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Trying to cope in South Africa
(FORTUNE Magazine) – U.S. corporations in South Africa keep looking for better ways to deal with the country's unrest. Some 30 companies have packed up and left in the past year. Others are contending with intense pressure to pull out. Coca-Cola, which dominates South Africa's soft-drink market, is trying something new: $10 million in Equal Opportunity Funds to create new opportunities in business, education, and housing for South African blacks. Unlike past efforts, the funds will be administered in part by dissident moderates, including Bishop Desmond Tutu and Rev. Allan Boesak. The week afer the funds were announced, Tutu called for ''punitive'' international economic sanctions to force an end to apartheid. Said he: ''I have no hope of real change from this government unless they are forced. We face a catastrophe in this land, and only the action of the international community . . . can save us.'' Coke did not endorse Tutu's stance, but its association with him is a giant step away from the go-slow approach that U.S. companies have traditionally taken toward reform. One reason for Coke's action: it is worried about a potentially devastating U.S. consumer boycott. |
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