Sometimes business needs to suffer to create a better society in the long run : A case study of the implications of governmental policies on Swedish companies doing business in South Africa

Sammanfattning: To integrate the previously disadvantaged population that suffered from the apartheid in South Africa, the government has implemented policies to let them participate in the country’s growing economy. These policies are called the Black Economic Empowerment (BEE) policies and are affecting both local and international businesses. Through a qualitative research method with a deductive approach, the research creates a deeper understanding of how Swedish firms adapt and commit as an effect of the BEE policies. Through already established internationalization theories, we created a theoretical framework as a platform to gather and analyze the empirical data. The theoretical implications show how the BEE policies can disrupt and challenge the commitment that is characterized in different entry modes. It also challenges previous research and brings up Swedish companies’ willingness to adapt with the policies and commit their resources in order to overcome the obstacles of BEE and benefit the growth of South Africa.