John M. Luiz

Bio: John M. Luiz is an academic researcher from University of Cape Town. The author has contributed to research in topics: Emerging markets & Multinational corporation. The author has an hindex of 25, co-authored 109 publications receiving 2232 citations. Previous affiliations of John M. Luiz include Vista University & University of Sussex.

The market for equity release products: lessons from the international experience

Abstract: Home Equity Release Products (ERPs) are innovative fi nancial instruments that enable elderly, retired people to use their unencumbered houses as a source of income/funding while they continue to reside in them, thereby seeking to address the constraints of the life cycle hypothesis. The loan and outstanding amounts are normally settled through the sale of the property, either on death or when the client voluntarily vacates. This research is an exploration of demand and supply issues that aff ect the suppliers of ERPs (both internationally and in South Africa). Interviews were held with established suppliers in Britain (where the market is more advanced), as well as with several fi nancial services companies in South Africa. The ERP industry has grown slowly over the last decade. Factors such as increased life expectancy, decreased savings rates and changing attitudes towards debt are just some of the driving forces of demand. However, the growth of the ERP industry has consistently fallen short of analysts’ predictions, highlighting some of the diffi culties facing the market – not least of which is to gain the acceptance of both the market and government as a mainstream option for the elderly, who are often asset-rich but income-poor. A number of impediments to market growth are explored in detail in this research.

The co-operative model as a means of stakeholder management: An exploratory qualitative analysis

Abstract: The South African economy has for some time been characterised by high unemployment, income inequality and a skills mismatch, all of which have contributed to conflict between business, government and labour. The co-operative model of stakeholder management is examined as a possible mitigating organisational form in this high-conflict environment. International experience indicates some success with co-operative models but they are not easy to implement effectively and face severe obstacles. Trust and knowledge sharing are critical for enabling a co-operative model of stakeholder management, which requires strong governance and adherence to strict rules. The model must balance the tension between optimisation of governance structures and responsiveness to members' needs. Furthermore, support from social and political institutions is necessary. We find barriers to scalability which manifest in the lack of depth of business skills, negative perception of the co-operative model by external stakeholders, government ambivalence, and a lack of willingness on the part of workers to co-operate for mutual benefit.

Constructing Institutional Measures: Indicators of Political and Property Rights in Mozambique, 1900–2005

Abstract: In this article, we focus on the role of political and economic institutions in Mozambique's development. We produce a set of institutional indicators for Mozambique for the period 1900–2005. The first index tracks political freedoms and is unique in its duration and complexity. The second index is a measure of property rights for Mozambique, and such a measure has not existed previously and certainly not for this length of time. The construction of these indices is a painstaking process through historical records but it provides us with a richness of institutional data previously not available. The new institutional indices will allow us to explore the role of the institutional environment in determining economic growth and development in Mozambique over time.

Homelessness, social relations and institutional logics: property rights without property?

Abstract: We explore whether there is evidence of property rights amongst the homeless, and if so, how these rights are governed. By conducting interviews with 52 homeless people in Cape Town, we show that although the homeless are able to derive some value from assets, and can exclude other members of their community, these rights are precarious and dependent upon state agents not seizing the ‘property’ and overriding the community’s rules of the game. We demonstrate the intersectionality of claims with respect to the same physical property from the varying perspectives of the claimants involved and how this differs depending on the property. Homeless people rely on a community logic to develop rules of the game which results in the appearance of a market logic. In the absence of formal institutions effectively operating in their spaces, they have constituted social norms which provide some semblance of property rights respected intra-group.

An industry analysis of pharmaceutical production in South Africa

Abstract: The purpose of this research is to investigate the shifting structure of pharmaceutical production in South Africa and examine the global and local factors that have contributed to this change. Generally, these factors have resulted in a decline in the number of pharmaceutical manufacturers in South Africa and in particular manufacturing operations owned by multinational companies. Simultaneously the global demand for generic medicines has increased due to their ability to improve access to affordable medicines. As a result, the supply of medicines in South Africa is being increasingly met by imported generic medicines and to a lesser extent locally manufactured generic medicines. These changes, together with a turbulent and sometimes uncertain regulatory environment, have led to interesting dynamics and changes within the structure of the pharmaceutical manufacturing industry in South Africa.

Nudge: Improving Decisions about Health, Wealth, and Happiness

Abstract: NUDGE: IMPROVING DECISIONS ABOUT HEALTH, WEALTH, AND HAPPINESS by Richard H. Thaler and Cass R. Sunstein Penguin Books, 2009, 312 pp, ISBN 978-0-14-311526-7This book is best described formally as a general explanation of and advocacy for libertarian paternalism, a term coined by the authors in earlier publications. Informally, it is about how leaders, systems, organizations, and governments can nudge people to do the things the nudgers want and need done for the betterment of the nudgees, or of society. It is paternalism in the sense that "it is legitimate for choice architects to try to influence people's behavior in order to make their lives longer, healthier, and better", (p. 5) It is libertarian in that "people should be free to do what they like - and to opt out of undesirable arrangements if they want to do so", (p. 5) The built-in possibility of opting out or making a different choice preserves freedom of choice even though people's behavior has been influenced by the nature of the presentation of the information or by the structure of the decisionmaking system. I had never heard of libertarian paternalism before reading this book, and I now find it fascinating.Written for a general audience, this book contains mostly social and behavioral science theory and models, but there is considerable discussion of structure and process that has roots in mathematical and quantitative modeling. One of the main applications of this social system is economic choice in investing, selecting and purchasing products and services, systems of taxes, banking (mortgages, borrowing, savings), and retirement systems. Other quantitative social choice systems discussed include environmental effects, health care plans, gambling, and organ donations. Softer issues that are also subject to a nudge-based approach are marriage, education, eating, drinking, smoking, influence, spread of information, and politics. There is something in this book for everyone.The basis for this libertarian paternalism concept is in the social theory called "science of choice", the study of the design and implementation of influence systems on various kinds of people. The terms Econs and Humans, are used to refer to people with either considerable or little rational decision-making talent, respectively. The various libertarian paternalism concepts and systems presented are tested and compared in light of these two types of people. Two foundational issues that this book has in common with another book, Network of Echoes: Imitation, Innovation and Invisible Leaders, that was also reviewed for this issue of the Journal are that 1 ) there are two modes of thinking (or components of the brain) - an automatic (intuitive) process and a reflective (rational) process and 2) the need for conformity and the desire for imitation are powerful forces in human behavior. …

An Analysis of Frantz Fanon's Black Skin, White Masks

Abstract: Frantz Fanon’s explosive Black Skin, White Masks is a merciless expose of the psychological damage done by colonial rule across the world. Using Fanon’s incisive analytical abilities to expose the consequences of colonialism on the psyches of colonized peoples, it is both a crucial text in post-colonial theory, and a lesson in the power of analytical skills to reveal the realities that hide beneath the surface of things. Fanon was himself part of a colonized nation – Martinique – and grew up with the values and beliefs of French culture imposed upon him, while remaining relegated to an inferior status in society. Qualifying as a psychiatrist in France before working in Algeria (a French colony subject to brutal repression), his own experiences granted him a sharp insight into the psychological problems associated with colonial rule. Like any good analytical thinker, Fanon’s particular skill was in breaking things down and joining dots. His analysis of colonial rule exposed its implicit assumptions – and how they were replicated in colonised populations – allowing Fanon to unpick the hidden reasons behind his own conflicted psychological make up, and those of his patients. Unflinchingly clear-sighted in doing so, Black Skin White Masks remains a shocking read today.