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11/7/2011

SCHOOL OF
PETROLEUM MANAGEMENT

South Africa: A Cross Cultural Approach

Managing Cross Cultural Issue (MCCI) | ABHIK TUSHAR DAS


(EMBA10), NITIRAJ RAJPUT (PGP10), VIRAL NORIYA (PGP10)

School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Contents: 1. Population of the country; its influence in terms of PPP (Purchasing Power Parity) and GDP (Gross Domestic Product) 2. Political turmoil history and tribal culture: Nelson Mandela and other national leaders formed the policy of the nation and white and black population, opposition to apartheid and racial discrimination 3. Resource rich country: Endowed with natural resources and also strategic location from rags to riches, opportunities in sea trade serves as link to the history of Cape Town 4. Kimberley the capital of the Northern Cape: Diamond mining, trading, roots of DeBeers 5. Colour of flag reasons significance, agricultural produce long sea coast promote air ways and international investment and tourist spot. 6. Start of Satyagrah from Gandhijis movement after the infamous train journey to Pretoria; now the administrative capital 7. Sports: Rugby, cricket and football, hosting of FIFA World Cup as well as Cricket World Cup 8. Music and dance forms, diversity, homogeneity and heterogeneity among the culture 9. Dress and nature of people, gender issues patriarchal or matriarchal society 10. Crime rate, law and order, civil society status 11. Business sentiment, etiquette and environment: promotional activities to attract foreign businesses 12. Indian business houses foray into African businesses with Airtel, Reliance and Vodafones bid to acquire MTN 13. Cultural similarities and disparities between India and South Africa 14. Conclusion

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

A Brief Country History: The Republic of South Africa (also referred to as South Africa, SA or RSA) is a country in southern part of the African continent. Located at the southern tip of Africa, it is divided into nine provinces, with 2,798 kilometres of coastline on the Atlantic and Indian oceans. To the north of the country lie the neighbouring territories of Namibia, Botswana and Zimbabwe; to the east are Mozambique and Swaziland; while Lesotho is an enclave surrounded by South African territory

South Africa contains some of the oldest archaeological and human fossil sites in the world; suggesting that various HOMININ (Human ancestral species) existed in South Africa from about three million years ago. Today, South Africa has one of the most progressive constitutions in the world, which guarantees both civil and socio-economic rights and the political environment is conducive to political debate, dialogue and contestation. South Africas 1994 transition from apartheid to constitutional democracy remains one of the most important and impressive political transitions of our time. It is a powerful demonstration of the proposition that a peaceful, negotiated path from conflict and injustice to cooperation and reconciliation is possible; despite the complex history of oppression, institutionalized violence, and diverse social fabric that has defined South Africa. In 1487, the Portuguese explorer Bartolomeu Dias became the first European known to have reached southern Africa, in 1652, a century and a half after the discovery of the Cape Sea Route; Dutch East India Company established a refreshment station at the Cape of Good Hope, at what would become Cape Town for transporting slaves from Indonesia, Madagascar, and India as
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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

labour for the colonists in Cape Town. The discovery of diamonds and later gold triggered the 19thcentury conflict known as the Anglo-Boer War, as the Boers (Dutch, Flemish, German, and French settlers) and the British fought for the control of the South African mineral wealth resulting in Cape Town becoming a British colony in 1806 after Great Britain took over the Cape of Good Hope area in 1795, to prevent it from falling under control of the French First Republic, which had invaded the Dutch Republic. In the Boer republics from as early as the Pretoria Convention (chapter XXVI) and subsequent South African governments, the legislature passed legally institutionalised segregation, later known as apartheid by established three racial classes: white, coloured (people of Asian or mixed racial ancestry), and black, with rights and restrictions for each. In 1931 the union was effectively granted independence from the United Kingdom but the Nationalist Government classified all peoples into three races, developed rights and limitations for each, such as pass laws and residential restrictions. The White minority enjoyed the highest standard of living, the Black majority remained disadvantaged by almost every standard, including income, education, housing, and life expectancy. On 31 May 1961, following whites-only referendum, the country became a republic and left the Commonwealth. The Mahlabatini Declaration of Faith enshrined the principles of peaceful transition of power and equality for all flowing which in 1990 the National Party government took the first step towards dismantling discrimination when it lifted the ban on the African National Congress and other political organisations by releasing Nelson Mandela from prison after twenty-seven years' serving a sentence for sabotage. The government repealed apartheid legislation, destroyed its nuclear arsenal, acceded to the Nuclear Non-Proliferation Treaty and rejoined the Commonwealth of Nations. South Africa held its first universal elections in 1994, which the ANC won by an overwhelming majority.

Population of the country; its influence in terms of PPP (Purchasing Power Parity) and GDP (Gross Domestic Product): South Africa is increasingly gaining prominence on the international stage where it is becoming a more active participant in events such as the Annual Meetings of the International Monetary Fund and the World Bank, the G-20, G-24, and strategic alliances with emerging economies and alliances such as BRIC and IBSA. Robust economic growth in the post-apartheid period has enabled a measurable decline in income poverty. However, inequality has increased and as measured by the Gini coefficient, inequality rose from 0.64 to 0.67 in the period 1995 to 2008 complemented with the unemployment rate of over 25 percent, a disappointingly low life expectancy of 51 years, having the largest number of people living with HIV/AIDS in the world (over 5.5 million). The global economic downturn forced South Africas first recession in 17 years but a turnaround supported by a revival in the automobile industry as well as increased demand for chemical products in the economy has prompted a 3 percent annual growth rate driven primarily by renewed global demand for commodities and spending related to the World Cup 2010.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Population facts: Province Eastern Cape Free State Gauteng KwaZulu-Natal Limpopo Mpumalanga North West Northern Cape Western Cape Capital Bhisho Port Bloemfontein Johannesburg Pietermaritzburg Polokwane Nelspruit Mafikeng Kimberley Cape Town Largest city Elizabeth Bloemfontein Johannesburg Durban Polokwane Nelspruit Rustenburg Kimberley Cape Town Area (km) 168,966 129,825 18,178 94,361 125,754 76,495 104,882 372,889 129,462 Population 6,829,958 2,759,644 11,328,203 10,819,130 5,554,657 3,657,181 3,253,390 1,096,731 5,287,863

Ethnic groups: a. b. c. d.
Facts: a. b. c. d. e. f. AA Total area 1,221,037 km2 (ranks 25th in world) Population 50,586,757 (ranks 24th in world) Total GDP $505.214 billion (ranks 26th in world) in Purchasing Power Parity Per capita GDP $10,243 (ranks 71st in world) in Purchasing Power Parity HDI Index: Ranks 123rd in the world (India ranks 134th) Currency: Rand

79.5% Black 9.0% White 9.0% Coloured 2.5% Asian

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues Languages: South Africa has eleven official languages: Afrikaans, English, Ndebele, Northern Sotho, Sotho, Swazi, Tswana, Tsonga, Venda, Xhosa, and Zulu. Religion: Christians accounted for 79.7% of the population, members of other Christian churches accounted for another 36% of the population, Muslims accounted for 1.5% of the population, Hindus about 1.3%, and Judaism 0.2%. 15.1% had no religious affiliation, 2.3% were other and 1.4% was unspecified. Food: South African cuisine is heavily meat-based where beef was considered the absolutely most important and high status meat, with some of the best vineyards to complement the meal. Black South Africans enjoy not only beef, but mutton, goat, chicken and other meats as a centrepiece of a meal. On weekends, many Black South African families, like white South Africans, have a "braai," and the meal usually consists of "pap and vleis," which is maize porridge and grilled meat. Eating meat even has a ritual significance in both traditional and modern Black South African culture. For weddings, initiations, the arrival of family members after a long trip and other special occasions, families will buy a live animal and slaughter it at home, and then prepare a large meal for the community or neighbourhood. Participants often say that spilling the blood of the animal on the ground pleases deceased ancestors who invisibly gather around the carcass. On holiday weekends, entrepreneurs will set up pens of live animals along the main roads of Black townships -- mostly sheep and goats -- for families to purchase, slaughter, cook and eat. Beef being the most prized meat, for weddings, affluent Black families often purchase a live steer for slaughter at home. Vegetarianism is generally met with puzzlement among Black South Africans, although most meals are served with vegetables such as pumpkin, beans and cabbage. Foreign visitors to South Africa should be aware that South Africans are so carnivorous that inviting South Africans to dinner and serving a vegetarian meal may be interpreted as an insult even by sophisticated urban people.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues Climate: The climatic zones vary, from the extreme desert of the southern Namib in the farthest northwest to the lush subtropical climate in the east along the Mozambique border and the Indian Ocean. From the east, the land quickly rises over a mountainous escarpment towards the interior plateau known as the Highveld. Even though South Africa is classified as semi-arid, there is considerable variation in climate as well as topography with an annual rainfall of 760 mm (29.9 in), Winters are cold, although snow is rare with temperatures as low as 15 C and summers have hottest temperatures of 50 C maximum.

Political turmoil history and tribal culture: Nelson Mandela and other national leaders formed the policy of the nation and white and black population, opposition to apartheid and racial discrimination: Identity pass for blacks:

With the enactment of apartheid laws in 1948, racial discrimination was institutionalized. Race laws touched every aspect of social life, including a prohibition of marriage between non-whites and whites, and the sanctioning of ``white-only'' jobs. In 1950, the Population Registration Act required that all South Africans be racially classified into one of three categories: white, black (African), or coloured (of mixed decent). The coloured category included major subgroups of Indians and Asians. Classification into these categories was based on appearance, social acceptance, and descent. For example, a white person was defined as ``in appearance obviously a white person or generally accepted as a white person.'' A person could not be considered white if one of his or her parents were non-white. The determination that a person was ``obviously white'' would take into account ``his habits, education, and speech and deportment and demeanour.'' A black person would be of or accepted as a member of an African tribe or race, and a coloured person is one that is not black
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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

or white. The Department of Home Affairs was responsible for the classification of the citizenry. Non-compliance with the race laws were dealt with harshly. All blacks were required to carry ``pass books'' containing fingerprints, photo and information on access to non-black areas.

In post-apartheid South Africa, unemployment has been extremely high as the country has struggled with many changes. While many blacks have risen to middle or upper classes, the overall unemployment rate of blacks worsened and poverty among whites, previously rare, increased. Idea of homogeneity is paramount for South Africa because it remembers lost accounts of identity, shaped by a common heritage of suffering. The African National Congress (ANC) is the new dominance in post-apartheid South Africa and its ideological aim is to find a way to represent its entire people, both black and white equally, while correcting the racial inequalities of the past. Having set the stage for creating a discourse of sameness through its building a rainbow nation campaign, it must now find the means to generate this Culture while simultaneously providing spaces for differences in culture (not just race, but ethnicity, religion etc). The Rainbow Nation campaign therefore celebrates the numerous cultures, ethnicities and religions of the peoples of South Africa. Tribal Dance:

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Resource rich country: Endowed with natural resources and also strategic location from rags to riches, opportunities in sea trade serves as link to the history of Cape Town: In terms of biological diversity, South Africa ranks third in the world. The country has 68 vegetation types classified into 7 biomes, from semi desert areas to and alpine forests. Two internationally recognised biodiversity "hot-spots" are located in South Africa: the Cape Floristic Kingdom and the Succulent Karoo. South African coast has over 10,000 species of plants and animals. Originally, the whole economy was built on mining; approximately 55 different minerals are produced from more than 700 mines, with gold, platinum, coal and diamonds dominating exports and revenue earnings. There are also important deposits of iron and copper, while the Midlands and KwaZulu-Natal have vast plantations of timber that are the basis for a multi-billion dollar industry. Only about 13 percent of South African soil is suitable for cultivation, of which 22 percent can be classified as high-potential land with some 1.3 million hectares are under irrigation. Still, the country is not only self-sufficient in almost all major agricultural products, but in a normal year it is also a net food exporter, thanks to well-developed commercial farming. Exports include raw sugar, fresh grapes, citrus, nectarines, wine, avocados, plums, maize, black tea, groundnuts, meat, pineapples, tobacco, wool and cotton. Maize is the largest locally produced field crop and most important source of carbohydrates for human and animal consumption. The most immediate challenge to utilising South Africas natural resources and consequently to the countrys economy as a whole is the lack of energy. The main local source of energy is coal. Other local sources include biomass (such as wood and dung), natural gas, hydropower, nuclear power, solar power and wind power. South Africa has very little oil reserves and most of its crude oil is imported. It is believed that water will increasingly become the limiting natural resource. South Africa is looking towards other southern African countries for its water, but the risks of international dependency on such a priority resource are high. South Africa was once a global leader in gold mining and gold constituted well over fifty percent of South African exports, but the country has been overtaken by China as the world's number one gold producer. Today, it is a misnomer to call Johannesburg the city of gold: there is no more gold mining in the city other than the reprocessing of mine dumps. In the 1870s and 1880s Kimberley, encompassing the mines that produced 95% of the world's diamonds, was home to great wealth and fierce rivalries, most notably that between Rhodes and Barnato, English immigrants who consolidated early 31-foot-square prospects into ever larger holdings and mining companies. In 1888, Rhodes prevailed and merged the holdings of both men into De Beers Consolidated Mines Ltd., a company that is still synonymous with diamonds. Today South Africa is third in production in terms of value and is likely to stay that way for the foreseeable future.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Colour of flag reasons significance, long sea coast promote air ways and tourist spot: The national flag was designed by a former South African State Herald, Mr Fred Brownell, and was first used on 27 April 1994. The design and colours are a synopsis of principal elements of the country's flag history. Individual colours, or colour combinations represent different meanings for different people and therefore no universal symbolism should be attached to any of the colours. The only symbolism in the flag is the V or Y shape, which can be interpreted as the convergence of diverse elements within South African society, taking the road ahead in unity. Coastline:

South Africa occupies the southern tip of Africa, its coastline stretching more than 2,500 km (1,553 mi) from the desert border with Namibia on the Atlantic (western) coast southwards around the tip of Africa and then north to the border with Mozambique on the Indian Ocean . South Africa's landscape is dominated by a high plateau in the interior, surrounded by a narrow strip of coastal lowlands comprising the signature open grasslands and hill country of the south coast, with deep cut ravines peppered with groves of aloe, and deep tidal estuaries cloaked on either bank with rich and unsullied riparian forest.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Top 10 Attractions in South Africa: 1. KRUGER NATIONAL PARK: Experience the bushveld and romance of 'real' Africa 2. CAPE TOWN: Table Mountain, the Waterfront, Cape Point, Robben Island, Beaches, the Winelands 3. DURBAN: An invigorating blend of India 4. BEACHES: Beautiful, long, lonely beaches on the West Coast or the sultry North Coast to the most hip and hot in Cape Town 5. GARDEN ROUTE: Gorgeous beaches, rocky headlands, leafy forests and dramatic river cut gorges, world class golf resorts 6. WINELANDS: A World Heritage Cultural Landscape, the classic Winelands of Paarl 7. EASTERN CAPE: Golden beaches, the Garden Route, Port Elizabeth, East London 8. THE KALAHARI & NAMAQUALAND: Bright carpets of wild flowers in Namaqualand, the black maned lion of the Kgalagadi Transfrontier Park 9. CULTURAL VILLAGES & TOWNSHIPS: Fascinating and colourful cultural villages 10. DRAKENSBERG: Dramatic mountain range is an awesome scenic destination with beautiful rock art Start of SATYAGRAH from Gandhijis movement after the infamous train journey to Pretoria; now the administrative capital:

While travelling by train to Pretoria, Gandhiji experienced his first taste of racial discrimination. Inspite of carrying first class ticket, he was indiscriminately thrown out of the train by the authorities on the instigation of a white man. Instead of fleeing from the scene, Gandhiji stayed back for 21 years to fight for rights of the Indians in South Africa. By May 1894, he had organized the Natal Indian Congress. In 1896, he returned to India and enlisted support from some prominent Indian leaders. He then returned to South Africa with 800 free Indians. Gandhiji exercised `selfAA

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

restraint'. His philosophy of SATYAGRAHA by winning the detractors with the peaceful restraint had begun which ultimately culminated into India achieving Independence from British after a prolonged freedom struggle. The places he touched are like a museum without walls, from the thatch-roofed house he shared in Orchards to the home in TROYEVILLE (he lived here with his wife, Kasturba and their three sons, Manilal, Ramdas and Devdas), from LINKSFIELD RIDGE (between 1909 and 1914, Gandhi stayed on and off with Kallenbach in The Tents) to TOLSTOY FARM (founded in 1910 and disbanded in 1913 proved to be an ideal laboratory for Gandhi's educational experiments; Gandhi's objective in this context was to inculcate the ideals of social service and citizenship through all the activities of children from the earlier formative years) and of course, around the law courts and Newtown in the inner city, the original COOLIE LOCATION. GANDHI SQUARE; known as Government Square during Gandhis time, today it is a major bus terminus and a prime example of urban regeneration houses statue of Gandhi as a young lawyer on the square, and information panels about his connection with the area as he appeared here both as counsel and accused. Although the movement started by Gandhiji culminated into the union being effectively granted independence from the United Kingdom in 1931, but the conditions of racial apartheid continued for ages and was finally disbanded before the turn of the century in 1990. The attributes of a peaceful freedom struggle can be bestowed on Gandhijis preaching of non-violent ways of protest.

Sports: Rugby, cricket and football, hosting of FIFA World Cup as well as Cricket World Cup:

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Football: The right to host the 2010 FIFA World Cup brings South Africa a unique opportunity that extends well beyond football. One of the biggest impacts will come from the phenomenal marketing and communication opportunity it will offer the country and the continent. As world attention focuses on the first African Word Cup, this is an opportunity for Africans to tell their own stories and to showcase South Africa and the continent in informing the world that they have much to offer, that their people are ready to receive the world, ready to host those who come to the World Cup and that when they come they would receive a wonderfully unforgettable African experience. The FIFA World Cup was held between 11 June and 11 July (31 days) after Africa was chosen as the host for the 2010 World Cup as part of a short-lived policy to rotate the event among football confederations. The bids from African continent were from Egypt, Morocco, South Africa and a joint bid from Libya and Tunisia, though South Africa had narrowly failed to win the right to host the 2006 event. The economy got a boost as five new stadiums were built for the tournament, and five of the existing venues were upgraded, construction costs were expected to be just over US$1 billion. It also improved its public transport infrastructure within the host cities, including Johannesburg's Gautrain and other metro systems, and major road networks. The 2010 World Cup contributed approximately US$5.5 billion to the SA economy and created 415 000 new jobs. Cricket: In 1970, the ICC voted to suspend South Africa from international cricket indefinitely because of its government's policy of apartheid, an overtly racist policy, which led them to play only against the white nations (England, Australia, New Zealand), and field only white players. This decision excluded players such as Graeme Pollock, Barry Richards and Mike Procter from partaking in international Test Cricket. The ICC reinstated South Africa as a Test nation in 1991 after the deconstruction of apartheid, and the team played its first sanctioned match since 1970 (and its first ever One-Day International) against India in Calcutta on 10 November 1991. Dazzle, official mascot of 2003 World Cup:

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Rugby: The 1995 Rugby World Cup was the third Rugby World Cup and the first major sporting event to take place in South Africa following the end of apartheid. It was hosted and won by South Africa, and was the first Rugby World Cup in which every match was held in one country. The International Rugby Football Board (IRFB, now the International Rugby Board) had only readmitted South Africa to international rugby in 1992, following negotiations to end apartheid. When the Springboks won the Rugby World Cup on home turf in 1995, Nelson Mandela donned the No 6 shirt of the team's captain Francois Pienaar, a white Afrikaner, and the two embraced in a spontaneous gesture of racial reconciliation that melted hearts around the country. A single moment, and 400 years of colonial strife and bitterness suddenly seemed so petty.

Music and dance forms, diversity, homogeneity and heterogeneity among the culture: Music and Dance: The South African music includes both popular (jive) and folk forms. Pop styles are based on four major sources, Zulu ISICATHAMIYA singing and harmonic MBAQANGA. South Africa is very diverse, with many native African Ethnic groups as well as European and Indian peoples. The KHOI-KHOI, for instance, developed the RAMKIE, a guitar with three or four strings, based on that of Malabar slaves, and used it to blend KHOI and Western folk songs. The MAMOKHORONG was a single-string violin that was used by the KHOI in their music-making and dances of the colonial centre, Cape Town, which rapidly became a melting pot of cultural influences from all over the world. The penetration of missionaries into the interior over the succeeding centuries also had a profound influence on South African musical styles plus the later influence of American spirituals, spurred a gospel movement that is still very strong in South Africa today. UMOJA'S dancers have no formal training, they are drawn from communities, and many of them would have had their performing experience in companies like that of Gibson KENTE. In 1897, Enoch SONTONGA, then a teacher, composed the hymn NKOSI SIKELEL' IAFRIKA (God Bless Africa), which was later adopted by the liberation movement and ultimately became the National Anthem of a democratic South Africa. JAZZART, the oldest modern dance company in the country, has long been actively involved in performing and teaching workshops and classes in disadvantaged communities. Artists like SYLVIA GLASSER, TOSSIE VAN TONDER, CARLY DIBOKWANE, ADELE BLANK, ROBYN ORLIN, created a new vocabulary of dance, working with their own companies, directing at FUBA (Federated Union of Black Artists), and inspiring and nurturing local talent. South Africa's black townships were held in thrall by what came to be called "BUBBLEGUM" - bright, light dance pop influenced by American disco as much as by the heritage of MBAQANGA. In the two decades since rock stars such as Paul Simon and Peter Gabriel enlivened their music with an African tinge, a stereotype has formed, created by those crossover hits, many charity concerts and "THE LION KING": an ethnographically rich pageant, politically relevant but somehow separate from the rest of pop.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

South Africa has produced world-famous jazz musicians, notably HUGH MASEKELA, JONAS GWANGWA, ABDULLAH IBRAHIM, MIRIAM MAKEBA, JONATHAN BUTLER, CHRIS MCGREGOR, and SATHIMA BEA BENJAMIN. Afrikaans music covers multiple genres, such as the contemporary STEVE HOFMEYR and the punk rock band FOKOFPOLISIEKAR. Crossover artists such as VERITY and JOHNNY CLEGG and his bands JULUKA and SAVUKA have enjoyed various success underground, publicly, and abroad.

Dress and nature of people, gender issues patriarchal or matriarchal society: Dress:

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

South African clothing is the traditional clothing, often vibrantly coloured, worn by the indigenous peoples of Africa. In some instances these traditional garments have been replaced by western clothing introduced by European colonialists though distinctive shirts are worn for instance, South Africa is known for the MADIBA shirt.

Cultural diversity patriarchal and heterogeneous society: The South African black majority still has a substantial number of rural inhabitants who lead largely impoverished lives. It is among these people, however, that cultural traditions survive most strongly; as blacks have become increasingly urbanised and Westernised, aspects of traditional culture have declined. Urban blacks usually speak English or Afrikaans in addition to their native tongue. There are smaller but still significant groups of speakers of KHOISAN languages who are not included in the eleven official languages, but are one of the eight other officially recognised languages. There are small groups of speakers of endangered languages, most of which are from the KHOI-SAN family, that receive no official status; however, some groups within South Africa attempting to promote their use and revival. Members of middle class, who are predominantly white but whose ranks include growing numbers of black, coloured and Indian people have lifestyles similar in many respects to that of people found in Western Europe, North America and Australasia. Members of the middle class often study and work abroad for greater exposure to the markets of the world.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Gender roles diversity: In general, all racial and ethnic groups in South Africa have long-standing beliefs concerning gender roles, and most are based on the premise that women are less important, or less deserving of power, than men. Most African traditional social organisations are male centred and male dominated. Even in the 1990s, in some rural areas of South Africa, for example, wives walk a few paces behind their husbands in keeping with traditional practices. A minority of ultra-conservative Afrikaner's religious beliefs, too, include a strong emphasis on the theoretically biblically based notion that women's contributions to society should normally be approved by, or be on behalf of, men. English speaking whites tend to be the most liberal group, including on issues pertaining to gender roles. 20th century economic and political developments presented South African women with both new obstacles and new opportunities to wield influence. For example, labour force requirements in cities and mining areas have often drawn men away from their homes for months at a time, and, as a result, women have borne many traditionally male responsibilities in the village and home. Women have had to guarantee the day-to-day survival of their families and to carry out financial and legal transactions that otherwise would have been reserved for the patriarchal society. Crime rate, law and order, civil society status: Crime rate:

Crime rates in South Africa is among the highest in the world, each day an average of nearly 50 people are murdered. In addition to these 18,000 murders each year, there are another 18,000 attempted murders. There are extremely high a rate of unemployment in some areas which leads to a large element of frustration often this sparks violence. The gap between rich and poor is still widening and it leads to what is seen as relative deprivation where people in the very, very poor communities, they see wealth which spurs crime. In view of increasing crime, there are junctions signposted as carjacking black-spots, and there are areas where drivers will avoid stopping at red lights, particularly at night, preferring the risk of a fine to the risk of hijack. Some of the violence can

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

be attributed to the fact that many foreign national work in South Africa where locals face unemployment and hence attack foreigners, known as Xenophobia.

Law and Order: The South African Police Service (SAPS) is the national police force of the Republic of South Africa with 1116 police stations in South Africa is divided according to the provincial borders, and a Provincial Commissioner is appointed in each province. The 9 Provincial Commissioners report directly to the National Commissioner. The Constitution of South Africa lays down that the South African Police Service has a responsibility to prevent, combat and investigate crime, maintain public order, protect and secure the inhabitants of the Republic and their property, uphold and enforce the law, create a safe and secure environment for all people in South Africa. Civil Society: The South African Constitution is written in plain language. It is also written in gender neutral language. But perhaps the most notable aspect of the South African Constitution is that it aims to transform society and respond to our history of inequality and oppression. It is often described as one of the most advanced and progressive Constitutions in the world. the content of the Constitution was influenced in a large measure by both the public input as well as the deep involvement of civil society in the negotiation process. The Constitution also attempts to protect the continued involvement of the public and civil society in governance in various ways. Legislatures at national and provincial level are also constitutionally required to facilitate public involvement in their processes. This relationship is premised on civil society having a crucial role to play in service delivery and policy-making with the State. Where civil society and government appear to be committed to the same goals, and where government is largely made up of longstanding political allies, a relationship of cooperation appears natural. Civil society also has an important role to play in relation to the work of State institutions supporting constitutional democracy, such as the South African Human Rights Commission. One of the most difficult issues facing civil society in post-apartheid South Africa is how to maintain the delicate balance between supports for the new Government while maintaining sufficient independence from it. Strategies like collaboration, monitoring, assistance, and even policing of the State are appropriate for civil society in South Africa if they are needed to achieve that goal.

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Business sentiment, etiquette and environment: promotional activities to attract foreign businesses: Business Sentiments: The industrial sector (which includes manufacturing, construction, agriculture, mining etc.) has witnessed an increase of business confidence. South African currency was the worst performer globally among Emerging Market Currencies so far this year, and all because of happening in China. Asia has replaced Europe as South Africas biggest export market, and China now accounts for almost 30 percent of the countrys exports to the continent. South African GDP Trend:

Currency Trend (RAND vs USD):

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South African manufacturing production accounts for around 15 percent of the total economy, which is ranked as an upper-middle income economy by the World Bank. Advanced development is significantly localised around four areas: Cape Town, Port Elizabeth, Durban, and Pretoria Johannesburg, beyond these four economic centres, development is marginal and poverty is still prevalent. The South African rand is the most actively traded emerging market currency in the world and was the best-performing currency against the United States dollar (USD) between 2002 and 2005, according to the Bloomberg Currency Scorecard. Main industries can be classified as mining (world's largest producer of platinum, gold, chromium), automobile assembly, metal working, machinery, textiles, iron and steel, chemicals, fertiliser, foodstuffs, commercial ship repair. The industrial centre of Africa, South Africa's abundant supply of natural resources has helped to generate the largest and best developed economy on the African continent. GDP per capita (purchasing power parity) ranks the country as one of the 50 wealthiest in the world. South Africa has immense potential as an investment destination, with a highly developed economic infrastructure and one of the most promising and vibrant emerging market economies across the globe. Working practices in South Africa; 1. Schedule business appointments as far in advance as possible, preferably a month or two before the intended visit. Always confirm the appointment by calling the day before. 2. Formal meetings and appointments usually begin and end on time. However, you may be kept waiting a few minutes by certain groups of South Africans who more relaxed in their time are keeping. Whichever the case, you should always aim to arrive promptly. 3. Generally, working hours in South Africa are Monday to Friday; 8-8.30 am to 5pm. South Africans very rarely work on Saturdays and Sundays. Business practices in South Africa; 1. On the whole, titles are not used in South African business settings. However, some honorary doctorates may wish to be addressed in this way. When addressing a female colleague, it is advised to avoid using the term Miss in business conversations. If the females marital status is not known, it is best to leave those terms out as they may cause offense. 2. Greeting styles in South Africa vary depending on the ethnic heritage of the South African. For example, English-speaking South Africans tend to adopt a rather polite and formal manner of address. Black South Africans are generally less informal and more personal when greeting those they do not know. The common practice in most cases for an initial gesture of communication however, is to offer a firm handshake. For female associates, it is advised to wait for the woman to offer their hand first. 3. Initial meetings for South African companies are about establishing personal rapport and developing mutual trust, two vital elements in South African business culture. At this stage, judgments are made before any further business negotiations are conducted. In order to secure long term business success in South Africa, relationship building and networking are paramount.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

4. The overall aim during business negotiations in South Africa is to reach a general consensus. South Africans prefer to see a fair, win-win situation where all sides gain something from the deal, and for this reason, confrontations and aggressive bartering over prices should be avoided.

Structure and hierarchy in South African companies; 1. Despite being a somewhat egalitarian society, business people in South Africa have a lot of respect for senior executives and colleagues who have obtained their position through diligence and perseverance. 2. In South African companies, decision-making power typically lies with the most senior person at the top of the company. However, in accordance with African culture, final decisions are often made following consultation with subordinates. Working relationships in South Africa; 1. For the most part, South Africans prefer to do business with those they have met previously. Consequently, formal letters of introduction from a known third party may help you to reach key decision-makers easily and therefore speed up the business process. 2. A vital part of African culture is respect for ones ancestors and elders. It is deemed highly offensive to most South Africans if the proper respect for an elder is not shown, especially in more rural areas.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

South African Business Etiquette (Dos and Donts);

Dos
Include deadline dates in contracts, as the South African approach to deadlines is particularly casual and firm commitments are not often made. Maintain eye-contact at all times, especially when shaking hands with your South African business colleagues. This is an essential part of developing trust. Dress conservatively, particularly for initial meetings with new business associates.

Donts
Raise your voice or interrupt whilst your South African counterparts are speaking. Both actions lack the personal approach to a business relationship and therefore may be interpreted as an insult. Surprised if your South African business colleagues ask what may seem to be personal questions about your way of life after a relatively brief period of time. Characteristically, South Africans tend to be warm and friendly people. Show impatience towards decision making. Forcing deadlines or rushing deals may prove counterproductive since the pace of business in South Africa is reasonably slow and protracted.

Indian business houses foray into African businesses with Airtel, Reliance and Vodafones bid to acquire MTN: South Africa is India's second largest trading partner. Trade between the two countries was $10.6 billion in 2010-11. To boost the countrys trade with the Sub-Saharan African region, the Government of India launched the Focus: Africa programme under the EXIM Policy 2002-07 to promote bilateral and regional commercial relations with the COMESA Region. Tata Motors and its rival, Indian car giant Mahindra & Mahindra have made inroads into the South African motor industry with the recent launch of new vehicles. Tata Africa Holdings, a subsidiary of the Tata Group, is vying for a controlling stake in South Africa's second telephone network operator worth more than RANDS 4 billion. Total bilateral trade between India and South Africa is approaching RAND 6.5 billion, with imports from India at RAND 3.12 billion and exports to India at RAND 3.35 billion. Indian investment in South Africa is estimated at US$100 million. Africas telecom environment has become hugely active in recent years. This activity has been largely triggered by the rapid take up of mobile services in many African countries. A rapid growth in mobile subscribers has led to a flurry of interest in the acquisition of African mobile assets by various operators, both from within and without Africa, as they perceive the region to be one of last remaining big potential telecom markets. A $22.7 billion deal between India's Bharti Airtel Ltd. and South Africa's MTN Group Ltd. alone represents about 25 percent of the total telecom M&A activity in the first half of 2009. The idea is for BHARTI to take a 49 percent stake in MTN, and MTN to take a 36 percent stake in BHARTI, with a full merger as the ultimate goal. Another very big name to plunge into the regions consolidation is Vodafone Group plc which in May 2009 achieved its long-held ambition of acquiring a controlling stake in South Africas largest mobile operator, Vodacom, previously an equal joint venture with the countrys former incumbent, Telkom. Tata took a controlling stake in South Africa's second national operator NEOTEL (PTY) LTD in January 2009.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Cultural similarities between India and South Africa:


South African Indian culture began in 1860 when the first immigrants arrived on board the Truro as indentured labourers to work on sugar-cane farms in present day KwaZulu-Natal. During the period of British rule, Indian immigrants brought with them to South Africa the heritage of an ancient caste system. Each caste was a distinct, exclusive social entity that bound a member from birth to death. The caste system was characterised by a strict hierarchy and contact between the different castes brought unforgivable disgrace. That those on the lower rungs of the hierarchy emigrated as indentured labourers is understandable; that any one of elevated position should choose to do so, despite this involving social contact with those of low caste, even sharing amenities, is remarkable and indicates how compelling the economic and other factors were. It also reflects the cultural similarities between Untouchability and Apartheid. Indian culture in South Africa faced struggles in the face of discrimination until 1994 with the abolition of the Apartheid. The national dress of India, the SAREE (six yards of unstitched cloth draped to impart grace and elegance) is to be found on South African street. Indian cuisine is hugely popular with Indian restaurants all over the country. And the fever for cricket that grips India is very much in evidence in KWA ZULU NATAL, where the first Indians were introduced. There are many aspects of cultural similarity between India and South Africa and hence many companies who feel that as Indian Markets saturate, it is a wise decision scout for niche markets such as South Africa.

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School of Petroleum Management, Pandit Deendayal Petroleum University, Gandhinagar, Gujarat, India. Managing Cross Cultural Issues

Conclusion: When working in the global commercial environment, knowledge of the impact of cultural differences is one of the keys to international business success. Regardless of the sector in which you operate finance, technology, or computers and consumer electronics; global cultural differences will directly impact on you and the profitability of your business. Improving levels of cultural awareness can help companies build international competencies and enable individuals to become more globally sensitive. This culture-focused study of South Africa would help students in acquiring international business expertise through cultural interpretation of a different culture. This country-specific report on gives a comprehensive description of South African business culture which will help you to interact more effectively with your South African clients and colleagues. Few other countries offer the business visitor the number of apparent contradictions that can be found in South Africa. It is difficult to think of another country, anywhere in the world, which contains such a diverse mixture of first world economic infrastructure and third world poverty. For a country which is undergoing rapid and unprecedented changes, where many of the old structures (both economic and social) have been swept away in a maelstrom of post-apartheid adjustments, what is true in South African business today may not be true tomorrow. By far the biggest change to have hit South Africa has, of course, been the abolition of the apartheid system and the integration of the majority black population into the mainstream political system. Although the transition from apartheid to the current RAINBOW NATION status appears from the outside to have been achieved relatively smoothly, it would be nice to believe that there are no longer enormous racial tensions within the country. Hence to conclude, South Africa provides huge business opportunities to global business but owing to its unique culture not many businesses are successful in African markets with wide social and cultural disparities. Hence for a business graduate it is of umpteen importance to know about cross cultural issues so as to effectively deal with local markets.

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Bibliography: a. b. c. d. e. f. g. h. i. j. k. l. m. n. o. p. q. r. s. t. u. v. w. x. http://en.wikipedia.org/wiki/South_Africa http://www-cs-students.stanford.edu/~cale/cs201/apartheid.comp.html http://unesdoc.unesco.org/images/0000/000024/002428eo.pdf http://www.iwm.at/publ-jvc/jc-11-08.pdf http://www.southafricaweb.co.za/page/natural-resources-south-africa http://www.amnh.org/exhibitions/diamonds/africa.html http://en.wikipedia.org/wiki/South_African_cuisine http://www.info.gov.za/aboutgovt/symbols/flag.htm http://en.wikipedia.org/wiki/Geography_of_South_Africa http://www.gandhi-manibhavan.org/aboutgandhi/biography_southafrica.htm http://www.joburg.org.za/culture/built-heritage/gandhi-in-joburg/about-gandhi-injohannesburg http://indiandiaspora.nic.in/diasporapdf/chapter7.pdf http://www.southafrica.info/about/sport/rugby.htm#ixzz1cwkridAM http://www.southafrica.info/about/arts/music.htm#ixzz1cx1kn7IJ http://www.sacsis.org.za/site/home/ http://www.deloitte.com/view/en_GX/global/services/article/58368753f8993210VgnVCM2 00000bb42f00aRCRD.htm http://en.wikipedia.org/wiki/Music_of_South_Africa http://southafricaeconomywatch.blogspot.com/ http://www.communicaid.com/access/pdf/library/culture/doing-businessin/Doing%20Business%20in%20South%20Africa.pdf http://www.africa-business.com/features/india_africa.html http://www.moviuscorp.com/files/news/lightreading-aug09.pdf http://www.essaysbyekowa.com/olmecs.htm http://www.tamilsa.org/cms/scripts/culture1.php http://www.worldbusinessculture.com/

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