It's not just the USA - R1-billion South African electronics factory shutting down –Politics does not always make good business sense

Intentions are always good but the business principles seem to be a bit of a gamble. We've seen in the USA (I'm thinking of Foxconn) how many of these trade deals just fail. Politicians mean well (I hope), but they are not business people and in the end the tax payer pays the brunt of the losses, after politicians have had their PR photos taken.

It really is the private sector and banks who conservatively get to determine whether something makes good business sense or not. Any good project manager understands the sense behind a go/no-go milestone where you need to cut your loses and cancel a project. No so politicians I'm afraid where the motto is throw more of someone else's money and maybe something will happen.

At least in South Africa's case the promised factory was actually built and operational.

See https://mybroadband.co.za/news/business/335458-r1-billion-south-african-electronics-factory-shutting-down-heres-what-happened.html

#politics #southafrica
#^R1-billion South African electronics factory shutting down – Here’s what happened