Problem:
The Black Economic Empowerment (BEE) policies in South Africa have been redressing economic imbalances among historically disadvantaged communities requiring consideration by all firms planning to do business with the South African government - and within the general business community as well. With the existence of the BEE, has this contributed to non-market based quotas and below market prices for equity sales to black firms and investors? Will this make it hard to attract foreign firms to do business in South Africa?