- Title
- Enablers and dis-enablers to the success of the East London industrial development zone
- Creator
- Ramncwana, Ayanda
- Subject
- Gqeberha (South Africa)
- Subject
- Eastern Cape (South Africa)
- Subject
- South Africa
- Date Issued
- 2021-04
- Date
- 2021-04
- Type
- Master's theses
- Type
- text
- Identifier
- http://hdl.handle.net/10948/52967
- Identifier
- vital:44890
- Description
- Special Economic Zones (SEZs) have been a global phenomenon since the 1960s and have been integral to the transformation of emerging and ailing economies. In 2002 the South African government identified SEZs as instruments for advancing its economy into a higher industrialisation path based the assessment of potential socio-economic gains. Past research findings, however, suggest that South African SEZs, when compared to international SEZ performances, are lagging behind both in terms of delivering a compelling SEZ value proposition and achieving the desired socio-economic gains. Limited research has been conducted on the factors which enable and dis-enable the success of SEZs in South Africa. This study evaluates the factors that enable and dis-enable the effectiveness of South African SEZs in achieving their socio-economic development objectives. Applying a qualitative case study methodology, research was conducted on the East London Industrial Development Zone(ELIDZ), one of the first SEZs to be designated in South Africa in 2002. The study finds that a weak SEZ regulatory framework characterised by slow delivery of important SEZ industrial support has dis-enabled South African SEZs. A complex business environment has also dis-enabled the competitiveness of South African SEZs. The study reveals that while it is easier to conduct business inside the SEZs, South African SEZs are not given adequate policy latitude to be an experimental ground to drive reform that will improve the ease of doing business in South Africa. A challenging labour market marred by low productivity, high production costs and inadequately skilled labour continue to challenge the success of SEZs in South Africa. Poor regional infrastructure and delays in the roll out of fiscal incentives, are also some of the factors that have dis-enabled the success of the East London IDZ. World-class infrastructure inside the ELIDZ, inherent locational competitive advantages and the existence of locational-specific non-fiscal incentives have, however, been the key enablers that have improved the competitiveness of the ELIDZ. Despite some of the notable dis-enablers to the competitiveness of South African SEZs, the ELIDZ has done well in achieving short-term static outcomes such as employment, exports, investment attraction and FDI despite some of the factors that had dis-enabled the zone. The zone has also achieved certain dynamic outcomes such as skills upgrading, industrial upgrading, technology transfer and diversification of the economic output, albeit these still being at low levels.
- Description
- Thesis (MBA) -- Faculty of Business and Economic Sciences, NMU Business School, 2021
- Format
- computer
- Format
- online resource
- Format
- application/pdf
- Format
- 1 online resource (202 pages)
- Format
- Publisher
- Nelson Mandela University
- Publisher
- Faculty of Business and Economic Sciences
- Language
- English
- Rights
- Nelson Mandela University
- Rights
- All Rights Reserved
- Rights
- Open Access
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