Multinational Enterprises, Foreign Direct Investment and Growth in Africa

Transcription

1 Multinational Enterprises, Foreign Direct Investment and Growth in Africa

2 Contributions to Economics Further volumes of this series can be found at our homepage. Mario A. Maggioni Clustering Dynamics and the Locations of High-Tech-Firms ISBN Ludwig SchStzl/Javier Revilla Diez (Eds.) Technological Change and Regional Development in Europe ISBN Alberto Quadrio Curzio/Marco Fortis (Eds.) Complexity and Industrial Clusters ISBN Friedel Bolle/Marco Lehmann-Waffenschmidt (Eds.) Surveys in Experimental Economics ISBN Pablo Coto-Millan General Equilibrium and Welfare ISBN Wojciech W. Charemza/Krystyna Strzala (Eds.) East European Transition and EU Enlargement ISBN Natalja von Westernhagen Systemic Transformation, Trade and Economic Growth ISBN Josef Falkinger A Theory of Employment in Firms ISBN Engelbert Plassmann Econometric Modelling of European Money Demand ISBN Reginald Loyen/Erik Buyst/Greta Devos (Eds.) Struggeling for Leadership: Antwerp-Rotterdam Port Competition between ISBN Pablo Coto-Millan Utility and Production, 2nd Edition ISBN Emilio Colombo/John Driffill (Eds.) The Role of Financial Markets in the Transition Process ISBN X Guido S. Merzoni Strategic Delegation in Firms and in the Trade Union ISBN Jan B. Kune On Global Aging ISBN Sugata Marjit, Rajat Acharyya International Trade, Wage Inequality and the Developing Economy ISBN Francesco C. Billari/Alexia Prskawetz (Eds.) Agent-Based Computational Demography ISBN Georg Bol/Gholamreza Nakhaeizadeh/ Svetlozar T. Rachev/Thomas Ridder/ Karl-Heinz Vollmer (Eds.) Credit Risk ISBN Christian Miiller Money Demand in Europe ISBN Cristina Nardi Spiller The Dynamics of the Price Structure and the Business Cycle ISBN Michael Brauninger Public Debt and Endogenous Growth ISBN Brigitte Preissl/Laura Solimene The Dynamics of Clusters and Innovation ISBN Markus Gangl Unemployment Dynamics in the United States and West Germany ISBN Pablo Coto-Millan (Ed.) Essays on Microeconomics and Industrial Organisation, 2nd Edition ISBN Wendelin Schnedler The Value of Signals in Hidden Action Models ISBN Carsten Schroder Variable Income Equivalence Scales ISBN Wilhelm J. Meester Locational Preferences of Entrepreneurs ISBN X Russel Cooper/Gary Madden (Eds.) Frontiers of Broadband, Electronic and Mobile Commerce ISBN Jan-Egbert Sturm/Timo Wollmershauser (Eds.) Ifo Survey Data in Business Cycle and Monetary Policy Analysis ISBN

3 Bernard Michael Gilroy Thomas Gries Willem A. Naude Editors Multinational Enterprises, Foreign Direct Investment and Growth in Africa South African Perspectives With 31 Figures and 22 Tables Physica-Verlag A Springer Company

4 Series Editors Werner A. Miiller Martina Bihn Editors Prof. Dr. Bernard Michael Gilroy Prof. Dr. Thomas Gries Department of Economics University of Paderborn Warburger StraBe Paderborn Prof. Dr. Willem A. Naude Director of WorkWell Research Unit People, Policy and Performance North West University Private Bag X6001 Potchefstroom 2520 South Africa ISSN ISBN x Physica-Verlag Heidelberg New York Cataloging-in-Publication Data applied for Library of Congress Control Number: This work is subject to copyright. All rights are reserved, whether the whole or part of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations, recitation, broadcasting, reproduction on microfilm or in any other way, and storage in data banks. Duplication of this publication or parts thereof is permitted only under the provisions of the German Copyright Law of September 9, 1965, in its current version, and permission for use must always be obtained from Physica-Verlag. Violations are liable for prosecution under the German Copyright Law. Physica-Verlag is a part of Springer Science+Business Media springeronline.com Physica-Verlag Heidelberg 2005 Printed in Germany The use of general descriptive names, registered names, trademarks, etc. in this publication does not imply, even in the absence of a specific statement, that such names are exempt from the relevant protective laws and regulations and therefore free for general use. Softcover Design: Erich Kirchner, Heidelberg SPIN /3130/DK Printed on acid-free and non-aging paper

5 ACKNOWLEDGEMENTS This publication is the result of a research project, supported by the South African National Research Foundation (NRF) entitled "Entrepreneurial Networks, Human Skills and Multinational Firms in Labour Market Adjustments to Globalisation". The financial assistance of the National Research Foundation: Division for Social Sciences and Humanities towards this research is hereby acknowledged. Opinions expressed and conclusions arrived at are those of the authors and are not necessarily to be attributed to the National Research Foundation. The authors are also grateful to the Southern African-German Chamber of Commerce and Industry and the German Business Group at KPMG, Johannesburg for their assistance and advice, as well as the many German firms in South Africa that participated in the study. A particular word of thanks is due to Professor Klaas Havenga, former Dean of the Faculty of Economic and Management Sciences from North-West University, and Professor Karl-Heinz Schmidt of Paderborn University, whose farsightedness in stimulating co-operation between the two universities across two continents not only resulted in this research project and publication, but also in a formal collaboration agreement between Paderborn University and North-West University that was signed in May This book is dedicated to them. All views contained in this paper are that of the authors alone. Willem Naude, Thomas Gries & Bernard Michael Gilroy POTCHEFSTROOM, SOUTH AFRICA PADERBORN, GERMANY August 2004

6 CONTENTS INTRODUCTION B. M. Gilroy, T. Gries, W. Naude 1 Part I Africa in the Global Economy 1 ON GLOBAL ECONOMIC GROWTH AND THE CHALLENGE FACING AFRICA T. Gries, W. Naude 7 2 CATCHING-UP, FALLING-BEHIND AND THE ROLE OF FDIs T. Gries 37 3 THE DETERMINANTS OF FOREIGN DIRECT INVESTMENT IN AFRICA W. Krugell 49 4 THE GLOBAL INTEGRATION OF AFRICA: The EU-SA Free Trade Agreement and German MNEs in South Africa W. Naude, W. Krugell, N. Bauer 73 Part II Multinational Enterprises in Africa 5 THE CHANGING VIEW OF MULTINATIONAL ENTERPRISES AND AFRICA B. M. Gilroy GERMAN MULTINATIONALS IN AFRICA B. M. Gilroy, N. Bauer 155

7 VIII CONTENTS 7 OBSTACLES FACING GERMAN ENTERPRISES IN SOUTH AFRICA B. M. Gilroy et al COMPETITIVE INTELLIGENCE IN A FOREIGN ENVIRONMENT: GERMAN AND CANADIAN FIRMS COMPARED J. Calof, W. Viviers 209 Part III Labour Market Adjustment, Foreign Direct Investment and Human Resource Development 9 EMPLOYMENT EFFECTS OF FOREIGN DIRECT INVESTMENT: A Theoretical Analysis with Heterogeneous Labour T. Gries, S. Jungblut HUMAN RESOURCE DEVELOPMENT: A SINE QUA NON FOR FOREIGN DIRECT INVESTMENT IN SOUTH AFRICA W. Naude, W. Krugell CONCLUSIONS B. M. Gilroy, T. Gries, W. Naude 279 APPENDIX 285 ABOUT THE CONTRIBUTORS 303