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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Globalization and Diversification: Two Cases in Southern Africa
Authors:Good, KennethISNI
Hughes, Skye
Periodical:African Affairs: The Journal of the Royal African Society
Geographic term:Botswana
Subjects:global economy
regional planning
Development and Technology
Economics and Trade
Politics and Government
External link:http://ejournals.ebsco.com/direct.asp?ArticleID=4A01830CB2ADC4ACF9BE
Abstract:With most of its eggs in the diamond basket, diversification is vital for Botswana. Globalization, as the re-location of production processes, is a potential answer to the problem, at the cost of the exploitation of workers in new, low-grade manufacturing activities and their non-unionization. This article examines two industrial projects in Botswana whose history shows various of the pitfalls offered by globalization. The first is the Selebi-Phikwe Regional Development Project (SPRDP). The second is the car assembly industry in Gaborone. At the SPRDP, set up in Botswana's third largest town in 1989, jobs were made and lost, and skills creation and capital investment were low, because of the State's incapacity to control the disorderly capitalism attracted there. In contrast, car assembly in Gaborone in the 1990s represented the productive and developmental face of globalization. Significant diversification quickly resulted. But government capacity to control the process was again inadequate, especially in its underestimation of South Africa's determined opposition. In 2000, the Hyundai and Volvo corporations re-located out of Botswana as smoothly as they had arrived. Notes, ref., sum.