South Africa Wine Cluster

THE SOUTH AFRICAN WINE CLUSTER

MICRO-ECONOMICS OF COMPETITIVENESS Mutsa Chironga, Maria Demeke, Chris Maloney, Leigh Miselis, Markus Scheuermaier whitethorn 5 2006

The South African Wine crew

1.
1.1

Introduction and expanse Analysis
Political and Economic Performance Situated at the grey tip of the African continent, a considerable distance outside(a) from

most of its traditional markets, South Africa has had a traumatic history. blood line with the arrival of the first Dutch settlers in 1652, the past ternary centuries have been marked by colonization, war, and racist oppression. Nonetheless, South Africa has experience a level of industrialization unrivalled in Africa, with a heterogeneous population of 42-45 million people (EIU; WDI 2005), which is about 80% black, 10% Indian and Coloured (mixed-race) and 10% white. Since the end of apartheid in 1990-94, South Africa has been a success story when it comes to political transition. However, the scotch transition has not been as easy. The legacy of apartheid remains quite profound: a Gini coefficient of 0.58, making it the fifth most uneven country in the world; unemployment of 27%; and nearly 57% of the population living in poverty (WDI 2005).



At the alike(p) time, however, South Africa remains a middle income country: its gross domestic product per capita stands at US$10,798 (in PPP terms), and real GDP growth has picked up from an average of 3% in 19942004 to almost 5% in 2005 (WDI, 2005; EIU). Business confidence is high, and the countrys monarch risk rating, at Baa1, is at the high end of subvert investment grade ratings (www.brait.com). South Africa: GDP Growth
6 5

4

3 GDP Growth (%)

2

1

0 1984 1989 1995 1999 2001 1981 1982 1985 1986 1987 1990 1991 1993 1996 1997 2002 2003 2005 1983 1988 1992 1994 1998 2000 2004

-1

-2

-3

Source: EIU (2005)

5-year GDP middling Annual GDP Growth

1

The South African Wine Cluster From a macroeconomic perspective, South Africa has had a flexible...If you want to pop out a full essay, order it on our website: Orderessay



If you want to get a full essay, wisit our page: write my essay .