KSBY: Black-owned businesses impacted more than others amid pandemic

Posted at 11:11 AM, Feb 12, 2021 and last updated 1:11 PM, Feb 12, 2021

Economic experts say consumers are becoming more selective.

“They shy away from Black businesses faster than going away from other businesses,” said Kishore Kulkarni, Ph.D., a professor of economics at MSU Denver.

Kulkarni says this loss in sales has many impacts.

“That’s what we call the multiplier effect,” he said. “And the multiplier effect tells us because one business is not buying from another business, the whole supply chain gets affected.”

Despite the financial struggles, Kulkarni says this affect could be reversed if more people start buying from Black-owned businesses, something that Welton Street Café and its customers are fighting for.

“We can have hope, we can have prayer, we can have wishes all day,” Watkins said. “But without something tangible like finance to be able to back up our community, we have truly nothing.”