An analysis of government’s facilitation in attracting original equipment manufacturer foreign direct investments in Port Elizabeth
- Authors: Shogole, Nomkhitha Samantha
- Date: 2017
- Subjects: Automobile industry and trade -- South Africa -- Port Elizabeth , Investments, Foreign -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: http://hdl.handle.net/10948/20319 , vital:29260
- Description: The South African automotive industry has experienced significant growth since its first inception in 1995. South Africa’s trade relations with other countries has facilitated the growth of this sector. Government introduced programmes that encouraged growth in the sector, namely the Motor Industry Development Programme (MIDP) and the Automotive Production and Development Programme (APDP). South Africa as the catalyst for development in Africa needs to continuously strive to integrate with other developed countries to and promote Foreign Direct Investments into the continent. The development of the industry requires organic growth to ensure that it remains sustainable. The research problem addressed in this study is to establish the role government plays in ensuring a sustained growth of Foreign Direct Investment (FDI) in the automotive sector. The establishment of this statement is imperative to the growth of automotive investments by multinationals in South Africa. Original Equipment Manufacturers (OEM) are positioned in three of the country’s eleven provinces. The Eastern Cape region has been known to be the automotive-hub of South Africa with a GDP that is driven by the secondary automotive sector consisting of multinational OEM giants such as Volkswagen South Africa (VWSA), General Motors South Africa (GMSA), Ford Motor Company, FAW and Daimler. South African OEMs are required to lobby at the principal companies before a new model can be built in the country. Lobbying involves offering competitive logistics costs to build models in South Africa. Stakeholders led by government are required to actively participate in these negotiations to sustain the industry in the country. One of the ways this can be achieved is through formulation, integration and alignment of strategies between all stakeholders. Stakeholders involve private sector and public sector working together. South Africa has achieved an open-country perception to foreign investors through the APDP. The problem statement was accurately explained and expressed clearly and sub-problems were identified from areas in the main problem that required further analysis. Literature has revealed that South African ports are considered to be the most expensive in the world and that there is a lack of port and rail integrated infrastructure. Providing a complete supply chain for logistics will result in increased FDI for South Africa. The governmental entities’ support will allow the OEMs an opportunity to increase investment in South Africa thus creating employment and adding value to the GDP of South Africa. The South African component manufacturer’s sector has grown intensively creating sustainable jobs for South Africans. The industry is structured in such a way that there is a multiplier-effect reaction to macro-economic conditions. A comprehensive literature review was executed to understand the nature and extent of the global automotive industry, the South African automotive industry, the regions that host OEMs, the Motor Industry Development Programme and the Automotive Production and Development Programme. A primary research instrument was constructed, in the form of a questionnaire, to test themes which were highlighted in the literature review which can influence the sector’s competitive advantage. A questionnaire was distributed with the assistance of industry representatives in the Transport and Logistics sector. There was consensus on many issues regarding the current structure of the South African automotive industry. Specifically, the importance of rail, efficiencies, prices and value-added services needed in the industry to attract FDIs as well as the readiness of the Port of Port Elizabeth with regards to being positioned as an automotive-hub for Sub-Saharan Africa.
- Full Text:
- Date Issued: 2017
- Authors: Shogole, Nomkhitha Samantha
- Date: 2017
- Subjects: Automobile industry and trade -- South Africa -- Port Elizabeth , Investments, Foreign -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MBA
- Identifier: http://hdl.handle.net/10948/20319 , vital:29260
- Description: The South African automotive industry has experienced significant growth since its first inception in 1995. South Africa’s trade relations with other countries has facilitated the growth of this sector. Government introduced programmes that encouraged growth in the sector, namely the Motor Industry Development Programme (MIDP) and the Automotive Production and Development Programme (APDP). South Africa as the catalyst for development in Africa needs to continuously strive to integrate with other developed countries to and promote Foreign Direct Investments into the continent. The development of the industry requires organic growth to ensure that it remains sustainable. The research problem addressed in this study is to establish the role government plays in ensuring a sustained growth of Foreign Direct Investment (FDI) in the automotive sector. The establishment of this statement is imperative to the growth of automotive investments by multinationals in South Africa. Original Equipment Manufacturers (OEM) are positioned in three of the country’s eleven provinces. The Eastern Cape region has been known to be the automotive-hub of South Africa with a GDP that is driven by the secondary automotive sector consisting of multinational OEM giants such as Volkswagen South Africa (VWSA), General Motors South Africa (GMSA), Ford Motor Company, FAW and Daimler. South African OEMs are required to lobby at the principal companies before a new model can be built in the country. Lobbying involves offering competitive logistics costs to build models in South Africa. Stakeholders led by government are required to actively participate in these negotiations to sustain the industry in the country. One of the ways this can be achieved is through formulation, integration and alignment of strategies between all stakeholders. Stakeholders involve private sector and public sector working together. South Africa has achieved an open-country perception to foreign investors through the APDP. The problem statement was accurately explained and expressed clearly and sub-problems were identified from areas in the main problem that required further analysis. Literature has revealed that South African ports are considered to be the most expensive in the world and that there is a lack of port and rail integrated infrastructure. Providing a complete supply chain for logistics will result in increased FDI for South Africa. The governmental entities’ support will allow the OEMs an opportunity to increase investment in South Africa thus creating employment and adding value to the GDP of South Africa. The South African component manufacturer’s sector has grown intensively creating sustainable jobs for South Africans. The industry is structured in such a way that there is a multiplier-effect reaction to macro-economic conditions. A comprehensive literature review was executed to understand the nature and extent of the global automotive industry, the South African automotive industry, the regions that host OEMs, the Motor Industry Development Programme and the Automotive Production and Development Programme. A primary research instrument was constructed, in the form of a questionnaire, to test themes which were highlighted in the literature review which can influence the sector’s competitive advantage. A questionnaire was distributed with the assistance of industry representatives in the Transport and Logistics sector. There was consensus on many issues regarding the current structure of the South African automotive industry. Specifically, the importance of rail, efficiencies, prices and value-added services needed in the industry to attract FDIs as well as the readiness of the Port of Port Elizabeth with regards to being positioned as an automotive-hub for Sub-Saharan Africa.
- Full Text:
- Date Issued: 2017
Investment promotion: a Coega development corporation perspective
- Authors: Maduna, Thembinkosi Penford
- Date: 2015
- Subjects: Investments, Foreign -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth , Industrial development projects -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/3614 , vital:20446
- Description: In March 2002, the Coega Development Cooperation (CDC) announced that the infrastructure design was complete, and the Coega Industrial Development Zone (IDZ) was declared the first IDZ in South Africa. The Coega IDZ was established to improve the delivery of infrastructure in the Eastern Cape by addressing skill shortages, unemployment, constrained planning and project management capacity, under-expenditure, sub-standard infrastructure, and inefficiencies that characterise delivery of infrastructure by government in South Africa generally and the Eastern Cape Province in particular. In the process, socio-economic development and transformation in the Eastern Cape and South Africa as a whole will be advanced. The primary objective of the study was to investigate the extent to which the various determinants of foreign direct investment (FDI) influence the investment promotion strategy (IPS) used by the CDC, and how these determinants can be used in the IPS to increase the number of signed investors at the CDC.
- Full Text:
- Date Issued: 2015
- Authors: Maduna, Thembinkosi Penford
- Date: 2015
- Subjects: Investments, Foreign -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth , Industrial development projects -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/3614 , vital:20446
- Description: In March 2002, the Coega Development Cooperation (CDC) announced that the infrastructure design was complete, and the Coega Industrial Development Zone (IDZ) was declared the first IDZ in South Africa. The Coega IDZ was established to improve the delivery of infrastructure in the Eastern Cape by addressing skill shortages, unemployment, constrained planning and project management capacity, under-expenditure, sub-standard infrastructure, and inefficiencies that characterise delivery of infrastructure by government in South Africa generally and the Eastern Cape Province in particular. In the process, socio-economic development and transformation in the Eastern Cape and South Africa as a whole will be advanced. The primary objective of the study was to investigate the extent to which the various determinants of foreign direct investment (FDI) influence the investment promotion strategy (IPS) used by the CDC, and how these determinants can be used in the IPS to increase the number of signed investors at the CDC.
- Full Text:
- Date Issued: 2015
Role of public participation in the intergrated development plan in local government : the case of Nelson Mandela Bay Municipality
- Authors: Mahlinza, Nozipho Clarice
- Date: 2013
- Subjects: Metropolitan government -- South Africa -- Port Elizabeth , Local government -- South Africa -- Port Elizabeth , Public administration -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MPA
- Identifier: vital:8316 , http://hdl.handle.net/10948/d1020109
- Description: Local Government has a critical role to play in rebuilding local communities and environments as the basis for a democratic, with specific reference to the Nelson Mandela Bay Municipality. The main aim was to evaluate the public participation in the Integrated Development Plan in the NMBM and whether public participation is seen as vehicle to enhance policy formulation and implementation of the Integrated Development Plan. To provide strategies to remedy the situation. The sample comprised of senior officials, Mayoral Committee, Ward councillors, and officials who deals with IDP. Questionnaires with open and closed questions were employed to councillors and officials, interviews were conducted with senior officials, ward councillors and members in the ward. Findings suggest that the current public participation strategies are inadequate, because Budget and IDP processes are not properly integrated; the plans approved by council are not adhered to resulting to fighting fires. Based on the research findings, councillors and political leaders should consider structuring and moderating the public debate in the IDP process to ensure IDP is real and above all implemental. Finally internal communication between the administrative and political arms of the NMBM needs to be managed in a way that builds trust and understanding of the key process such as the IDP cycle, mid‐term and annual budget cycle.
- Full Text:
- Date Issued: 2013
- Authors: Mahlinza, Nozipho Clarice
- Date: 2013
- Subjects: Metropolitan government -- South Africa -- Port Elizabeth , Local government -- South Africa -- Port Elizabeth , Public administration -- South Africa -- Port Elizabeth , Economic development -- South Africa -- Port Elizabeth
- Language: English
- Type: Thesis , Masters , MPA
- Identifier: vital:8316 , http://hdl.handle.net/10948/d1020109
- Description: Local Government has a critical role to play in rebuilding local communities and environments as the basis for a democratic, with specific reference to the Nelson Mandela Bay Municipality. The main aim was to evaluate the public participation in the Integrated Development Plan in the NMBM and whether public participation is seen as vehicle to enhance policy formulation and implementation of the Integrated Development Plan. To provide strategies to remedy the situation. The sample comprised of senior officials, Mayoral Committee, Ward councillors, and officials who deals with IDP. Questionnaires with open and closed questions were employed to councillors and officials, interviews were conducted with senior officials, ward councillors and members in the ward. Findings suggest that the current public participation strategies are inadequate, because Budget and IDP processes are not properly integrated; the plans approved by council are not adhered to resulting to fighting fires. Based on the research findings, councillors and political leaders should consider structuring and moderating the public debate in the IDP process to ensure IDP is real and above all implemental. Finally internal communication between the administrative and political arms of the NMBM needs to be managed in a way that builds trust and understanding of the key process such as the IDP cycle, mid‐term and annual budget cycle.
- Full Text:
- Date Issued: 2013
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