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OBG introduces the reader to the different aspects of the legal system in South Africa, in partnership with Edward Nathan Sonnenbergs. Koos Pretorius, Director, Edward Nathan Sonnenbergs, talks to OBG.

In conjunction with SizweNtsalubaGobodo, OBG explores the taxation system, examining South Africa’s investor-friendly environment.

Change is expected in South Africa’s education sector over the coming years. The sector receives a large share of the national budget, with some R189.5bn ($23.19bn), or 19% of all state expenditure, spent on education in the 2011/12 fiscal year. However, results have yet to materialise. The government has been eyeing different strategies to improve the education system and remove the regulatory and bureaucratic confusion challenging the sector. So far, the schooling system has shown signs of improvement, with the number of overcrowded public schools dropping from 50% to 24% between 2006 and 2011. South Africa currently offers universal health care via hospital access. But this standard of care is far lower than what those who can afford private care have access to. Therefore, the Department of Health is embarking on a multi-decade plan called the National Health Insurance (NHI) to provide better health care for citizens. The idea is to eventually ensure a higher standard of care for all South Africans, to eliminate the disease burdens complicating the challenge and to move from a system based on curing health problems to one in which prevention plays a larger role. This chapter contains interviews with Frank Thompson, Chief Executive, ADvTECH Group; and Adrian Gore, Chief Executive, Discovery Holdings.

South Africa’s retail sector is marked by a mixed system featuring elements of both traditional and modern retailing. In recent years rising retail spending has been driven by a growing middle class and increased access to finance. According to data from Statistics South Africa, retail was the fastest-growing segment of GDP in the third quarter of 2011, and added 48,000 jobs in the fourth quarter of the year. The most important development in the sector in 2011 was the announcement of the Walmart-Massmart merger in February 2012. South Africa has long positioned itself as an ideal operating base for firms interested in regional expansion and South African retailers are making a mark in other countries, placing them at the vanguard of pan-African retailing. This chapter contains an interview with Ian Moir, CEO, Woolworths.

South African media is a vibrant, developed and thriving industry. Radio is the country’s most accessible media, with 88.1% reach among the adult population, and television reaches some 83.9%. Print media captures a smaller portion of the population, with an estimated 64.9% of the population accessing newspapers and/or magazines. The sector shares many of the challenges currently experienced by media outlets around the world. As a result, it has been affected by the uncertainties of the global economic climate, which have manifested themselves in the fragmentation of audiences and decreasing advertiser budgets. The South African advertising and communications industry is a growing network of leading international agencies and established home-grown firms. While print advertising has suffered, radio, television and out-of- home formats remain strong. Fast technological developments and a restructuring away from traditional media offer ample opportunity for innovation and growth. Digital advertising, various online schemes and advertising delivered to mobile devices are all likely to be important growth areas. This chapter contains an interview with Nic Dawes, Editor-in-Chief, Mail & Guardian.

Agriculture’s contribution to the South African economy has waned in recent years, however the industry is well-placed to address some of the more fundamental needs of the country’s growth trajectory and offers significant potential in a number of key cash crops and export commodities, as well as niche opportunities in segments such as organic produce and wine. While the government looks to create thousands of jobs in agriculture and reverse a trend that has seen the number of farm workers decline significantly over the past few decades, the industry continues to face problems of competitiveness and efficiency, compounded by factors such as soil productivity, input costs, infrastructural impediments and the trade environment. This chapter contains an interview with Alex Thiel, CEO, Sappi Southern Africa.