Thesis (MBA)--University of Stellenbosch, 2009. / ENGLISH ABSTRACT: The South African automotive industry has enjoyed unsurpassed growth over the past 15
years and the majority of its successes are attributable to the efforts of the Motor Industry
Development Plan (MIDP). Unfortunately, the MIDP cannot be a permanent solution for
accelerating growth and the longevity of industry role players such as vehicles and
component manufacturers is of great concern.
The Chinese automotive industry on the other hand is booming and millions of vehicles are
churned out annually. Internal market forces, overproduction and government initiatives
compel Chinese manufacturers to cross the Chinese borders in search of alternative and
mostly less developed markets for their motor vehicles. These vehicles can now be found
in most African countries south of the Sahara, including various brands on the South
African roads.
South Africa's roads accommodate almost a hundred models against which the Chinese
vehicles need to compete. What is attractive about the Chinese vehicles is their price, but
unfortunately the vehicle quality is not up to standard yet. Chinese vehicles have however
improved so much over the past few years that it is expected they will soon be able to
compete with well-established local brands such as Toyota, Volkswagen, Honda, etc.
Although the price tag of these vehicles is increasing the mobility of the average South
African consumer, the effect it might have on the existing automotive market is uncertain as
the Chinese vehicle has already proven to gain market share in a declining economy. So
where the average consumer will benefit from the Chinese vehicle, the industry workforce
might not be so lucky. It is thus crucial for the industry to establish ways to create
international dependence on South Africa's automotive industry. The opportunities are
endless and various management approaches can be taken to leverage the industry's
shortfalls.
A serious shortfall is the global shortage of innovators and as South Africa is known as one
of the most innovative countries in the world, it could easily gear itself in supplying
innovating concepts and leading-edge technology to the global industry. To be able to do
so successfully requires a concerted effort of all role players in the local industry.
The local industry needs to expand its reach into the world to guarantee its longevity.
Possible ways of doing so are to increase the level of value-adding activities and so too the
exportation of value-adding components and fully built-up vehicles. By proving itself as a
value-adding strategic partner, the industry can attract additional global manufacturers to
invest in manufacturing facilities in South Africa, which does not exclude Chinese
manufacturers.
Last but not least, the South African government needs to develop a manageable
instrument with a single objective, which is to grow and sustain an internationally
competitive automotive industry in order to attract and keep global investors within the
industry and the country. / AFRIKAANSE OPSOMMING: Die Suid-Afrikaanse motorindustrie het ongekende groei ervaar oor die afgelope 15 jaar
en die suksesse daarvan word grotendeels toegeskryf aan die Motor Industrie
Ontwikkelings Plan (MIDP). Ongelukkig kan die MIDP nie die permanente oplossing wees
om die groei van die industrie aan te hou stimuleer en versnel nie. Die toekomstige
lewensvatbaarheid van huidige spelers in die industrie wek egter groot kommer.
Die Chinese motorindustrie aan die ander kant bars uit sy nate en miljoene motors word
jaarliks vervaardig. So is dit ook dat interne markkragte, oorproduksie en regeringsinisiatiewe
Chinese motorvervaardigers dwing om oor hul grense heen te gaan op soek na
ander, minder ontwikkelde markte vir hul motors. Hierdie motors kan nou in meeste Afrika
lande suid van die Sahara gevind word en sluit in talle modelle op Suid-Afrikaanse paaie.
Die Suid-Afrikaanse paaie akkommodeer tans amper 'n honderd motormodelle teen wie
die Chinese motors sal moet kompeteer. Wat egter aantreklik is van hierdie motors is hul
prys, maar ongelukkig is die kwaliteit nog nie op standaard nie. Chinese motors het egter
oor die jare so verbeter dat dit verwag kan word dat hul binnekort met meer bekende make
soos Toyota, Volkswagen en Honda sal kan kompeteer.
Alhoewel die besonderse prys van die motors die mobiliteit van die gemiddelde Suid
Afrikaanse verbruiker verhoog, is die effek daarvan op die huidige motormark onseker
omdat Chinese motors alreeds bewys het dat hut markaandeel kan wen in 'n dalende
ekonomie. So waar die gemiddelde verbruiker mag bevoordeel word deur die Chinese
voertuig, kan die werkersmag in die huidige motorindustrie nie so gelukkig daaraantoe
wees nie. Dit is dus van kardinale belang dat die industrie maniere vestig om
internasionale afhanklikheid van Suid-Afrika se motorindustrie te kweek. Die geleenthede
is legio en talle invalshoeke kan geneem word om die industrie se tekortkominge te bestuur
en uit te balanseer.
'n Belangrike tekortkoming is die globale tekort aan innoveerders en omdat Suid-Afrika
gesien word as een van die mees innoverende lande ter wereld, kan die industrie maklik
voorberei word om innoverende konsepte en baanbrekerstegnologie aan die globale
industrie te verskaf. Om so iets suksesvol te doen het egter die gesamentlike insette nodig
van alle rolspelers in die Suid-Afrikaanse motorindustrie.
So ook het die industrie dit nodig om sy wereldwye impak te vergroot om sodoende sy
lewensvatbaarheid te vergroot. Moontlike maniere om dit te vermag is om die aantal
waardetoevoegende aktiwiteite te vergroot asook die uitvoere van waardetoevoegende
komponente en klaarvervaardigde voertuie. As die industrie hom self kan bewys as 'n
strategiese vennoot wat waarde toevoeg, kan die industrie addisionele internasionale
vervaardigers aantrek om te investeer in vervaardigingsfasiliteite in Suid-Afrika, wat
natuurlik nie Chinese vervaardigers uitsluit nie.
Ten laaste is dit nodig vir die Suid-Afrikaanse regering om 'n bestuursinstrument te
ontwikkel met een doel voor oe en dit is om die industrie se internasionale
kompeterendheid te bevorder en te behou sodat globale investeerders in die industrie en
Suid-Afrika in geheel kan investeer.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:sun/oai:scholar.sun.ac.za:10019.1/8586 |
| Date | 03 1900 |
| Creators | Van der Westhuyzen, Margaretha |
| Contributors | Oosthuizen, Hein, University of Stellenbosch. Faculty of Economic and Management Sciences. Graduate School of Business. |
| Publisher | Stellenbosch : University of Stellenbosch |
| Source Sets | South African National ETD Portal |
| Language | en_ZA |
| Detected Language | Unknown |
| Type | Thesis |
| Rights | University of Stellenbosch |
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