An examination of the effectiveness of investment promotion practices in Victoria Falls Municipality. (2010-217)
- November 15, 2021
- Posted by: RSIS
- Categories: Business Management, IJRISS
International Journal of Research and Innovation in Social Science (IJRISS) | Volume V, Issue X, October 2021 | ISSN 2454–6186
Dr David Foya1, Merhluli Sibanda2
1National University of Science and Technology, Department of Business Management, P.O. Box AC 939, Ascot, Bulawayo, Zimbabwe
2Chief Financial Officer, Victoria Falls Municipality, Zimbabwe
Abstract: This study sought to examine the effectiveness of investment promotion practises in Victoria Falls Municipality over the period 2010 – 2017. The study targeted VFM because the municipality offers investment prospects in a number of sectors with tourism being the prime possible investment sector. The primary objective of the study was to explore the effectiveness of investment promotion practices of VFM. The study sought to answer some of the following questions: What are the factors that affect the investment promotion activities of VFM? How attractive are investment incentives offered by VFM? Are senior executives at VFM aware of the need of local authorities to promote and attract investment to their areas of jurisdiction? Is there any collaboration between VFM and other national statutory bodies responsible for investment promotion? The study is significant in the sense that it seeks to highlight the effectiveness of VFM investment promotion practices. There were 150 key people from which a sample of 80 individuals was selected using stratified random and purposive sampling techniques. The purposive sampling technique was applied to select respondents from VFM councillors, managers and other executives. The study applied both qualitative and quantitative methods. The main instruments used to collect data were questionnaire which complemented interviews. Data collected was analysed using interpretive skills and descriptive statistics. The study found that the absence of a municipality specific IPA was one of the major factors affecting investment promotion activities of VFM. The study further established that the investment policies, procedures, by-laws and regulation of VFM were not supportive to investment promotion. In view of these findings, the study recommended that due to existences of unique niche opportunities in local authorities, these should consider establish local authority specific IPAs instead of relying on the national IPA that is the Zimbabwe Investment Authority. The study further recommended that the Victoria Falls Municipality should immediately take advantage of being tourism Special Economic Zone and Work with other investment promotion statutory bodies to come up with tourism specific investment packages.
Key words: foreign direct investment, investment, investment promotion, investment promotion agency, local authority, municipality.
