Thesis (M.M. (Finance & Investment)--University of the Witwatersrand, Faculty of Commerce, Law and Management, Wits Business School, 2016 / This study investigates how interest rates impact the South African Stock market. We investigate how the selected interest rates proxies predict the level of the FTSE/JSE All Share Index returns. The vector auto-regression (VAR) model was estimated and interpreted, based on the monthly data from June 1995 to September 2014. Using tools such as Granger causality, impulse response function and variance decomposition, we found that the selected variables did not significantly influence the FTSE/JSE All Share Index returns. Consequently, these variables are not useful as predictive tools for the South African stock market returns. / MT2017

A research report presented in partial fulfillment (50%) of the requirements for the degree of Master of Commerce in Business Economics (Finance) in the School of Economic and Business Sciences at the University of the Witwatersrand, Johannesburg September 2017 / Utilising the seminal work of Sloan (1996) this study investigates the accrual anomaly in South Africa. Utilising all firms listed on the All Share Index (ALSI) for the period 2002 to 2016, this study employs various tests surrounding the accrual anomaly. A regression analysis highlights a low persistence of earnings and the popular Mishkin (1983) test fails to prove a sufficient market reaction following changes in earnings. Accruals could pre-empt dramatic changes in future earnings but the observed stock price adjustment was only implicit in firms that suffered a drop in earnings. Additionally, the presence of post-earnings announcement drift (PEAD) meant the market reaction following an earning’s announcement was gradually reflected in the stock price. The accrual anomaly relies on an overreaction following an earning’s surprise in the month that financials are released. All the previously mentioned meant that a simple fundamental-based (cash flow) investment strategy far outperformed a strategy based on earnings’ fixation (accruals). This study failed to find conclusive evidence of the accrual anomaly on the JSE. / MT 2018

A dissertation submitted in partial fulfilment of the requirements for the degree of Master of Commerce (M .Com (Finance) in the Faculty of Commerce, Law and Management, University of the Witwatersrand, Johannesburg, 2018 / This research seeks to better understand the determinants of fund performance in a South African context. It will focus extensively on fund size, past performance, fees, and expense ratios and their relationship with performance. While other research has shown an inverse relationship between fees and performance, it seems divided on the relationship between fund size and performance in various markets. Due to the high regulatory environment, asset managers in South Africa face multiple restrictions that have limited their investible universe. The results presented in this research show that funds in South Africa exhibit the “Hot Hands” phenomenon as well as it documents the negative relationship between fees and performance for South African funds. Lastly, results show a positive relationship between fund size and performance where funds in South Africa enjoy economies of scale. / XL2019

South Africa’s land redistribution policy (1994-2008) has been widely publicised, and has come under scrutiny of late from the public, private and government spheres, highlighting a need for research in this area. The research examines progress in South Africa’s land redistribution programme in two of KwaZulu-Natal’s district municipalities, Uthungulu and iLembe. Specifically the research investigates whether the government has paid above market prices when purchasing sugarcane farmland for redistribution in these districts. Moreover, it is illustrated how productivity on redistributed farms has been affected with the changes in ownership. To investigate the research questions, reviews of theories pertaining to property rights, land reform and market structures were conducted. Moreover, two cases studies were conducted in the districts of Uthungulu and iLembe, with assistance from the Department of Land Affairs, Inkezo Land Company and the South African Cane Growers Association. The case study data indicate that above ordinary market prices have been paid (2004-2006) by the government for sugarcane farmland in the districts concerned, and further that productivity has been negatively impacted ‘during’ and ‘post‘ transfer, in the majority of cases.

Die doel van hierdie studie is om `n omvattende prysbepalingsmodel te ontwikkel vir vinnige bewegende voedselsoorte, met spesifieke verwysing na die mieliemeelbedryf. Deur navorsing wat gedoen is het dit aan die lig gekom dat daar nie `n enkele model bestaan wat prysbepaling in totaal aanspreek nie. Die model wat in hierdie verhandeling ontwikkel is, sal kan dien as `n omvattende prysbepalingsmodel en ook diegene wat nie bekend is met die prysbepalingsproses nie, tot voordeel strek. Hoofstuk 2 bied `n literatuurstudie van die faktore of komponente wat tydens prysbepaling verantwoord moet word. Hoofstuk 3 bied `n empiriese oorsig van die prysbepalingsmetodes wat TWK meulens aangewend het om die pryse van hulle klaarprodukte te bepaal, en hoe `n prysbepalingsmodel aangewend is om die winsgewendheid van die meulens te verhoog. Hoofstuk 4 word gewy aan die ontwikkeling van `n omvattende prysbepalingsmodel wat deur die mieliemeulebedryf en ander vervaardigers van vinnig bewegende voedselsoorte aangewend kan word. Hoofstuk 5 verskaf `n samevatting en riglyne vir verdere navorsing. / Business Management / M.Com. (Business Management)

Thesis (MBA)--Stellenbosch University, 2001. / ENGLISH ABSTRACT: This research involves the study of the relationship between share prices, earnings per share, dividends per share and cash flow per share. The aim is to estimate the extent of the effect of earnings per share, dividends per share and cash flow per share on share prices. A sample of industrial companies, all listed on the Johannesburg Stock Exchange is used. The sample includes 17 sectors, containing a total of 326 companies. The data relating to these companies is sourced from the database of the University of Stellenbosch Business School. Twenty consecutive years of reported financial results are used. This includes (i) share prices as at the company's year-end, (ii) earnings per share, (iii) dividends per share and (iv) cash flow per share for the financial year. The data for each individual company is arranged in three separate structures. One structure, known as levels, is created using the data in their original form. A second structure, first differences, is constructed using the annual changes in the original data. The third structure, first difference percentages, is created using the annual changes in the original data calculated as a percentage of the previous year's figure. Several methods are used to analyse data, by way of statistical models known as linear regression, multiple regression and stepwise regression, which is a variation of multiple regression. Regression analysis is used in deterministic models because the value of one variable is predicted on the basis of other variables. Such models are called deterministic because they allow users of data to determine the value of the dependent variable from the value of the independent variable(s). Linear regression is capable of calculating the relationship between variables, which are dependent on each other and represents the dependency as a percentage. Multiple regression is a statistical model, which calculates and represents the relationship between three or more variables as an equation. Multiple regression is capable of calculating the relationship between the three or more variables which are dependent on each other and represents the dependency as a percentage. The statistical models are applied to each company individually, based on the three structures of the data. The conclusions of this research are based upon the results of the dependency of the variables, calculated by the various statistical models. The conclusions arrived at were that (1) the first differences structure is best suited to this model, (2) by placing the data of individual companies together in one pool, the problem of weighing each company was overcome, and (3) using linear regression results together with the multiple and stepwise regression results added value in terms of comparison of the accuracy of results. A comparison was drawn between the findings of this study and those of previous writers and is referred to in the text. Four researchers namely Strong, Board and Day, Brown and Mara-Tjingaete, regressed the results of earnings versus share price and produced R2 values of 12,8 percent, 13 percent, 7 percent and 7,8 percent respectively. Brown and Mara-Tjingaete found R2 results of 14 percent and 0,6 percent respectively for dividends versus share price and this study also produced an R2 result of 0,4 percent for cash flow versus share price. / AFRIKAANSE OPSOMMING: Hierdie navorsing behels die studie van die verwantskap tussen aandeelpryse, verdienste per aandeel, dividende per aandeel en kontantvloei per aandeel. Die doel daarvan is om die uitwerking van verdienste per aandeel, dividend per aandeel en kontantvloei per aandeel op aandeelpryse te bereken. 'n Steekproef van industriële maatskappye genoteer op die Johannesburgse Effektebeurs is gebruik. Die steekproef strek oor 17 sektore en sluit 326 maatskappye in. Die data van hierdie maatskappye is verkry van die databank van die Universiteit van Stellenbosch Bestuurskool. Twintig opeenvolgende jare se gepubliseerde finansiële state word in die steekproef gebruik. Dit sluit in (i) aandeelpryse soos op die maatskappye se finansiële jaareinde, (ii) verdienste per aandeel, (iii) dividende per aandeel en (iv) kontantvloei per aandeel vir die finansiële jaar. Die data vir elke maatskappy is in drie verskillende strukture gerangskik. Een struktuur, bekend as vlakke, is geskep deur die data in hulle oorspronklike vorm te gebruik. 'n Tweede struktuur, eerste verskille, is saamgestel deur die jaarlikse verandering in die oorspronklike data te gebruik. Die derde struktuur, eerste verskille-persentasies, is geskep deur die jaarlikse veranderinge in die oorspronklike data, bereken as 'n persentasie van die vorige jaar se syfer, te gebruik. Verskeie metodes word gebruik om data te ontleed, deur middel van statistiese modelle bekend as lineêre regressie, meervoudige regressie en stapsgewyse regressie, 'n variasie van meervoudige regressie. Regressie ontledings word gebruik in bepalende modelle omdat die waarde van een veranderlike gebruik word as basis om die waarde van die ander veranderlike te probeer voorspel. Sulke modelle word bepalend genoem vanweë die feit dat dit gebruikers van data in staat stel om die waarde van die afhanklike veranderlike te bepaal deur middel van die waarde van die onafhanklike veranderlike(s). Lineêre regressie kan die verwantskap tussen interafhanklike veranderlikes bereken en die afhanklikheid as 'n persentasie uitdruk. Meervoudige regressie is 'n statistiese model wat die verwantskap tussen drie of meer veranderlikes as 'n vergelyking bereken en voorstel. Meervoudige regressie kan die verwantskap tussen drie of meer interafhanklike veranderlikes bereken en die afhanklikheid as 'n persentasie uitdruk. Die statistiese modelle word toegepas op elke individuele maatskappy, gebaseer op die bogenoemde drie strukture. Die bevindinge van die navorsing is gebaseer op die resultate van die afhanklikheid van die veranderlikes soos deur die verskillende statistiese modelle bereken. Die uiteindelike gevolgtrekking was dat (1) die eerste verskille-struktuur die mees gepaste vir hierdie model is, (2) deur die data van die afsonderlike maatskappye in een poel te plaas, is die probleem van die gewig per maatskappy oorkom, (3) die gebruik van lineêre, meervoudige en stapsgewyse regressie het baie waarde ten opsigte van die vergelyking van akkuraatheid van die resultate toegevoeg. Vergelykings is getref tussen bevindinge in hierdie werkstuk en die van ander navorsers. Vier navorsers, naamlik Strong, Board en Day, Brown en Mara- Tjingaete het R2 resultate vir verdienste per aandeel teenoor aandeelpryse van onderskeidelik 12,8 persent, 13 persent, 7 persent en 7,8 persent gekry. Brown en Mara-Tjingaete het R2 resultate van onderskeidelik 14 persent en 0,6 persent bevind vir dividende per aandeel teenoor aandeelpryse en hierdie studie het ook R2 resultate van 0,4 persent vir kontantvloei per aandeel teenoor aandeelpryse gelewer.

Study project (MBA)--University of Stellenbosch, 2003. / ENGLISH ABSTRACT: The objective of this study is to verify the cumulative factors developed by the Graduate School of Business of the University of Stellenbosch when calculating prices per share (price) over the period 1970 to 2000, earnings per share (EPS), cash flows per share (CFS) and net asset values per share(NA V). All four are done in a time series format. This study project forms part ofa larger research project of the Graduate School of Business ofthe University of Stellenbosch (USB). The data was extracted from the database of the USB and also from companies' financial annual reports and/or directors' reports of the annual financial statements of each company included in the research for the specified periods. The aim of this study is to compare the calculated implicit cumulative factors used in practice with the specific cumulative factor calculated/used by the USB. The !NET prices were compared with the prices of the USB (after using the USB specific cumulative factors). The study also compares the NAV published by companies with the NAV obtained by the USB by dividing equity/weighted average number of shares duly adjusted by the cumulative factor. Companies with minor and major differences were observed but for the purpose of this study only the examples of companies with major differences have been indicated and properly documented. / AFRIKAANSE OPSOMMING: Die doel van hierdie studie is om die kumulatiewe faktore wat deur die Nagraadse Bestuurskool van die Universiteit van Stellenbosch ontwikkel is, te verifieer, wanneer pryse per aandeel (prys) oor tydperk 1970 tot 2000, verdienste per aandeel, kontantvloei per aandeel en netto batewaardes per aandeel bereken word. Al vier word in 'n tydreeksformaat gedoen. Hierdie studieprojek vorm deel van 'n groter navorsingsprojek van die Nagraadse Bestuurskool van die Universiteit van Stellenbosch (USB). Die data is van die USB databasis verkry, asook van maatskappye se finansiële jaarverslae en/of direkteure se verslae van die jaarlikse finansiële state van elke maatskappy wat in die navorsing vir die spesifieke tydperke ingesluit is. Die doelwit van hierdie studie is om die berekende implisiete kumulatiewe faktore wat in die praktyk gebruik word met die spesifieke kumulatiewe faktore wat deur die USB bereken/gebruik word, te vergelyk. Die !NET pryse is met die pryse van die USB (nadat die USB spesifieke kumulatiewe faktore gebruik is) vergelyk. Die studie vergelyk ook die netto batewaardes per aandeel wat deur die maatskappye gepubliseer is met die netto batewaardes per aandeel wat deur die USB verkry is, deur die aandeelhouersbelang/geweegde gemiddelde aantal aandele wat behoorlik aangepas is, met die kumulatiewe faktore te deel. Maatskappye met groter of kleiner verskille is waargeneem, maar vir die doel van hierdie studie is slegs die voorbeelde van maatskappye met groter verskille aangedui en behoorlik voorsien.

Thesis (MBA)--Stellenbosch University, 2008. / ENGLISH ABSTRACT: Internationally, a number of studies on property cycles have been undertaken. In contrast very little academic research has been undertaken in South Africa. The importance of the subject is once again become evident given the recent global turbulence in both property and credit markets. The central hypothesis of this study is that there exists a residential property cycle in South Africa and that it can be identified and that furthermore there are indicators that can identify the various stages that the property market finds itself in and that these indicators can be used to forecast the property cycle. A number of potential drivers of the property cycle were identified and analysed. These drivers collectively propel the property cycle through its various cycle stages. Not one of the drivers in isolation has the ability to move the cycle; it is rather the correct combination of drivers at the right time that have the necessary impact to make the changes in property price levels. The study has identified the historical residential property cycle in South Africa and identified the primary drivers of the property cycle. It was found that Interest Rates, GOP, Population, Household Debt to Disposable Income ratio, Quantity of Building Plans Approved and Building Cost Escalation are all material drivers in defining the property cycle. A statistical analysis in the form of multiple regression was applied to the above variables and a statistical model was developed to forecast the property cycle. It was found that the model has significant explanatory powers when the goodness of fit was tested. / AFRIKAANSE OPSOMMING: Die sentraal onderstelling van hierdie studie is dat daar 'n residensiele eiendom kringloop in Suid-afrika bestaan en dat dit geidentifiseer kan wees en dat bowendien daar aanwysers wat die verskeie stadiums van die eiendom mark kan identifiseer vind en dat hierdie aanwysers gebruik kan word vir voorspelling van die eiendom kringloop. 'n Aantal potensiele drywers van die eiendom kringloop was geidentifiseer en gean ali seer. Hierdie drywers gesamentlik dryf die eiendom kringloop deur sy verskeie kringloop stadiums voort. Nie een van die drywers in isolasie het die vermoe om die kringloop te beweeg nie; dit is liewer die korrekte kombinasie van drywers op tyd wat die nodige impak het om die veranderinge in eiendom prys vlakke te maak. Die studie het die historiese residensiele eiendom kringloop in Suid-afrika geidentifiseer en die primere drywers van die eiendom kringloop. Dit was gevind dat Rentekoerse, GOP, Populasie, Huishouding Skuld tot Weggooibare Inkomste Verhouding, Hoeveelheid van Gebou Pia nne Goedgekeur en Gebou Kos Eskilasie is almal materiaal drywers in definieer van die eiendom kringloop. 'n Statisties analisering was aangewend aan die bo onkonstante en 'n statistiese skema was ontwikkel om voorspelling van die eiendom kringloop te bepaal. Dit was gevind dat die skema beduidende verduidelike kragte het wanneer die goedheid van pas getoets was.

Thesis (MBA)--Stellenbosch University, 2004. / ENGLISH ABSTRACT: The aim of the investigation was to supply decision-makers within the explosives industry with a study, outlining all aspects important for the successful completion of a capital project. It also aimed to supply a model to support them in decision-making regarding new capital expansions and to sensitise them to what is necessary for the successful completion of a capital project. This model was developed with the aid of the following equation: Target return = Cost + Desired percentage return x Capital invested In the process of developing the model, it became clear that financial criteria could not be looked at in isolation. The conclusion was reached that, in an attempt to successfully complete a capital project, it becomes important to investigate the whole process, from budgeting to project completion. The capital project at issue takes place against the background of the explosives business in South Africa. It follows that the investigation started off with a study as to where explosives originated from, as this played an important role in the later development of mining techniques and the resulting change in how mine management approached the delivery of service through explosives companies. From the investigation it became clear that large mines, in an increasing way, opt for "one-contract suppliers". It is expected from these suppliers to manage all aspects pertaining to drilling, blasting and the hauling of ore. The study also indicated that there is an oversupply of ammonia, an important ingredient in the manufacturing of explosives, in South Africa. The combined conclusion was that margins in the explosives industry in South Africa were put under pressure. This conclusion underlines the importance of proper capital project management. It was also found that the level of customer service largely contributes towards the determination of the layout, size and quantity of remote sites. It follows that this is also a large cost driver. This cost as well as the costs of erection, purchase of explosives trucks and the "operability enablement" of such a remote site are important in the sense that they form a part of the determination of the initial capital outlay as well as the future cash flow for the calculation of the net present value and the internal rate of return on the project. A large portion of the operations cost is represented by the transportation of raw materials from the manufacturing plants to the different remote sites. This action, in the Sasol Explosives environment, is the only link in the logistics system that has been outsourced. The investigation into the outsourcing showed that there was no clear reason why this function was outsourced and, likewise, no apparent reason why it cannot be "insourced" again. A recommendation has been made that a full-scale investigation into the possible insourcing of the transport function be launched. In the process of establishing the future cash flow, an investigation was launched into the income generated by the project. It was found that the investigation into income could be divided into two parts: the first, the required return, is coupled to risk; and the second is the actual sale of products. Sales volume (tonnage) and the accompanying price per ton "combine" to form sales income. Finally, price per ton, in turn, is used to "balance" the equation that has been investigated. This price is used as the figure quoted to potential customers. This equation, as well as the sum total of the investigation, was used as the basis for the development of a model or Excel spreadsheet. / AFRIKAANSE OPSOMMING: Die doel van die ondersoek was om 'n studie aan besluitnemers binne die springstofbedryf daar te stel wat alle aspekte belangrik vir die suksesvolle voltooiing van 'n kapitaal projek bespreek. Die doel was verder om 'n model ter ondersteuning van nuwe kapitaal-uitbreidings besluitneming daar te stel en besluitnemers ook te sensiteer ten opsigte van wat nodig is om 'n kapitaalprojek suksesvol af te handel. Hierdie model is ontwikkel aan die hand van die volgende vergelyking: Doelopbrengs = Koste + Verlangde persentasie opbrengs x Kapitaal belegging. In die proses om die model te ontwikkel het dit duidelik geword dat daar nie in isolasie na finansiele kriteria gekyk kon word nie. Daar is tot die slotsom gekom dat, in 'n poging om 'n kapitaalprojek suksesvol af te handel, dit nodig was om die hele proses, vanaf begroting tot projek-afhandeling, te ondersoek. Die genoemde kapitaalprojek vind plaas teen die agtergrond van die springstofbedryf in Suid-Afrika. Die ondersoek het derhalwe 'n aanvang geneem met 'n volledige ondersoek na waar springstof vandaan gekom het, aangesien dit 'n belangrike rol gespeel het in die latere ontwikkeling van mynboutegnieke en die gevolglike verandering in hoe mynbestuur dienslewering deur springstofmaatskappye benader. Uit die ondersoek het dit gevolg dat groot mynmaatskappye hulle al meer wend tot "een-kontrak-verskaffers". Daar word van hierdie verskaffers verwag om alle aksies rakende boorwerk, skietwerk en die vervoer van grondstowwe te bestuur. Die ondersoek het ook daarop gewys dat daar 'n oor-aanbod van ammoniak, 'n belangrike onderdeel in die vervaardiging van springstowwe, in Suid-Afrika bestaan. Die gesamentlike gevolg was dat marges in die springstofbedryf in Suid-Afrika onder druk is. Hierdie gevolg het die feit onderstreep dat baie noukeurig na kapitaal projekte gekyk moet word. Daar is bevind dat die vlak van klientediens grootliks die uitleg, grootte en aantal verafgelee aanlegte bepaal. Gevolglik is dit ook 'n baie groot kostedrywer. Hierdie genoemde koste, asook die kostes van die oprigting, aankoop van springstoftrokke en die "bedryfbaar-maak" van so 'n verafgelee aanleg, is belangrik in die sin dat dit deel uitmaak van die nodige vasstelling van die toekomstige aanvanklike kapitaaluitleg, asook die kontantvloei vir die berekening van die huidige nettowaarde en interne opbrengskoers van die beplande projek. 'n Groot deel van die bedryfskoste word verteenwoordig deur die vervoer van grondstowwe vanaf die vervaardigingsaanlegte tot by die verskeie verafgeleë aanlegte. Hierdie aksie is egter, in die Sasol Springstowwe-omgewing, die enigste skakel in die logistieke stelsel wat uit gekontrakteer is. Die ondersoek na hierdie "'uitsondering" het daarop gewys dat daar klaarblyklik geen rede gevind kon word waarom hierdie aksie uitgekontrakteer is nie en dat daar ook geen klaarblyklike rede bestaan waarom dit nie weer ingekontrakteer kan word nie. 'n Aanbeveling is gemaak dat 'n volledige ondersoek gelas word na 'n moontlike inkontraktering van die vervoer-aksie. In die proses om die toekomstige vloei van kontant te bepaal, is ondersoek ingestel na die inkomste wat gegenereer word deur die projek. Daar is gevind dat die ondersoek na inkomste in twee dele verdeel kan word, i.e. die eerste, die verlangde opbrengs, wat gekoppel is aan risiko, en die tweede die werklike verkoop van produkte. Verkopevolume (ton) en die meegaande prys per ton "kombineer" om verkope-inkomste uit te maak. Ten slotte word prys, per ton, gebruik om die vergelyking wat ondersoek is te balanseer. Hierdie prys word gebruik as die syfer wat gekwoteer word aan potensiele kliente. Hierdie vergelyking, asook die som totaal van die ondersoek, is gebruik as basis vir die daarstelling van 'n model of Excel-sigblad.

Thesis (MBA)--Stellenbosch University, 2004. / ENGLISH ABSTRACT: The wine industry in South Africa has the potential to produce wine of world-class quality, but simultaneously large volumes of inferior quality wine are produced annually and sold in the market in cheap, low-quality packaging, making up the bottom end of the alcoholic beverage market. The study investigated the South African wine industry to determine where the industry is headed. The document focussed on inexpensive wine that is sold in cheap packaging to determine who drinks it and what the effect is on the wine industry. The methodology followed was to perform a literature study of the current situation of the South African wine industry. Personal interviews were conducted with members of wineries and companies to determine if the sales of foil bags influenced the sales on their products. The study found that the packaging, in which the inexpensive wine is sold is not the problem, but rather the quality of the wine that goes into the cheap packaging. The banning of wine sold in foil bags from the market in July 2005 shows a commitment from the industry to improve the image of the industry. It will, however, not solve the social problem of alcohol abuse in South Africa, as the profile of the inexpensive wine drinker indicated that if cheap wine is not available, they would change to any other form of cheap alcohol that is available. It is recommended that the quality of the products sold in cheap packaging must be improved. To improve the quality of the product, quality standards must be put into place in the industry that suppliers must adhere to. Policing in the industry needs to be improved to ensure that everybody adheres to the regulations. The industry must help with policing by mobilising industry resources. / AFRIKAANSE OPSOMMING: Die Suid-Afrikaanse wynindustrie het die potensiaal om wyn van wêreldklas gehalte te produseer. Tesame hiermee word wyn van lae kwaliteit jaarliks geproduseer wat in goedkoop, lae kwaliteit verpakkings in die mark verkoop word. Dit maak die laagste deel van die alkoholiese mark uit. Die navorsing het gekyk na waar die Suid-Afrikaanse wyn industrie heen op pad is. Die dokument het gefokus op die goedkoop wyn wat verkoop word in goedkoop verpakkings, om te bepaal wie dit drink en wat die effek daarvan op die mark is. Die metodologie wat gevolg is, was om 'n literatuur studie te doen van die huidige situasie in die Suid-Afrikaanse wynindustrie. Persoonlike onderhoude met lede van kelders en maatskappye is gedoen om te bepaal of die verkope van goedkoop wyn in goedkoop verpakkings enige invloed het op hulle markte. Die studie het gevind dat die verpakkings waarin die goedkoop wyn verkoop word nie soseer die probleem is nie, maar eerder die kwaliteit van die wyn wat in die goedkoop verpakking gebruik word. Die verbod op die verkope van wyn in papsakke vanaf Julie 2005 wys die verbintenis van die industrie om die beeld van die industrie te verbeter. Dit sal egter nie die sosiale probleem in Suid-Afrika oplos nie, aangesien die profiel van die goedkoop wyndrinker aandui dat wanneer goedkoop wyn nie beskikbaar is nie, hulle enige ander vorm van goedkoop alkohol sal drink wat wel beskikbaar is. Dit word aanbeveel dat die kwaliteit van die produk wat in goedkoop verpakkings verkoop word, verbeter word. Om die kwaliteit van die produk te verbeter moet daar kwaliteitstandaarde in plek wees waaraan die verskaffers moet voldoen. Polisiëring in die industrie moet verbeter word om te verseker almal aan die regulasies voldoen. Die industrie moet help met polisiëring deur die mobilisering van industrie hulpbronne.