International business and industrial politics in South Africa (1967-2008)

Résumé du document

As we have previously seen in the synthesis of literature, the Republic of South Africa is the 28th richest country in the World and is the most advanced in the African continent, contributing around 40% to the total continent GDP. However, the country also known under the name of "The rainbow nation", has during the recent history suffered from inequalities in particular between the privileged whites and the others.

Because of the segregation, the country lost numbers of partnership for example with the United States and the EC, which deteriorated the economic situation. In order to deepen the information given by the synthesis of literature, we analyzed the international business and we divided the period 1967-2008 in 5 sub-period. It allowed us for decryption, more precisely the industrial policies of the Republic of South Africa during the period. It figured out some results we couldn't expect only with the first part of the work.

Extraits

[...] For the last period 2002-2008 we observe a policy of degagement as regards a great majority of sectors. All the policies were inductive, except for the textile industry and the chemistry, what shows that the balance of trade of South Africa is positive. This phenomenon is completely logical, because the international trade during this period is in very strong expansion and achieved its highlight during this period. In summary, if we observe matrices and the board of the trades between South Africa and the world, numerous tendencies can stand out. [...]

[...] In the case of a commitment policy, if the first ratio is bigger than then we talk about a deductive industrial policy. On the opposite, we say that it is an inductive industrial policy. On the other hands, in the case of a degagement policy with the first ratio bigger than we talk about inductive industrial policy, while we say that it is a deductive industrial policy if the ratio was inferior to 1. For a stability policy, it is special: if the first ratio is bigger than then we talk about industrial policy of stability positive. [...]

[...] The realization of these matrix has been made in four distinguish steps. First of all, we will explain the whole methodology which has been used to build the matrix afterwards we will observe each matrix by sub-period. This will be pretty much a lecture more than an interpretation, because this is reserved for the second part. Methodology of the matrixes Characterization of International Trade in sub periods To realize these matrixes, it is foremost important to divide the long period 1967-2008 in shorter sub-periods. [...]

[...] Matrice finale période 1986 - 1992 This matrix is quite simple to analyze: during this period of great growth of the international business, the South African enterprises have chosen for almost all the sectors a degagement policy. These choices are not irrational as the country was not in a comfortable economic situation if we observe the trade balance which was negative in all the chains. In fact, there are only two sectors which have been supported by a commitment policy: the vehicles and the electricity, and this although importations were stronger than exportations. Matrice finale période 1992 - 2002 The matrix of this sub-period clearly shows the change of South Africa's industrial policies. [...]

[...] Characterization of the industrial policy with ratios Now that the chains are ranked by sub-period, you have to calculate the ratios between the total among of the exportations and the one of the importation, for the first and the last year of the sub-period. Then, compare the two ratios per chain in the aim to characterize the South Africa's policies by sector. In the case of the first one is superior to the second, we talk about industrial policy of degagement. [...]