Cracks in the Glass Towers: Gbenga Daniel in Unforgiving World of Capitalist Competition
HighLife
For decades, Otunba Gbenga Daniel, former governor of Ogun State, has enjoyed an impressive run with Kresta Laurel, his elevator and escalator company. He is an industry stalwart who has consistently risen to the top of Nigeria’s urban landscape. But today, Daniel finds himself grappling with a force even political influence cannot sway: competition.
Mitsubishi Electric Shanghai Electric Elevator, a heavyweight in the global market, has entered Nigeria, and they are not here to play nice. In an era where the market is supposed to reward only the fittest, it seems Nigeria’s elite is struggling to adapt to the merciless logic of capitalism, exposed under the glaring spotlight of genuine competition.
Take the recent developments surrounding Daniel and Kresta Laurel’s loss of a significant Eko Atlantic contract to Mitsubishi. For years, Kresta Laurel had been a go-to for high-rise projects, a symbol of Daniel’s business acumen and a steady provider of income. Yet, with Mitsubishi in town, Kresta Laurel has been sidestepped.
The decision was not based on sentiment or loyalty but cold, hard economics – a reality that, for Nigeria’s elite, often remains elusive. Rather than competing on equal footing, reports say Daniel tried to leverage political influence to sway the Chagoury brothers, who are helming Eko Atlantic’s development. But his attempts to reach President Tinubu were futile.
This trend isn’t isolated. We see it on a much larger scale with Aliko Dangote, whose oil refinery – long hailed as a solution to Nigeria’s energy crisis – has recently faced complications and controversies in its operations. While lauded as a visionary endeavour, the refinery is a stark reminder that large, politically-backed monopolies often stumble in the harsh realities of capitalist markets, where efficiency, cost-effectiveness, and timing trump influence. Although the Nigerian market has long been tilted in favour of select titans like Dangote, the reality of competition has recently begun creeping in, revealing cracks in their once-impenetrable facades.
Kresta Laurel’s struggle to maintain its hold in an evolving market mirrors the broader reality of Nigeria’s elite: accustomed to influence-driven success, they’re often unprepared for the pressures of genuine market forces. The Chagoury brothers’ decision to go with Mitsubishi – based purely on what would likely yield the highest value – serves as a reminder that economic merit, not political connections, ultimately defines market leaders.
For Otunba Daniel, like others, the reality check is overdue. The age of insulated, privileged success is waning, giving way to a global economic reality that even Nigeria’s most powerful must learn to navigate – or risk being outpaced by those who already know how.
