Friday, March 1, 2019
Case Study Botswana: A Diamond in the Rough Essay
The Harvard Business School shimmy study Botswana a ball field in the rough deals with various reasons how Botswana became within 40 historic period the almost made economy in Sub-Saharan Africa. The case study leads through Botswanas autobiography before the colonization by the British imperium until today, stating several factors which made Botswana more successful compared to its neighbour countries in Sub-Sahara Africa.Within only 30 years a very fast economical growth could be observed and in 2000 Botswanas gross domestic product growing rate reached a similar value as China. The policy-making situation is stable since Botswanas independence in 1966 and their corruption is, curiously compared to other African countries, very low. The unemployment rate until 2000 never felt chthonian 2%, which is horizontal compared with countries outside of Africa very rare. Asking myself if Botswana is a success, I can definitely answer yes.Even if the demesne hushed has to make out with the second highest HIV infection rate in the world and it is still a challenge for the government to diversify the economy, in order to be less dependent on the fluctuating diamond industry, Botswana is called to be the African Miracle. Taking into consideration that Botswana is a land-locked country and until 1968 there were no mentionable resources it seems silence astonishing what they achieved in the short period of time since their independence. According to the case study there are several factors that made Botswana as successful as it is today.First of all, the fundament of Botswanas highly democratic policy-making system can be found in Botswanas history in the 18th century. The Tswana tribe had less monarchical structures than other African countries, issues of public interest were discussed and decided by an assembly and criticisms of the policies were allowed to be convey in public. Another reason for Botswanas success today is, that sluice during the 80 year s of British colony, Botswana was allowed to keep its political structures, as the British had only a limited interest in the resource-scarce country.As Botswanas inhabitants were less oppressed by their colonial rulers, they were able to develop their democratically society more or less in freedom. In uniformity with the case study Botswanas biggest success factor was the discovery of funds and diamond mines in 1968. More mines were found in the following years and Botswana became number one diamond exporter worldwide. A very eventful barely also controversial decision by Botswanas government was the origination of a Joint Venture with the South African multinational caller DeBeers.As a contrast, other African countries with valuable resources decided to nationalize mines and oil fields and raised taxes unproportional. Due to Botswanas decision to succor with DeBeers, they became the worlds most successful international cartel. In my public opinion the discovery of the diam ond mines in Botswana had a huge contribution to the countrys success today, but looking at other African countries which are full-bodied in resources one will recognize that countries as Angola or Sierra Leone cannot document the similar successes as Botswana can do. approach shot to the question if Botswanas success is replicable on other African countries we puzzle to remind, that only a few African countries are as rich in valuable resources as Botswana. But as I mentioned before, even countries that are provided with similar resources, werent able to channel the high revenues into physical, social and human capital infrastructures. Contrariwise, these countries have to struggle with civil wars and political conflicts, frequently initiated by the valuable resources.In my point of view the most important success factor of Botswana are the before mentioned democratically structures which were already founded in the 18th century. Most other African countries were ruled by absol utistic kings, which were replaced by dominant colonial powers. History cannot be changed, but a lesson that other African countries can learn from Botswana is the development and implementation of adduce institutions in order to achieve long-term oriented and sustainable governance.
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