispanic commu-
nity. Mexicantown in Southwest
Detroit is where the Hispanic
community of the region is
primarily settled. It is a vibrant
community of neighborhoods,
parks, schools, and churches.
One of the anchors of the com-
Lourdes Arzola
munity and of its success has
been the burgeoning small busi-
ness economy that has been vital
to the area's growth.
As Detroit negotiates its way to a better economic
future, Latino investment in that effort will be critical to its
success. In the following interviews, we ask business own-
ers about the difficulties our community is facing and of
the potential solutions to be considered by elected leaders.
Maria International Travel
Lourdes Arzola has operated in Detroit 15 years. Currently
located on Campbell Street, her agency has become a
community institution, a place many Hispanics visit regu-
larly for their travel needs and advice on immigration and
procedures.
In response to the economic crisis and a decline in
sales, Lourdes has had to reduce her staff. Her family and
employees work longer hours and have to tend to more
responsibilities in order to survive. Some of the hardship
could be eased if Detroit paid more attention to, and devel-
oped policies to help, small businesses. Lourdes believes
this could be done if the city reduced fees and taxes that
currently affect them, developed enterprise zones, and cre-
ated safe and secure neighborhoods.
As an active community member, Lourdes is also
acutely aware of the hardships her neighbors face every
day because of the relentless persecution of families by
immigration authorities. Lourdes feels that Hispanic-owned
businesses have been much more affected than others by
these challenges, and strongly supports speedy reforms to
immigration law that would encourage immigrant families,
investment, and growth in Detroit and beyond.
Las Cazuelas Mexican Grill
In 2006, with a great deal of effort and hard work, Maria
Cristina Aldana and her husband, Sergio Orozco, opened
their first food business, on Ford Road in Detroit.
Initially, the business was growing fast and Maria
Cristina and Sergio began seriously looking to expand to
other locations. But just as they were making their plans,
the recession hit. It halted any thoughts for expansion and
forced them to relocate their business to the corner of
Livernois and Michigan Avenue, where they hoped to find
better customer traffic.
It's been a few years since, but Maria Cristina and
4
June 12 • 2014
The Abundis family
Sergio have no current or foreseeable plans to expand
their business. They face the same challenges as other
businesses that rely on discretionary spending.
Adding to an already difficult situation have been recent
policies toward small business owners. In a common
refrain heard from Southwest Detroit business owners, the
increased cost in permits, taxes, fees, paperwork, and con-
stant regulatory reviews by Detroit officials, have worsened
an already challenging business environment.
Maria Cristina also believes the bad economy has cre-
ated a wave of violence in Detroit, forcing businesses to
spend more on security measures. Because of Detroit's
challenges in dealing with crime, people feel insecure in
their own neighborhoods. It has also made it harder to
attract new customers or rely on regular customers for a
night out at a restaurant.
"We have had to create a new lifestyle, work harder to
earn income and pay bills, and put aside plans to grow,"
she said. "We see the future with uncertainty, fearing for
the safety of our families, employees and customers. This
forces us to look for ways to attract more customers in
order to survive."
La Jalisciense Tortilla Factory
La Jalisciense Inc. opened in 1946 by Damaso Abundis
and his son, Raymond, in a small storefront on Bagley
Street in Detroit. The business has stayed in the family
and has grown substantially, much as the neighborhood
around it has. The Abundis family has seen six decades of
changes, from a time when the area was predominantly
residential, to the Ambassador Bridge expansion, to the
resulting strong business presence that is still there.
La Jalisciense Inc. has seen many economic upturns
and downturns, and although the business has been
affected by the current economic crisis, it has not been
hurt as much as others. The owners feel fortunate that the
Bagley Street Mexicantown area has remained busy and
that their factory is surrounded by other businesses that
are conscientious and have invested in keeping the area
safe, clean and friendly.
Crime is still the key concern for the Abundis
family. Businesses rely on a safe walking and shopping
environment, and any threat to that sense of security neg-
atively impacts business. The closing of the 3rd Precinct
Police station on Vernor Hicihwav was a huge disappoint-
Maria Cristina Aldana
ment for Bagley Street area merchants and residents.
While La Jalisciense customers remain very supportive and
loyal, they and other visitors to the area feel unsafe with-
out proper lighting, police patrols, street maintenance and
vacant building demolition. The Abundis family fears that
many businesses won't survive if these conditions persist.
Changes and the future
The Latino community in Detroit has grown by 70 percent
over the past two decades while the city has shrunk by
25 percent. It is a diverse community, coming from many
parts of Latin and South America. It is also young and
highly entrepreneurial. In many ways, the Latino com-
munity is one of the city's most valuable assets. Yet, the
Latino business community remains particularly troubled
by Detroit's harsh treatment of small business owners.
The City's new administration needs to review its policies
for the oppressive atmosphere they create in the small
business community. In their place should be policies that
encourage entrepreneurial ventures through tax incentives,
repayment programs, microloans and ease of permits, cre-
ate enterprise zones and place greater focus on safety and
security.
Despite the challenges, every business owner inter-
viewed was proud to be a Detroiter. With its Detroit pres-
ence spanning more than 100 years, the Hispanic commu-
nity is integral to the city's growth, and remains committed
to helping build its future and being a vital partner in its
renewal.
About this series
Five minority media outlets with a combined estimated circulation of
120,000 weekly--Latino Press, The Michigan Citizen, The Jewish News,
The Michigan Korean Weekly, The Arab American News—are part of
New Michigan Media and are taking part in The Detroit Journalism
Cooperative (DJC). Funded by the John S. and James L. Knight
Foundation, Renaissance Journalism's Michigan Reporting Initiative and
the Ford Foundation, the DJC aims to report about and create com-
munity engagement opportunities pertaining to the Detroit bankruptcy
and recovery. Each article in the series appears in all the NMM member
newspapers. This article is from THE ARAB-AMERICAN NEWS. The DJC
is a unique collaboration between important media outlets of the region,
and includes The Center for Michigan's Bridge Magazine, Detroit Public
Television, Michigan Public Radio, WDET and New Michigan Media. The
Detroit Free Press is also participating in the DJC effort.