Black business community participated in SA economy for survival purposes rather than for prosperity and contribution to its development at large. The rest of the black population formed a labour pool as a race-based lumpenproletariat. It is only in 1993 that BEE was introduced to dramatically reform the economy by including all races. The aim of the study was to determine BEE owned company success factors given the criticism and challenges faced. A qualitative, exploratory study was undertaken to gain in-depth knowledge from thirteen BEE experts through semi-structured interviews. The respondents were selected by way of purposive and snowball sampling and the highest combined total NAV of the BEE owned companies studied is over R92 Billion. The study found that at a macro-economic level for economic empowerment to succeed, political, psychological, economic and social powers need to be present. At a micro-economic level access to funding, skills and value creation is instrumental in ensuring BEE ownership succeeded. White corporates also had to be involved to de-racialise the economy. To this effect a model was developed which maps out a blueprint for BEE owned company success. It is the recommendation of the study that BEE-owned companies should continuously innovate to fuel growth / Dissertation (MBA)--University of Pretoria, 2014. / zkgibs2015 / Gordon Institute of Business Science (GIBS) / Unrestricted

The South African government introduced the Black Economic Empowerment (BEE) as an intervention to resolve economic imbalances. In furthering inclusivity in the previously exclusive sectors, like Mining, the BEE legislations and Mining Charter were introduced to benefit the HDSA. The study addressed a significant gap in BEE research, which is important within the South African context, as the country currently reviews progress after the initial 20 years of democratic dispensation. The research examined the share price performance of mining stocks listed on the JSE by tracking their share price performance after announcements relating to black empowerment transactions. The objectives of the research were to, first, determine whether announcements of BEE transactions lead to better shareholder wealth creation in the South African mining sector, second, to determine the impact of these announcements on Old and BEE mining companies that were listed on the JSE post- 1994, third, to determine whether the early BEE announcements made before the release of the Mining Charter in September 2010 had a greater positive impact on the Cumulative Abnormal Returns (CARs) of Mining companies compared to those made after the amendment to legislation. The research employed an event study methodology to analyse a sample of 26 mining companies that made a total of 241 qualifying announcements from January 2000 to November 2014. The results of the study showed negative impact on the CARs of the mining companies. It was noted that the old mining companies that existed before 1994 had better average abnormal return than the BEE companies. Further, the results showed that the Average Abnormal Returns (AARs) of the BEE announcements made prior to the Mining Charter had greater AARs than those made after the implementation. In sum, the BEE announcements had largely a negative impact on share performance of the mining companies. / Dissertation (MBA)--University of Pretoria, 2014. / lmgibs2015 / Gordon Institute of Business Science (GIBS) / Unrestricted