South Africa

Student

Prof X

Course

21 October 2007

Doing Business in South Africa

Investors and investment groups are continually on the prowl looking for emerging markets where they can plunk their funds and make it grow beyond what they hoped for . This is called wise investment moves and talking about brilliant investment opportunities in the 21st century one of the truly fast-growing economy outside Europe , America and Asia is South Africa . While all roads lead to China - in terms of exploiting a substantial emerging market - South Africa beckons for the

serious businessman eager to earn significant sums of money from trading and other partnerships

The first part of this will look at South Africa 's business potential specifically with regards to the country 's capability to attract foreign-direct investment ( FDIs . In to accomplish this , the proponent of this will look at broad contextual issues such as culture , economics , administrative policies and geography

Background

For many centuries the allure of Africa never waned . It was called the Dark Continent not referring to the black skinned natives but more on the fact that it is a land shrouded in mystery and cloaked in enigma There are probably only a few people in the world who will not jump at the chance of taking a safari and get the chance to fully immerse in a land that is the stuff of legends

When it comes to travel and leisure there is no doubt that South Africa is a top destination . As mentioned the jungle parks are an irresistible draw . Those who can afford the steep cost of a safari will go to the Dark Continent if only to experience the beauty of the wild and to witness untamed beasts roaming free in the savannas . But when it comes to investing , that is an entirely different matter . An intelligent decision must be reached after looking at the feasibility of doing business in this side of Africa

The following pages will provide a basic outline of what it is like to set-up shop in South Africa . The following discussion will focus on investment opportunities , cultural constraints that will affect business operations as well as positive cultural traits that will improve efficiency of the same , human resource issues , natural resources governance , and geography . Most of the data and observation that will be show pointed to a more positive outlook concerning South Africa 's economic fundamentals

Why Invest

South Africa has the basic ingredient needed to create an investment haven for foreign investors . The nation is situated at the southernmost part of the African continent . It occupies an area of approximately 1 220 , 000 square kilometers , spacious enough for more than 43 million inhabitants and those who would like to immigrate and contribute to nation building . But most importantly , .the country boasts the most advanced economy in sub-Saharan Africa , and is amongst the most important trading nations on the continent (Simon , 2006 ,

. 2

In a recent edition of an authoritative source for South...