Corporation would take over management of the hotel. Mlonot
were thanked for ‘their monumental task in establishing and
managing the hotel since 1965 and told that the Government
would welcome a claim from them for fair and reasonable com-
pensation. 22

Mionot’s training programme cannot have been very successful,
for the Government announcement also gave the names of five
expatriate hotel managers from Denmark and Holland who would
run the hotel. There was no mention of any Tanzanians by name,
but it was hoped that Tanzanians would be able to take over run-
ning of the hotel in 1974 on the expiry of the two year contracts
of the new expatriate team.

These two case studies speak for themselves. They indicate
Government’s ambiguous attitude to these Western companies,
for, although both were eventually thrown out, in each case com-
pensation was paid and the public announcements were made in
such a way as to make it seem as if Government had no fun-
damental objection to the behaviour of the managing agent. The
eventual terminations were in each case so smooth that the
educational impacts as to the nature of capitalism were very
limited.

These case studies also give an indication of a few of the
devices which a determined management can use to manipulate
an agreement to at least ensure that it does not lose by it. ‘Tan-
zanian' in his ‘Blood-sucking Contracts’ letter talked about the
local responsibility:

We can go on shouting about imperialism and expatriates, inefficiency
and ignorance; these all exist to keep us enslaved. But what about the
responsibility of those, citizens like us, entrusted with promoting and
preserving this country’s wealth? They at least are not supposed to be
imperialist, inefficient or ignorant? Or is this asking too much?2??

If Mr. Tanzanian thinks that a really conscientious Board of
Directors could have controlled these managers, then surely he is
asking too much. For ‘world leaders in managerial and technical
expertise’ know that their first responsibility is to the foreign firm
that sends them and to whom they will return, and that profits
sent abroad are their reason for being sent here. World leaders in
management are trained in how to outwit un-cooperative Boards
of Directors.

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