Eskom and The South African Electrification Program B Harvard Case Solution & Analysis

After Eskom implemented a viable plan to provide electricity to more than 1.75 million South African families, many of her clients were unable to pay for the service, which resulted in the debt of about $ 400 million by 1997. This negative behavior of consumers is not necessarily justified, as in South Africa's black citizens have historically been used consumer boycotts as a means of protest against apartheid, as the customer base of the country have in an environment where non-payment is often seen as a social norm, rather than negative behavior. Recognizing that consumer behavior is the result of living under a repressive regime, Eskom, needed to solve this seemingly intractable situation. "Hide
by Patricia H Werhane,, Michael E. Gorman, Brian Cunningham Source: Darden School of Business 2 pages. Publication Date: April 7, 1999. Prod. #: UV1875-PDF-ENG

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