Eskom and The South African Electrification Program (B) Case Solution
After Eskom establisheda workable strategy for supplying electricity to more than 1.75 million South African families, many of its customers failed to pay for service, which resulted in a debt of about $400 million by 1997. This negative consumer behavior wasn't always unjustified, as South Africa's black citizens had historically used consumer boycotts as a means of protest against the apartheid state, so the nation's consumer base had evolved in an environment where nonpayment was frequently viewed as a societal standard instead of negative behavior. Understanding that consumers' behavior was the consequence of living under an oppressive regime, Eskom needed to address this seemingly intractable situation.
This is just an excerpt. This case is about FINANCE & ACCOUNTING
PUBLICATION DATE: April 07, 1999