An investigation of the factors adversely affecting the development of the dimension stone processing industry in Southern Africa

Abstract

Abstract by author:

The objective of this research is therefore, to investigate the factors that adversely affected the development of the dimension stone industry in Southern Africa during the period 1990 to 1997. The information obtained is pertinent to strategy and policy formulation

Collection of data was restricted to three countries namely, South Africa, Zimbabwe and Namibia. This was because dimension stone activities in the rest of the countries in the region is not on a meaningful scale. The questionnaire, indepth personal interviews and telephone interview methods were employed

It was found out that the cause of lack of development of the stone processing industry in the region during the period under review was not the lack of domestic demand as hypothesised. Rather, lack of development was a result of many factors namely, the lack of technical skills, high initial capital outlay, fear of going into direct competition with established international processors, the lack of a historical/ cultural background in dimension stone and the high cost of capital. The model of the development of the stone processing industry proposed by S. E. A. (1997) which has domestic demand,, as its 'driver' was therefore found inapplicable to the region. Another model that has natural resource endowment as the driving factor was proposed