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The contingency perspective : MNC-personal rule relationships in sub-Saharan Africa : the case of Lonrho Thachuk, Kimberley Lynn 1989

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THE CONTINGENCY PERSPECTIVE: MNC-PERSONAL RULE RELATIONSHIPS IN SUB-SAHARAN AFRICA - THE CASE OF LONRHO By KIMBERLEY LYNN THACHUK B.A., The U n i v e r s i t y o f B r i t i s h C o l u m b i a , 19B5 A THESIS SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF ARTS i n THE FACULTY OF GRADUATE STUDIES ( D e p a r t m e n t o f P o l i t i c a l S c i e n c e ) We a c c e p t t h i s t h e s i s a s c o n f o r m i n g t o t h e r e q u i r e d s t a n d a r d THE UNIVERSITY OF B R I T I S H COLUMBIA A p r i l 1989 ® K i m b e r l e y L y n n T h a c h u k , 1989 In presenting this thesis in partial fulfilment of the requirements for an advanced degree at the University of British Columbia, I agree that the Library shall make it freely available for reference and study. I further agree that permission for extensive copying of this thesis for scholarly purposes may be granted by the head of my department or by his or her representatives. It is understood that copying or publication of this thesis for financial gain shall not be allowed without my written permission. Department The University of British Columbia Vancouver, Canada DE-6 (2/88) A b s t r a c t T h i s t h e s i s a t t e m p t s t o r e v e a l t h e r e l a t i o n s h i p b e t w e e n m u l t i n a t i o n a l c o r p o r a t i o n s and t h e p e r s o n a l l y r u l e d s t a t e s o f s u b - S a h a r a n A f r i c a . A f r i c a n p o l i t i c s a r e b a s e d on p r i v a t e power where i n d i v i d u a l l o y a l t i e s and f e a r c o m p l i m e n t a s y s t e m o f m a t e r i a l i n c e n t i v e s i n r e p l a c i n g i n s t i t u t i o n s o f e f f e c t i v e g o v e r n m e n t . B e c a u s e i n d i v i d u a l s i n a p o s i t i o n o f power r a t h e r t h a n b e i n g g u i d e d by r u l e s o f o f f i c e a r e m o t i v a t e d by e x p e d i e n c y and t h e p u r s u i t o f p e r s o n a l and f a c t i o n a l a g g r a n d i z e m e n t , t h e y must o f t e n be c o u r t e d , c a j o l e d , c o n v i n c e d , and e v e n b r i b e d t o a g r e e t o c i r c u m s t a n c e s o r p r o c e d u r e s t h a t a r e g e n e r a l l y i n s t i t u t i o n a l i z e d p r o c e s s e s i n many i n d u s t r i a l i z e d s t a t e s . Where e f f e c t i v e r u l e s f o r p o l i t i c a l b e h a v i o r a r e l a c k i n g , i i s d i f f i c u l t t o p r e d i c t w i t h any a c c u r a c y i n what c i r c u m s t a n c e s and by what s t a n d a r d s o f c o n d u c t i n d i v i d u a l s w i l l be g o v e r n e d . T h u s , t h e most s u c c e s s f u l MNCs t o o p e r a t e i n b l a c k A f r i c a a r e g e n e r a l l y t h o s e w h i c h a r e a b l e t o a d a p t t h e i r i n v e s t m e n t s t r a t e g i e s r e a d i l y a nd q u i c k l y t o meet t h e s e p r o b a b i l i s t i c a nd c h a n g e a b l e c o n d i t i o n s . The h y p o t h e s i s o f t h i s t h e s i s i s t h a t r a t h e r t h a n b e i n g d e t e r m i n i s t i c r e l a t i o n s h i p s a s d e p e n d e n c y t h e o r y s u g g e s t s , M N C - P e r s o n a l r u l e r e l a t i o n s a r e n o n - z e r o - s u m , a p t t o a l t e r , and t h e r e f o r e , b a s e d on c o n t i n g e n c y . T h i s t h e s i s t a k e s one s t e p b e y o n d d e p e n d e n c y t h e o r y by r e v e a l i n g t h e f a c t o r s o f t h e i i i M N C - p e r s o n a l r u l e r e l a t i o n s h i p t h a t make i t u n p r e d i c t a b l e and c o n t i n g e n t on t h e v i s s i t u d e s o f i n d i v i d u a l human i n t e r a c t i o n . C o n t i n g e n c y t h e o r y s e e k s t o a c c o u n t f o r t h e s e f a c t o r s by d e s c r i b i n g s u c h r e l a t i o n s h i p s a s a "Tango" i n w h i c h p a r t i e s a s s o c i a t e w i t h one a n o t h e r , i n o r d e r t o a d v a n c e t h e i r r e s p e c t i v e i n t e r e s t s . T h i s t h e s i s p r e s e n t s t h e c a s e o f L o n r h o c o r p o r a t i o n , and i t s P r e s i d e n t , T i n y R o w l a n d t h e r e b y r e v e a l i n g c o n t i n g e n c y t h e o r y t o be a p l a u s i b l e e x p l a n a t i o n f o r t h e n a t u r e o f t h e M N C - p e r s o n a l r u l e r e l a t i o n s h i p . I t i s a l m o s t i m p o s s i b l e t o do b u s i n e s s i n b l a c k A f r i c a w i t h o u t b e i n g a t t u n e d t o p o l i t i c s ; f o r i n t h e s e s t a t e s , p o l i t i c s i s b u s i n e s s . By h a v i n g an u n c a n n y a b i l i t y t o c h a n g e s t r a t e g i e s q u i c k l y , R o w l a n d h a s d e m o n s t r a t e d a k e e n p e r c e p t i o n o f t h e n a t u r e o f p e r s o n a l r u l e . T oward t h a t e n d , he h a s e x p e n d e d g r e a t e f f o r t i n c u l t i v a t i n g p r i v a t e l i n k s a n d f r i e n d s h i p s w i t h h e a d s o f s t a t e . The c a s e o f L o n r h o i l l u s t r a t e s t h a t t h e i n e v i t a b i l i t y o f p o l i t i c s i s t h e s i n g l e most s a l i e n t f e a t u r e o f c o m m e r c i a l l i f e i n s u b - S a h a r a n A f r i c a , a n d e x c e l l e n c e a t m a i n t a i n i n g p o l i t i c a l c o n t a c t s , t h e mos t i m p o r t a n t s k i l l o f s u c c e s s f u l c o m p a n i e s . T h i s t h e s i s i s t h u s an a l t e r n a t e way o f a p p r o a c h i n g a p r o b l e m t h a t h a s b e e n d e a l t w i t h by o t h e r more r e c o g n i z e d t h e o r i e s . And w h i l e t h e e v i d e n c e p r e s e n t e d i s n o t c o n c l u s i v e , i t d o e s p r o v i d e a u s e f u l s t a r t i n g p o i n t f o r a b e t t e r u n d e r s t a n d i n g o f how s u c h r e l a t i o n s h i p s f u n c t i o n a n d i n what c i r c u m s t a n c e s t h e y f l o u r i s h o r f a i l . i v T a b l e o f C o n t e n t s Page A b s t r a c t i i T a b l e o f C o n t e n t s i v A c k n o w l e d g e m e n t s v I n t r o d u c t i o n 1 C h a p t e r One: The P r o b l e m 6 P e r s o n a l R u l e i n S u b - S a h a r a n A f r i c a 13 C h a p t e r Two: From Dependency t o C o n t i n g e n c y . . 25 C o n t i n g e n c y T h e o r y 37 C h a p t e r T h r e e : The E v i d e n c e - L o n r h o 56 C o n c l u s i o n 119 S o u r c e s • 123 N o t e s 127 B i b l i o g r a p h y 147 V A c k n o w l e d g e m e n t s T h i s t h e s i s i s d e d i c a t e d t o my g r a n d f a t h e r N i c h o l a s T k a c h u k who g a v e me t h e i n s p i r a t i o n t o s e e k k n o w l e d g e and t r u t h , r a t h e r t h a n "Houses o f G o l d " ; and t o my U n c l e P a u l B a r l o w , who g a v e me t h e i n s p i r a t i o n t o s t r i v e f o r , a b o v e a l l e l s e , p e a c e and h a p p i n e s s — may y o u f i n d now what y o u n e v e r h a d . I w i s h y o u b o t h G o d s p e e d ... u n t i l we meet a g a i n . I w o u l d a l s o l i k e t o t h a n k t h e f o l l o w i n g p e o p l e f o r t h e i r i n v a l u a b l e c o n t r i b u t i o n s o f i n f o r m a t i o n f o r t h i s t h e s i s : S o n j a and J i m B u c h a n a n , Mr. G. W i z , A a a r o n D a v i d , Norman T h a c h u k , P a t r i c k M u r r a y , and a l s o , t h e " f r i e n d s " I s h a r e w i t h T i n y R o w l a n d . I n a d d i t i o n , I w o u l d l i k e t o t h a n k P r o f e s s o r s J a c k s o n , Mauzy, a n d T e n n a n t f o r t h e i r h o u r s o f h e l p a n d p a t i e n c e ! L a s t l y , I w o u l d l i k e t o t h a n k my F a t h e r f o r h i s s u p p o r t i n b a n k - r o l l i n g t h i s l a t e s t e f f o r t ! 1 INTRODUCTION The p r i m a r y g o a l o f t h i s t h e s i s i s t o r e v e a l t h e r e l a t i o n s h i p t h a t e x i s t s b e t ween m u l t i n a t i o n a l c o r p o r a t i o n s and t h e p e r s o n a l l y r u l e d s t a t e s o f s u b - S a h a r a n A f r i c a n . Due t o t h e s p e c i a l n a t u r e of p e r s o n a l r u l e , t h e r e l a t i o n s h i p d e v e l o p e d b e tween t h e s e two e n t i t i e s a p p e a r s to be c h a r a c t e r i z e d by t h e v i c i s s i t u d e s o f p e r s o n a l human i n t e r a c t i o n and e n c o m p a s s e d by p e r s o n a l a n d f a c t i o n a l a g g r a n d i z e m e n t , c o r r u p t i o n , c o e r c i o n , u n c e r t a i n t y , and i n s t a b i l i t y . T h i s t h e s i s i s c o n c e r n e d w i t h d e t e r m i n i n g how s u c h r e l a t i o n s h i p s o p e r a t e and i n what c i r c u m s t a n c e s t h e y f l o u r i s h o r f a i l . The c a s e o f L o n r h o C o r p o r a t i o n and i t s p r e s i d e n t T i n y R o w l a n d s s h a l l be u s e d p r i m a r i l y , i n an a t t e m p t to r e v e a l what t r a n s p i r e s i n t h e M N C - p e r s o n a l r u l e r e l a t i o n s h i p . Dependency T h e o r y a p p e a r s to be t h e o n l y s c h o o l o f t h o u g h t t h a t a t t e m p t s to i n t e r p r e t t h i s r e l a t i o n s h i p . I t i s o f m a j o r i m p o r t a n c e to t h i s t h e s i s i n t h a t i t p r o v i d e s t h e s p r i n g b o a r d f r o m w h i c h to commence i n v e s t i g a t i o n . A l t h o u g h i n a d e q u a t e f o r a more d e t a i l e d a n a l y s i s , i t d o e s l e a d t h e way f o r a more t h o r o u g h e x a m i n a t i o n o f t h e t o p i c . I t i s s u f f i c i e n t t o s t a t e f o r t h e moment t h a t t h e i d e a s o f r e a l i s m i n human r e l a t i o n s w h i c h M a c h i a v e l l i e s p o u s e d , more c l o s e l y d e s c r i b e t h e M N C - p e r s o n a l r u l e r e l a t i o n s h i p . T h i s i s due, i n p a r t , t o t h e n a t u r e o f p o l i t i c s t h a t c u r r e n t l y e x i s t i n s u b - S a h a r a n A f r i c a . I n d e e d , many f a c e t s o f t h e p e r s o n a l r u l e - M N C r e l a t i o n s h i p a r e c o n t i n g e n t on t h e h i g h l y u n c e r t a i n and p r o b a b i l i s t i c n a t u r e o f p e r s o n a l r u l e . A s s y s t e m s o f p e r s o n a l r u l e , t h e p o l i t i c s o f b l a c k 2 A f r i c a n s t a t e s do n o t c o n f o r m t o any s e t o f p r e s c r i b e d W e s t e r n n o r m s , t r a d i t i o n s o r c u s t o m s o f g o v e r n a n c e . N o t i o n s o f p a r t i c i p a t i o n , v o t i n g , c a n d i d a c y c o m p e t i t i o n s , and t h e l i k e , a r e v i r t u a l l y unknown. R a t h e r , t h e s e p o l i t i c s h a v e no e s t a b l i s h e d p r e c e d e n t s o r r e g u l a t i o n s by w h i c h t h e "game" may be p l a y e d . C o e r c i o n , v i o l e n c e , c o r r u p t i o n , and an o u t r i g h t s t a t e o f l a w l e s s n e s s may o f t e n go u n c h e c k e d f o r want o f e s t a b l i s h e d i n s t i t u t i o n s . The r e s u l t i s a more p e r s o n a l i z e d , u n r e s t r a i n e d f o r m o f p o l i t i c s i n w h i c h t h e s t r u g g l e t o s u r v i v e i s b i t t e r a nd t h e g e n e r a l c l i m a t e o f a p p r e h e n s i o n and u n c e r t a i n t y i s p e r v a s i v e . I n s y s t e m s o f p e r s o n a l r u l e , t h e s t a t e i s , i n a f u n d a m e n t a l way, t h e gr«r son i f i c a t i on o f one man. H i s w i l l a l o n e v i r t u a l l y d i c t a t e s i n t e r n a l s t a t e p o l i c y , f o r t h e i d e a s , t h e v a l u e s , and e s p e c i a l . % t h e o p e r a t i o n o f t h e l a w s o f h i s c o u n t r y a r e l a r g e l y h i s i m p e r a t i v e . The r e l a t i o n s o f t h e p e r s o n a l r u l e r w i t h m u l t i n a t i o n a l c o r p o r a t i o n s a r e t h e r e f o r e h i g h l y c o n t i n g e n t upon t h e perssBt o f t h e r u l e r h i m s e l f , and a s s u c h a r e n o t g o v e r n e d by norms o r s t a n d a r d s o f p r o c e d u r e and t h e r u l e o f l a w , u s u a l l y f o u n d i n o t h e r j n t e r n a t i o n a l r e l a t i o n s h i p s . The-seed f o r f o r e i g n i n v e s t m e n t to s t i m u l a t e m o d e r n i z a t i o n and t o f s a i t h e s p o i l s s y s t e m , i n e v i t a b l y c a u s e s t h e A f r i c a n s t a t e t o f o s t e s r e l a t i o n s w i t h m u l t i n a t i o n a l c o r p o r a t i o n s w h i c h h a v e t h e r e q u i s i t * t e c h n i c a l e x p e r t i s e and c a p i t a l . The a c t i v i t i e s o f m u l t i n a t i o n a l c o r p o r a t i o n s , n o t u n l i k e t h o s e o f i n s t i t u t i o n a l i z e d s t a t e s , ass b a s e d on a h i e r a r c h i c a l l y o r g a n i z e d s t r u c t u r e and g u i d e d bygnroceedings and c o n v e n t i o n s , r u l e s and r e g u l a t i o n s , i n 3 t h e i r b u s i n e s s r e l a t i o n s h i p s . However, when s u c h c o r p o r a t i o n s u n d e r t a k e t o i n v e s t i n p e r s o n a l l y r u l e d s t a t e s , t h e y must a l t e r t h e i r "company p r o c e d u r e s " o r s t r a t e g i e s f o r i n v e s t m e n t . I n d e e d , a s t h e s e s t a t e s h a v e d e v e l o p e d s i n c e c o l o n i a l t i m e s , so t o o h a v e t h e i r g o v e r n m e n t b u r e a u c r a c i e s . " P r i v a t e " i n t e r e s t s r o o t e d i n p e r s o n a l a m b i t i o n s and p a t r o n - c l i e n t t i e s o f A f r i c a n o f f i c i a l s h a v e i n t r u d e d i n t o t h e s t a t e s ' r e l a t i o n s w i t h f o r e i g n e n t e r p r i s e s . A d m i n i s t r a t i o n h a s i n e s s e n c e become " c o m m e r c i a l i z e d " a s o f f i c i a l s e n gage i n t h e s a l e o f t h e i r a u t h o r i t y . I n c r e a s e d s t a t e i n v o l v e m e n t i n t h e economy h a s r e d u c e d o r p r e - e m p t e d p r i v a t e e n t e r p r i s e , b u t h a s n o t n e c e s s a r i l y i n c r e a s e d p u b l i c e c o n o m i c c o n t r o l . T h u s , p o l i t i c a l economy i n t h e s t a t e s o f b l a c k A f r i c a i s b a s e d m a i n l y upon " s p o i l s " , i n w h i c h c o r r u p t i o n h a s become t h e modus o p e r a n d i o f g o v e r n m e n t . M u l t i n a t i o n a l s m u s t , t h e r e f o r e , r e a l i z e t h a t due to t h e u n c e r t a i n n a t u r e o f p e r s o n a l r u l e , t h e r e i s no s t a n d a r d s t r a t e g y by w h i c h t h e y may be g u i d e d . In f a c t , t h o s e MNC's w i t h t h e a b i l i t y to a d a p t to t h e e v e r - c h a n g i n g c i r c u m s t a n c e s o f p e r s o n a l r u l e , may be t h e most s u c c e s s f u l i n t h e i r r e l a t i o n s w i t h t h e s e s t a t e s . I t i s t h e s e e m e r g e n t r e l a t i o n s h i p s o f e x t r e m e o p p o s i t e s i n s u b - S a h a r a n A f r i c a t h a t t h i s t h e s i s a t t e m p t s t o d i s c l o s e . The c e n t r a l q u e s t i o n s a r e : how d o e s a w e l l - s t r u c t u r e d , h i e r a r c h i c a l and h i g h l y - o r g a n i z e d b u s i n e s s e n t i t y w i t h v e r y s t r i c t r u l e s f o r p r o c e d u r e d e a l w i t h an a r b i t r a r y , d i s o r g a n i z e d , b y z a n t i n e p e r s o n a l r e g i m e ? A n d , what i s t h e c h a r a c t e r o f s u c h a s s o c i a t i o n s t h a t e n a b l e s t h e p l a y e r s t o a c h i e v e t h e i r e n d s ? 4 The h y p o t h e s i s t h a t e m e r g e s t o answer t h e s e q u e s t i o n s i s t h a t r a t h e r t h a n b e i n g o n e - s i d e d and d e t e r m i n i s t i c r e l a t i o n s h i p s a s d e p e n d e n c y t h e o r y s u g g e s t s , s u c h r e l a t i o n s h i p s a r e n o n - z e r o - s u m , a p t t o a l t e r , a n d t h e r e f o r e , b a s e d on c o n t i n g e n c y . In o t h e r w o r d s , due t o t h e a r b i t r a r y n a t u r e o f p e r s o n a l r u l e , t h e most s u c c e s s f u l MNCs t o o p e r a t e i n b l a c k A f r i c a a r e t h o s e w h i c h a r e a b l e t o a d a p t t h e i r i n v e s t m e n t s t r a t e g i e s r e a d i l y a n d q u i c k l y t o meet p r o b a b i l i s t i c , u n c e r t a i n a n d c h a n g e a b l e c o n d i t i o n s . In so d o i n g , m u l t i n a t i o n a l s d e v i s e many s t r a t e g i e s , s u c h t h e u s e o f i n d u c e m e n t s o f g i f t s and s e r v i c e s t o o b t a i n c o n t r a c t s o r a c c e s s to n a t u r a l r e s o u r c e s o r p r o t e c t e d m a r k e t s . A l t e r n a t i v e l y , to a v o i d d i r e c t i n v o l v e m e n t i n s u c h M a c h i a v e l l i a n a c t i v i t y , MNCs o f t e n employ a t r u s t w o r t h y t h i r d p a r t y o r " c o m p r a d o r " to h a n d l e t h e t r a n s a c t i o n s w i t h t h e p e r s o n a l r e g i m e . The i n v a l u a b l e c o n t r i b u t i o n o f d e p e n d e n c y t h e o r y i n i n t r o d u c i n g t h i s i d e a t h r o u g h t h i s c o n c e p t c a n n o t be o v e r l o o k e d . The i d e a o f t h e c o m p r a d o r h a s been e x p a n d e d upon i n t h i s t h e s i s to i n c l u d e a n y o n e , f o r e i g n o r l o c a l , who o p e r a t e s a s a f a c i l i t a t o r , m i d d l e m a n , o r i n t e r m e d i a r y on b e h a l f o f t h e MNC a s an a g e n t o r r e p r e s e n t a t i v e to a d v a n c e i t s b u s i n e s s i n t e r e s t s . Due to t h e t e n u o u s n a t u r e o f p e r s o n a l r u l e i n s u b - S a h a r a n A f r i c a , t h e i n t e r m e d i a r y who h a s c o n t a c t s i n t h e r u l i n g r e g i m e and who u n d e r s t a n d s h o s t c o u n t r y b u s i n e s s p r a c t i c e s , l a w s , l a n g u a g e s , c u l t u r e s and t h e p o l i t i c a l s i t u a t i o n , may be i n v a l u a b l e t o t h e f o r e i g n c o r p o r a t i o n . F i n a l l y , t h e c o n t i n u e d s u c c e s s o f m u l t i n a t i o n a l s l i e s i n t h e i r a b i l i t y to o p e r a t e s i m u l t a n e o u s l y i n s e v e r a l s t a t e s . The 5 c u r r e n t i n t e r n a t i o n a l s y s t e m p r o v i d e s even t h e w e a k e s t s t a t e s w i t h t h e a b i l i t y t o b l o c k s u c h a c c e s s . T h u s , m u l t i n a t i o n a l i n t e r e s t s a r e c o n t i n g e n t t o a g r e a t d e g r e e on t h e a b i l i t y o f r u l e r s to e x e r c i s e t h e i r j u r i d i c a l s o v e r e i g n t y . And i n t h e c o n t e x t o f s u b - S a h a r a n A f r i c a t h i s t a k e s on a d d e d m e a n i n g , f o r a l l p o l i c y i s l a r g e l y d e t e r m i n e d by one p e r s o n . S u c c e s s f u l MNC b u s i n e s s a c t i v i t y i n b l a c k A f r i c a n i s t h e r e f o r e h i g h l y c o n t i n g e n t on many a s p e c t s o f p e r s o n a l r u l e . The u n i q u e and u n c o n v e n t i o n a l r e l a t i o n s h i p w h i c h a r i s e s f r o m t h i s m e e t i n g i s what i s o f i n t e r e s t to t h i s s t u d y . o 6 CHAPTER ONE THE PROBLEM In most d e v e l o p i n g c o u n t r i e s , g o v e r n m e n t s p l a y a p r o m i n e n t r o l e i n t h e economy. T h i s i s t r u e e ven i n many s t a t e s t h a t a r e g e n e r a l l y c o n s i d e r e d t o h a v e r e l a t i v e l y open e c o n o m i e s . T h e r e a r e s e v e r a l r e a s o n s f o r s t r o n g govenment p a r t i c i p a t i o n i n t h e e c o n o m i e s o f d e v e l o p i n g c o u n t r i e s . An i m p o r t a n t g o a l i n many s t a t e s i s to a c h i e v e n a t i o n a l e c o n o m i c i n d e p e n d e n c e by r e d u c i n g t h e d e p e n d e n c e on f o r e i g n c a p i t a l , t e c h n o l o g y , e n t e r p r i s e , and m a r k e t s c h a r a c t e r i s t i c o f t h e c o l o n i a l p e r i o d . A t t h e same t i m e , most T h i r d N o r I d s t a t e s r e c o g n i z e t h a t t h e y c a n n o t m o d e r n i z e w i t h o u t f o r e i g n c a p i t a l i n v e s t m e n t , t h e t r a n s f e r o f t e c h n o l o g y , and MNC p a r t i c i p a t i o n . T h e r e i s a l s o t h e w i d e s p r e a d b e l i e f t h a t m a r k e t f o r c e s a l o n e , i n c l u d i n g w o r l d m a r k e t f o r c e s , w o u l d n o t l e a d to t h e d e s i r e d r a t e and p a t t e r n o f n a t i o n a l e c o n o m i c d e v e l o p m e n t . F u r t h e r m o r e , i n most d e v e l o p i n g c o u n t r i e s , i n t h e a b s e n c e o f an a d e q u a t e l o c a l e n t r e p r e n e u r i a l c l a s s to a t t e m p t s u c h d e v e l o p m e n t i n t h e p r i v a t e s e c t o r , t h e n a t i o n a l g o v e r n m e n t may be t h e o n l y a g e n t p o w e r f u l enough to u n d e r t a k e t h e t a s k . S t a t e i n t e r v e n t i o n i s t h u s c o n s i d e r e d n e c e s s a r y to e n s u r e r a p i d g r o w t h , i n d u s t r i a l i z a t i o n , t h e s a t i s f a c t i o n o f b a s i c n e e d s , employment c r e a t i o n , t h e d e v e l o p m e n t o f t h e l o c a l m a r k e t and o f a l o c a l e n t r e p r e n e u r i a l c l a s s , and a h o s t o f o t h e r e c o n o m i c , s o c i a l , and p o l i t i c a l o b j e c t i v e s . M u l t i n a t i o n a l c o r p o r a t i o n s p l a y an e x t e n s i v e r o l e i n t h e p r e s e n t i n t e r n a t i o n a l a r e n a and a s s u c h t h e i r s u c c e s s i s c o n t i n g e n t on s e c u r i n g a c c e s s to more t h a n one s t a t e . The same m u l t i n a t i o n a l may h a v e i n v e s t m e n t s i n S o u t h E a s t A s i a , L a t i n A m e r i c a and S u b - S a h a r a n A f r i c a s i m u l t a n e o u s l y . However, i n e a c h c a s e t h e i r r e l a t i o n s w i t h t h e s t a t e s i n v o l v e d a r e d i f f e r e n t . T h i s d i f f e r e n c e i n r e l a t i o n s h i p s i s due n o t so much to t h e f a c t t h a t m u l t i n a t i o n a l s may u n d e r t a k e d i f f e r e n t s t r a t e g i e s f o r i n v e s t i n g i n d i f f e r e n t s t a t e s , a s i t i s t o t h e d i f f e r e n c e s i n t h e s t y l e o f l e a d e r s h i p , and s o c i a l and e c o n o m i c c o n d i t i o n s o f t h e s t a t e s i n v o l v e d . To i l l u s t r a t e , i t may be a s k e d why, even t h o u g h t h e same m u l t i n a t i o n a l s h ave i n v e s t e d s i m u l t a n e o u s l y i n s t a t e s o f S o u t h e a s t A s i a and S u b - S a h a r a n A f r i c a , o n l y t h e s t a t e s o f S o u t h e a s t A s i a h a v e d e m o n s t r a t e d r a p i d d e v e l o p m e n t a s a p a r t i a l r e s u l t of f o r e i g n i n v e s t m e n t ? The answer seems s i m p l e . A s i a n g o v e r n m e n t s h a v e p u r s u e d a d i f f e r e n t t a c k i n t h e i r r e l a t i o n s w i t h m u l t i n a t i o n a l s . S t a t e s s u c h a s T a i w a n o r S i n g a p o r e h a v e t u r n e d t h e i r r e l a t i o n s h i p s w i t h f o r e i g n i n v e s t m e n t t o t h e i r b e n e f i t by h a r n a s s i n g t h e t e c h n o l o g y , c a p i t a l and e x p e r t i s e t h a t m u l t i n a t i o n a l s h a v e to o f f e r . A f r i c a n s t a t e s , on t h e o t h e r h a n d , h a v e n o t managed t o d e r i v e t h e same b e n e f i t s f r o m t h e i r r e l a t i o n s h i p s w i t h t h e s e v e r y same c o m p a n i e s . T h i s i n d i c a t e s t h a t t h e r e i s a f u n d a m e n t a l d i f f e r e n c e i n t h e s o c i e t i e s , e c o n o m i e s and p o l i t i c s o f s u b - S a h a r a n A f r i c a , e s p e c i a l l y w i t h r e g a r d t o t h e i r r e l a t i o n s w i t h m u l t i n a t i o n a l i n v e s t m e n t . T h i s c h a p t e r s h a l l a t t e m p t t o d i s c l o s e t h e c o n d i t i o n s w h i c h e x i s t i n s u b - S a h a r a n A f r i c a n a f f a i r s t h a t a f f e c t i t s r e l a t i o n s h i p s w i t h m u l t i n a t i o n a l 8 c o r p o r a t i o n s . W h i l e i t i s b e y o n d t h e s c o p e o f t h i s t h e s i s t o compare t h o s e d i f f e r e n c e s w i t h o t h e r a r e a s o f t h e d e v e l o p i n g w o r l d , i t may be h e l p f u l to b e a r i n m i n d t h a t c o r p o r a t i o n s , l i k e i n s t i t u t i o n a l i z e d g o v e r n m e n t s , a r e l i m i t e d by p a r t l y s e l f - i m p o s e d and p a r t l y home g o v e r n m e n t r u l e s and p r o c e d u r e s , and t h u s a l t e r t h e i r i n v e s t m e n t p o l i c i e s l i t t l e f r o m c o u n t r y t o c o u n t r y . ^ T h o u g h management s t r u c t u r e s v a r y f r o m company t o company, d e c i s i o n - m a k i n g f o r c o r p o r a t i o n s t e n d s t o be c e n t r a l i z e d and p o l i c y c o n t r o l e m a n a t e s f r o m t h e p a r e n t company when t h e i n t e r n a t i o n a l a s p e c t s of a f i r m ' s b u s i n e s s become i m p o r t a n t . A m u l t i n a t i o n a l c o r p o r a t i o n h a s p r o c e e d i n g s and c o n v e n t i o n s , p e r s o n a l d e a l i n g s and m u t u a l u n d e r s t a n d i n g s , t h e s e c u r i n g o f u n i t y and a s s e n t , and t h e u s e of d i p l o m a c y i n c o n f l i c t w h i c h , i f not t r u e p o l i t i c a l a c t i v i t i e s , a r e e x c e e d i n g l y l i k e them. M u l t i n a t i o n a l s draw c h i e f l y upon t h e c o h e s i o n t h a t comes f r o m i n t e r e s t s , p r a g m a t i c and u t i l i t a r i a n i n t h e m a i n , d e v i s i n g s u c h p u r p o s e s f o r t h e m s e l v e s a s p r o f i t o r e x p a n s i o n , o r l u c r a t i v e e m p l o y m e n t . Due to t h e s t a t i c n a t u r e o f t h e s e c o r p o r a t i o n s , t h e i r r e s p e c t i v e p o l i c i e s t o w a r d s f o r e i g n i n v e s t m e n t , t h e r e f o r e , may be i n t h e f o r m o f ' s t a n d a r d o p e r a t i n g p r o c e d u r e s ' o r company p o l i c i e s t h a t w i l l g e n e r a l l y g u i d e t h e i r a p p r o a c h to i n v e s t m e n t f r o m s t a t e to s t a t e . Nhen i n v e s t i n g i n a f o r e i g n c o u n t r y , an a s s e s s m e n t i s u s u a l l y made by t h e c o r p o r a t i o n to d e t e r m i n e what d e g r e e o f e c o n o m i c and p o l i t i c a l s t a b i l i t y e x i s t s , s i n c e i t i s n o t t a k e n f o r g r a n t e d t h a t t h e m a r k e t w i l l be s a f e f r o m c h a n g e s i n p o l i t i c s and economy. 9 T h e s e a r e b u t two o f t h e r i s k s . I t i s n o t d i f f i c u l t to t h i n k o f o t h e r a r e a s w h e r e p o l i t i c a l d e v e l o p m e n t s some t i m e i n t h e f u t u r e may u p s e t c o m m e r c i a l d e c i s i o n s w h i c h w e r e s o u n d enough a t t h e t i m e t h e y w e r e made. The s p e c i f i c o p p o r t u n i t i e s f o r p r o j e c t s i n s t a t e s a r e o f t e n b a s e d on a " s h o p p i n g l i s t " o f i n v e s t m e n t o p p o r t u n i t i e s t h a t d i s c l o s e s t h e g o v e r n m e n t ' s d e v e l o p m e n t p l a n s and t h e v a r i e t y o f o p p o r t u n i t i e s a v a i l a b l e t h e r e . One o f t h e m a j o r c o n s i d e r a t i o n s f o r m u l t i n a t i o n a l s , h o w e v e r , i s t h e r o l e t h a t g o v e r n m e n t s p l a y i n c r e a t i n g p o l i c i e s and p r o c e d u r e s f o r f o r e i g n i n v e s t m e n t and f o r t h e economy i n g e n e r a l . A s i n d u s t r i a l i z a t i o n i s p a r t o f most d e v e l o p m e n t p l a n s , i t i s g e n e r a l l y r e c o g n i s e d t h a t f o r e i g n i n v e s t m e n t h a s a m a j o r r o l e to p l a y . F o r e i g n c a p i t a l and e x p e r t i s e d e r i v e d , n o t f r o m g o v e r n m e n t to g o v e r n m e n t a i d f u n d s , b u t f r o m t h e p r i v a t e s e c t o r , a r e i m p o r t a n t t o most d e v e l o p i n g e c o n o m i e s . The c o u n t r y b e n t on i n d u s t r i a l z a t i o n u s u a l l y h a s to a d o p t a r e a l i s t i c a t t i t u d e , k n o w i n g t h a t i n v e s t m e n t o p p o r t u n i t i e s i n o t h e r c o u n t r i e s a r e n o t l a c k i n g and t h a t t h e i n v e s t o r h a s t o be a t t r a c t e d by t h e p r o s p e c t of a f a i r r e t u r n on t h e c a p i t a l he p u t s a t r i s k and t h e s o r t o f a t t i t u d e and c o n d i t i o n s t h a t w i l l make t h i s p o s s i b l e . H e nce, t h e c o u n t r y s e e k s to a t t a i n a " c o m p e t i t i v e e d g e " . T h i s f o l l o w s a g e n e r a l l y b r o a d p a t t e r n , o f t e n e x p r e s s e d a s i n c e n t i v e s , some of w h i c h a r e o f a p o s i t i v e n a t u r e and o t h e r s no more t h a n t h e r e m o v a l o f d i s i n c e n t i v e s , and a l l d e s i g n e d t o c r e a t e t h e c o n d i t i o n s n e c e s s a r y f o r a s u c c e s s f u l e n t e r p r i s e . S u c h i n c e n t i v e s o f t e n i n c l u d e an u n d e r t a k i n g o f f r e e d o m to 10 r e p a t r i a t e b o t h c a p i t a l and p r o f i t s , p e r h a p s t h e f i r s t e s s e n t i a l . D i r e c t e n c o u r a g e m e n t i s f r e q u e n t l y a f f o r d e d by l e g i s l a t i o n p r o v i d i n g e x e m p t i o n f r o m t a x e s on p r o f i t s f o r a s p e c i f i c i n d u s t r y o v e r a p e r i o d o f y e a r s , w i t h a t t i m e s some a s s u r a n c e o f e x c l u s i v i t y f o r t h e f i r s t t o s t a r t a p a r t i c u l a r i n d u s t r y , p o s s i b l y i n t h e f o r m o f an a g r e e m e n t n o t t o g r a n t t h e t a x h o l i d a y to o t h e r s . Then l a n d may be p r o f e r r e d , s o m e t i m e s , t h o u g h by no means a l w a y s , on v e r y f a v o u r a b l e t e r m s , f r e q u - e n t l y i n a n e w l y d e v e l o p e d i n d u s t r i a l a r e a c o m p l e t e w i t h r o a d s , l i g h t , p o w er, w a t e r a n d d r a i n a g e . A n o t h e r f a c i l t y may be a c c e s s to p a r t o f t h e r e q u i r e d c a p i t a l t h r o u g h l o a n s f r o m a d e v e l o p m e n t c o r p o r a t i o n . S u c h i n c e n t i v e s a r e n o t o f f e r e d l i g h t l y to a l l c o r p o r a t i o n s b u t e a c h c a s e i s d i f f e r e n t i n s o c i a l and e c o n o m i c a d v a n t a g e s , t h e e f f e c t on t h e b a l a n c e o f p a y m e n t s , t h e n e t g a i n to t h e c o u n t r y a f t e r o f f s e t t i n g s u c h f a c t o r s a s t h e c o s t o f i m p o r t e d raw m a t e r i a l s , d i v i d e n d p a y m e n t s , " t e c r m o l o g i c a l a i d f e e s , r e m i t t a n c e o f s a v i n g s by e x p a t r i a t e empl.oy.e.es, and l o s s o f r e v e n u e d u t y on f i n i s h e d g o o d s t h a t w i l l no l o n g e r be i m p o r t e d . A l l a r e c a r e f u l l y w e i g h e d . T h u s , when an MNC c o n s i d e r s an i n v e s t m e n t p o s s i b i l i t y i n a g i v e n u n d e r d e v e l o p e d c o u n t r y , i t i s c o n c e r n e d w i t h b o t h t h e s h o r t -t e r m and t h e l o n g - t e r m . W h ether t h e company s e e k s new m a r k e t s f o r i t s p a r t i c u l a r p r o d u c t o r new s o u r c e s o f raw m a t e r i a l s o r a g r i c u l t u r a l p r o d u c t s , i t s f i r s t c o n s i d e r a t i o n i s t h e i n v e s t m e n t c l i m a t e . In s u c h s i t u a t i o n s , t h e i n v e s t m e n t c l i m a t e f o r a f o r e i g n i n v e s t o r c o m p r i s e s a l l t h e a s p e c t s o f d o i n g b u s i n e s s w i t h i n t h e 11 c o u n t r y w h i c h w i l l afffect h i s a b i l i t y t o r e a l i z e a s i z e a b l e p r o f i t , r e p a t r i a t e t h e p r o f i t , and e v e n t u a l l y w i t h d r a w c a p i t a l . W h i l e t h e i n v e s t m e n t c l i m a t e i s composed o f t h e e c o n o m i c c l i m a t e , t h e s o c i a l c l i m a t e , t h e a d m i n i s t r a t i v e c l i m a t e and t h e p o l i t i c a l c l i m a t e , f o r t h e p u r p o s e s o f t h i s t h e s i s t h e p o l i t i c a l c l i m a t e i s o f m a j o r i m p o r t a n c e . The p o l i t i c a l c l i m a t e i s t h e c l i m a t e n o t so much o f p o l i t i c s i n a g i v e n s t a t e , a s i t i s t h o s e m a c h i n a t i o n s o f g o v e r n m e n t w h i c h h e i g h t e n t h e r i s k a n d / o r c o s t s o f d o i n g b u s i n e s s i n t h a t p a r t i c u l a r c o u n t r y . S u c h r i s k s and c o s t s a s n a t i o n a l i z a t i o n o r e x p r o p r i a t i o n , b e i n g f o r c e d o u t of b u s i n e s s by d e l i b e r a t e g o v e r n m e n t a c t i o n , f o r c e f u l g o v e r n m e n t p a r t i c i p a t i o n i n t h e c a p i t a l o f t h e company, t h e r i s k o f f u t u r e d i r e c t c o m p e t i t i o n f r o m a p u b l i c l y - o w n e d s e c t o r , b e i n g e x c l u d e d f r o m c e r t a i n s e c t o r s o f t h e economy, t r a n s f e r o f new o r r e l e v e n t t e c h n o l o g y , i n c l u s i o n and t r a i n i n g o f l o c a l t o p - l e v e l m a n a g e r i a l s t a f f a r e a l l i n c l u d e d . The r i s k o f c h a n g e o f g o v e r n m e n t i s h i g h on t h e l i s t i n many s t a t e s , and u n c e r t a i n t i e s a b o u t g o v e r n m e n t s t a b i l i t y d i s c o u r a g e many m u l t i n a t i o n a l s f r o m c o m m i t t i n g t h e i r c a p i t a l . I n b l a c k A f r i c a t h e p o l i t i c a l r i s k f o r f o r e i g n i n v e s t m e n t a p p e a r s to be h i g h . A s s y s t e m s o f p e r s o n a l r u l e , t h e p o l i t i c s o f b l a c k A f r i c a do n o t c o n f o r m t o any s e t o f p r e s c r i b e d W e s t e r n n o r m s , t r a d i t i o n s o r c u s t o m s o f g o v e r n a n c e . The r e s u l t i s a more p e r s o n a l i z e d , u n r e s t r a i n e d f o r m o f p o l i t i c s i n w h i c h t h e s t r u g g l e f o r e x i s t e n c e i s b i t t e r and t h e g e n e r a l c l i m a t e o f a p p r e h e n s i o n and u n c e r t a i n t y i s p e r v a s i v e . The p o l i t i c a l r i s k s o f d o i n g b u s i n e s s i n a b y z a n t i n e a n d a r b i t r a r y a r e n a o f p o l i t i c s c a n n o t be o v e r s t a t e d . B u s i n e s s s u c c e s s can be a c h i e v e d i n s u c h an e n v i r o n m e n t , b u t o n l y w i t h t h e c o r r e c t u s e of s t r a t e g y . Of c o u r s e , i t may be d i f f i c u l t f o r c o m p a n i e s t o d e v i s e a p l a n o f a t t a c k when i n v e s t i g a t i o n s a s to t h e c l i m a t e o f f a v o u r a b l e and u n f a v o u r a b l e f a c t o r s a r e so i n f l u e n c e d by t h e p o l i t i c s o f u n c e r t a i n t y . B e c a u s e p e r s o n a l r u l e i s b a s e d on r o l e s and r e l a t i o n s r a t h e r t h a n r u l e s and r e g u l a t i o n s , i t may be d i f f i c u l t t o r e a c h c o n c l u s i o n s a s t o t h e d e g r e e o f r i s k to t h e company. In t h e e n d , t h e s u c c e s s o f t h e company may l i e i n i t s a b i l i t y to a d a p t t o c h a n g e . "Gut f e e l i n g " , i n t u i t i o n and t h e l i k e , may be t h e b a s i s f o r a s s e s s i n g p o l i t i c a l r i s k , b u t u s u a l l y o n l y i n t h e s h o r t - t e r m . The f a c t t h a t t h e r e h a v e been some h i g h l y s u c c e s s f u l c o m p a n i e s o p e r a t i n g i n s u b - S a h a r a n A f r i c a s u g g e s t s t h a t , a l t h o u g h t h e c l i m a t e o f p o l i t i c s i s h i g h l y u n c e r t a i n , i t i s p o s s i b l e to i n v e s t i n t h e s e c o u n t r i e s and r e a l i z e a p r o f i t a b l e r e t u r n . And w h i l e t h e s t r a t e g i e s o f t h e s e c o m p a n i e s i n s u c h a c l i m a t e a r e s e l d o m d i s c u s s e d , t h e c o n t i n u e d p r e s e n c e o f MNCs i n b l a c k A f r i c a i s t e s t i m o n y to t h e i r s u c c e s s t h e r e . T h e r e i s s u r p r i s i n g l y l i t t l e f a c t u a l i n f o r m a t i o n a b o u t t h e e x a c t d e a l i n g s o f m u l t i n a t i o n a l c o r p o r a t i o n s and g o v e r n m e n t s , e s p e c i a l l y i n s u b - S a h a r a n A f r i c a . Why t h i s i s so i s n o t c l e a r , b u t i t may be s p e c u l a t e d t h a t much of t h e a c t i v i t y d o e s n o t f o l l o w W e s t e r n norms f o r b u s i n e s s d e a l i n g s . I n v i e w o f t h e e x t e n s i v e c o r r u p t i o n t h a t a c c o m p a n i e s p e r s o n a l r u l e , i t i s n o t s u r p r i s i n g t h a t d i f f e r e n t s t a n d a r d s o f b u s i n e s s 13 c o n d u c t e x i s t . I n d e e d , d o i n g b u s i n e s s i n t h e s e s t a t e s i m p l i e s n o t o n l y f a c i n g t h e c o n c e r n s o f a d e v e l o p i n g economy's g o v e r n m e n t , b u t n e g o t i a t i n g w i t h a g o v e r n m e n t one o f whose p r i o r i t i e s i s t h e p e r s o n a l a g g r a n d i z e m e n t o f t h e p o l i t i c a l e l i t e and t h e i r a t t e n d a n t p a t r o n s and c l i e n t s . PERSONAL RULE IN SUB-SAHARAN AFRICA In The P r i n c e . M a c h i a v e l l i o u t l i n e d p e r s o n a l r u l e a s a method by w h i c h an i n d i v i d u a l m i g h t a t t a i n and m a i n t a i n power. M a c h i a v e l l i assumed t h a t t h e P r i n c e was a s e l f - s e r v i n g , r a t i o n a l i n d i v i d u a l who was n o t c o n c e r n e d w i t h p r o m o t i n g t h e w e l f a r e o f t h e p o p u l a t i o n o f t h e p r i n c i p a l i t y ; t h e p o p u l a t i o n was n o t a m o b i l i z e d g r o u p o f c i t i z e n s upon whom he was d e p e n d e n t f o r h i s l e g i t i m a c y . R a t h e r , t h e p r i n c i p a l i t y was v i r t u a l l y t h e p r i v a t e p r o p e r t y o f t h e P r i n c e , and a s l o n g a s he a l l o w e d t h e p e o p l e to l i v e i n p e a c e and r e m a i n l a r g e l y u n e x p l o i t e d , t h e y d i d n o t demur. In t h e i r book P e r s o n a l R u l e i n B l a c k A f r i c a . J a c k s o n and R o s b e r g d e s c r i b e p e r s o n a l r u l e i n t h i s age t o be s i m i l a r l y a s y s t e m composed o f t h e p r i v i l e g e d and p o w e r f u l f ew a g a i n s t whom t h e m a j o r i t y o f t h e p e o p l e r e m a i n r e l a t i v e l y p o w e r l e s s . The s y s t e m p r o p s up t h e r u l e r , h i s a l l i e s and s u p p o r t e r s , v i a a c o m p l e x c h a i n o f p a t r o n - c l i e n t r e l a t i o n s h i p s . An e l i t i s t a r r a n g e m e n t , i n t e r a c t i o n among l e a d e r s and f a c t i o n s w i t h i n t h e 14 p o l i t i c a l c l a s s c o n s t i t u t e s t h e e n t i r e s p h e r e o f p o l i t i c s . The p o l i t i c s o f p e r s o n a l r u l e i s t h u s p r i m a r i l y a s o c i a l i n s o f a r a s t h e r e i s a g e n e r a l i n d i f f e r e n c e t o c o n c e r n s o f s o c i a l s t r a t a b e y o n d t h a t o f t h e p o l i t i c a l c l a s s . Power i s h e l d i n p r e c a r i o u s b a l a n c e i n t h i s r e a l m , s u s t a i n e d o n l y by a n e t w o r k o f p a t r o n a g e , c o r r u p t i o n a n d , q u i t e o f t e n , f e a r and c o e r c i o n . The r e a s o n f o r t h e e x i s t e n c e o f t h i s p r e c a r i o u s b a l a n c e i s i n h e r e n t i n t h e s y s t e m , f o r p e r s o n a l r u l e d o e s n o t r e s t upon e s t a b l i s h e d c o n s t i t u t i o n a l r u l e s and norms t h a t r e g u l a t e t h e a c t i v i t i e s o f t h e r u l i n g c l a s s . R a t h e r , p o l i t i c a l i n s t i t u t i o n s a r e l a r g e l y a b s e n t f r o m r e g i m e s o f p e r s o n a l r u l e ; i n d i v i d u a l s a r e n o t g u i d e d by t h e f e a r t h a t a f a i l u r e t o c o m p l y w i t h t h e r u l e s w i l l r e s u l t i n t h e l o s s of o f f i c e , o r w o r s e . I n s t e a d , t h e p o l i t i c s o f e x p e d i e n c y and n e c e s s i t y p r e v a i l w h e r e o f f i c e s a r e b o u g h t o r g i v e n i n t h e f o r m o f p a t r o n a g e . Norms t h a t do a f f e c t p o l i t i c a l a c t i o n a r e n o t s t a t e i n s t i t u t i o n s b u t r a t h e r , t h e y a r e f r i e n d s h i p s , a f f i n i t i e s , r e l a t i o n s , k i n s h i p s , f a c t i o n a l a l l i a n c e s , c o n n e c t i o n s , e t h n i c d i v i s i o n s , t r a n s a c t i o n s , and s t r a t e g i e s . S t a t e s a r e v i r t u a l l y t h e p r i v a t e i n s t r u m e n t s o f t h o s e p o w e r f u l enough and i n d e e d m a n i p u l a t i v e e nough to j u g g l e t h e s u p p o r t of key p o l i t i c a l e l i t e s . In t h e a b s e n c e o f any o p e r a t i v e p r o c e d u r e s f o r g o v e r n a n c e , t h e r u l e r ' s movements a r e hampered o n l y by t h e r e s o u r c e s a t h i s d i s p o s a l , n o t by any o b l i g a t i o n s o f t h e o f f i c e he o c c u p i e s . The b a s i s f o r p e r s o n a l r u l e t h u s l i e s i n t h e t r a n s a c t i o n s b e tween t h o s e who w i s h to b a r g a i n f o r and p u r c h a s e p o s i t i o n and 15 t h o s e who ha v e a c h i e v e d p o s i t i o n and w i s h to r e m a i n t h e r e . Power may be s a i d to p l a y t h e same r o l e i n t h e p o l i t i c a l d i m e n s i o n t h a t w e a l t h p l a y s f o r t h e e c o n o m i c , and t h u s may be c a l l e d a p o l i t i c a l c u r r e n c y . ^ i n t h e f i n a l a n a l y s i s , i t i s n a k e d power w h i c h p r e v a i l s and f i n a n c i a l r e s o u r c e s c o n s t i t u t e t h e means by w h i c h t h i s power can be s e c u r e d . When p e r s o n a l i t i e s b e g i n t o c l a s h and t h e r e i s a br e a k d o w n i n b a r g a i n i n g , c o u p s , p l o t s , c o n s p i r a c i e s and t h e l i k e , o c c u r . I f enough o f t h e m e r c e n a r y c l i e n t s o f one l e a d e r can be p e r s u a d e d t o s e l l o u t and i n v e s t i n a n o t h e r p e r s o n a l i t y , a l e a d e r s h i p s t r u g g l e w i l l e n s u e , f r e q u e n t l y a c c o m p a n i e d by s o c i e t a l c h a o s and l a w l e s s n e s s . When t h i s o c c u r s , t h e r u l e r must f a l l back on n a k e d f o r c e o r t h e t h r e a t o f f o r c e i n o r d e r to s e c u r e h i s p o s i t i o n . P o l i t i c s i n t h e r e a l m o f p e r s o n a l r u l e t h u s b o i l s down to o n l y one r e a l i s s u e — w h o w i l l c a p t u r e power and d i s t r i b u t e t h e b e n e f i t s ? E v e r y o t h e r c o n s i d e r a t i o n i s s e c o n d a r y . Whose w e a l t h i s b e i n g u s e d f o r t h i s p o l i t i c a l e n t r e p r e n e u r s h i p ? The answer to t h i s q u e s t i o n l i e s i n t h e s t a t e o f u n d e r d e v e l o p m e n t w h i c h e x i s t s i n b l a c k A f r i c a . B r i b e r y , c o r r u p t i o n , n e p o t i s m , and c l i e n t e l i s m a r e u s u a l l y so i n g r a i n e d i n e v e r y a g e n c y o f g o v e r n m e n t t h a t t h e c a p a c i t y o f t h e s t a t e i s s e v e r e l y u n d e r m i n e d . The p u r s u i t o f p e r s o n a l and f a c t i o n a l enhancement so d o m i n a t e s t h e p o l i t i c a l a r e n a a s to be t h e method by w h i c h p u b l i c o r g a n i z a t i o n s h ave become t h e i n s t r u m e n t s o f t h e e l i t e . S t a n i s l a v A n d r e s k i h a s a p p r o p r i a t e l y t e r m e d t h i s c o n d i t i o n " k l e p t o c r a c y " o r g o v e r n m e n t by c o m p u l s i v e t h e f t . "What we n o r m a l l y g e t i n p o l i t i c s i s a p r e t e n c e o f p a t e r n a l i s m , and t h e 16 common r e l a t i o n s h i p i s a n a l o g o u s t o t h a t o f a s h e p h e r d who k e e p s on f l e e c i n g h i s s h e e p . . . " 3 The e s s e n t i a l c h a r a c t e r i s t i c o f t h i s f o r m o f g o v e r n m e n t i n A n d r e s k i ' s e y e s , " . . . i s t h a t t h e f u n c t i o n i n g o f t h e o r g a n s o f a u t h o r i t y i s d e t e r m i n e d by t h e m e c h a n i s m s o f s u p p l y and demand r a t h e r t h a n l a w s and r e g u l a t i o n s . . . ' " * j n an s o c i e t i e s w e a l t h t e n d s to f l o w t o w a r d s power a s w e l l a s v i c e v e r s a a n d , i n t h e a b s e n c e o f i n s t i t u t i o n s t o r e g u l a t e t h e u s e of p u b l i c o f f i c e t o a c q u i r e w e a l t h , t h e a b u s e o f .power g o e s l a r g e l y u n r e s t r a i n e d . T h u s what d e v e l o p s i s n o t s i m p l e c o n t r o l o f p o l i t i c a l p o w er, b u t c o n t r o l o v e r a m a j o r i t y o f t h e w e a l t h and r e s o u r c e s o f t h e s t a t e a s w e l l . S u c h an e n v i r o n m e n t f e e d s on i t s e l f and f o s t e r s t h e d e c a y o f s t a t e i n s t i t u t i o n s . P o l i t i c a l i n s t i t u t i o n s s u c h a s t h e e x e c u t i v e , t h e p a r l i a m e n t , t h e p a r t y , even t h e j u d i c i a r y , l o s e w h a t e v e r p u b l i c e s t e e m t h e y commanded. P e o p l e b e g i n t o s c o f f a t p o l i t i c i a n s who d e m o n s t r a t e c o n c e r n a b o u t u n i t y , h a r d work and s a c r i f i c e . I n d e e d , a s c i t i z e n s grow a c c u s t o m e d to b r i b i n g o f f i c i a l s i n e ven r o u t i n e m a t t e r s , c o r r u p t i o n becomes t h e norm. B u r e a u c r a t i c i n s t i t u t i o n s a l s o become i n e f f e c t i v e and l o s e t h e i r t e c h n i c a l r a t i o n a l i t y . N e p o t i s m and p a t r o n a g e g l u t t h e b u r e a u c r a t i c r a n k s w i t h i n c o m p e t e n t s and t i m e - s e r v e r s . T h o s e c i v i l s e r v a n t s who a r e c a p a b l e and h o n e s t a r e d e m o r a l i z e d by t h e g r a f t , f r a u d , and t h e f t o f p u b l i c p r o p e r t y . I n d i s c i p l i n e and l a s s i t u d e t h u s p a r a l y s e t h e b u r e a u c r a t i c a p p a r a t u s . The h i s t o r i c a l c o n t e x t o f A f r i c a n p o l i t i c s , e s p e c i a l l y a s i t e merged f r o m c o l o n i a l i s m , h a s g i v e n a d i f f e r e n t c h a r a c t e r to 1? A f r i c a n c o n c e p t i o n s o f c i t i z e n s h i p t h a n t h o s e f o u n d i n t h e West or A s i a . P e t e r E k e h c l a i m s t h a t modern A f r i c a n s t a t e s l a c k a common m o r a l f o u n d a t i o n b e tween t h e p r i v a t e r e a l m and t h e p u b l i c r e a l m , w h i c h h a v e a p e c u l i a r W e s t e r n c o n n o t a t i o n . And t h i s p o i n t e x p l a i n s much a b o u t t h e p r e s e n c e o f s y s t e m s o f p e r s o n a l r u l e i n s u b - S a h a r a n A f r i c a . T h a t i s , i n W e s t e r n s o c i e t y , what i s c o n s i d e r e d m o r a l l y r i g h t i n t h e p u b l i c r e a l m i s a l s o c o n s i d e r e d m o r a l l y r i g h t i n t h e p r i v a t e r e a l m , and v i c e v e r s a . In A f r i c a , h o w e v e r , t h e p r i v a t e r e a l m i s d i f f e r e n t i a t e d f r o m t h e p u b l i c r e a l m i n t e r m s o f m o r a l i t y . The i n d i v i d u a l s e e s h i s d u t i e s a s m o r a l o b l i g a t i o n s t o b e n e f i t and s u s t a i n a p r i m o r d i a l p u b l i c o f w h i c h he i s a member - i n most o f A f r i c a i t t e n d s to be composed o f e t h n i c g r o u p s o r t r i b e s . The A f r i c a n f u l f i l l s h i s d u t i e s a s a member of t h i s p u b l i c by g i v i n g m a t e r i a l l y to h i s c o m m u n i t y , i n r e t u r n r e c e i v i n g i n t a n g i b l e i m m a t e r i a l b e n e f i t s i n t h e f o r m o f i d e n t i t y , s t a t u s , p r e s t i g e and p s y c h o l o g i c a l s e c u r i t y . The n a t u r e o f c i t i z e n s h i p i n what E k e h t e r m s t h e " c i v i c p u b l i c " i s h i s t o r i c a l l y a s s o c i a t e d w i t h t h e c o l o n i a l a d m i n i s t r a t i o n and h a s become i d e n t i f i e d w i t h p o p u l a r p o l i t i c s i n s u b - S a h a r a n A f r i c a . I t i s b a s e d on s t a t e s t r u c t u r e s : t h e m i l i t a r y , t h e c i v i l s e r v i c e , t h e p o l i c e , and so f o r t h . I t s c h i e f c h a r a c t e r i s t i c i s t h a t i t h a s no m o r a l l i n k a g e s w i t h t h e p r i m o r d i a l r e a l m . W h i l e many A f r i c a n s z e a l o u s l y a t t e m p t t o b e n e f i t a n d s u s t a i n t h e i r p r i m o r d i a l p u b l i c s , t h e y s e e k o n l y m a t e r i a l g a i n f r o m t h e c i v i c p u b l i c . And t h e y f e e l no m o r a l c o m p u l s i o n t o g i v e back to t h e c i v i c p u b l i c i n r e t u r n f o r t h e i r IS b e n e f i t s . The a p p a r e n t r e s u l t o f s u c h a c o n f l i c t o f i n t e r e s t s i s t h e a c k n o w l e d g e d r o b b e r y o f t h e c i v i c p u b l i c f o r t h e p u r p o s e s o f s u s t a i n i n g t h e p r i m o r d i a l p u b l i c . ^ T h u s , p e r s o n a l r u l e i s c o m p r i s e d o f c o m p l e x s o c i a l , p s y c h o l o g i c a l , and p o l i t i c a l f a c t o r s . S u c h f a c t o r s h a v e g r e a t b e a r i n g on t h e d e v e l o p m e n t o f t h e s e s t a t e s and t h e c o u r s e t h e y p u r s u e i n b o t h i n t e r n a l p o l i t i c s a nd i n e x t e r n a l r e l a t i o n s . The i m p a c t o f p e r s o n a l r u l e on t h e r e l a t i o n s h i p s t h a t a s t a t e h a s w i t h i n t e r n a t i o n a l a c t o r s s u c h a s m u l t i n a t i o n a l c o r p o r a t i o n s , t h e r e f o r e , c a n n o t be u n d e r s t a t e d . The c o r r u p t i o n t h a t a c c o m p a n i e s p e r s o n a l r u l e i n v o l v e s , i n p a r t , b r i b e r y and b u y i n g t h e c o - o p e r a t i o n o f t h o s e i n a u t h o r i t y , j u s t a s i t was e m p l o y e d f r o m t h e e a r l i e s t d a y s of c o l o n i a l e x p a n s i o n t o s e c u r e t h e c o l l a b o r a t i o n o f t r a d i t i o n a l r u l e r s . M u l t i n a t i o n a l c o r p o r a t i o n s h a v e l i k e l y c o n t i n u e d to seek r e l a t i o n s h i p s w i t h t h o s e A f r i c a n l e a d e r s and o r g a n i z a t i o n s w h i c h seem most l i k e l y to s e c u r e and e n h a n c e t h e i r c o m m e r c i a l and p o l i t i c a l i n t e r e s t s . In r e c o g n i z i n g t h a t t h i s p o t e n t i a l l y p r o f i t a b l e s i t u a t i o n e x i s t s , i t i s p r e c i s e l y t h e r o l e of i n t e r m e d i a r y t h a t b o t h A f r i c a n p e t t y b u r e a u c r a t s and b u s i n e s s m e n h a v e f o u n d t h e i r most c l e a r l y a r t i c u l a t e d i d e n t i t i e s i n t e r m s of r e l a t i o n s w i t h f o r e i g n c o r p o r a t i o n s . In c o l o n i a l t i m e s , A f r i c a n b u s i n e s s m e n w e r e l a r g e l y e x c l u d e d f r o m m a n u f a c t u r i n g and p r o c e s s i n g and t h u s f o u n d t h e i r most l u c r a t i v e r o l e a s t r a d e r s , d i s t r i b u t o r s , and m i d d l e m e n l i n k i n g p e a s a n t p r o d u c t i o n w i t h E u r o p e a n e x p o r t c o m p a n i e s , and l i n k i n g i m p o r t e r s w i t h t h e g r o w i n g 19 u r b a n e l i t e . The p o s t - c o l o n i a l s t a t e h a s grown a p a c e and t h e a c t i v i t i e s o f b u r g e o n i n g b u r e a u c r a c i e s i n t r u d e a t many p o i n t s i n t h e l i v e s o f o r d i n a r y p e o p l e . O p p r e s s i v e and i n t r u s i v e b u r e a u c r a c i e s i n t u r n e n g e n d e r a n e e d f o r i n t e r m e d i a r i e s and b r o k e r s who can e a s e or d e f l e c t t h e p r e s s u r e s o f g o v e r n m e n t . I t seems e v i d e n t t h a t t h e o v e r r i d i n g demand i n A f r i c a n p o l i t i c s , b u s i n e s s , and a d m i n i s t r a t i o n i s f o r g o - b e t w e e n s , f i x e r s , and a g e n t s w i t h t h e r e l e v a n t and n e c e s s a r y c o n n e c t i o n s t o i n t e r c e d e on b e h a l f o f t h o s e s e e k i n g g o v e r n m e n t f a v o u r , e x e m p t i o n or s u p p o r t . In many a r e a s o f t h e w o r l d t o d a y , t h e i n t e r m e d i a r y p l a y s a v i t a l r o l e i n b u s i n e s s d e a l i n g s . F u n d a m e n t a l l y , he i s someone who can a i d a f o r e i g n c o r p o r a t i o n t o o b t a i n b u s i n e s s i n t e r e s t s i n a g i v e n d o m e s t i c m a r k e t . H i s h e l p c o n s i s t s o f p r o v i d i n g t h e company w i t h an a d v a n t a g e o v e r i t s c o m p e t i t o r s by s e c u r i n g t h e c o - o p e r a t i o n o f someone w i t h power and i n f l u e n c e to p r o m o t e i t s i n t e r e s t s . O f t e n , an i n t e r m e d i a r y i s h i m s e l f a f o r e i g n e r , b u t he ha s t h e a b i l i t y to p e r s u a d e a p e r s o n a l r u l e r , o r someone v e r y c l o s e to h i m , to f a v o u r one company's i n t e r e s t s o v e r o t h e r s i n r e t u r n f o r a p a y m e n t / c o m m i s s i o n w h i c h i s s h a r e d by h i m s e l f and h i s p o l i t i c a l m e n t o r . I s i n t e r m e d i a r y a c t i v i t y w h o l l y c o r r u p t i o n , and t h e r e f o r e to be condemned? To many A f r i c a n s i t a p p e a r s t o be a p e r f e c t l y a c c e p t a b l e p a r t o f b u s i n e s s l i f e , an e x t e n s i o n o f t r a d i t i o n a l a t t i t u d e s t o w a r d money and s o c i e t y . To t h e s t r i c t b u s i n e s s e t h o s o f t h e N e s t , i t w o u l d a p p e a r to i n v o l v e b r i b e r y . Y e t , b o t h s i d e s p l a y t h e game. How t h e game i s p l a y e d i s a n o t h e r m a t t e r . T a c t i c s 20 v a r y w i t h e v e r y d e a l , and t h e r u l e s a r e d i c t a t e d b y , f o r e x a m p l e , t h e s i z e and n a t u r e o f t h e c o n t r a c t , and t h e company — i t s p r o d u c t , i t s e x p e r t i s e , i t s n a t i o n a l o r i g i n . In a d d i t i o n , t h e s p h e r e s o f power and i n f l u e n c e i n t h e West a r e i n s t i t u t i o n a l i z e d o n e s , g u i d e d by l a w s w h i c h l a r g e l y d e t e r m i n e t h e b e h a v i o u r o f c o m p a n i e s a n d i n d i v i d u a l s . They b e g i n a t t h e g o v e r n m e n t l e v e l , b u t c h a n g e a s t h e y move down t h e l i n e b e c a u s e g o v e r n m e n t i n v o l v e m e n t i n t h e e v e r y d a y c o n d u c t o f b u s i n e s s i s o f t e n l i m i t e d by t h e l a w s o f t h e l a n d a n d , i n many c a s e s , by t h e commitment t o a f r e e e n t e r p r i s e s y s t e m . T h e s e l a w s c a n p r o h i b i t i n v o l v e m e n t i n i n t e r m e d i a r y - t y p e a c t i v i t y ; t h i s i s p a r t i c u l a r l y t h e c a s e i n t h e U n i t e d S t a t e s , w i t h i t s a n t i - c o r r u p t i o n l a w s , S e c u r i t y and E x c h a n g e C o m m i s s i o n i n v e s t i g a t i o n s , a n d g e n e r a l p o l i c y o f m o n i t o r i n g and c h e c k i n g q u e s t i o n a b l e p a y m e n t s . The l a w s i n t h e West exempt no o n e , n o t even P r i n c e B e r n h a r d o f H o l l a n d o r f o r m e r P r e m i e r T a n a k a o f J a p a n . ^ Even t h e B r i t i s h P r i m e M i n i s t e r ' s s o n , Mark T h a t c h e r , h a s been hounded by t h e p r e s s . L i k e A f r i c a n s y s t e m s , W e s t e r n o n e s a r e an e x t e n s i o n o f s o c i a l and c u l t u r a l a t t i t u d e s . S t a n d a r d s o f d e c e n t d e a l i n g s t i l l e x i s t , t o be u p h e l d o r i g n o r e d . In t h e i n s t a n c e o f s u b - S a h a r a n A f r i c a , t h e i n t e r m e d i a r y ' s r e l a t i o n s h i p w i t h t h e r e g i m e o f p e r s o n a l r u l e i s p r i m a r i l y a b u s i n e s s o n e. He i s t h e e x p e r t on m u l t i n a t i o n a l c o r p o r a t e a c t i v i t y , who n o t o n l y p r o d u c e s t h e r i g h t company f o r t h e r i g h t j o b , b u t s e c u r e s an a g r e e m e n t f r o m t h a t company, v o u c h e s f o r i t s r e l i a b i l i t y to ho n o u r t h e a g r e e m e n t , and t r e a t s t h e d e a l w i t h 21 c o n f i d e n t i a l i t y . "He i s t h e " h a r d - h e a r t e d c h a r r n e r " who e n t i c e s c o r p o r a t i o n s i n t o s i g n i n g away s m a l l p e r c e n t a g e s w h i c h e v e n t u a l l y become b i g money - f r o m 2% o f *1,000,000 t o 4.5% o f *11 ,000 ,000 , 0 0 0 . " 7 In t h e M i d d l e E a s t , e s p e c i a l l y , t h e i n t e r m e d i a r y may t a k e on an a d d e d d i m e n s i o n i n t h a t he becomes t h e d i s c r e e t k e e p e r o f h i s m a s t e r ' s s e c r e t s . S a u d i s u p e r - i n t e r m e d i a r y , Adrian K h a s h o g g i assumed r e s p o n s i b i l i t y f o r a l l t h e S a u d i m i s d e e d s c o n n e c t e d w i t h t h e n o t o r i o u s L o c k h e e d s c a n d a l . He p r o t e c t e d h i s r o y a l m e n t o r s , w h i c h e n d e a r e d him t o them. R a t h e r t h a n h a v i n g a d a m a g i n g e f f e c t , t h e s c a n d a l e l e v a t e d him and made him a l o y a l a s s o c i a t e o f t h e pr i n c e s . In d e a l i n g w i t h a m u l t i n a t i o n a l c o r p o r a t i o n , t h e i n t e r m e d i a r y becomes t h e s o p h i s t i c a t e d i n t e r n a t i o n a l b u s i n e s s m a n w i t h s p e c i a l k n o w l e d g e o f how c o n t r a c t s a r e won and l o s t , i n t h i s c a s e , i n s u b - S a h a r a n A f r i c a . T h i s i s o f m a j o r i m p o r t a n c e t o t h e c o r p o r a t i o n , f o r t h e c u l t u r e gap i s p e r h a p s one o f t h e g r e a t e s t o b s t a c l e s t o d o i n g b u s i n e s s i n s u b - S a h a r a n A f r i c a . M o s t n o n - A f r i c a n s s i m p l y do n o t a p p e a r t o u n d e r s t a n d enough a b o u t t h e p e o p l e and t h e i r p o l i t i c s to s u c c e e d t h e r e . T h u s , t h e more a d e p t t h e i n t e r m e d i a r y i s a t u n d e r s t a n d i n g and w o r k i n g i n a c l i m a t e of p e r s o n a l r u l e , t h e more p r o f i t a b l e i t w i l l be f o r t h e c o r p o r a t i o n and h i m s e l f . In c a s e s w h e r e l a w s and r e g u l a t i o n s f o r b i d a company to b r i b e an i n t e r m e d i a r y and h i s p o l i t i c a l c o n t a c t s , schemes must be d e v i s e d t o c i r c u m v e n t s u c h l a w s . B e c a u s e U.S. Government l a w s f o r b i d b r i b e s o r a n y t h i n g r e s e m b l i n g a p a y - o f f , a t home o r a b r o a d , t h e i n t e r m e d i a r y and t h e company may c a l l s u c h p a y m e n t s ' c o n s u l t a n c y f e e s ' . 9 When West German l a w s f o r b i d t h e s a l e o f arms to L i b y a , i n t e r m e d i a r i e s d e a l i n g w i t h German arms m a n u f a c t u r e r s a l l e g e d l y p r e p a r e p a p e r w o r k i n d i c a t i n g t h a t t h e arms a r e d e s t i n e d f o r a n o t h e r c o u n t r y , and may e i t h e r d i v e r t them e n r o u t e o r r e s h i p them upon a r r i v a l . ^ To sum up, an i n t e r m e d i a r y h a s t o c o n t e n d w i t h an e l a b o r a t e s t r u c t u r e o f i n f l u e n c e on b o t h s i d e s o f . t h e t r a n s a c t i o n . T h e r e i s t h e p e r s o n a l r u l e r , h i s c o n t r o l o f money, r e s o u r c e s , m a r k e t s and t h e l i k e , and h i s r e l a t i o n s h i p t o t h e i n t e r m e d i a r y , w h i c h i s s u p e r i m p o s e d upon t h e body p o l i t i c o f t h e c o u n t r y a n d t h e n e e d o f t h e r u l i n g c l a s s e s to p e r p e t u a t e t h e i r c o n t r o l . T h e n , t h e r e i s t h e a t t i t u d e o f t h e W e s t e r n g o v e r n m e n t , i t s l a w s , t h e i n h e r e n t n a t i o n a l a t t i t u d e s and t h e c o r p o r a t e c o n s t r a i n t s , l i k e s a n d d i s l i k e s . In a l l , i t makes f o r a d a u n t i n g s e t o f b a r r i e r s w h i c h few p e o p l e can m a s t e r . C e r t a i n l y , t h e r e i s more to b e i n g an i n t e r m e d i a r y t h a n p e o p l e may t h i n k , and t h e demands upon t h a t p e r s o n ' s t a l e n t s become more s t r i n g e n t e v e r y d a y . An i l l u s t r a t i o n o f how i n t e r m e d i a r i e s o p e r a t e i n b l a c k A f r i c a h a s been r e l a t e d by an a c c o u n t i n g c o n s u l t a n t h i r e d t o a u d i t t h e T e n n e s s e e O i l Company's (TENNOCO) Gabon o p e r a t i o n s . TENNOCO a l l e g e d l y u s e d what was t e r m e d "Brown P a p e r P a y m e n t s " i n o r d e r to s e c u r e an O i l a n d Gas p r o d u c t i o n - s h a r i n g c o n t r a c t w i t h t h e g o v e r n m e n t o f Gabon. T h e s e p a y m e n t s w e r e made to c e r t a i n o f t h e c o u n t r y ' s c u s t o m s o f f i c i a l s who d i d n o t r e c o g n i s e t h e go v e r n m e n t a g r e e m e n t (UNIAC) t h a t l i s t e d t h e company's e q u i p m e n t a s 23 d u t y - f r e e . In a d d i t i o n , "good w i l l " was e s t a b l i s h e d w i t h a number o f o f f i c i a l s and p e t t y b u r e a u c r a t s , s u c h a s t h e l o c a l w a r e h o u s e s u p e r i n t e n d e n t , i n o r d e r t o e n s u r e t h e s a f e t y o f t h e company's p r o p e r t y . The o f f i c i a l TENNOCO p o l i c y was t h a t no b r i b e s w e r e to be p a i d , a s t h i s i s p r o h i b i t e d by U.S. l a w . The t r a n s a c t i o n s w e r e t h u s c o n d u c t e d by a D u t c h i n t e r m e d i a r y who was h i r e d by t h e company on a s t r i c t l y c o n s u l t i n g b a s i s i n w h i c h c a p a c i t y he w o u l d r e p r e s e n t TENNOCO a s i t s u n o f f i c i a l a m b a s s a d o r . He was p a i d a h i g h c o m m i s s i o n , u p w a r d s o f *U.S.17,000 p e r month to c a r r y o u t h i s d u t i e s . F o r t h i s f e e he was e x p e c t e d to a t t e n d a l l i m p o r t a n t s o c i a l a s w e l l a s b u s i n e s s f u n c t i o n s , m a n o e u v r i n g h i m s e l f i n t o s t r a t e g i c r e l a t i o n s h i p s w i t h m i n i s t e r s , m i l i t a r y o f f i c i a l s and p e t t y b u r e a u c r a t s who, a c t i n g a s l o c a l i n t e r m e d i a r i e s , c o u l d f a c i l i t a t e t h e a c t i v i t i e s o f TENNOCO i n Gabon. He a t t e n d e d a l l o f t h e i m p o r t a n t f u n e r a l s , w e d d i n g s and o f f i c i a l r e c e p t i o n s i n t h e s t a t e , a l w a y s r e p r e s e n t i n g t h e m u l t i n a t i o n a l . Y e t , s t r i c t l y s p e a k i n g , he was n o t a "TENNOCO man". T h i s s e r v e d two f u n c t i o n s . F i r s t , i f he f e l l f r o m f a v o u r , o r t h e r e g i m e c h a n g e d , o r he made a b l u n d e r t h a t somehow became p u b l i c , TENNOCO w o u l d s i m p l y deny h i s l i n k w i t h t h e company, o r p e r h a p s p o i n t o u t t h a t he was m e r e l y a c o n s u l t a n t and n o t a member o f t h e c o r p o r a t e r a n k s . S e c o n d , t h e r e w o u l d be no e v i d e n c e p o i n t i n g to t h e company o f i t s p a y i n g b r i b e s o r e l i c i t i n g f a v o u r s f r o m p u b l i c o f f i c i a l s . i l S u r p r i s i n g l y t h e r e e x i s t f ew t h e o r i e s w h i c h a t t e m p t t o e x p l a i n t h e r e l a t i o n s h i p s o f m u l t i n a t i o n a l s i n t h e d e v e l o p i n g w o r l d , and e s p e c i a l l y i n l i g h t o f t h o s e p e r s o n a l l y r u l e d s t a t e s s u b - S a h a r a n A f r i c a . Of m a j o r i m p o r t a n c e t o t h i s t h e s i s i s t h e n o t i o n o f t h e Comprador C l a s s a s o u t l i n e d by Dependency T h e o r y , w h i c h o f f e r s p e r h a p s t h e o n l y e x p l a n a t i o n o f how s u c h r e l a t i o n s h i p s f u n c t i o n , l e a d i n g t h e way f o r a more t h o r o u g h e x a m i n a t i o n o f t h e t o p i c . CHAPTER TWO FROM DEPENDENCY TO CONTINGENCY In r e c e n t y e a r s , a p o p u l a r t h e o r y h a s e v o l v e d t h a t p u r p o r t s t o e x p l a i n why so many T h i r d N o r I d s t a t e s i n L a t i n A m e r i c a , A f r i c a , a n d A s i a h a v e been u n a b l e t o d e v e l o p . T h i s p o i n t o f v i e w i s e s p o u s e d by t h o s e who s e e t h e w o r l d i n a g l o b a l c o n t e x t w i t h i n w h i c h s t a t e s and o t h e r a c t o r s i n t e r a c t . S o m e t i m e s c a l l e d " G l o b a l i s m " , t h i s t h e o r y s t r e s s e s t h e i m p o r t a n c e o f h i s t o r i c a l a n a l y s i s i n w h i c h t h e d e f i n i n g c h a r a c t e r i s t i c o f t h e s y s t e m a s a w h o l e i s c a p i t a l i s m . ^ j f - , j s e c o n o m i c s y s t e m i s c o n s i d e r e d to be o f b e n e f i t to some i n d i v i d u a l s , s t a t e s , and s o c i e t i e s , b u t to o p e r a t e a t t h e e x p e n s e o f o t h e r s . F u r t h e r m o r e , t h i s v i e w o f i n t e r n a t i o n a l r e l a t i o n s a ssumes t h a t p a r t i c u l a r m e c h a n i s m s o f d o m i n a t i o n e x i s t t h a t keep T h i r d Nor I d s t a t e s f r o m d e v e l o p i n g and c o n t r i b u t e to uneven d e v e l o p m e n t g l o b a l l y . F i n a l l y , " G l o b a l i s t s " assume t h a t e c o n o m i c f a c t o r s e x p l a i n t h e e v o l u t i o n and t h e f u n c t i o n i n g o f t h e w o r l d c a p i t a l i s t s y s t e m and t h e r e l e g a t i o n o f T h i r d W o r l d s t a t e s to a s u b o r d i n a t e p o s i t i o n . One o f t h e more p o p u l a r v e r s i o n s o f t h e g l o b a l p o l i t i c a l - e c o n o m y a p p r o a c h i s known a s "dep e n d e n c y t h e o r y " w h i c h emerged a s a s c h o o l o f t h o u g h t to e x p l a i n why L a t i n A m e r i c a and o t h e r T h i r d W o r l d r e g i o n s w e r e n o t d e v e l o p i n g a s a n t i c i p a t e d . T h i s a p p r o a c h , b u i l t on t h e work o f P r e b i s c h , F r a n k , B a r a n , G a l t u n g , M y r d a l , F u r t a d o , G i r v a n , B r e w s t e r , S u n k e l , C a r d o s o and o t h e r s , h a s 26 e m p h a s i s e d t h e u n e q u a l t r a d e and i n v e s t m e n t r e l a t i o n s h i p s between c o r e a r e a s of t h e i n t e r n a t i o n a l economy, w h e r e i n d u s t r i a l i z a t i o n f i r s t d e v e l o p e d and i s s t i l l c o n c e n t r a t e d , and t h e p e r i p h e r a l a r e a s o f A s i a , A f r i c a , and L a t i n A m e r i c a w h i c h w e r e drawn i n t o s e r v i n g c o r e r e g i o n s a s s o u r c e s o f raw m a t e r i a l and m a r k e t s f o r i n d u s t r i a l o u t p u t . £ T h e s e u n e q u a l i n t e r n a t i o n a l r e l a t i o n s h i p s a r e v i e w e d a s s t u n t i n g e c o n o m i c g r o w t h and l i m i t i n g t h e e c o n o m i c c a p a c i t y o f p e r i p h e r a l a r e a s . M o r e o v e r , t h e s e r e l a t i o n s h i p s l e a d to t h e e s t a b l i s h m e n t o f i n s t i t u t i o n s i n p e r i p h e r a l a r e a s ( s u c h a s t h e s e m i - f e u d a l l a n d t e n u r e a r r a n g e m e n t s i n much of L a t i n A m e r i c a ) t h a t a l l e g e d l y d i s t o r t t h e p o t e n t i a l f o r f u t u r e d e v e l o p m e n t . F u r t h e r m o r e , t h e o n g o i n g i m p a c t o f e x t e r n a l t i e s i s c o n c e i v e d a s p o w e r f u l l y s h a p i n g s o c i a l r e l a t i o n s w i t h i n p e r i p h e r a l c o u n t r i e s — m a i n t a i n i n g t h e d o m i n a n c e of s o c i a l c l a s s e s t h a t a r e d e p e n d e n t on t h e i r e x t e r n a l l i n k s w i t h c e n t r e s o f t h e i n t e r n a t i o n a l c a p i t a l i s t economy. T h u s , d e p e n d e n c y t h e o r i s t s a r e c o n c e r n e d n o t o n l y w i t h e x t e r n a l f a c t o r s ( s u c h a s f o r e i g n s t a t e s , m u l t i n a t i o n a l c o r p o r a t i o n s , i n t e r n a t i o n a l b a n k s , m u l t i l a t e r a l l e n d i n g i n s t i t u t i o n s , f o r e i g n c o n t r o l o f t e c h n o l o g y , and an i n t e r n a t i o n a l b o u r g e o i s i e ) b u t a l s o i n c r e a s i n g l y w i t h i n t e r n a l c o n s t r a i n t s on d e v e l o p m e n t ( s u c h a s p a t t e r n s o f l a n d t e n u r e , s o c i a l s t r u c t u r e s , c l a s s a l l i a n c e s , and t h e r o l e o f t h e s t a t e . ) T h e s e i n t e r n a l f a c t o r s r e p o r t e d l y t e n d to r e i n f o r c e i n s t r u m e n t s o f f o r e i g n d o m i n a t i o n . I t i s a r g u e d , f o r e x a m p l e , t h a t t h e i n a b i l i t y t o b r e a k o u t of a d e p e n d e n t s i t u a t i o n i s o f t e n p r o m o t e d by a p r i v i l e g e d few c i t i z e n s who b e n e f i t f r o m t h e e c o n o m i c d e p e n d e n c y o f a c o u n t r y on f o r e i g n a c t o r s a t t h e e x p e n s e o f t h e c o u n t r y a s a w h o l e . T h i s s o - c a l l e d " c o m p r a d o r c l a s s " o r s e c t i o n s o f a n a t i o n a l b o u r g e o i s i e , e ven a i d s i n t h e e x p l o i t a t i o n o f i t s own s o c i e t y . A l l i e d w i t h f o r e i g n c a p i t a l i s t s , i t s s e l f - s e r v i n g p o l i c i e s a r e s a i d to e n c o u r a g e t h e e x p a n s i o n o f s o c i a l and e c o n o m i c i n e q u a l i t y , w h i c h may t a k e t h e f o r m o f an e v e r - w i d e n i n g r u r a l - u r b a n gap. A l t h o u g h l i m i t e d g r o w t h may o c c u r i n a few u r b a n c e n t e r s , t h e c o u n t r y s i d e s t a g n a t e s and i s v i e w e d o n l y a s a s o u r c e o f cheap l a b o u r and raw m a t e r i a l s . T h e s e " e x p l o i t e r s " h a v e more i n common w i t h t h e e l i t e s o f t h e c e n t e r c o u n t r i e s t h a n t h e y do w i t h t h e i r f e l l o w c i t i z e n s o f t h e p e r i p h e r y . From t h e d e p e n d e n c y p e r s p e c t i v e , m u l t i n a t i o n a l c o r p o r a t i o n s (MNCs) a r e t h e p r i m a r y e m b o d i m e n t s and p e r p e t r a t o r s o f u n e q u a l r e l a t i o n s h i p s b e t ween c o r e and p e r i p h e r a l c o u n t r i e s . They a r e a l s o a c r i t i c a l e l e m e n t i n d e e p e n i n g t h e i n t e r n a l s o c i a l i m p a c t o f e x t e r n a l l i n k s on t h e p e r i p h e r a l c o u n t r i e s . S u n k e l , i n p a r t i c u l a r , h a s e m p h a s i z e d t h a t t h e MNC i s an a g e n c y o f " t r a n s n a t i o n a l i n t e g r a t i o n and n a t i o n a l d i s i n t e g r a t i o n . " 3 T h i s t w i n p r o c e s s , he c l a i m s , i n c o r p o r a t e s m i n o r i t y s e g m e n t s t h a t a r e a s s o c i a t e d w i t h MNC i n d u s t r y i n a p e r i p h e r a l c o u n t r y i n t o a d y n a m i c t r a n s n a t i o n a l economy, i n w h i c h r a p i d c o m m u n i c a t i o n , c o n t i n u i n g t e c h n o l o g i c a l p r o g r e s s and t r a n s f e r , and h i g h - l e v e l c o n s u m p t i o n demands i n t e r a c t t o s p u r c o n s i d e r a b l e e c o n o m i c g r o w t h . A t t h e same t i m e , h o w e v e r , t h e m a j o r i t y o f t h e p o p u l a t i o n i n t h e d e p e n d e n t c o u n t r y i s e x c l u d e d and u n a b l e t o s h a r e i n t h e d y n a m i c 28 g r o w t h . They a r e l e f t w i t h o u t t h e b e n e f i t s o f t e c h n o l o g i c a l p r o g r e s s t o e x p a n d o u t p u t of n e c e s s i t i e s , ( o f t e n ) l a c k s e c u r e j o b s , and a r e i n c r e a s i n g l y u n e q u a l i n i ncome and power i n r e l a t i o n t o t h o s e e l i t e s i n t e g r a t e d i n t o t h e t r a n s n a t i o n a l c o m m u n i t y . In s h o r t , MNC e x p a n s i o n i s v i e w e d a s d e e p e n i n g and p e r p e t u a t i n g t e c h n o l o g i c a l and s o c i a l s e g m e n t a t i o n i n t h e economy, r e s h a p i n g c l a s s r e l a t i o n s i n t h e p e r i p h e r y by i n t e g r a t i n g t h o s e e l e m e n t s ( i n c l u d i n g a segment o f w e l l - p a i d i n d u s t r i a l w o r k e r s ) i n t o t h e t r a n s n a t i o n a l community and e x c l u d i n g o t h e r s . T h o s e b e i n g i n c o r p o r a t e d become, i n t u r n , t h e s o c i a l f o r c e s d e f e n d i n g t h e e x i s t i n g i n e q u a l i t i e s of t h e l o c a l p o l i t i c a l economy. T h u s , a c c o r d i n g t o t h e d e p e n d e n c y a r g u m e n t , i n c o n d i t i o n s of e c o n o m i c d e p e n d e n c e , p o l i t i c a l i n d e p e n d e n c e i s deemed i l l u s o r y and m i l i t a r y and c i v i l i a n r u l e r s a l i k e a r e j u d g e d p r i s o n e r s of i n t e r n a t i o n a l e c o n o m i c c i r c u m s t a n c e r a t h e r t h a n m a s t e r s o f t h e i r own d e s t i n i e s . The i m p l i c a t i o n i s t h a t a more c o m p r e h e n s i v e i n c o r p o r a t i o n o f c e r t a i n p e r i p h e r a l s o c i a l g r o u p s i n t o t h e i n t e r n a t i o n a l economy o c c u r s and t h i s a r g u a b l y e x p l a i n s why p e r i p h e r y p o l i t i c a l e c o n o m i e s do n o t u s u a l l y r e s t r u c t u r e t h e m s e l v e s to c h a l l e n g e t h e i r p l a c e i n t h e i n t e r n a t i o n a l economy. M o r e o v e r , u n l e s s and u n t i l t h e c h a i n s o f i n t e r n a t i o n a l c a p i t a l i s m a r e b r o k e n , p o l i t i c a l i n d e p e n d e n c e w i l l r e m a i n more r h e t o r i c a l t h a n r e a l . The d e p e n d e n c y a r g u m e n t , t h e n , i s n o t t h a t MNCs n e c e s s a r i l y u n d e r c u t g r o w t h r a t e s i n g e n e r a l i n l e s s - d e v e l o p e d s t a t e s , b u t t h a t t h e y h e l p to make more u n e q u a l and more p o l a r i z e d t h e d i s t r i b u t i o n o f e c o n o m i c g a i n s w i t h i n them. T h i s i s s i m i l a r to 29 Hymer's p o s i t i o n : "At m o s t , o n e - t h i r d o f t h e p o p u l a t i o n can be s a i d t o b e n e f i t i n some s e n s e f r o m t h e d u a l i s t i c g r o w t h t h a t c h a r a c t e r i z e s d e v e l o p m e n t i n t h e h i n t e r l a n d . The r e m a i n i n g t w o - t h i r d s , who t o g e t h e r g e t o n l y o n e - t h i r d o f t h e i n c o m e , a r e o u t s i d e r s , n o t b e c a u s e t h e y do n o t c o n t r i b u t e t o t h e economy, b u t b e c a u s e t h e y do n o t s h a r e i n t h e b e n e f i t s . " 4 F o l l o w i n g t h i s l i n e o f r e a s o n i n g , a m a j o r c o n s e q u e n c e o f t h e p r e s e n c e o f MNCs i n d e v e l o p i n g c o u n t r i e s i s t h e e n c o u r a g e m e n t t h e y g i v e t o i n a p p r o p r i a t e p a t t e r n s o f c o n s u m p t i o n . T h i s i s s o m e t i m e s d i s c u s s e d i n t e r m s o f a t t i t u d e s , v a l u e s , l i f e - s t y l e s , f o r m s o f a r t i s t i c e x p r e s s i o n , s o c i a l o r g a n i z a t i o n s , t e c h n o l o g i c a l d e v e l o p m e n t s , consumer c u l t u r e , o r t r a n s n a t i o n a l i n t e r c o n n e c t i n g p r o d u c t i o n s t r u c t u r e s and c o n s u m p t i o n p a t t e r n s . In o t h e r w o r d s , MNCs a r e a c c u s e d o f t r a n s m i t t i n g t o u n d e r - d e v e l o p e d c o u n t r i e s c e r t a i n p r e f e r e n c e s and d e s i r e s w h i c h a r e u n s u i t a b l e t o i n d i g e n o u s s o c i o - e c o n o m i c n e e d s . Many o f t h e s e a r g u m e n t s h a v e t h e i r i n t e l l e c t u a l r o o t s i n t h e w o r k s o f K a r l Marx on t h e c l a s s n a t u r e o f i d e a s ' — t h o s e who ha v e t h e means o f p r o d u c t i o n a t t h e i r d i s p o s a l c o n t r o l t h e means o f p r e f e r e n c e s and d e s i r e s o f c o n s u m e r s . ^ A l t h o u g h t h e r e i s a b r o a d c o n s e n s u s among d e p e n d e n c y t h e o r i s t s t h a t MNCs f o s t e r t h e d e v e l o p m e n t o f c o m p r a d o r c l a s s e s , t h e r e i s d i s a g r e e m e n t o v e r t h e c o m p o s i t i o n o f t h e s e g r o u p s o f e l i t e s . L a t i n A m e r i c a n w r i t e r s , f o r e x a m p l e , t e n d t o s t r e s s a g e n e r a l " i n t e r n a l s t r u c t u r a l f r a g m e n t a t i o n , i n v o l v i n g many d i f f e r e n t s t r a t a : t h e c o m p r a d o r b o u r g e o i s i e , c o n s u l a r 30 b o u r g e o i s i e , some m i d d l e - c l a s s g r o u p s , m i l i t a r y g r o u p s , i n t e l l e c t u a l s , a n d some w o r k i n g - c l a s s s e c t o r s . " 6 E a c h o f t h e s e g r o u p s a r g u a b l y may be a f f e c t e d and i n f l u e n c e d , b e c a u s e MNCs l i n k them to t h e i n t e r n a t i o n a l e c o n o m i c s y s t e m . A f r i c a n i s t s , on t h e o t h e r h a n d , t e n d t o make d i s t i n c t i o n s b e t w e e n wage and nonwage s e c t o r s , s i n c e c l a s s s t r u c t u r e s a r e s a i d to be l e s s s a l i e n t i n A f r i c a . T h o s e i n v o l v e d i n t h e wage s e c t o r , i n c l u d i n g s e m i - s k i l l e d , s k i l l e d , and h i g h - l e v e l manpower, c o m p r i s e a l a b o u r a r i s t o c r a c y a l l i e d w i t h m u l t i n a t i o n a l f i r m s . 7 MNC's a r e a l s o s a i d t o r e d u c e t h e p o l i t i c a l c a p a b i l i t i e s o f u n d e r - d e v e l o p e d c o u n t r i e s and t o i n c r e a s e t h e p r o p e n s i t y f o r c o n f l i c t . A c c o r d i n g to d e p e n d e n c y t h e o r y , t h i s i s done i n a number o f w a y s . F i r s t , by t h e d i s p l a c e m e n t o f i n d i g e n o u s p r o d u c t i o n and l o c a l e n t r e p r e n e u r s , a s t r o n g g r o u p w h i c h w o u l d o t h e r w i s e f o s t e r d e v e l o p m e n t i s e l i m i n a t e d . The l o s s o f t h i s g r o u p i s much r e s e n t e d by i n t e l l e c t u a l s who v i e w s u c h c o l l a b o r a t i o n a s t h e u n d e r m i n i n g o f i n d e p e n d e n t d e c i s i o n - m a k i n g i n p o l i t i c a l , s o c i a l and e c o n o m i c r e a l m s o f t h e d e v e l o p i n g c o u n t r y . S e c o n d , t h e c a p i t a l - i n t e n s i v e a c t i v i t i e s o f MNCs s e r v e to i n c r e a s e u n e m p l o y m e n t , w h i c h s t u n t s t h e d e v e l o p m e n t o f i m p o r t a n t i n d u s t r i a l s k i l l s . T h i s i n t r o d u c t i o n o f c a p i t a l - i n t e n s i v e p r o d u c t i o n a l s o h a s m a j o r s o c i a l c o n s e q u e n c e s i n w h i c h an u p p e r c l a s s o f s k i l l e d l a b o u r i s f a v o u r e d o v e r u n s k i l l e d l a b o u r , f o s t e r i n g c l a s s d i s p u t e s b e t ween an e v e r - w i d e n i n g gap o f w e a l t h y and p o o r . I r o n i c a l l y , MNCs a r e a l s o c r i t i c i z e d f o r u s i n g l a b o u r - i n t e n s i v e t e c h n i q u e s and n o t i n v e s t i n g i n c o s t l y t e c h n o l o g y . 31 Some c r i t i c a l t h e o r i s t s e ven b e l i e v e t h a t t h e more s u c c e s s f u l c o r p o r a t i o n s a r e i n i n s t i l l i n g i n t h e l o c a l e l i t e an i d e n t i f i c a t i o n w i t h company i n t e r e s t s r a t h e r t h a n n a t i o n a l i n t e r e s t s , t h e more t h a t c o n f l i c t w i l l a r i s e between t h e g o a l s o f t h e MNC and n a t i o n a l d e v e l o p m e n t . T h i s g r o w t h o f v e s t e d i n t e r e s t s i n c r e a s e s t h e MNCs' i n f l u e n c e o v e r t h e e c o n o m i c , s o c i a l , and p o l i t i c a l p o l i c i e s o f t h e h o s t s t a t e . T h u s , MNCs m i g h t be e x p e c t e d t o a r t i c u l a t e p o l i c i e s t h a t s t r e s s t h e i n d i s p e n s a b i 1 i t y of p o l i t i c a l and s o c i a l s t a b i l i t y , d i s c o u r a g e n a t i o n a l i z a t i o n , and i n g e n e r a l m a i n t a i n t h e s t a t u s quo. T h e s e p o l i c i e s i n t u r n may l e a d to a c r i s i s i n l e a d e r s h i p a s t h e d e v e l o p m e n t o f g r o u p s w i t h v e s t e d i n t e r e s t s t r a n s f o r m s t h e b o u r g e o i s i e i n t o a p r i v a t e , s e l f - s e r v i n g t e c h n o c r a c y t h a t a l l e g e d l y l o s e s l e g i t i m a c y a s a r u l i n g c l a s s . ^ The d e v e l o p m e n t o f t h i s p a r t i c u l a r g r o u p w i t h i n t h e h o s t c o u n t r y i s o f t e n c o n s i d e r e d i n s t r u m e n t a l i n m a i n t a i n i n g t h e d o m i n a n t p o s i t i o n o f t h e MNC. A number o f c r i t i c s c i t e t h e i m p o r t a n c e o f t h i s l i n k b etween e l i t e g r o u p s i n t h e u n d e r d e v e l o p e d n a t i o n s a s t h e key f a c t o r by w h i c h p o s t - c o l o n i a l t i e s a r e m a i n t a i n e d . T h i s i s o f t e n c a l l e d n e o - c o l o n i a l i srn . The l a t e Kwarne Nkrumah o f Ghana a r g u e d t h a t MNCs t r e a t A f r i c a n i n v e s t m e n t o p p o r t u n i t i e s w i t h an a t t i t u d e s i m i l a r t o t h a t o f t h e i r c o l o n i a l p r e d e c e s s o r s , t h e d i f f e r e n c e b e i n g t h a t p o s t - c o l o n i a l d i r e c t i n v e s t m e n t i s o f a d i f f e r e n t f o r m and s t r u c t u r e . Nkrurnah c h a r a c t e r i z e d t h i s e x p l o i t a t i o n a s a " n e o - c o l o n i a l " s i t u a t i o n i n w h i c h a s t a t e , t h e o r e t i c a l l y i n d e p e n d e n t and s o v e r e i g n , was 32 e x t e r n a l l y d i r e c t e d , b o t h e c o n o m i c a l l y and p o l i t i c a l l y . 3 C o l i n L e y s e m p l o y s t h e i d e a o f n e o - c o l o n i a l i s m a s a c e n t r a l c o n c e p t i n h i s book U n d e r d e v e l o p m e n t i n K e n y a . He s p e a k s o f i t a s a f o r m o f p o l i t i c a l , s o c i a l and e c o n o m i c l i f e - o f c l a s s s t r u g g l e , 10 xn " c e r t a i n " e x - c o l o n i e s . T h o s e c e r t a i n e x - c o l o n i e s , he e x p l a i n s , a r e o n e s i n w h i c h d e c o l o n i z a t i o n p e r m i t t e d t h e t r a n s f e r of p o l i t i c a l power t o r e g i m e s W i t h s e l f - s e r v i n g i n t e r e s t s t h a t w e r e c l o s e l y a l l i e d to t h e f o r e i g n i n t e r e s t s w h i c h had been e m b o d i e d i n t h e c o l o n i a l s t a t e . L e y s , u n l i k e Nkrumah, v i e w s n e o - c o l o n i a l i s m a s l i k e l y to t r a n s f o r m i t s e l f i n t o o t h e r s t a g e s o f i m p e r i a l i s m , w h i c h w i l l u l t i m a t e l y p e r p e t u a t e u n d e r d e v e l o p m e n t . A l l t h e s e v i e w s o f t h e u n d e r d e v e l o p e d w o r l d d e p i c t t h e r u l i n g g r o u p s as p a r a s i t i c and c o e r c i v e . I f T h i r d W o r l d g o v e r n m e n t s a r e u l t i m a t e l y s u b s e r v i e n t to i n t e r n a t i o n a l c a p i t a l i s m , i t comes a s no s u r p r i s e t h a t c o r r u p t i o n i s e x p l a i n e d a s a p r o d u c t o f s u c h i n t i m a c y . In p a r t i c u l a r , MNCs a r e c h a r g e d w i t h i n t e r v e n i n g i n t h e d o m e s t i c p o l i t i c a l p r o c e s s o f t h e h o s t s t a t e . They a r e s a i d to employ t h e i r r e s o u r c e s i n b o t h l e g a l and i l l e g a l p o l i t i c a l a c t i v i t i e s i n h o s t c o u n t r i e s . They r e p u t e d l y engage i n " s u b v e r s i v e " a c t i v i t i e s s u c h a s : m a k i n g i l l e g a l c o n t r i b u t i o n s t o p o l i t i c a l p a r t i e s ; o f f e r i n g b r i b e s t o l o c a l o f f i c i a l s ; r e f u s i n g to co m p l y w i t h h o s t l a w s and r e g u l a t i o n s ; u s i n g s u c h v e h i c l e s a s i n t e r n a t i o n a l b o y c o t t to b l a c k m a i l u n c o - o p e r a t i v e g o v e r n m e n t s ; and p r o m o t i n g t h e f o r e i g n p o l i c y i n t e r e s t s o f t h e i r home g o v e r n m e n t s 1 1 by means of e s p i o n a g e . x The h o s t c o u n t r y e l i t e s a r e t h e r e b y m a n i p u l a t e d i n t o s e r v i n g a s g u a r d i a n s o f f o r e i g n e c o n o m i c 33 i n t e r e s t s , who e n r i c h t h e m s e l v e s w h i l s t i m p o v e r i s h i n g t h e i r n a t i o n s . A r g u a b l y f o r t h e s e r e a s o n s , numerous s t a t e s h a v e b a r r e d f o r e i g n f i r m s f r o m p o l i t i c a l a c t i v i t i e s . From t h i s p e r s p e c t i v e , t h e p o l i t i c a l p a r t i c i p a t i o n o f MNCs i n h o s t c o u n t r i e s c a r r i e s t h e c o n n o t a t i o n o f a t h r e a t t o n a t i o n a l s o v e r e i g n t y o f t h a t p a r t i c u l a r -s t a t e . The c r i t i c s ' c a s e a g a i n s t MNCs i s a c o m p e l l i n g o n e , b u t i t i s no t w i t h o u t i t s f l a w s . To t r e a t m u l t i n a t i o n a l i n v e s t m e n t a s a m o n o l i t h i c phenomenon i s an o v e r s i m p l i f i c a t i o n . F i r m s may ha v e d i f f e r e n t managements, n a t i o n a l i t i e s , and i n t e r n a l p o l i c i e s . They may a l s o have d i f f e r e n c e s i n t h e i r f o r m a n d d e g r e e o f i n v e s t m e n t . S t a t e s t o o may v a r y i n t h e i r f o r m s o f l e a d e r s h i p , p o l i c i e s on f o r e i g n i n v e s t m e n t and p a t t e r n s o f s o c i a l and e t h n i c a t t i t u d e s . F u r t h e r m o r e , many c r i t i c s ' a r g u m e n t s a r e r a t h e r r i g i d and u n i d i r e c t i o n a l , i n t e r p r e t i n g p o s s i b l e s o u r c e s o f c o n f l i c t a s z e r o - s u m , a s s e r t i n g a n e a r l y t o t a l i n c o m p a t i b i l i t y o f i n t e r e s t s b etween MNCs and h o s t c o u n t r i e s . The c o u r s e t h a t t h e p o l i t i c s o f t h e u n d e r d e v e l o p e d w o r l d h a s t a k e n i n r e c e n t y e a r s c l e a r l y i n d i c a t e s t h e n e e d f o r more d e t a i l t o be a c c o u n t e d f o r i n t h e s e m o d e l s . T h e r e a r e s e v e r a l f a c e t s o f t h e MNC-host g o v e r n m e n t r e l a t i o n s h i p t h a t a r e n o t s a t i s f a c t o r i l y e x p l a i n e d by t h e s e t h e o r i e s , a n d , f o r t h e p u r p o s e s o f t h i s t h e s i s , e s p e c i a l l y i n l i g h t o f t h e p o l i t i c s o f A f r i c a n p e r s o n a l r e g i m e s . F i n a l l y , many of t h e s e r a t h e r d e t e r m i n i s t i c a s s e s s m e n t s o f MNCs f a i l t o a c k n o w l e d g e f e a s i b l e a l t e r n a t i v e s , o r p o s s i b l e c o m p l e m e n t a r y t h e o r i e s t h a t may s e r v e t o c o m p l e t e t h e e n t i r e p i c t u r e o f MNC-host 34 g o v e r n m e n t r e l a t i o n s h i p s . I t i s t h e r e f o r e n e c e s s a r y f o r t h e p u r p o s e s o f t h i s s t u d y t h a t t h e i d e a s e s p o u s e d by d e p e n d e n c y t h e o r y be e x p a n d e d upon t o accommodate more f u l l y t h e a c t u a l e x p e r i e n c e o f f o r e i g n b u s i n e s s p r a c t i c e i n h o s t c o u n t r i e s , e s p e c i a l l y i n t h e c o n t e x t o f s y s t e m s of p e r s o n a l r u l e i n b l a c k A f r i c a . The c h i e f s i g n i f i c a n c e o f d e p e n d e n c y t h e o r y and i t s i n c o r p o r a t e d i d e a s o f t h e c o m p r a d o r l i e s i n t h e f a c t t h a t i t i s a w i d e l y h e l d t h e o r y w h i c h h e l p s to e x p l a i n , i n p a r t , t h e r e l a t i o n s h i p b e t w e e n MNCs and h o s t c o u n t r y r e g i m e s . A s t h e r o l e o f t h e c o m p r a d o r i s t h a t p a r t o f d e p e n d e n c y t h e o r y w h i c h f o c u s s e s on t h e more s p e c i f i c e l e m e n t s o f human i n t e r a c t i o n w h i c h t h i s t h e s i s i s a t t e m p t i n g to d i s c l o s e , i t i s n e c e s s a r y to a r r i v e a t a more s p e c i f i c d e f i n i t i o n o f t h e t e r m . F o r t h e p u r p o s e s o f t h i s t h e s i s t h e s p e c i f i c d e f i n i t i o n o f c o m p r a d o r w i l l be t h a t o r i g i n a l l y d e r i v e d f r o m t h e P o r t u g e s e w o r d f o r " b u y e r " . The w o r d i s o r d i n a r i l y r e s e r v e d f o r u s e i n d i s c u s s i o n s o f t r a d e a s i n t h e n e o - M a r x i s t d e f i n i t i o n w h e r e anyone who p a r t i c i p a t e s i n b u s i n e s s d e a l s i s c l a s s i f i e d a s a c o m p r a d o r . However, h e r e i t s h a l l r e f e r s p e c i f i c a l l y t o t h o s e p r o f e s s i o n a l i n t e r m e d i a r i e s o r a g e n t s who o r g a n i z e t h e a c c e s s o f f o r e i g n c o r p o r a t i o n s to l o c a l m a r k e t s . The v a l u e o f t h i s t e r m l i e s p r e c i s e l y i n i t s a p p l i c a t i o n t o l o c a l i n t e r e s t s d e p e n d e n t on e x t e r n a l c a p i t a l , w h i c h can u s e f u l l y be d i s t i n g u i s h e d f r o m what C h r i s t o p h e r C l a p h a m i n h i s book T h i r d W o r l d P o l i t i c s c a l l s a " b u r e a u c r a t i c b o u r g e o i s i e " d e p e n d e n t on i t s c o n t r o l o f g o v e r n m e n t , and a " n a t i o n a l b o u r g e o i s i e " s u p p l i e d by i n d i g e n o u s c a p i t a l . 1 2 j n many w a y s , l o c a l m a n a g e r s and p r o f e s s i o n a l s e m p l o y e d by MNCs a r e t h e f u n c t i o n a l e q u i v a l e n t o f c o m p r a d o r s i n t h e " i n v e s t m e n t a c t i v i t i e s " o f t h o s e f i r m s . In N i g e r i a , f o r e x a m p l e , t h e b u l k o f t h e m a n a g e r i a l p o s i t i o n s open t o i n d i g e n o u s p e r s o n n e l i n t h e MNC a r e i n t h e p e r s o n n e l , m a r k e t i n g , a n d a d v e r t i s i n g d i v i s i o n s o f t h e f i r m . T h u s , N i g e r i a n m a n a g e r s a r r a n g e t h e a c c e s s o f t h e MNC to t h e l o c a l m a r k e t by o r g a n i z i n g t h e p e r s o n n e l a n d l a b o u r n e c e s s a r y f o r l o c a l p r o d u c t i o n and by p r o v i d i n g t h e a d v e r t i s i n g and m a r k e t i n g t e c h n i q u e s e s s e n t i a l f o r s u c c e s s i n t h e l o c a l m a r k e t . ^ The p r e s e n c e o f a l o c a l c o m p r a d o r e l i t e i s much more a p p a r e n t i n t h e c o m m e r c i a l a c t i v i t i e s o f m u l t i n a t i o n a l c o r p o r a t i o n s . MNCs hav e p a r t i c i p a t e d i n t h e c o n s t r u c t i o n o f an e x t e n s i v e c o m p r a d o r s t r u c t u r e i n w h i c h m i d d l e m e n o r c o m m e r c i a l i n t e r m e d i a r i e s o r g a n i z e b o t h t h e a c c e s s t o , and t h e t r a d e o f , f o r e i g n e n t e r p r i s e i n d o m e s t i c m a r k e t s . The MNCs a r e by no means c o m p l e t e l y r e s p o n s i b l e f o r t h i s s t r u c t u r e , b u t i t c o u l d n o t e x i s t w i t h o u t t h e i r a c t i v e p a r t i c i p a t i o n . T h i s s t r u c t u r e i s l i k e l y r o o t e d i n s y s t e m s o f p r e - c o l o n i a l t r a d e , w h i c h e s t a b l i s h e d a g r o u p o f m i d d l e m e n who p r o v i d e d E u r o p e a n t r a d e r s w i t h s l a v e s , p a l m o i l , g o l d , i v o r y , and o t h e r c o m m o d i t i e s i n e x c h a n g e f o r b e a d s , c l o t h , g u n s , and o t h e r i m p o r t e d g o o d s t h a t t h e y t r a d e d w i t h t h e i r p r i m a r y s u p p l i e r s l o c a t e d i n o u t l y i n g r e g i o n s . The a d v e n t o f c o l o n i a l i s m saw t h e d i s p l a c e m e n t o f i n d i g e n o u s t r a d i n g f i r m s , a l t h o u g h "many e x p a t r i a t e f i r m s w e r e q u i c k t o r e a l i z e t h a t t h e y c o u l d n o t a f f o r d t o d i s r u p t t h e i n d i g e n o u s d i s t r i b u t i v e s y s t e m c o m p l e t e l y . " 1 4 By 1 9 6 0 , t h e y e a r 36 o f i n d e p e n d e n c e f o r many A f r i c a n s t a t e s , t h e d o m i n a n t t r a d i n g f i r m s o f t h e c o l o n i a l e r a r e t r e n c h e d and began t o i n v e s t i n i m p o r t - s u b s t i t u t i o n m a n u f a c t u r i n g . T h i s e n a b l e d t h e i n d i g e n o u s c o m m e r c i a l s e c t o r t o assume o n c e a g a i n i t s i n t e r m e d i a r y r o l e w h i c h y e t s u r v i v e s . The c o m p r a d o r s t r u c t u r e e x i s t s f o r many p r o d u c t s , i n c l u d i n g c onsumer d u r a b l e s , s u c h a s e l e c t r i c a p p l i a n c e s and a u t o m o b i l e s , t i n n e d f o o d , b o o k s and so f o r t h . L o c a l e n t r e p r e n e u r s c ompete w i t h e a c h o t h e r t o o b t a i n m o n o p o l i s t i c o r q u a s i - m o n o p o l i s t i c t r a d e a g r e e m e n t s w i t h MNCs to a c t a s a g e n t s f o r t h e c o r p o r a t i o n s ' p r o d u c t s i n t h e home m a r k e t . Once t h e c o n c e s s i o n s a r e o b t a i n e d , t h e m u l t i n a t i o n a l s h ave m a r k e t i n g a g e n t s and d i s t r i b u t o r s f o r t h e i r p r o d u c t s . The c o m p r a d o r i m p o r t e r h a s a m o n o p o l i s t i c o r q u a s i - m o n o p o l i s t i c c o n t r o l o v e r t h e p r o d u c t , w h i c h e n a b l e s him to m a n i p u l a t e p r i c e s a t w i l l . T h u s t h e consumer g a i n s a new p r o d u c t , b u t i t i s o f t e n s o l d a t e x o r b i t a n t p r i c e s . ^ The c o n c e p t of t h e c o m p r a d o r i s t h u s an i m p o r t a n t one. However, t h i s s t u d y w i l l e x a m i n e n o t o n l y t h e r o l e o f t h e c o m p r a d o r , b u t s o m e t h i n g more: t h a t p a r t i c u l a r r e l a t i o n s h i p w h i c h e x i s t s b e t ween t h o s e who h o l d t h e i n s t r u m e n t s o f power — m a i n l y j u r i d i c a l s o v e r e i g n t y o v e r t h e i r A f r i c a n s t a t e s — and MNCs who w i s h t o i n v e s t t h e i r r e q u i s i t e t e c h n i c a l e x p e r t i s e and c a p i t a l i n t h e s e s t a t e s w i t h t h e p u r p o s e o f r e a l i z i n g s i z e a b l e r e t u r n s . The p e r s o n a l r u l e r s o f s u b - S a h a r a n A f r i c a do n o t assume t h e r o l e o f i n t e r m e d i a r i e s b e t ween g o v e r n m e n t s and MNCs, f o r t h e y a r e t h e g o v e r n m e n t s . Of p a r t i c u l a r i n t e r e s t , i s t h e r o l e t h a t t h e s e p e r s o n s i n power i n b l a c k A f r i c a n s t a t e s p l a y i n r e l a t i o n to t h o s e who r e p r e s e n t p o w e r f u l MNCs — c o r p o r a t i o n s t h a t may even o u t r a n k them on a w o r l d s c a l e i n t e r m s o f G r o s s N a t i o n a l P r o d u c t . A p e r s o n a l r u l e r r e q u i r e s many t h i n g s t o r e m a i n i n power, much more t h a n i s i n v o l v e d i n t h e m a t t e r s o f s i m p l e e c o n o m i c t r a n s a c t i o n s . T h e r e f o r e , he c a n n o t be a s e a s i l y m a n i p u l a t e d by MNCs a s a c o m p r a d o r who d e p e n d s on h i s r e l a t i o n s h i p w i t h t h a t MNC f o r h i s ex i s t e n c e . C o n t i n g e n c y T h e o r y M u l t i n a t i o n a l c o r p o r a t i o n s h a v e become m a j o r a c t o r s i n t h e i n t e r n a t i o n a l e c o n o m i c a r e n a . T h e i r s u c c e s s , h o w e v e r , i s c o n t i n g e n t on t h e i r s e c u r i n g a c c e s s to t h e t e r r i t o r y o f more t h a n one s t a t e . The f u n d a m e n t a l a t t r i b u t e s o f s o v e r e i g n t y p r o v i d e even v e r y weak g o v e r n m e n t s w i t h t h e a b i l i t y to b l o c k s u c h a c c e s s . To more f u l l y a p p r e c i a t e t h e c o m p l e x i t y o f t h e r e l a t i o n s h i p s between m u l t i n a t i o n a l c o r p o r a t i o n s and t h e p e r s o n a l l y r u l e d s t a t e s o f s u b - S a h a r a n A f r i c a , some i m p o r t a n t d i s t i n c t i o n s must f i r s t be made. Imbedded i n t h e v e r y d e f i n i t i o n s o f t h e s e a c t o r s l i e s t h e key t o t h e i r r e l a t i o n s h i p s , t h e c o r n e r s t o n e o f w h i c h i s a common i n t e r e s t o r a t l e a s t a p a r t i a l c o i n c i d e n c e o f o b j e c t i v e s . D e f i n i t i o n s o f an MNC d i f f e r , b u t c o n v e r g e on t h e n o t i o n o f a b u s i n e s s e n t e r p r i s e o r g a n i z e d i n one s t a t e b u t w h i c h o p e r a t e s i n s e v e r a l s t a t e s t h e r e b y c r o s s i n g i n t e r n a t i o n a l b o u n d a r i e s — h e n c e t h e t e r m " m u l t i n a t i o n a l . " The d i s t i n c t l y p o l i t i c a l n a t u r e o f t h e t e r m " m u l t i " r e v e a l s , i n p a r t , t h e t o p i c o f t h i s t h e s i s . F o r i f t h e c o r p o r a t i o n d i d n o t h a v e t h e o c c a s i o n t o c o n d u c t b u s i n e s s w i t h a number o f s t a t e s t h e r e w o u l d be no r e a s o n t o i n t e r a c t w i t h p e r s o n a l r u l e r s . B e c a u s e t h e p e r s o n a l r u l e r p o s s e s s e s j u r i d i c a l s o v e r e i g n t y o v e r t h e s t a t e w h i c h he r u l e s , he may o r may n o t deny t h e m u l t i n a t i o n a l c o r p o r a t i o n a c c e s s . F u r t h e r , he h a s a v e s t e d i n t e r e s t i n t h e outcome o f w h a t e v e r d e c i s i o n s he makes b e c a u s e t h e s e d i r e c t l y a f f e c t h i s p e r s o n a l and f a c t i o n a l a g g r a n d i z e m e n t . A s e n t i t i e s t h a t o p e r a t e s i m u l t a n e o u s l y i n a number o f c o u n t r i e s , m u l t i n a t i o n a l c o r p o r a t i o n s r u n up a g a i n s t t h e b a r r i e r o f s o v e r e i g n t y a t t h e b o u n d a r i e s b e t ween s t a t e s . MNC s u c c e s s i s e v e r c o n t i n g e n t upon s e c u r i n g a c c e s s to s t a t e s . And due t o t h e p r e s e n t i n t e r n a t i o n a l l e g a l o r d e r w h i c h g u a r a n t e e s t h e s y s t e m of s o v e r e i g n s t a t e s , t h e y c a n n o t s i m p l y p u s h t h e i r way a c r o s s b o r d e r s , o r w a l k i n t o an a r e a and p r o c e e d to b u i l d a f a c t o r y . S o v e r e i g n t y i s u p h e l d by t h e w o r l d community o f s t a t e s , e s p e c i a l l y a s e m b o d i e d i n t h e U n i t e d N a t i o n s , whose e g a l i t a r i a n i n t e r n a t i o n a l norms a r e u n i v e r s a l l y a c c e p t e d . I t i s t h e e x i s t e n c e of i n t e r n a t i o n a l l a w w h i c h a l l o w s i n t e r n a t i o n a l s o c i e t y to l i v e and w h i c h g o v e r n s b o t h t h e i n t e r a c t i o n o f s t a t e s w i t h e a c h o t h e r and t h e i r i n t e r a c t i o n w i t h o t h e r i n t e r n a t i o n a l p l a y e r s . S t a t e h o o d i s d e t e r m i n e d by t h e p o s s e s s i o n of t e r r i t o r i a l p o w e r , s o v e r e i g n t y i s a m a n i f e s t a t i o n o f t h a t p o wer, and r e c o g n i t i o n by t h e i n t e r n a t i o n a l community u p h o l d s t h e t r a d i t i o n . S o v e r e i g n t y i s t h e r e f o r e t h e b a s i c c o n s t i t u e n t p r i n c i p l e o f t h e i n t e r n a t i o n a l r e g i m e . A l a n James d e f i n e s s o v e r e i g n s t a t e h o o d as 33 t h e " c o n s t i t u t i o n a l i n d e p e n d e n c e " o f o t h e r s t a t e s . " A l l t h a t c o n s t i t u t i o n a l i n d e p e n d e n c e means i s t h a t a s t a t e ' s c o n s t i t u t i o n i s n o t p a r t o f a l a r g e r c o n s t i t u t i o n a l a r r a n g e m e n t . In many i n d u s t r i a l i z e d c o u n t r i e s , a s a r e s u l t o f i n s t i t u t i o n a l i z e d p r o c e s s e s , t h e r e l a t i o n s h i p b e t ween a m u l t i n a t i o n a l c o r p o r a t i o n and a h o s t s t a t e w o u l d l i k e l y g e n e r a t e a m o u n t a i n o f l e g a l p a p e r w o r k i n w h i c h g o v e r n m e n t b u r e a u c r a t s c i t e s t a t e l a w s and r e g u l a t i o n s t o a bevy o f t h e m u l t i n a t i o n a l ' s c o r p o r a t e l a w y e r s . B u s i n e s s w o u l d be c o n d u c t e d by way o f a p p l i c a t i o n s to t h e h o s t s t a t e ' s d e s i g n a t e d m i n i s t r i e s f o r p e r m i s s i o n to e n t e r t h e s t a t e and do b u s i n e s s . C i v i l s e r v a n t s w o u l d p r o c e s s t h e s e a p p l i c a t i o n s c o n s i d e r i n g t h e l e g a l , e c o n o m i c and s o c i a l r a m i f i c a t i o n s f o r t h e s t a t e . C o n t r a c t s w o u l d be drawn up and d o c u m e n t s s i g n e d by b o t h p a r t i e s , w i t h t h e m u l t i n a t i o n a l a g r e e i n g to o b s e r v e a l l of t h e l a w s of t h e h o s t s t a t e and t h e h o s t s t a t e , i n t u r n , p r o m i s i n g to g r a n t t h e m u l t i n a t i o n a l a c c e s s to c e r t a i n a r e a s of i t s t e r r i t o r y and economy. The n a t i o n a l l e a d e r may become i n v o l v e d i f t h e c o n t r a c t i s l a r g e enough to h a v e b e a r i n g on t h e n a t i o n a l economy, o t h e r w i s e t h e p r o c e s s w o u l d be l e f t t o b u r e a u c r a t s t o o p e r a t e w i t h i n c u r r e n t g o v e r n m e n t l e g i s l a t i o n . In t h i s way, b u s i n e s s w o u l d p r o c e e d a l o n g a s e t of w e l l - t r i e d g u i d e l i n e s , l i k e l y r e a c h i n g a n a t u r a l and o r d e r l y c o n c l u s i o n . ^ ' 7 However, i n t h e r e a l m of p e r s o n a l r u l e a more p r o b a b i l i s t i c c o u r s e i s l i k e l y to e n s u e , one t h a t i s c o n t i n g e n t upon t h e d e c i s i o n s , whims, g r e e d , and c o n s t r a i n t s of t h e p r e c a r i o u s p o s i t i o n o f t h e r u l e r . 40 In c a s e s o f p e r s o n a l r u l e , t h e r u l e r t a k e s a p e c u n i a r y i n t e r e s t i n h i s s t a t e , to t h e p o i n t w h e r e he t r e a t s h i s c o u n t r y a i f i t w e r e h i s own b u s i n e s s e n t e r p r i s e . And i t i s a t t h i s p o i n t w h e r e t h e r e l a t i o n s h i p o f t h e MNC and t h e s t a t e t a k e s a d e c i d e d d e p a r t u r e f r o m more c o n v e n t i o n a l f o r m s , t h r o w i n g them i n t o t h e r e a l m o f p e r s o n a l whim, c o r r u p t i o n , g r e e d and power s t r u g g l e . Th c o r p o r a t i o n must now d e a l w i t h one p e r s o n , o r t h o s e who work on b e h a l f o f t h a t p e r s o n , no l o n g e r m e r e l y " e m p l o y i n g l a w y e r s to i n t e r p r e t h o s t s t a t e f o r e i g n i n v e s t m e n t l a w s , b u t more o f t e n i n t e r m e d i a r i e s o r " c o m p r a d o r s " who u n d e r s t a n d p e r s o n a l r u l e and i t s a c c o m p a n y i n g p r a c t i c e s o f a u t h o r i t a r i a n i s m . The p e r s o n a l r u l e r , t h e n , i s n o t n e c e s s a r i l y t h e pawn o f , o r s u b s e r v i e n t t o , e x t e r n a l c a p i t a l i s t d o m i n a t i o n , a s d e p e n d e n c y t h e o r y w o u l d s u g g e s t , b u t r a t h e r , t h e s o l e a u t h o r o f h i s and h i s c o u n t r y ' s f o r t u n e - or m i s f o r t u n e , a s t h e c a s e may be. P e r s o n a l r u l e t h u s d e p a r t s f r o m t h e d e t e r m i n i s t c o m p r a d o r r e l a t i o n s h i p a s e x p l a i n e d by d e p e n d e n c y t h e o r y to t h e e x t e n t t h a t t h e r e l a t i o n s h i p i s n o t b a s e d on s u b s e r v i e n c e b u t on c o n t i n g e n c y , a s w i l l be e x p l a i n e d b e l o w . A t t h e same t i m e , e c o n o m i c m a l a i s e i n o t n e c e s s a r i l y t h e r e s u l t o f e x t e r n a l i n t e r f e r e n c e i n s t a t e f u n c t i o n s , b u t i n t e r n a l m a l f u n c t i o n c a u s e d by an a b u s e o f power. The p e r s o n a l r u l e r u n d e r t a k e s t o e n t e r i n t o a r e l a t i o n s h i p w i t h a m u l t i n a t i o n a l c o r p o r a t i o n b e c a u s e h i s c o u n t r y i s u n d e r d e v e l o p e d and t h e r e s o u r c e s r e q u i r e d f o r h i m to r e m a i n i n power must be c o n v e r t e d i n t o t h e c u r r e n c y o f r e g i m e m a i n t e n a n c e . He n e e d s t h e m u l t i n a t i o n a l o n l y to t h e e x t e n t t h a t t h e company can h e l p him to 41 e x p l o i t h i s s t a t e ' s r e s o u r c e s and m a r k e t s . I t i s h i s d e c i s i o n a l o n e a s a s o v e r e i g n r u l e r w h e t h e r and f o r what p u r p o s e s a m u l t i n a t i o n a l may e n t e r h i s c o u n t r y . T h u s , d e s p i t e t h e asymmetry o f e c o n o m i c power t h a t can e x i s t b e t w e e n c o r p o r a t i o n s and s t a t e s , h o s t c o u n t r y g o v e r n m e n t s do h a v e e f f e c t i v e l e v e r a g e . The s u c c e s s o f t h e m u l t i n a t i o n a l i s e v e r c o n t i n g e n t on s e c u r i n g a c c e s s to t h e t e r r i t o r y o f s t a t e s . The f u n d a m e n t a l a t t r i b u t e s o f t h e c u r r e n t i n t e r n a t i o n a l l e g a l s y s t e m p r o v i d e even v e r y weak g o v e r n m e n t s w i t h t h e a b i l i t y to b l o c k s u C h a c c e s s . T h e r e f o r e , t h e r e l a t i o n s h i p o f t h e m u l t i n a t i o n a l and t h e s o v e r e i g n r u l e r i s d e t e r m i n e d by t h e i r m u t u a l n e e d o f what t h e o t h e r h a s . In t h e r e a l m o f p e r s o n a l r u l e , t h e r e f o r e , t h e f o r m a l i z e d p r o c e s s e s and i n t e r n a t i o n a l l e g a l m e t h o d s f o r i n t e r a c t i o n b e t ween m u l t i n a t i o n a l c o r p o r a t i o n s and s o v e r e i g n s t a t e s a r e d i s t o r t e d by t h e p r o p e r t i e s o f p e r s o n a l r u l e , b e c o m i n g s i m p l y and most b a s i c a l l y , human r e l a t i o n s h i p s . C r e a t e d i n t h e c o u r s e o f l i v i n g , human r e l a t i o n s h i p s c o n t a i n a d e g r e e o f u n c e r t a i n t y o r c o n t i n g e n c y t h a t c a n n o t be e x p l a i n e d s a t i s f a c t o r l y by s c i e n t i f i c t h e o r y . And a l t h o u g h s u c h s o c i o l o g i c a l e n t i t i e s a s " c e n t r e s " , " p e r i p h e r i e s " , " c l a s s e s " and so f o r t h a r e o b v i o u s l y i m p o r t a n t , i t i s i n d i v i d u a l s who a r e t h e a c t o r s i n t h e r e a l m o f p e r s o n a l r u l e . T h i s i s e s p e c i a l l y t r u e o f t h e p o l i t i c s o f s u b - S a h a r a n A f r i c a . A f r i c a n p o l i t i c s a r e b a s e d on p r i v a t e p o w e r , w h e r e i n d i v i d u a l l o y a l t i e s and f e a r c o m p l i m e n t a s y s t e m o f m a t e r i a l i n c e n t i v e s i n r e p l a c i n g i n s t i t u t i o n s o f l e g i t i m a t e g o v e r n m e n t . I t i s t h i s a r b i t r a r y and u n c e r t a i n s c e n a r i o t h a t a m u l t i n a t i o n a l c o r p o r a t i o n f a c e s i f i t w i s h e s t o c o n d u c t b u s i n e s s i n an A f r i c a n s t a t e , n o t c o n s t i t u t i o n a l r e g u l a t i o n s , r u l e s and p r o c e d u r e s . M ost o f t e n , p e r s o n s o f power i n b l a c k A f r i c a must be c o u r t e d , c a j o l e d , c o n v i n c e d , and even b r i b e d to a g r e e t o c i r c u m s t a n c e s or p r o c e d u r e s t h a t w o u l d p r o b a b l y be f a r more i n s t i t u t i o n a l i z e d p r o c e s s e s i n many o t h e r c o u n t r i e s . James M c P h e r s o n i n h i s book B a t t l e C r y o f F r e edom: The C i v i l N a r E r a e v a l u a t e s h i s t o r i c a l e v e n t s f r o m a c o n t i n g e n c y p e r s p e c t i v e . He s t a t e s t h a t " e v e r y t h i n g t h a t h a p p e n s i s c o n t i n g e n t on o t h e r t h i n g s t h a t h a p p e n , and we must u n d e r s t a n d t h e 18 c a u s e - a n d - e f f e c t r e l a t i o n s h i p s among t h e s e e v e n t s . " M c P h e r s o n r e p o r t e d l y d i f f e r s f r o m o t h e r h i s t o r i a n s who c h o o s e to e x p l a i n e v e n t s i n t e r m s o f " l a r g e i m p e r s o n a l f o r c e s " by t a k i n g i n t o a c c o u n t t h e i m p o r t a n c e o f i n d i v i d u a l s , and t h e " c a p r i c e of h i s t o r y " . The c o u r s e of h i s t o r y , t h e r e f o r e , i s i n t e n u o u s b a l a n c e , c o n t i n g e n t on c r i t i c a l r e l a t i o n s h i p s and e v e n t s . M c P h e r s o n s " s t h e o r y i s i m p o r t a n t i n t h a t i t v i e w s e v e n t s a s i n v o l v i n g c a p r i c i o u s p e r s o n a l r e l a t i o n s h i p s . However, r a t h e r t h a n v i e w i n g r e l a t i o n s a s "what i f " i n r e f e r e n c e t o h i s t o r y , t h e a p p r o a c h h e r e i s t o f o c u s on a r b i t r a r y and u n p r e d i c t a b l e p e r s o n a l r e l a t i o n s h i p s a s t h e key v a r i a b l e i n t h e i n t e r a c t i o n between s t a t e s and MNCs i n b l a c k A f r i c a . The b u s i n e s s r e l a t i o n s o f m u l t i n a t i o n a l c o r p o r a t i o n s w i t h b l a c k A f r i c a n s t a t e s a r e u l t i m a t e l y t r a n s a c t i o n s between i n d i v i d u a l s ; i n d i v i d u a l s who h ave t h e i r own i n t e r e s t s , r i s k s and o p p o r t u n i t i e s . In The P r i n c e N i c c o l o M a c h i a v e l l i w r o t e o f t h e r e l a t i o n s o f i n d i v i d u a l s a s b e i n g i n t h e r e a l m of e x p e d i e n c y , u n c e r t a i n t y , r i s k and a d v e n t u r e . In 43 human i n t e r a c t i o n t h e r e was no c e r t a i n o u t c o m e , o n l y t h a t w h i c h an i n d i v i d u a l c o u l d work t o w a r d s i f he knew w e l l how to m a n i p u l a t e men and c i r c u m s t a n c e a c c o r d i n g to h i s d e s i r e s . O p p o r t u n i t y i s a l w a y s c o n t i n g e n t t o some d e g r e e on f o r t u n e — a n " a c c i d e n t " of f a t e ; no one h a s e v e r been a b l e to p r e d i c t t h e f o r t u n e s o f i n d i v i d u a l men w i t h any d e g r e e o f s c i e n t i f i c a c c u r a c y , " . . . ( l i ) e n may s e c o n d F o r t u n e , b u t c a n n o t o p p o s e h e r ; t h e y may d e v e l o p h e r d e s i g n s , b u t c a n n o t d e f e a t them."19 M i c h a e l O a k e s h o t t d e s c r i b e s t h e most r u d i m e n t a r y f o r m o f human r e l a t i o n s h i p s a s b e i n g " t r a n s a c t i o n a l a s s o c i a t i o n s " i n w h i c h "two o r more a g e n t s a r e r e l a t e d s o l e l y i n s e e k i n g a n d , p e r h a p s o b t a i n i n g , t h e s a t i s f a c t i o n o f t h e i r d i f f e r e n t c u r r e n t w a n t s . . . " 2 0 T h e s e w a n t s , he c l a i m s , may be s p o k e n o f a s "ends" to be a c h i e v e d o r a s " i n t e r e s t s " t o be p r o m o t e d ; i t i s a p u r p o s i v e r e l a t i o n s h i p . F u r t h e r m o r e , t h i s a s s o c i a t i o n may be d e f i n e d i n t e r m s o f power: t h e a c t o r s a r e known to e a c h o t h e r s o l e l y a s s e e k e r s of s a t i s f a c t i o n , o b t a i n a b l e o n l y i n r e s p o n s e to t h e o t h e r ' s p r e c o n d i t i o n s . S u c h c o n d i t i o n s a r e u s e d a s v e h i c l e s by w h i c h e a c h p e r s o n may a t t e m p t to w i e l d power o v e r t h e o t h e r i n o r d e r to a c h i e v e h i s c h o s e n end. In a l m o s t e v e r y a s s o c i a t i o n p e o p l e a t t e m p t to d e f i n e t h e b o u n d s w i t h i n w h i c h th e y w i l l o p e r a t e , to h a v e t h e i r . a c t i o n s g o v e r n e d by some f o r m of r u l e s . S i n c e t h e r e l a t i o n s between MNCs and p e r s o n a l r e g i m e s a r e t r a n s i t o r y , a p t to a l t e r r a p i d l y and w i t h o u t n o t i c e , r u l e s , p r a c t i c e s and r o u t i n e s a r e d i s p l a c e d by i n s t r u m e n t a l c o n d i t i o n s f o r a s s o c i a t i o n . The c o r p o r a t i o n and i t s 44 r e p r e s e n t a t i v e s a r e g u i d e d by t h e p r u d e n t i a l c o n c e r n s o f s a t i s f y i n g s h a r e h o l d e r s and t h e r e f o r e a r e a t t e n t i v e t o s e c u r i t y o f b o t h i n v e s t m e n t and p r o f i t . The c o n d i t i o n s e s t a b l i s h e d by a p e r s o n a l r e g i m e , m e a n w h i l e , a r e n o t so e a s i l y d e f i n e d . P e r s o n a l r u l e may t a k e a v a r i e t y o f f o r m s a n d may r a n g e f r o m " b e n e v o l e n t d i c t a t o r s h i p s " s u c h a s t h a t o f L e e Kuan Yew o f S i n g a p o r e , who b e i n g h i g h l y m o r a l i s t i c , s t r i k e s b a r g a i n s o n l y o f b e n e f i t to h i s c o u n t r y a s a w h o l e , t o " K l e p t o c r a c i e s " i n w h i c h l e a d e r s s u c h a s Mobutu S e s e Seko o f Z a i r e b a r g a i n s o l e l y f o r p e r s o n a l and f a c t i o n a l a g g r a n d i z e m e n t . The b o u n d a r i e s s e t by p e r s o n a l r u l e r s i n t h e i r r e l a t i o n s h i p s w i t h MNCs a r e l i m i t e d o n l y by t h e i r a b i l i t y to s a t i s f y t h e demands o f a l o n g l i n e o f c l i e n t s , and of c o u r s e , t h e e x t e n t o f t h e n a t u r a l r e s o u r c e s , m a r k e t s , s e r v i c e s and so f o r t h w i t h w h i c h t h e y may b a r g a i n . T h u s , t h e a s s o c i a t e s a r e n o t bound by r e c o g n i t i o n o f r u l e s o f c o n d u c t o r by l a w s o f p r o c e d u r e i n t h e i r i n t e r a c t i o n . They a r e r e l a t e d s o l e l y i n t e r m s o f s e e k i n g t o s a t i s f y s u b s t a n t i v e w a n t s and i n t e r e s t s . In t h e a r r a n g e m e n t s b etween MNCs and h o s t s t a t e s , e a c h h a s i t s own r e s o u r c e s w h i c h t h e o t h e r r e q u i r e s . I n v e s t m e n t , j o b s , c a p i t a l , t e c h n o l o g y and e x p e r t i s e h e a d t h e l i s t o f t h o s e a t t r i b u t e s o f an MNC w h i c h a h o s t s t a t e s e e k s . The a c t o r s on b e h a l f o f t h e A f r i c a n s t a t e , by c o n s p i r a c y o r s h e e r l u c k , h a v e been a c c o r d e d j u r i d i c a l s o v e r e i g n t y w h i c h g i v e s them t h e e x c l u s i v e r i g h t t o b a r g a i n w i t h MNCs c o n c e r n i n g a c c e s s to t h e n a t u r a l r e s o u r c e s , m a r k e t s , g o o d s and s e r v i c e s t h a t l i e w i t h i n t h e i r r e c o g n i z e d t e r r i t o r y . T h o s e s t a t e s p o s s e s s i n g key raw m a t e r i a l s o r n o n - r e n e w a b l e and s c a r c e r e s o u r c e s s u c h a s o i l , a r e i n a p a r t i c u l a r l y s t r o n g p o s i t i o n . T h i s i s e s p e c i a l l y t r u e when f o r e i g n c o r p o r a t i o n s a r e c o m p e t i n g w i t h one a n o t h e r t o g a i n c o n c e s s i o n s i n a s t a t e . And i n t h e r e a l m o f p e r s o n a l r u l e , t h o s e c o m p a n i e s w h i c h r e p r e s e n t t h e h i g h e s t g a i n f o r t h e r u l e r w i l l l i k e l y w i n t h e c o m p e t i t i o n . F o r h i s p a r t , t h e r u l e r l i k e l y knows t h a t he must compete w i t h o t h e r l e s s - d e v e l o p e d s t a t e s f o r m u l t i n a t i o n a l i n v e s t m e n t , and t h e r e f o r e he m i g h t g r a n t a s a " s w e e t e n e r " s u c h c o n c e s s i o n s a s f a v o r e d t a x t r e a t m e n t , e x p o r t s u b s i d i e s , " l o c a l i z a t i o n g r a n t s " w i t h i n t h e c o n t e x t o f r e g i o n a l p o l i c i e s , s u b s i d i z e d t r a i n i n g of l o c a l l a b o u r , p r o h i b i t i o n o f s t r i k e s , p r e f e r r e d a c c e s s to l o c a l c r e d i t , and p r o t e c t i o n a g a i n s t i m p o r t s . T h i s d e m o n s t r a t i o n o f s e r i o u s commitment may h e l p to i n d u c e t h e company to i n v e s t a n d , t h e g r e a t e r t h e i n c e n t i v e s , t h e f u r t h e r t h e f i r m s w i l l t i l t t o w a r d c o m p l y i n g w i t h t h e r e q u e s t s o f t h e i r h o s t . 2 1 " I n v e s t m e n t c o d e s " w h i c h a r e d e s i g n e d to a t t r a c t f o r e i g n c a p i t a l , t e c h n o l o g y and e x p e r t i s e i n t o p a r t i c u l a r i n d u s t r i e s by o f f e r i n g a v a r i e t y o f g u a r a n t e e s and c o n c e s s i o n s , a r e one o f t h e g r e a t e s t a t t r a c t i o n s f o r MNCs. In p a r t i c u l a r , t h e s e c o d e s p r o v i d e a g u a r a n t e e a g a i n s t n a t i o n a l i z a t i o n w i t h o u t f a i r c o m p e n s a t i o n . On p a p e r t h e c o d e s a r e i m p r e s s i v e . MNCs r e q u i r e s t r o n g e r g u a r a n t e e s , h o w e v e r , e s p e c i a l l y t h e p r o m i s e t h a t t h e s e c o n t r a c t s w i l l be h o n o u r e d i f p o l i t i c a l power w e r e t o s u d d e n l y c h a n g e h a n d s . F l a g r a n t v i o l a t i o n s , s u c h a s I d i A m i n ' s e x p r o p r i a t i o n o f A s i a n a s s e t s f o l l o w i n g h i s Ugandan coup i n 1 3 7 1 , d i s c o u r a g e w o u l d - b e 46 i n v e s t o r s , d e m o n s t r a t i n g t h a t i n s t i t u t i o n a l i z e d p r o c e s s e s i n t h e r e a l m o f p e r s o n a l r u l e r a r e l y s u r v i v e c o n s i d e r a t i o n s o f e x p e d i e n c y . 2 2 A n d u n c e r t a i n t i e s l e a d t o s h o r t - t e r m r e t u r n o f i n v e s t m e n t p r o j e c t s , w h i c h a r e r a r e l y t h e k i n d o f i n v e s t m e n t a c o u n t r y n e e d s to m o d e r n i z e . A s p r e v i o u s l y s t a t e d , g o v e r n m e n t a l power i n b l a c k A f r i c a i s b a s e d , f o r t h e most p a r t , on f u n d s r e q u i r e d f o r p o s i t i o n -m a i n t e n a n c e . B e c a u s e most A f r i c a n c o u n t r i e s a r e p o o r , t h e s e f u n d s a r e n o t u s u a l l y a v a i l a b l e i n any g r e a t q u a n t i t y w i t h i n t h e c o u n t r y . S e c o n d , g o v e r n m e n t a l power d r a w s on t h e a b i l i t y to d i s p e n s e o r to c o n t r o l b e n e f i t s , r a n g i n g f r o m l u c r a t i v e c o n t r a c t s — a m a j o r f o r m o f p o l i t i c a l p a t r o n a g e — to employment o p p o r t u n i t i e s f o r i n d i v i d u a l s . The s e v e r e f i n a n c i a l c o n s t r a i n t s o f one c o u n t r y can o n l y s t r e t c h so f a r b e f o r e t h e f u n d s f o r p o s i t i o n - m a i n t e n a n c e must be s o u g h t e x t e r n a l l y . Under t h e s e c i r c u m s t a n c e s , t h e s o v e r e i g n o r h i s n e g o t i a t o r s may be w i l l i n g to g r a n t s u b s t a n t i a l p r i v i l e g e s o r f a v o u r s i n o r d e r to s e c u r e t h e p r o m i s e o f f o r e i g n i n v e s t m e n t . S u c h i n d u c e m e n t s a s c o n c e s s i o n s , l i c e n c e s , a u t h o r i z a t i o n s to e s t a b l i s h a b u s i n e s s , o r p e r m i t s may be t e n d e r e d w h i c h w o u l d n o t n o r m a l l y m a t e r i a l i z e . By v i r t u e o f p e r s o n a l r u l e , s u c h r e g i m e s may e f f e c t i v e l y d i s r e g a r d any n o t i o n o f g o v e r n m e n t a l p o l i c y r e g a r d i n g f o r e i g n i n v e s t m e n t i n f a v o u r o f e x p e d i e n c y — i n e f f e c t b e n d i n g p u b l i c r e g u l a t i o n t o t h e i r p r i v a t e w i l l . I n s u b - S a h a r a n A f r i c a , a s i n many o t h e r r e g i o n s o f t h e T h i r d N o r l d , a g o v e r n m e n t a l j o b i s a much s o u g h t a f t e r , f r e q u e n t l y 4? p u r c h a s e d , and j e a l o u s l y g u a r d e d c o m m o d i t y . P u b l i c o f f i c e a s s u r e s n o t o n l y a s u p p l e m e n t a l i n c o m e , b u t a c c e s s to t h e n a t i o n a l t r e a s u r y a s w e l l . S u c h b r a n c h e s o f t h e p u b l i c s e r v i c e a s c u s t o m s o f f i c e s , p u b l i c w o r k s d e p a r t m e n t s , e x c i s e a n d t a x o f f i c e s , l o a n a g e n c i e s , and f o r e i g n e x c h a n g e c o n t r o l b o a r d s i n many d e v e l o p i n g s t a t e s o v e r f l o w w i t h e x a m p l e s o f c o r r u p t i o n . The a d m i n i s t r a t i v e p e r s o n n e l o f t h e s e a g e n c i e s , v e s t e d w i t h w i d e d i s c r e t i o n a r y p o w e r s , a r e w e l l - s i t u a t e d t o d i s p e n s e v a l u a b l e p r i v i l e g e s o r g i f t s . I r o n i c a l l y , i n t h e r e g i m e s i n w h i c h l e g a l s y s t e m s o f f e r t e n u o u s s e c u r i t y f o r b u s i n e s s e n t e r p r i s e , t h e e x i s t e n c e o f a c o r r u p t b u r e a u c r a c y , a m e n a b l e t o p e c u n i a r y b l a n d i s h m e n t s , may be t h e o n l y means f o r o b t a i n i n g r e l a t i v e s t a b i l i t y i n b u s i n e s s - g o v e r n m e n t r e l a t i o n s . P a y m e n t s made t o , o r e x t o r t e d b y , a c o r r u p t b u r e a u c r a c y can e n a b l e a s o c i a l l y c h a o t i c s y s t e m to f u n c t i o n . H owever, t h e p o l i t i c s o f p e r s o n a l r u l e c a n a l s o u n d e r m i n e e f f o r t s to a t t r a c t and m o n i t o r f o r e i g n i n v e s t o r s . On t h e one h a n d , an u n c e r t a i n p o l i t i c a l c l i m a t e d e f i n i t e l y d i s c o u r a g e s f o r e i g n f i r m s f r o m c o m m i t t i n g t h e i r c a p i t a l . On t h e o t h e r h a n d , m a l a i s e , a d m i n i s t r a t i v e c o r r u p t i o n , i n c o m p e t e n c e and t h e l i k e , e n a b l e f o r e i g n c o r p o r a t i o n s to e v a d e an A f r i c a n s t a t e ' s r e g u l a t o r y e f f o r t s . S t a t e d e c a y , t h e r e f o r e , h a s a n e g a t i v e i m p a c t i n e c o n o m i c t e r m s ; i t l i m i t s f o r e i g n i n v e s t o r s ' i n t e r e s t a n d t h e l o c a l b e n e f i t s t h a t w o u l d o t h e r w i s e h a v e been d e r i v e d f r o m them. The e x i g e n c i e s o f g l o b a l c o m p e t i t i o n c o m p e l i n v e s t m e n t i n s u c h r e s o u r c e - r i c h c o u n t r i e s a s N i g e r i a and Z a i r e — d e s p i t e t h e i r 48 i n s t a b i l i t y . B u t i n v e s t m e n t s i n m a n u f a c t u r i n g and s e r v i c e s a r e more s e n s i t i v e t o p o l i t i c a l c o n d i t i o n s . T h o s e c o u n t r i e s w i t h o u t l a r g e d o m e s t i c m a r k e t s f o r m a n u f a c t u r e s must c o n s t r u c t f a v o u r a b l e i n v e s t m e n t c l i m a t e s t o e n t i c e m a n u f a c t u r i n g t r a n s n a t i o n a l s . The f a c t i s , t h a t c o m p a r e d to t h e r e s t o f t h e T h i r d N o r l d , i n v e s t m e n t i n b l a c k A f r i c a i s r e l a t i v e l y l o w . 2 3 Many c o r p o r a t i o n s v i e w p e r s o n a l r u l e a s h i g h l y d e t r i m e n t a l t o b u s i n e s s p r o c e e d i n g s and do n o t w i s h t o become e m b r o i l e d i n a s t a t e t h a t may c a u s e them to l o s e t h e i r i n v e s t m e n t s due to i n s t a b i l i t y . 2 4 F o r m u l t i n a t i o n a l c o r p o r a t i o n s o p e r a t i n g i n t h e e n v i r o n m e n t o f p e r s o n a l r u l e , i t i s o f t e n d i f f i c u l t to d i s t i n g u i s h b e t ween b u s i n e s s a n d . p o l i t i c s . F o r e i g n b u s i n e s s m e n i n d e v e l o p i n g s u b - S a h a r a n A f r i c a seem i n c l i n e d to t a k e a s h o r t - t e r m v i e w r e g a r d i n g i n t e r e s t s t h e r e . The p r i m a r y r e a s o n f o r t h i s a t t i t u d e i n t h i s s e t t i n g " i s p o l i t i c s ; when p o l i t i c a l f a v o u r m a t t e r s so much to s u c c e s s , a b u s i n e s s m a n w i l l m i l k h i s t e m p o r a r y c o n t a c t s f o r a l l t h e y a r e w o r t h . N e x t y e a r he may be a s d e v o i d of i n f l u e n c e a s h i s c o n t a c t s may be o f p o w e r . " 2 5 S e c o n d , t h e e x i s t i n g c u l t u r a l and p o l i t i c a l s t r u c t u r e o f b l a c k A f r i c a n s t a t e s o f t e n r e n d e r s a t t e m p t s a t r e f o r m u s e l e s s . A s t a t e ' s top p o l i t i c i a n s who a r e u s e d to e x a c t i n g b e n e f i c e s w i l l n o t a l t e r t h e i r h a b i t s w i l l i n g l y . O f t e n i t r e q u i r e s t h e p r e s s u r e o f i n t e r n a t i o n a l a g e n c i e s s u c h a s t h e I n t e r n a t i o n a l M o n e t a r y Fund to i m p o s e s t r i n g e n t d i c t a t e s b e f o r e t h e r e o c c u r s any n o t i c e a b l e c h a n g e , and even t h e n , g o v e r n m e n t d i s o r g a n i z a t i o n and c o r r u p t i o n may t h w a r t s u c h m e a s u r e s . 49 P o l i t i c i a n s c o u l d do much to e n c o u r a g e e c o n o m i c g r o w t h i n b l a c k A f r i c a , and a good s t a r t i n g p o i n t w o u l d be to s l a s h " r e d t a p e . " In t e r m s o f b u r e a u c r a t i c r e d t a p e , A f r i c a n r e g i m e s have an o v e r a b u n d a n c e , p o p u l a r i z i n g i t by way o f p r o p o s i n g i t a s a s h i e l d a g a i n s t MNC " e x p l o i t a t i o n . " In t h i s r e g a r d , A f r i c a n g o v e r n m e n t s h a v e f o l l o w e d many s t r a t e g i e s v i s - a - v i s MNCs. F i r s t , t h e y h a v e a n n o u n c e d numerous e c o n o m i c r e g u l a t i o n s c o n t r o l l i n g t r a n s n a t i o n a l s . S e c o n d , t h e y h a v e i n s t i t u t e d i n d i g e n i z a t i o n l a w s to e x c l u d e f o r e i g n c a p i t a l f r o m c e r t a i n s e c t o r s and c o m p e l l o c a l p a r t i c i p a t i o n i n l a r g e u n d e r t a k i n g s . T h i r d , some f o r e i g n a s s e t s h a v e been w h o l l y o r p a r t l y n a t i o n a l i z e d , v e s t i n g c o n t r o l i n j o i n t ( p u b l i c - p r i v a t e ) v e n t u r e s o r w h o l l y p u b l i c c o r p o r a t i o n s . 2 6 R a r e l y do t h e s e programmes work a s i n t e n d e d . I r o n i c a l l y , o f t e n t h e r e v e r s e , f o r r e g u l a t i o n s d e s i g n e d to i m p r o v e t h e p u b l i c s c r u t i n y o f c o r p o r a t e a c t i v i t i e s o f t e n s i m p l y p r o m o t e c o r r u p t i o n . T y p i c a l l y , b e f o r e e n g a g i n g i n many b u s i n e s s a c t i v i t i e s , c o m p a n i e s must f i r s t o b t a i n v a r i o u s l i c e n c e s , p e r m i t s and c e r t i f i c a t e s . I n e v i t a b l y , t h e s e c o n t r o l s c r e a t e b o t t l e n e c k s w h i c h , i n t u r n , i n v i t e c o r r u p t d e a l i n g s ; i n d e e d , t h i s may ha v e been t h e o r i g i n a l i n t e n t i o n . 27 j ( - , e r e s . u l t o f r e g u l a t i o n , t h e n , may be f u r t h e r e n t r e n c h m e n t o f s y s t e m i c c o r r u p t i o n . F o r t h e i r p a r t , f o r e i g n f i r m s e a g e r to engage i n l u c r a t i v e v e n t u r e s d i s p l a y g r e a t v u l n e r a b i l i t y to b l a c k m a i l o r c o e r c i o n by key o f f i c i a l s and p o l i t i c a l l e a d e r s — a l t h o u g h t h e s e c o s t s may be s i m p l y w r i t t e n o f f a s b u s i n e s s e x p e n s e s . C o r p o r a t i o n s , s a l e s m e n and i n v e s t o r s a r e f r e q u e n t l y w i l l i n g to o f f e r i n d u c e m e n t s t o o b t a i n c o n t r a c t s o r a c c e s s t o n a t u r a l r e s o u r c e s o r p r o t e c t e d m a r k e t s i n A f r i c a . T h e s e c o r p o r a t i o n s r e c e i v e a h i g h r e t u r n on t h e " c o m m i s s i o n s " p a i d to p u b l i c o f f i c i a l s o r t h e i r a g e n t s . 2 8 p o r many MNCs, b r i b e r y and o t h e r f o r m s o f " p e r s u a s i o n " s u c h a s g i f t s o r o p p o r t u n i t i e s , h a v e become n e c e s s a r y b u s i n e s s p r a c t i c e s i n some s t a t e s o f b l a c k A f r i c a . I n d e e d , " f r e e e n t e r p r i s i n g " o f f i c i a l s p r e o c c u p i e d w i t h t h e p o l i t i c s o f v e n a l i t y w i l l be h a r d - p r e s s e d n o t to prompt s u c h t r a n s a c t i o n s . In c o u n t r i e s s u c h a s N i g e r i a , s t r a t e g i e s f o r d e a l i n g w i t h t h e p e r s o n a l r e g i m e a r e n o t a l w a y s e a s i l y r e c o g n i s e d . L a b e l l i n g a payment a s a b r i b e o f t e n g i v e s i t an u n s a v o r y c o n n o t a t i o n , even t h o u g h t h e r e may be no i m p r o p r i e t y i n f a c t . F o r e x a m p l e , d o e s a d o n a t i o n become a b r i b e when i t i s made by a m u l t i n a t i o n a l s a l e s a g e n t t o t h e f a v o r i t e c h a r i t y o f t h e w i f e o f a d e f e n s e m i n i s t e r ? 2 3 S i m i l a r l y , m u l t i n a t i o n a l c o m p a n i e s make c o n t r i b u t i o n s to l o c a l c o mmunity p r o j e c t s , e i t h e r v o l u n t a r i l y o r un d e r p r e s s u r e , to p r e s e r v e h o s t c o u n t r y good w i l l . D e p e n d i n g on t h e p e r s p e c t i v e o f t h e r e v i e w e r , s u c h payment may be h a i l e d a s an e x a m p l e o f s o c i a l r e s p o n s i b i l i t y o r i t may be damned a s c o r p o r a t e i n t e r f e r e n c e w i t h h o s t c o u n t r y d e c i s i o n - m a k i n g . B l a c k ' s Law D i c t i o n a r y d e f i n e s a " b r i b e " a s ' " a n y v a l u a b l e t h i n g g i v e n o r p r o m i s e d , o r any p r e f e r m e n t , a d v a n t a g e , p r i v i l e g e o r emolument, g i v e n o r p r o m i s e d c o r r u p t l y a n d a g a i n s t l a w , a s an i n d u c e m e n t t o any p e r s o n a c t i n g i n an o f f i c i a l o r p u b l i c c a p a c i t y t o v i o l a t e o r f o r b e a r f r o m h i s d u t y , o r t o i m p r o p e r l y i n f l u e n c e h i s b e h a v i o r i n t h e p e r f o r m a n c e o f h i s d u t y . " 3 0 51 The f o r m s o f t h e i n d u c e m e n t s may v a r y , b u t t h e y a r e u s u a l l y p r o f f e r e d f o r one o r a c o m b i n a t i o n o f p u r p o s e s s u c h a s : o b t a i n i n g a d v a n t a g e ; i n f l u e n c i n g p o l i t i c i a n s ; a v o i d i n g h a r r a s s m e n t o r r e d t a p e o r s u p p o r t i n g t h e p o l i t i c a l p r o c e s s . C a s h p a y m e n t s a r e t h e most e x p e d i e n t f o r m o f i n f l u e n c e , b u t a r e o f t e n t o o r e c o g n i z a b l e a s b r i b e r y , t h u s n o n - c a s h i n d u c e m e n t s may be made. T h e s e m i g h t i n c l u d e s u c h t h i n g s a s : g i f t s o f w a t c h e s , j e w e l r y , o i l p a i n t i n g s , n e g o t i a b l e s e c u r i t i e s , o b j e t s d ' a r t , p a i d v a c a t i o n s , home r e n t a l s , g i f t c e r t i f i c a t e s , s c h o l a r s h i p s f o r c h i l d r e n , c o u n t r y - c l u b d u e s , a u t o m o b i l e s and a i r c r a f t . B u t , b e c a u s e p a y m e n t s i n p r o p e r t y a r e v i s i b l e and a r e o f t e n a s open t o d i s c o v e r y and c r i t i c i s m a s p a y m e n t s i n c u r r e n c y , g i f t s o f s e r v i c e s a r e t h e p o p u l a r mode o f p a y o f f . T h e s e c a n be a s v a r i e d a s a r e t h e w a n t s and t h e i n g e n u i t y of t h e p e r s o n . Some e x a m p l e s o f g i f t s o f s e r v i c e s i n c l u d e : 1 . P r i v i l e g e s : u s e o f c h a u f f e u r e d a u t o m o b i l e s o r p i l o t e d a i r c r a f t , u n s e c u r e d l o a n s , dummy b r o k e r a g e a c c o u n t s , s p e c i a l d i s c o u n t s ; 2 . S p e c i a l o p p o r t u n i t i e s : b u y i n g f r o m b u s i n e s s e s r u n by r e l a t i v e s , p l a c i n g i n d i g e n t r e l a t i v e s on t h e p a y r o l l a s c o n s u l t a n t s , r i g g i n g o f company c o n t e s t s so r e l a t i v e s c a n w i n ; 3 . O t h e r g r a t u i t i e s : p a y i n g f o r a u t o r e n t a l s , f r e e s a m p l e s , u n l i m i t e d u s e o f c r e d i t c a r d s , f r e e s h o p p i n g s p r e e s . E n t e r t a i n m e n t i s a n o t h e r i n g e n i o u s way i n w h i c h a company may b r i b e a p u b l i c o f f i c i a l . I t i s a p o s s i b l e m e thod o f o b t a i n i n g i n f l u e n c e w i t h o u t i n c u r r i n g t h e d i s a d v a n t a g e s o f c o v e r t p o l i t i c a l p a y m e n t s . M o r e o v e r , e n t e r t a i n m e n t i s s a n c t i o n e d u n d e r t h e l a w s and m o r e s o f t h e N e s t . T h u s , when an A f r i c a n r u l e r and h i s e n t o u r a g e a r e p r o v i d e d w i t h g a m b l i n g c h i p s t o s p e n d i n an e v e n i n g ' s d i v e r t i s s e m e n t a t a M o n t e C a r l o c a s i n o , o r a l u x u r i o u s y a c h t and a bevy o f i n t e r n a t i o n a l " p o u l e s de l u x e " a r e p l a c e d a t t h e i r d i s p o s a l f o r a w e e k e n d , i t i s n o t c o n s i d e r e d o u t r i g h t b r i b e r y . 3 1 However, t o a v o i d d i r e c t i n v o l v e m e n t i n s u c h M a c h i a v e l l i a n a c t i v i t i e s , m u l t i n a t i o n a l c o r p o r a t i o n s o f t e n employ a t r u s t w o r t h y t h i r d p a r t y t o h a n d l e t h e d e t a i l s o f t h e p a y - o f f , i f n o t t h e e n t i r e b u s i n e s s t r a n s a c t i o n i t s e l f . In a d d i t i o n , i t may be h a z a r d o u s f o r a company to become i n v o l v e d i n a f o r e i g n e n v i r o n m e n t i f i t d o e s n o t f u l l y u n d e r s t a n d h o s t c o u n t r y b u s i n e s s p r a c t i c e , l a w , l a n g u a g e , c u l t u r e , and t h e p o l i t i c a l s i t u a t i o n . As a m a t t e r o f c o u r s e , f o r e i g n c o r p o r a t i o n s may h i r e m i d d l e m e n . R e f e r r e d t o a s " c o m p r a d o r s " by d e p e n d e n c y t h e o r y , s u c h p e o p l e a r e g i v e n a v a r i e t y o f names s u c h a s f a c i l i t a t o r s , i n t e r m e d i a r i e s , f i x e r s , a g e n t s and so f o r t h . T h e i r u n i q u e o c c u p a t i o n i s l a r g e l y d e d i c a t e d t o f a c i l i t a t i n g t r a n s a c t i o n s b e t ween MNCs and r u l i n g r e g i m e s . They may have p e r s o n a l a c q u a i n t a n c e w i t h t h e s t a t e ' s p e t t y b u r e a u c r a t s and g o v e r n m e n t o f f i c i a l s , p e r h a p s even t h e r u l e r h i m s e l f , and a s s u c h may p e r f o r m s e r v i c e s o f g r e a t v a l u e . They can e x p e d i t e b u s i n e s s o p e r a t i o n s and s h o r t e n t h e t i m e - s p a n between i n i t i a l i n v e s t m e n t and r e t u r n s f r o m i t . They can a r r a n g e i n t r o d u c t i o n s and m e e t i n g s , s u p p l y i n f o r m a t i o n , make l o c a l m a r k e t s t u d i e s , and c o n d u c t i n v o l v e d n e g o t i a t i o n s l e a d i n g to b u s i n e s s 53 a g r e e m e n t s , u s u a l l y o b t a i n i n g f a v o u r a b l e d e c i s i o n s . 3 2 T h e s e p e o p l e a r e o f t e n b u s i n e s s m e n r a t h e r t h a n g o v e r n m e n t e m p l o y e e s , b u t may s e r v e a s c o n d u i t s f o r t h e t r a n s m i s s i o n o f f u n d s to g o v e r n m e n t e m p l o y e e s . T h e r e i s , o f c o u r s e , n o t h i n g i m p r o p e r a b o u t t h e mere employment by an MNC o f a g e n t s o r r e p r e s e n t a t i v e s to a d v a n c e i t s b u s i n e s s i n t e r e s t s . In most c o u n t r i e s o f s u b - S a h a r a n A f r i c a t h i s i s d e s i r a b l e a n d , i n some, e s s e n t i a l . U s u a l l y t h e r e w i l l be more t h a n one o f t h e s e i n t e r m e d i a r i e s . In f a c t , t h e r e a r e two or t h r e e " f i x e r s " who make d e a l s down t h e l i n e u n t i l t h e e a r o f t h e p u b l i c o f f i c i a l i s r e a c h e d . 3 3 I n a d d i t i o n , MNCs may a l s o employ a " c o n s u l t a n t " who may o r may n o t be A f r i c a n , b u t who w i l l u a d e r s t a n d t h e c o m p l e x i t i e s o f p e r s o n a l r u l e . He w i l l a c t a s a "good w i l l a m b a s s a d o r " on b e h a l f o f t h e c o r p o r a t i o n by a t t e n d i n g a l l s t a t e c e r e m o n i e s , f u n e r a l s and w e d d i n g s , h o s t i n g d i n n e r s , s p o n s o r i n g a t h l e t i c a c t i v i t i e s and so f o r t h . O f f i c i a l l y , t h i s c o n s u l t a n t i s n o t a member o f t h e c o r p o r a t e r a n k s , so t h a t i f he h a p p e n s t o make a p o l i t i c a l " f a u x p a s " , t h e c o r p o r a t i o n w i l l s i m p l y e x p l a i n t h a t he was h i r e d on a t e m p o r a r y b a s i s . 3 4 I f a r e p r e s e n t a t i v e o f a m u l t i n a t i o n a l can r e c o g n i s e t h e p r i o r i t i e s o f a "Prince", a s M a c h i a v e l l i r e c o g n i s e d t h e p r i o r i t i e s o f M e d i c i , ihi© may s t r i k e a v e r y p r o f i t a b l e s e t t l e m e n t f o r h i m s e l f and t h e c o r p o r a t i o n . In t e r m s o f c o m p e n s a t i o n , s u c h r e p r e s e n t a t i v e s a r e u s u a l l y p a i d a c o n t i n g e n c y f e e , g e n e r a l l y a p e r c e n t a g e o f t h e v a l u e o f s a l e s t h e y h a v e n e g o t i a t e d . Nhen t r a n s a c t i o n s r a n g e i n t o h u n d r e d s o f m i l l i o n s o f d o l l a r s , t h e c o m m i s s i o n s may r a n g e i n t o m i l l i o n s o f d o l l a r s . T h e s e l a r g e p a y m e n t s g i v e r i s e to t h e s u s p i c i o n t h a t , i f e a r n e d f r o m s a l e s t o t h e g o v e r n m e n t , t h e a g e n t h a s b r i b e d o f f i c i a l s t o g e t t h e o r d e r . T h i s i s u s u a l l y t h e i n t e n t i o n o f p a y i n g u n u s u a l l y l a r g e c o m m i s s i o n s — a s h a r e o f i t s h o u l d be t u r n e d o v e r t o t h i r d p a r t i e s who a l l e g e d l y a i d t h e company i n s e c u r i n g t h e c o n t r a c t s . 3 5 Many c o m p a n i e s j u s t i f y t h e i r " s a l e s a g e n t s " a s a m a t t e r o f good b u s i n e s s p r a c t i c e , s i n c e o p e n i n g a pe r m a n e n t b r a n c h o f f i c e i n e a c h c o u n t r y i n w h i c h t h e company w i s h e s t o o p e r a t e i s p r o h i b i t i v e l y e x p e n s i v e . I n d e e d , s u c h a g e n t s a r e a v e r y v e r s a t i l e b r e e d o f e n t r e p r e n e u r , e s p e c i a l l y i n t h e u n c e r t a i n b l a c k A f r i c a n c o n t e x t . They o n l y p r o f i t f r o m e x p e d i t i n g t r a n s a c t i o n s , and t h u s know to whom to go f o r what k i n d o f s e r v i c e . They h a v e c o n t a c t s , and t h e y m a i n t a i n t h e s e c o n t a c t s by p e r s o n a l f a v o r s . A l t h o u g h t h e i r s t r a t e g i e s may v a r y , t h e y a r e t h e e x p e r t s i n A f r i c a n p o l i t i c s and know what i s r e q u i r e d and t h r o u g h w h i c h c h a n n e l s i n d u c e m e n t s must f l o w i n o r d e r t o a r r i v e a t t h e optimum b a r g a i n i n g p o s i t i o n . In t h e e n d , i t i s l i k e l y due t o t h e i r a b i l i t y to be v e r s a t i l e a n d a d a p t a b l e t o t h e e v e r - c h a n g i n g c i r c u m s t a n c e s o f p e r s o n a l r u l e t h a t t h e y w i n t h e i r r e w a r d s . I n d e e d , t h e i r b e h a v i o r and a p p r o a c h to t h e b a r g a i n i n g a p p e a r s to v a r y , f o r e a c h new s i t u a t i o n i s u n i q u e , c o n t i n g e n t on t h e c i r c u m s t a n c e s and a r b i t r a r y n a t u r e o f p e r s o n a l r u l e . I t i s t h u s t h r o u g h i n t e r m e d i a r i e s o r s a l e s a g e n t s t h a t MNCs h a v e p e r h a p s h a d t h e most s u c c e s s i n a t t e m p t i n g t o do b u s i n e s s w i t h b l a c k A f r i c a n s t a t e s . T h e s e p e o p l e a r e t h e c h a n n e l s t h r o u g h w h i c h t h e MNC may e s t a b l i s h i t s e l f a n d c o n d u c t b u s i n e s s i n s t a t e s w h e r e many o f t h e p r e s e n t p r a c t i c e s o f p e r s o n a l r u l e a r e b e y o n d t h e c o m p r e h e n s i o n of most N e s t e r n b u s i n e s s m e n . "The i n e v i t a b i l i t y o f p o l i t i c s i s t h e s i n g l e most s i g n i f i c a n t f e a t u r e o f c o m m e r c i a l l i f e i n ...Csub-Saharan A f r i c a ,3 • • . and e x c e l l e n c e a t m a i n t a i n i n g p o l i t i c a l c o n t a c t s i s t h e most i m p o r t a n t s k i l l " o f s u c c e s s f u l compan i e s . 3 6 The r e l a t i o n s b etween M N C s and b l a c k A f r i c a n s t a t e s , t h e r e f o r e , a r e n o t s a t i s f a c t o r i l y e x p l a i n e d by d e p e n d e n c y t h e o r y whose a r g u m e n t s a r e r a t h e r r i g i d , d e t e r m i n i s t i c and u n i d i r e c t i o n a l , c i t i n g p o s s i b l e s o u r c e s o f c o n f l i c t a s z e r o - s u m . R a t h e r , s u c h r e l a t i o n s h i p s a r e c h a r a c t e r i z e d by h i g h l y u n c e r t a i n , p r o b a b i l i s t i c f a c t o r s , a l l c o n t i n g e n t on t h e v i c i s s i t u d e s o f i n d i v i d u a l human i n t e r a c t i o n . E a c h p a r t y h a s i t s own s t r e n g t h s and w e a k n e s s w h i c h may be m a n i p u l a t e d , and s u c c e s s i s more d e p e n d e n t on a d a p t a b i l i t y and i n v e n t i v e n e s s t h a n on p r e - d e t e r m i n e d m e t h o d s , c u s t o m s , and e s t a b l i s h e d l e g a l norms. Even s o , t h e b a r g a i n i n g i s a s b e t ween two r e l a t i v e e q u a l s , e a c h r e q u i r i n g s o m e t h i n g t h e o t h e r h a s . I t i s s o m e t h i n g a k i n to a t a n g o w h e r e a t t i m e s t h e p a r t n e r s move f a s t and f u r i o u s l y , and a t o t h e r t i m e s t h e y move s l o w l y and w a r i l y . I n v a r i a b l y , t h e moves of t h e t a n g o become p r o v o c a t i v e , s u g g e s t i v e o f a s c a n d a l o u s and c l a n d e s t i n e l o v e - a f f a i r . 56 CHAPTER THREE THE EVIDENCE - LONRHO The c a s e o f L o n r h o c o r p o r a t i o n w i l l now be e x a m i n e d i n o r d e r to r e v e a l t h e a s p e c t s o f c o n t i n g e n c y t h e o r y d i s c u s s e d i n C h a p t e r Two. L o n r h o , w i t h i t s P r e s i d e n t T i n y R o w l a n d , i s an e x c e l l e n t e x a m p l e o f how a m u l t i n a t i o n a l c o r p o r a t i o n f o s t e r s f a v o u r a b l e p o l i t i c a l r e l a t i o n s h i p s w i t h h o s t c o u n t r y r e g i m e s . MNCs may u s e any number o f m e t h o d s t o i n g r a t i a t e t h e m s e l v e s w i t h t h o s e who h o l d t h e r e i n s o f power i n h o s t s t a t e s , f r o m p r o f f e r i n g a v a r i e t y o f i n d u c e m e n t s t o h i r i n g an i n t e r m e d i a r y o r c o m p r a d o r , who, by u s i n g h i s c o n t a c t s and i n t i m a t e k n o w l e d g e o f t h e l a w s , l a n g u a g e , a n d c u l t u r e o f t h e h o s t s t a t e , may f a c i l i t a t e t h e c o r p o r a t i o n ' s b u s i n e s s . By d i s c l o s i n g s u c h a c t i v i t y , t h i s c a s e d e m o n s t r a t e s t h a t t h e r e l a t i o n s h i p s o f MNCs w i t h b l a c k A f r i c a n r e g i m e s a r e l a r g e l y c o n t i n g e n t on a r b i t r a r y and u n p r e d i c t a b l e i n d i v i d u a l s and c i r c u m s t a n c e s t h a t c o m p r i s e s y s t e m s o f p e r s o n a l r u l e . T h i s c h a p t e r h a s been d i v i d e d i n t o s e v e n r e l a t i v e l y b r i e f c o u n t r y - s t u d i e s . I t i s n o t my i n t e n t i o n to d e l v e i n t o t h e i n d i v i d u a l c o m p l e x i t i e s o f e a c h c o u n t r y , r a t h e r , I a i m to e x a m i n e o n l y t h o s e r e l a t i o n s t h a t L o n r h o e n t e r s i n t o i n t h e c o u r s e o f d o i n g b u s i n e s s i n t h e s e s t a t e s . F u r t h e r m o r e , by s t u d y i n g s e v e r a l s t a t e s , i t may be i l l u s t r a t e d how c i r c u m s t a n c e s v a r y , and how s k i l l f u l MNCs must be a t t u n e d t o t h e e r r a t i c m e t hod by w h i c h t h e 57 f o r e i g n i n v e s t m e n t "game" i s p l a y e d . F i n a l l y , by u s i n g t h e c a s e o f L o n r h o , i t may be i l l u s t r a t e d t h a t a l t h o u g h d e p e n d e n c y t h e o r y e x p l a i n s a g r e a t d e a l a b o u t s u c h r e l a t i o n s h i p s , i t i s r a t h e r r i g i d , u n i d i r e c t i o n a l , and z e r o - s u m i n i t s a s s u m p t i o n o f an i n c o m p a t i b i l i t y o f i n t e r e s t s b e t ween MNCs and h o s t s t a t e s . I n d e e d , d e p e n d e n c y t h e o r y d o e s n o t s u c c e e d i n d i s c l o s i n g t h e many f a c e t s o f t h e M N C - p e r s o n a l r u l e r e l a t i o n s h i p , one w h i c h i s u l t i m a t e l y b a s e d on t h e u n c e r t a i n , a r b i t r a r y , and u n p r e d i c t a b l e n a t u r e o f i n d i v i d u a l human i n t e r a c t i o n . In o r d e r to e x p a n d h i s company's i n v e s t m e n t s i n s u b - S a h a r a n A f r i c a , T i n y R o w l a n d , t h e P r e s i d e n t o f L o n r h o C o r p o r a t i o n , h a s c h o s e n t o o p e r a t e i n o v e r t l y p o l i t i c a l w a y s . In 1973 R o w l a n d a l l u d e d to h i s i n f l u e n t i a l c o n t a c t s : "When I'm a b r o a d , I am e n t e r t a i n e d , and do b u s i n e s s w i t h R u l e r s , P r e s i d e n t s and P r i m e M i n i s t e r s , who e n t e r t a i n me and l o o k a f t e r m e . " l i t i s i n d e e d t h e A f r i c a n s t a t e s m e n whom he seems t o know b e s t , f o r he h a s n o t been v e r y s u c c e s s f u l i n o t h e r r e g i o n s , s u c h a s t h e M i d d l e E a s t , o r h i s n a t i v e E n g l a n d . In r e c o u n t i n g R o w l a n d ' s p e r s o n a l a t t r i b u t e s , some of h i s s u p p o r t e r s h a v e e x c l a i m e d a t how q u i c k l y and e f f e c t i v e l y he ha s e s t a b l i s h e d p r i v a t e l i n k s and f r i e n d s h i p s w i t h h e a d s o f s t a t e i n b l a c k A f r i c a . "He ^Rowland] r e l i e s on t h e i g n o r a n c e o f many A f r i c a n l e a d e r s , o r h i s own f l a i r f o r p a c i f y i n g t h o s e who do f e e l u n e a s y . He h a s had p l e n t y o f c o m p e n s a t i o n to o f f e r them, and h a s made some u n l i k e l y c o n q u e s t s . " 2 S h o u l d he r e t i r e , f r i e n d s and o p p o n e n t s c o n c u r , L o n r h o w o u l d i n e v i t a b l y l o s e t h e g r e a t e s t p a r t of i t s A f r i c a n b u s i n e s s . 58 The name " T i n y " w h i c h R o w l a n d p r e f e r s f o r h i m s e l f , h a s become synonymous w i t h L o n r h o c o r p o r a t i o n . A s c h i e f e x e c u t i v e o f f i c e r o f L o n r h o , he h a s been t h e m a s t e r m i n d b e h i n d t h e company's c e l e b r a t e d s u c c e s s . B o r n i n I n d i a i n 1917 o f a German f a t h e r and a D u t c h m o t h e r , R o w l a n d became a B r i t i s h c i t i z e n i n 1939. He w o r k e d i n v a r i o u s c a p a c i t i e s i n E n g l a n d u n t i l t h e l a t e 1 3 4 0 ' s when he e m i g r a t e d t o S o u t h e r n R h o d e s i a . T h e r e he s e t up h i s p r i v a t e h o l d i n g company, S h e p t o n E s t a t e s , w h i c h l a t e r h e l d f r a n c h i s e s i n R h o d e s i a (now Zimbabwe) f o r M e r c e d e s - B e n z , i n t e r e s t s i n g o l d and c o p p e r m i n e s , and a s h a r e i n an o i l p i p e l i n e d e a l . 4 H a v i n g a l l e g e d l y w o r k e d a s a " b r o k e r " o r i n t e r m e d i a r y f o r a number o f m i n i n g c o m p a n i e s i n s u b - S a h a r a n A f r i c a , s u c h a s R i o T i n to i n t h e l a t e 1 9 5 0 ' s , R o w l a n d j o i n e d L o n r h o i n 1 9 6 1 . In 1961 L o n r h o was on t h e v e r g e o f f a d i n g i n t o o b s c u r i t y . I t had been i n c o r p o r a t e d i n 1909 a s t h e London and R h o d e s i a M i n i n g and L a n d Company L t d . f o r a number of f u n c t i o n s , i n c l u d i n g " t o p u r c h a s e , t a k e on l e a s e , o r o t h e r w i s e a c q u i r e , any m i n e s , m i n i n g r i g h t s and m e t a l l i f e r o u s l a n d i n R h o d e s i a , S o u t h A f r i c a , o r e l s e w h e r e i n A f r i c a , and any i n t e r e s t t h e r e i n , and to e x p l o r e , w o r k , e x e r c i s e , d e v e l o p and t u r n t o a c c o u n t t h e same."^ The company m i g h t a l s o f a r m , a c q u i r e p r o p e r t y , c o n s t r u c t r o a d w a y s and f a c t o r i e s a n d e n g a g e i n w h o l e s a l e a nd r e t a i l t r a d i n g . I n t h e e a r l y 1 9 6 0 ' s L o n r h o o p e r a t e d o r managed a h a n d f u l o f g o l d m i n e s and owned n e a r l y s e v e n - h u n d r e d t h o u s a n d a c r e s o f l a n d , on w h i c h i t r a i s e d some o f t h e l a r g e s t h e r d s o f c a t t l e i n R h o d e s i a . ^ R o w l a n d j o i n e d L o n r h o a t a t i m e o f i n c r e a s i n g u n c e r t a i n t y 59 a b o u t t h e f u t u r e o f t h e C e n t r a l A f r i c a n F e d e r a t i o n , w i t h Z a m b i a ( t h e n N o r t h e r n R h o d e s i a ) and M a l a w i ( t h e n N y a s a l a n d ) p u s h i n g f o r i t s d i s s o l u t i o n a nd t h e i r own i n d e p e n d e n c e . In S o u t h e r n R h o d e s i a , A f r i c a n n a t i o n a l i s m i n t h e f o r m o f s t r i k e s a nd r i o t s , was u n n e r v i n g t o E u r o p e a n b u s i n e s s m e n . A s one A f r i c a n c o u n t r y a f t e r a n o t h e r g a i n e d i t s i n d e p e n d e n c e f r o m c o l o n i a l r u l e , t h e f e e l i n g grew among s h a r e h o l d e r s i n B r i t a i n t h a t t h i s was t h e t i m e to " q u i t A f r i c a " a s t h e y had I n d i a two d e c a d e s p r e v i o u s l y , b e f o r e t h e i r i n v e s t m e n t s became n o n - e x i s t e n t . R o w l a n d r e m a i n e d u n d a u n t e d , h o w e v e r . W i t h i n s i x months of h i s j o i n i n g L o n r h o he c o n c l u d e d t h e t a k e o v e r o f W i l l o u g h b y ' s C o n s o l i d a t e d Company L t d . , an o l d B r i t i s h f i r m w h i c h had s i m i l a r i n t e r e s t s i n S o u t h e r n R h o d e s i a (now Zimbabwe) to L o n r h o . R o w l a n d ' s s u b s e q u e n t schemes soon c o n v i n c e d many o b s e r v e r s i n s i d e S o u t h e r n R h o d e s i a t h a t he was a man to be w a t c h e d . A s L o n r h o began to s e c u r e i m p o r t a n t c o n t r a c t s , t h e c o n v i c t i o n grew among t h e w h i t e R h o d e s i a n b u s i n e s s community t h a t t h e company was s e e k i n g t o e s t a b l i s h i t s e l f i n key e c o n o m i c s e c t o r s o f t h e C e n t r a l A f r i c a n F e d e r a t i o n f o r p o l i t i c a l p u r p o s e s . T h i s f e a r f i n a l l y c u l m i n a t e d i n t h e J u l y 1962 c a l l i n t h e S o u t h e r n R h o d e s i a n l e g i s l a t u r e f o r a g o v e r n m e n t i n q u i r y i n t o R o w l a n d ' s d e a l i n g s . ? i n f a c t , t h e R h o d e s i a n b u s i n e s s community was i n c o r r e c t i n i t s a s s e s s m e n t o f L o n r h o ' s a c t i v i t i e s . R o w l a n d was n o t a t h r e a t b e c a u s e o f h i s f r i e n d s h i p s ; h i s i n t e r e s t s , f a r f r o m b e i n g s u b s t a n t i a l l y p o l i t i c a l , w e r e m o t i v a t e d a l m o s t s o l e l y by p r o f i t . He had d e v e l o p e d s u c h a s s o c i a t i o n s , and c o n t i n u e d to do s o , o n l y 60 b e c a u s e he a p p a r e n t l y f o r e s a w t h e way i n w h i c h t h e power c o n f i g u r a t i o n s i n A f r i c a w o u l d soon s w i n g . He l i k e l y f e l t t h a t L o n r h o c o u l d g a i n d i r e c t l y f r o m f u t u r e p o l i t i c a l c h a n g e s i f he c u l t i v a t e d t h e r i g h t p e o p l e b e f o r e h a n d . T r u e t o h i s p r e m o n i t i o n L o n r h o began t o make g r e a t headway i n s e v e r a l b l a c k A f r i c a n c o u n t r i e s s i m u l t a n e o u s l y , a s one A f r i c a n c o l o n y a f t e r a n o t h e r g a i n e d i n d e p e n d e n c e . M a l a w i M a l a w i was p e r h a p s one of R o w l a n d ' s g r e a t e r s u c c e s s e s . I t was a c o u n t r y w h e r e A f r i c a n a s p i r a t i o n s , p e r s o n i f i e d by Dr. H a s t i n g s B a n d a , w e r e r i s i n g . B anda was e x t r e m e l y e a g e r to p a r t i c i p a t e i n schemes t h a t w o u l d a i d i n t h e d e v e l o p m e n t o f h i s c o u n t r y . In f a c t t h e i m p o r t a n c e o f p r i v a t e i n v e s t m e n t a s a symb o f M a l a w i ' s e c o n o m i c and p o l i t i c a l s e l f - s u f f i c i e n c y seems to hav e n a b l e d R o w l a n d t o e s t a b l i s h e x c e l l e n t r e l a t i o n s w i t h i t s l e a d e r -I t a p p e a r s t h a t R o w l a n d d i d n o t h a v e to e x e r t h i m s e l f i n o r d i n a t e l y t o e s t a b l i s h a good r a p p o r t w i t h B a n d a . R o w l a n d ' s s t r a t e g y seems to have been t o c u l t i v a t e a r e l a t i o n s h i p w i t h t h e l e a d e r p r i o r to M a l a w i ' s i n d e p e n d e n c e i n 1964. I t was l i k e l y R o w l a n d ' s d i s p l a y o f c o n f i d e n c e i n Banda t h a t e n d e a r e d t h e e n t r e p r e n e u r t o t h e l e a d e r , s i n c e i t a p p e a r e d t o him a d e m o n s t r a t i o n o f R o w l a n d ' s o p i n i o n t h a t b l a c k s s h o u l d have s e l f - r u l e . R o w l a n d ' s s i m p l e s t r a t e g y a p p e a r s t o h a v e been s u c c e s s f u l , f o r h a v i n g won B a n d a ' s c o n f i d e n c e and f r i e n d s h i p , he 61 p r o c e e d e d t o e s t a b l i s h L o n r h o i n key s e c t o r s o f t h e M a l a w i economy. I n d e e d , s e v e r a l m o n t h s p r i o r to i n d e p e n d e n c e , R o w l a n d had a l r e a d y begun n e g o t i a t i o n s w i t h Banda f o r what was t o become t h e c o u n t r y ' s most i m p r e s s i v e a g r i c u l t u r a l i n v e s t m e n t p r o j e c t , a l a r g e - s c a l e s u g a r o p e r a t i o n . Compared w i t h i t s n e i g h b o u r i n g A f r i c a n s t a t e s , M a l a w i l a c k s t h e n a t u r a l r e s o u r c e s t h a t u s u a l l y draw f o r e i g n i n v e s t m e n t and c o m p e t i n g m u l t i n a t i o n a l s . A p a r t f r o m d e p o s i t s o f c o a l and b a u x i t e , t h e c o u n t r y h a s no s u b s t a n t i a l m i n e r a l r e s o u r c e s , and i t f a i l e d to a t t r a c t t h e s p i n - o f f o f i n f r a s t r u c t u r a l d e v e l o p m e n t t h a t s h o u l d h a v e a c c o m p a n i e d t h e i n c r e a s e i n m i n i n g o p e r a t i o n s i n Zambia.® The n o r t h e r n p o r t i o n o f M a l a w i , i n p a r t i c u l a r , r e m a i n e d e c o n o m i c a l l y b a c k w a r d and r e m o t e . Hence, i f R o w l a n d r e c o g n i z e d o p p o r t u n i t i e s i n t h e c o u n t r y , t h e y w e r e c e r t a i n l y n o t i n t h e r e s o u r c e s e c t o r . A f t e r i n d e p e n d e n c e i n 1 9 6 4 , M a l a w i ' s p o t e n t i a l f o r t u n e was i n i t s a g r i c u l t u r e and t h e f o r e i g n e x c h a n g e t o be e a r n e d f r o m e x p o r t s of t o b a c c o , t e a , g r o u n d - n u t s and o t h e r c r o p s . B e i n g a l a n d - l o c k e d c o u n t r y , h o w e v e r , t h e a v a i l a b i l i t y o f c h eap and e f f i c i e n t t r a n s p o r t a t i o n was of c r u c i a l i m p o r t a n c e but was a s y e t b e y o n d t h e g r a s p o f B a n d a . T h e r e f o r e , r e q u i r i n g f o r e i g n c u r r e n c y and f o r e i g n i n v e s t m e n t t o d e v e l o p n e e d e d i n f r a s t r u c t u r e s , i t a p p e a r s t h a t Banda was q u i t e w i l l i n g t o g r a n t m u l t i n a t i o n a l s a c c e s s t o M a l a w i . I n d e e d , i t may h a v e been t h e c a s e t h a t t h e l e a d e r a c t u a l l y c o u r t e d MNCs f o r t h e i r i n v e s t m e n t , j o b s , c a p i t a l , t e c h n o l o g y and e x p e r t i s e , by g r a n t i n g , a s a d e m o n s t r a t i o n o f s e r i o u s c ommitment, 62 s u c h c o n c e s s i o n s a s f a v o r e d t a x t r e a t m e n t , p r e f e r r e d a c c e s s t o l o c a l c r e d i t , p r o h i b i t i o n of s t r i k e s , and s u b s i d i z e d t r a i n i n g o f l o c a l l a b o u r . T h i s seems e v i d e n t i n l i g h t o f t h e f a c t t h a t f r o m 1962 L o n r h o had h e l d one o f t h e most l u c r a t i v e c o n t r a c t s i n t h e c o u n t r y - t h e a p p o i n t m e n t a s L o c a l S e c r e t a r i e s and C o n s u l t i n g E n g i n e e r s t o M a l a w i R a i l w a y s L t d . and i t s w h o l l y - o w n e d s u b s i d i a r y , t h e C e n t r a l A f r i c a n R a i l w a y Company.9 Even t o d a y , a t t e m p t i n g t o do b u s i n e s s w i t h M a l a w i ' s l e a d e r i s n o t an e a s y f e a t , h o w e v e r . R o w l a n d ' s i n v e s t m e n t i n M a l a w i i s n o t a s o n e - s i d e d o r e x p l o i t i v e a s d e p e n d e n c y t h e o r y m i g h t s u g g e s t . In f a c t , much o f L o n r h o ' s s u c c e s s i n M a l a w i seems t o be c o n t i n g e n t upon R o w l a n d ' s i n t u i t i v e a s s e s s m e n t o f what m o t i v a t e s B a n d a ; t h e e n t r e p r e n e u r a p p e a r s to h a v e t a i l o r e d h i s i n v e s t m e n t s t r a t e g i e s on t h e o d d s t h a t t h e y w i l l a p p e a l to t h e s t a t e s m a n ' s i d i o s y n c r a c i e s . E n j o y i n g t h e t i t l e o f L i f e P r e s i d e n t s i n c e 1 9 7 0 , D r . Banda d o m i n a t e s t h e a f f a i r s o f h i s c o u n t r y l i k e a E u r o p e a n d y n a s t i c r u l e r o f t h e p a s t . R e i g n i n g l i k e a m o n a r c h , he h a s been t h e a u t h o r o f a l l o f h i s c o u n t r y ' s p o l i c i e s , i n v o l v i n g h i m s e l f p e r s o n a l l y i n t h e i r i m p l e m e n t a t i o n . He i s an a u t o c r a t i c p e r s o n a l r u l e r who makes e v e r y t h i n g h i s b u s i n e s s , e ven i f he i s u n a b l e t o b r i n g e v e r y t h i n g u n d e r h i s c o n t r o l . P r e s i d e n t i a l p a t r o n a g e i s a c e n t r a l f e a t u r e o f t h e r e g i m e , and B a n d a h a n d p i c k s a l l o f f i c i a l s . However, t h e r u l e r l i v e s i n p e r p e t u a l f e a r o f p l o t s a g a i n s t him and t h u s a p p o i n t s , d i s m i s s e s and r o t a t e s c a b i n e t m i n i s t e r s f r e q u e n t l y so t h a t t h e y a r e u n a b l e t o f o r m a power b a s e . The l e a s t s i g n o f d i s l o y a l t y on t h e p a r t o f 63 members o f t h e g o v e r n i n g e l i t e b r i n g s r u t h l e s s s u p p r e s s i o n ; even B a n d a ' s c l o s e s t a s s o c i a t e s a r e n o t immune. The r u l e r ' s p o s i t i o n t o d a t e h a s r e m a i n e d u n a s s a i l a b l e , and v a r i o u s e x i l e d o p p o s i t i o n g r o u p s r e m a i n l a r g e l y i n e f f e c t u a l . No r e a l m o f t h e s t a t e h a s been e x c l u d e d f r o m h i s s u p e r v i s i o n , and e ven t h e N a t i o n a l A s s e m b l y has been r e d u c e d t o s y c o p h a n t i c i m p o t e n c e . Dr. Banda j_s t h e s t a t e and he i s t h e r e f o r e t h e o n l y p e r s o n w i t h whom R o w l a n d n e e d d e a l i n M a l a w i . He i s no " p u s h - o v e r " , h o w e v e r , f o r he i s v e r y c o n c e r n e d w i t h p r o t e c t i n g h i s s t a t e f r o m t h e " d e c a d e n t " i n f l u e n c e s o f t h e W e st. He h a s n o t been r e c e p t i v e t o f o r e i g n e r s , e s p e c i a l l y i n t e r m s o f m o r a l p r a c t i c e s and d r e s s . Y e t , due t o t h e f e a r o f c o m p e t i t i o n f o r power t h a t i s c h a r a c t e r i s t i c o f p e r s o n a l r u l e , Banda i s , a t t h e same t i m e , h o s t i l e t o and d i s t r u s t f u l o f A f r i c a n - e d u c a t e d p r o f e s s i o n a l s , m i n i s t e r s , and s e n i o r c i v i l s e r v a n t s . I n s t e a d , he p r e f e r s t o r e l y on e x p a t r i a t e s f o r e x p e r t a d v i c e , l i k e l y b e c a u s e t h e y h a v e no s e p a r a t e i n t e r e s t i n power or c l i e n t s to s a t i s f y . 1 ^ B a n d a ' s p r e f e r e n c e f o r e x p a t r i a t e a l l i e s s e r v e d L o n r h o ' s i n t e r e s t s w e l l , s i t u a t i n g t h e company to e x p a n d i t s b u s i n e s s a c t i v i t i e s i n t h e c o u n t r y . In f a c t , L o n r h o a n d any o t h e r company t h a t was w i l l i n g t o c o n d u c t s e r i o u s b u s i n e s s w i t h M a l a w i w e r e welcome so l o n g a s t h e y a v o i d e d m e d d l i n g i n a f f a i r s t h a t w e r e n o t t h e i r c o n c e r n . 1 1 A t t h i s j u n c t u r e , R o w l a n d may h a v e p r e d i c t e d f u t u r e l u c r a t i v e o p p o r t u n i t i e s , f o r i t a p p e a r s t h a t he began t o s eek c o n t a c t s who had B a n d a ' s " e a r " , and t o m a n o e u v r e h i s " f r i e n d s " s t r a t e g i c a l l y i n t o p o s i t i o n s o f i m p o r t a n c e w i t h i n t h e 64 g o v e r n m e n t o f M a l a w i . "Dr. Banda h a s e n c o u r a g e d f o r e i g n i n v e s t m e n t s i n M a l a w i . . . m o s t n o t a b l e o f t h e s e b e i n g t h e p o w e r f u l L o n r h o . . . A s e n i o r member o f L o n r h o i s e m p l o y e d by D r . B a n d a ' s c a b i n e t i n an a d v i s o r y c a p a c i t y . . . " 1 2 j n a d d i t i o n , L o n r h o had a n o t h e r p o w e r f u l f r i e n d i n t h e Banda a d m i n i s t r a t i o n . S i r P e t e r Y o u e n s , a s e n i o r c o l o n i a l o f f i c i a l , became S e c r e t a r y t o Banda and t h e M a l a w i c a b i n e t a f t e r i n d e p e n d e n c e . Nhen he r e t i r e d i n 1967, he became a L o n r h o d i r e c t o r . G e r a l d P e r c y , t h e m a n a g i n g d i r e c t o r o f L o n r h o ( M a l a w i ) , a t t h e same t i m e , was a p p o i n t e d t o t h e b o a r d of t h e Government-owned M a l a w i D e v e l o p m e n t C o r p o r a t i o n . Whether t h e s e p e o p l e a c t e d a s i n t e r m e d i a r i e s on b e h a l f o f L o n r h o i s n o t c e r t a i n , a l t h o u g h j u d g i n g by t h e i r company i n t e r e s t s t h e y w e r e i n p o s i t i o n s to a c t a s i t s a g e n t s . W h e t h e r t h e y e x p e d i t e d or f a c i l i t a t e d L o n r h o ' s , b u s i n e s s o p e r a t i o n s , o r s u p p l i e d i n f o r m a t i o n , o r c o n d u c t e d n e g o t i a t i o n s o r a c t e d a s c o n d u i t s f o r t h e t r a n s m i s s i o n o f f u n d s t o b u r e a u c r a t i c o f f i c i a l s , r e m a i n s l a r g e l y open to s p e c u l a t i o n . However, b a s e d on t h e n a t u r e o f t h e r e g i m e t h a t r u l e s M a l a w i , any o r a c o m b i n a t i o n o f t h e a b o v e r e m a i n d i s t i n c t p o s s i b i l i t i e s . J u d g i n g by t h e s u c c e s s and e a s e w i t h w h i c h L o n r h o began t o e s t a b l i s h b u s i n e s s e s i n M a l a w i , i t i s s a f e to h y p o t h e s i z e t h a t f r o m t h e i r r e l a t i v e l y s t r a t e g i c p o s t s i n t h e Banda r e g i m e , t h e s e p e o p l e w e r e i n p o s i t i o n s t o a d v a n c e L o n r h o ' s b u s i n e s s i n t e r e s t s . H o w ever, i n 1966 s o m e t h i n g o r "someone" l e d Banda t o r e a c h t h e c o n c l u s i o n t h a t L o n r h o was t o o s u c c e s s f u l i n i t s c o n t i n u i n g c o n t r o l o v e r s u c h a s t r a t e g i c p a r t o f t h e economy a s t h e m a i n 65 e x p o r t r o u t e t o t h e s e a . L o n r h o was t h u s d i s m i s s e d a s t h e c o n s u l t i n g manager f o r M a l a w i R a i l w a y s Company. Nhy Banda made t h e d e c i s i o n he d i d , i s n o t c e r t a i n . W h a t e v e r t h e f a c t o r s , i t seems t h a t he c h o s e t o e x e r c i s e h i s p e r s o n a l w i l l a s a d e m o n s t r a t i o n t o t h e m u l t i n a t i o n a l t h a t w h i l e he r e q u i r e d i t s t e c h n i c a l e x p e r t i s e and f o r e i g n i n v e s t m e n t , he was s t i l l a t l i b e r t y t o e x e r c i s e h i s s o v e r e i g n t y . F o r h i s p a r t , R o w l a n d was n o t d e t e r r e d and p r o c e e d e d t o r e - e s t a b l i s h c o n f i d e n c e i n t h e r u l e r by f o r c i n g t h e L o n r h o d i r e c t o r s t o s u b m i t t h e i r r e s i g n a t i o n s , t h e r e b y p r u d e n t l y s a f e g u a r d i n g t h e r e m a i n d e r o f company h o l d i n g s i n M a l a w i . By t h i s t i m e , i t was n o t a m a j o r l o s s to L o n r h o f o r t h e r a i l w a y had s e r v e d i t s p u r p o s e i n t h a t i t had e n a b l e d t h e company to o b t a i n o t h e r i n t e r e s t s . S t a r t i n g i n 1363 t h e company had d i v e r s i f i e d i n s i d e M a l a w i i n t o t e a and s i s a l ( h e m p ) , s u g a r and t e x t i l e s , g a r a g e s and c a r d e a l e r s h i p s . In s e t t i n g up t h e f i r s t l o c a l l y r e g i s t e r e d b u i l d i n g s o c i e t y i n p a r t n e r s h i p w i t h t h e g o v e r n m e n t , i t h e l p e d t o p r o m o t e t h e d e v e l o p m e n t of s t a t e p a r t i c i p a t i o n s c h e m e s . In O c t o b e r 1 3 6 3 , i t s e t up a j o i n t v e n t u r e w i t h t h e F r e n c h m u l t i n a t i o n a l T o t a l P e t r o l e u m to d i s t r i b u t e o i l and g a s t h r o u g h o u t M a l a w i . In a s p e c i a l r a d i o b r o a d c a s t t h a t same y e a r , B a nda a n n o u n c e d t h a t a c a n e s u g a r p r o j e c t was u n d e r way. L o n r h o was r e v e a l e d t o be t h e s p o n s o r f o r t h e &4 m i l l i o n i n v e s t m e n t . In t h e 1 3 7 0 s s u g a r was t o become L o n r h o ' s l e a d i n g a g r i c u l t u r a l p r o f i t - e a r n e r . F o r B a n d a , t h e s u g a r p r o j e c t was a l a n d m a r k i n t h e s t r u g g l e f o r M a l a w i an e c o n o m i c i n d e p e n d e n c e . In 66 1965 an a g r e e m e n t was s i g n e d b e t w e e n R o w l a n d a nd B a n d a , u n d e r w h i c h L o n r h o was to s u p p l y M a l a w i w i t h i t s e n t i r e r e q u i r e m e n t s o f s u g a r , p r e s e n t and f u t u r e . The G r e a t E l e p h a n t M a r s h i n t h e S h i r e R i v e r V a l l e y was c l e a r e d , and w i t h i n two y e a r s t h e f i r s t sugar-p r o d u c e d by L o n r h o ' s w h o l l y - o w n e d s u b s i d i a r y , t h e S u g a r C o r p o r a t i o n o f M a l a w i , was b e i n g m a r k e t e d u n d e r i t s t r a d e name, SUCOMA. 1 3 T h u s , t h e r e l a t i o n s h i p o f L o n r h o a nd M a l a w i h a s been an i n t e r e s t i n g o n e. O c c u r r i n g i n t h e r e a l m o f p e r s o n a l r u l e , and g u i d e d by two s u c h p r o m i n e n t p e r s o n a l i t i e s , i t h a s t a k e n on t h e n a t u r e o f a t r a n s a c t i o n a s b e t w e e n two i n d i v i d u a l s w i t h p e r s o n a l i n t e r e s t s , r a t h e r t h a n a j u r i d i c a l l y r e c o g n i s e d s t a t e and a h i e r a r c h i c a l l y o r g a n i z e d m u l t i n a t i o n a l . I t a p p e a r s t h a t c e r t a i n f o r m a l i n s t i t u t i o n a l i z e d r u l e s f o r b u s i n e s s p r a c t i c e , l a r g e l y o b s e r v e d i n many i n d u s t r i a l i z e d c o u n t r i e s , a r e o v e r l o o k e d i n t h e r e l a t i o n s h i p s of M a l a w i w i t h i t s f o r e i g n i n v e s t o r s . R a t h e r , t h e e v i d e n c e r e v e a l s t h a t s t r a t e g i e s f o r c o r p o r a t i o n s s u c h a s L o n r h o to o p e r a t e s u c c e s s f u l l y i n M a l a w i m u s t , a t t i m e s , be a s u n c o n v e n t i o n a l a s t h e m e t h o d s o f t h e r u l e r . W h e t her Banda h a s e x a c t e d p e r s o n a l b e n e f i c e s o r f a v o u r s f r o m L o n r h o , and w h e t h e r on b e h a l f o f L o n r h o , R o w l a n d h a s p r o f f e r e d them, i s u n c e r t a i n . What may be c o n c l u d e d f r o m t h i s b r i e f s k e t c h o f t h e i r a s s o c i a t i o n i s t h a t L o n r h o h a s n o t been t h e p r i m a r y embodiment and m e c h a n i s m o f an u n e q u a l and e x p l o i t i v e r e l a t i o n s h i p i n M a l a w i , a s d e p e n d e n c y t h e o r y m i g h t s u g g e s t . R a t h e r , L o n r h o ' s s u c c e s s i n M a l a w i h a s been c o n t i n g e n t upon b o t h B a n d a ' s e x e r c i s e 67 o f j u r i d i c a l s o v e r e i g n t y a n d , more i m p o r t a n t l y , h i s r a t h e r i d i o s y n c r a t i c and a r b i t r a r y u s e o f power. N h a t may be d e d u c e d i n l i g h t o f t h e e v i d e n c e , i s t h a t R o w l a n d h a s had t o be n o t o n l y f l e x i b l e and a d a p t a b l e i n h i s a p p r o a c h t o M a l a w i ' s l e a d e r , b u t p e r h a p s a l i t t l e i n n o v a t i v e a s w e l l . T h i s i n c l u d e s what a p p e a r s to be a s t r a t e g i c p l a c e m e n t i n t h e Banda r e g i m e o f p e o p l e who, a c t i n g a s c o m p r a d o r s , m i g h t s e r v e L o n r h o ' s i n t e r e s t s . C o n c l u s i v e e v i d e n c e i s l a c k i n g , h o w e v e r , t h a t i n d i c a t e s w h e t h e r t h i s i s t h e c a s e . P r i m a f a c i e , B a n d a ' s n e e d s seem f a i r l y c l e a r . H i s c o n c e r n f o r p r e s i d i n g o v e r h i s c o u n t r y a s a supreme m o n a r c h d o e s n o t seem to o b s t r u c t h i s g o a l o f d e v e l o p i n g h i s c o u n t r y — i n f a c t t h e r e v e r s e . Banda seems to r e c o g n i s e t h a t t h e s h o r t e s t r o u t e to r e a l i z i n g t h a t end i s to c o u r t m u l t i n a t i o n a l s who ha v e t h e r e q u i s i t e f i n a n c e s , t e c h n o l o g y and e x p e r t i s e . A s M a l a w i i s n o t a c o u n t r y endowed w i t h r e s o u r c e s o v e r w h i c h m u l t i n a t i o n a l s w o u l d f i e r c e l y c o m p e t e , Banda i s n o t i n a p o s i t i o n to be c h o o s y a b o u t w h i c h MNCs he a l l o w s to i n v e s t i n M a l a w i . H i s p o s i t i o n a s a s o v e r e i g n r u l e r , t h e r e f o r e , i s s t r o n g i n t e r m s o f h a v i n g t h e a b i l i t y t o d e c i d e w h i c h , i f a n y , m u l t i n a t i o n a l s a r e a l l o w e d t o o p e r a t e i n M a l a w i , b u t may n o t be q u i t e t h e b a r g a i n i n g c h i p he w o u l d hope f o r . However, b e i n g an i d i o s y n c r a t i c p e r s o n a l r u l e r , B anda i s s t i l l a p e r s o n t o w a r d whom f o r e i g n i n v e s t o r s s u c h a s R o w l a n d must t a k e a more u n c o n v e n t i o n a l a p p r o a c h . R o w l a n d h a s c h o s e n t o i n v e s t L o n r h o ' s c a p i t a l and e x p e r t i s e i n M a l a w i o n l y , i t i s a s sumed, b e c a u s e he f e e l s t h a t t h e r e w i l l be a s u b s t a n t i a l 68 r e t u r n on t h e i n v e s t m e n t . Due t o t h e n a t u r e o f p e r s o n a l r u l e , t h e r e f o r e , he must c u l t i v a t e a r e l a t i o n s h i p w i t h t h e r u l e r and t h o s e c l o s e t o h i r n , i n o r d e r t o r e a l i z e s u c c e s s . The m a j o r p o i n t t h a t may be d e r i v e d f r o m e x a m i n i n g t h i s r e l a t i o n s h i p i s t h a t i t r e v e a l s b u s i n e s s p r a c t i c e s r a t h e r d i f f e r e n t f r o m t h o s e w h i c h o c c u r i n more i n s t i t u t i o n a l i z e d s o c i e t i e s . I t a p p e a r s t h a t a d i f f e r e n t t a c t i c must be u s e d by MNC's i n t h e i r b u s i n e s s t r a n s a c t i o n s w i t h b l a c k A f r i c a n c o u n t r i e s s u c h a s M a l a w i w h e r e p e r s o n a l r u l e i s t h e norm. In t h e e n d , what seems t o be o c c u r r i n g i s a r e l a t i o n s h i p b e t ween i n d i v i d u a l s who p l a y r o l e s i n a game of M a c h i a v e l l i a n b a r g a i n i n g and o u t - m a n o e u v r i n g . In t h i s c a s e , h o w e v e r , who i s o u t - m a n o e u v r i n g whom i s n o t e n t i r e l y c l e a r . D u r i n g t h e f i v e y e a r s a f t e r t h e b r e a k - u p i n 1360-61 o f t h e C e n t r a l A f r i c a n F e d e r a t i o n , L o n r h o e x p a n d e d r a p i d l y i n t o n e w l y i n d e p e n d e n t A f r i c a , and by t h e end of 1367 i t had o f f i c e s i n f o u r t e e n c o u n t r i e s . ! 4 Numerous e x - c o l o n i a l c o m p a n i e s w e r e a c q u i r e d , a d d i n g t o a l r e a d y d i v e r s e i n t e r e s t s . B r e w e r i e s , a u t o s and t r a n s p o r t , n e w s p a p e r s and p u b l i s h i n g , s i s a l , t e a , c o t t o n and s u g a r , w a r e h o u s i n g and p a c k a g i n g w e r e a l l r e a d i l y a c q u i r e d i n what a p p e a r e d t o o b s e r v e r s a s a c o m p l e t e l a c k o f p a t t e r n . In s h o r t , " a n y t h i n g t h a t h a d a w i l l i n g s e l l e r f o u n d a w i l l i n g b u y e r . " 1 ^ One a c q u i s i t i o n t h a t was to p l a y an i m p o r t a n t r o l e i n t h e r e l a t i o n s h i p s t h a t R o w l a n d l a t e r s u s t a i n e d w i t h A f r i c a n l e a d e r s was t h e M y s t e r e j e t . I n d e e d , h a v i n g e x t e n d e d t h e c o r p o r a t i o n ' s 63 i n t e r e s t s t h r o u g h o u t A f r i c a , t h e a i r c r a f t became u s e f u l i n R o w l a n d ' s s t r a t e g y of f o r m i n g g ood r e l a t i o n s w i t h t h o s e i n power by p r o f f e r i n g i n d u c e m e n t s n o t r e c o g n i z a b l e a s o u t r i g h t b r i b e r y . G i f t s o f s e r v i c e s s u c h a s t h e u s e o f a p i l o t e d a i r c r a f t a r e a m e t h o d o f o b t a i n i n g i n f l u e n c e w i t h o u t i n c u r r i n g t h e d i s a d v a n t a g e s of c o v e r t g i f t s o f p r o p e r t y o r c a s h . I n d e e d , one o f t h e f i r s t u s e s o f t h e M y s t e r e j e t was to c a r r y D r . K e n n e t h K a u n d a , p r e s i d e n t o f Z a m b i a , f o r t a l k s w i t h P r e s i d e n t J u l i u s N y e r e r e of T a n z a n i a . T h i s move, i t a p p e a r s , was made i n t h e hope t h a t , a s i n M a l a w i , f r i e n d s h i p s w i t h A f r i c a n l e a d e r s w o u l d be r e l i e d on t o f a c i l i t a t e t h e company's e x p a n s i o n i n t o new c o u n t r i e s . Zambi a I n t r o d u c e d by h i s l e a d i n g i n t e r m e d i a r y and r i g h t - h a n d man, G e r a l d P e r c y , R o w l a n d met D r . K e n n e t h Kaunda i n 1362. R o w l a n d w o r k e d h a r d t o f o r g e a r e l a t i o n s h i p w i t h Z a m b i a ' s r u l e r , who l a t e r a l l e g e d l y became one o f L o n r h o ' s most l o y a l f r i e n d s i n A f r i c a . One o f t h e f i r s t f a v o u r s t h a t R o w l a n d r e p o r t e d l y e l i c i t e d f r o m Kaunda was a l e t t e r a u t h o r i z i n g L o n r h o t o make a f e a s i b i l i t y s t u d y f o r t h e b u i l d i n g o f a r a i l w a y l i n k i n g N o r t h e r n R h o d e s i a w i t h T a n g a n y i k a (now T a n z a n i a ) — and u l t i m a t e l y w i t h t h e I n d i a n Ocean, 1,200 m i l e s away. (Nhen t h e P e o p l e ' s R e p u b l i c o f C h i n a f i n a l l y c o m m i t e d i t s e l f i n t h e e a r l y 1 9 7 0 ' s t o t h e Tanzam l i n e , a s i t was c a l l e d , i t c o s t a p r o x i m a t e l y J_3 b i l l i o n , and t o o k f i v e y e a r s t o c o m p l e t e — m a k i n g i t one o f t h e g r e a t e s t a i d p r o j e c t s of i t s 70 t i m e . 1 6 ) A l t h o u g h i t a p p e a r s t h a t a t t h e t i m e s u c h an immense p r o j e c t was w e l l b e y o n d t h e f i n a n c i a l l i m i t s o f L o n r h o , R o w l a n d p r e f e r r e d t o s u b m i t t h e p r o p o s a l t o Kaunda. In t h i s r e g a r d R o w l a n d d e m o n s t r a t e d p a r t o f h i s Z a m b i a n s t r a t e g y w h i c h , i t seems, e n t a i l e d f i n d i n g a r e a s o n t o s t r i k e a r e l a t i o n s h i p w i t h t h e l e a d e r . By b i d d i n g on a p r o j e c t he knew was b e y o n d t h e l i m i t s o f L o n r h o , he i n n o c u o u s l y a c h i e v e d h i s e n d . I t seems r e a s o n a b l e t o b e l i e v e t h a t R o w l a n d had p r i o r k n o w l e d g e o f to whom t h e c o n t r a c t w o u l d be a w a r d e d , f o r i f Kaunda had a c c e p t e d L o n r h o ' s b i d , R o w l a n d w o u l d h a v e c l e a r l y been d i s c r e d i t e d . K aunda h a s been c a l l e d a " p o l i t i c a l s a i n t f o r c e d to become a P r i n c e . " ^ - ' 7 j _ j e ^ a s p r o f e s s e d h i s f a i t h i n h u m a n i s t i c v a l u e s a n d , a t one t i m e b e l i e v e d he c o u l d a c h i e v e t h e c r e a t i o n o f a d e m o c r a t i c o n e - p a r t y s t a t e . However, h i s o p p o n e n t s and t h e i r e t h n i c -a s s o c i a t e s t h w a r t e d t h i s a t t e m p t , b e i n g more i n t e r e s t e d i n s e c u r i n g s t a t e p a t r o n a g e and p o l i t i c a l p r o f i t s t h a n b r i n g i n g a b o u t a g e n u i n e d e m o c r a c y . T h u s , Kaunda was f o r c e d to im p o s e h i s own l e a d e r s h i p i n a o n e - p a r t y d i c t a t o r s h i p i n 1 3 7 2 . The f a l l i n w o r l d c o p p e r p r i c e s — t h e b a c k b o n e o f t h e Z a m b i a n economy — l e f t K aunda t o c o n t e n d w i t h n o t o n l y a s t a g n a t i n g economy, b u t t h e g e n e r a l d i s c o n t e n t o f a g o v e r n m e n t f u l l o f b u r e a u c r a t i c e n t r e p r e n e u r s f o r whom he l a c k e d p a t r o n a g e f o r d i s t r i b u t i o n . A t t h e same t i m e , due t o i t s s t r a t e g i c l o c a t i o n , Z a m b i a was b e c o m i n g e n t a n g l e d i n t h e s o u t h e r n A f r i c a n r a c i a l c o n f l i c t , w h i c h had t h e p o t e n t i a l t o d e s t r o y h i s r e i g n . Kaunda managed t o w i t h s t a n d t h e s e c o m p l i c a t i o n s , h o w e v e r , w i t h a s t r a t e g y o f r e a l i s m , p o l i t i c a l 71 i n t e l l i g e n c e and — some good f o r t u n e . B e c a u s e o f t h e u n i l a t e r a l d e c l a r a t i o n o f i n d e p e n d e n c e by S o u t h e r n R h o d e s i a , Kaunda was r e q u i r e d t o seek a l t e r n a t e t r a d e r o u t e s t o t h e n o r t h . I n i t i a l l y t h i s r e t a r d e d s t i l l f u r t h e r t h e p r o d u c t i o n o f c o p p e r . However, t h e r e s u l t a n t d i v e r s i f i c a t i o n o f t r a d e away f r o m t h e s o u t h p r o v i d e d s c o p e f o r t h e d e v e l o p m e n t of i m p o r t s u b s t i t u t i o n a n d , i n c o n j u n c t i o n w i t h t h e e v e n t u a l boom c o n d i t i o n s p r o d u c e d by h i g h e r c o p p e r p r i c e s , l e d t o r a p i d g r o w t h i n t h e m a n u f a c t u r i n g s e c t o r . The a d d e d i n v e s t m e n t by m u l t i n a t i o n a l s o f r e q u i s i t e c a p i t a l , e x p e r t i s e , and t e c h n o l o g y h e l p e d to f o s t e r t h i s g r o w t h . T h u s , R o w l a n d ' s s t r a t e g y i n f o s t e r i n g a r e l a t i o n s h i p w i t h t h e r u l e r soon became L o n r h o ' s a d v a n t a g e . W h i l e L o n r h o was n o t a w a r d e d t h e r a i l w a y c o n t r a c t , o t h e r l u c r a t i v e Z a m b i a n v e n t u r e s w e r e a d d e d to t h e company's p o r t f o l i o . A m e t h y s t m i n i n g , n e w s p a p e r s and b r e w i n g w e r e t h e l a r g e s t Z a m b i a n i n t e r e s t s . In p a r t i c u l a r , t h e C h i b u k u B r e w e r i e s , o r i g i n a l l y owned by t h e H e i n r i c h S y n d i c a t e , w e r e a c q u i r e d by L o n r h o i n 1964. W i t h t h e H e i n r i c h S y n d i c a t e came one of L o n r h o ' s f i r s t s e n i o r A f r i c a n e x e c u t i v e s and c o m p r a d o r s , Tom M t i n e , who was a t t h e same t i m e t h e Mayor o f N d o l a . N d o l a was a p r o s p e r o u s town on Z a m b i a ' a c o p p e r b e l t , and M t i n e had t h e e a r o f many i m p o r t a n t Z a m b i a n l e a d e r s . H i s v a l u a b l e c o n n e c t i o n s e v i d e n t l y became L o n r h o ' s g a i n , f o r M t i n e was s o o n i n v i t e d t o j o i n t h e b o a r d o f L o n r h o ' s Z a m b i a n s u b s i d i a r y . Not l o n g a f t e r w a r d , he was a p p o i n t e d i t s c h a i r m a n ; he was a t t h a t t i m e a l s o on t h e b o a r d s o f a number o f o t h e r c o m p a n i e s i n c l u d i n g Rothrnans, a S o u t h A f r i c a n - c o n t r o l l e d company. M t i n e p l a y e d a v e r y i m p o r t a n t r o l e i n Z a m b i a a s an i n t e r m e d i a r y f o r L o n r h o . He r e p o r t e d l y h e l p e d t h e company to s e c u r e p r o j e c t s , s i d e s t e p p a p e r w o r k and g a i n a c c e s s t o a r e a s w h i c h m i g h t o t h e r w i s e h a v e been b e y o n d i t s g r a s p . I t was l i k e l y due to h i s e x c e l l e n t c o n n e c t i o n s g a i n e d t h r o u g h h i s p o s i t i o n , t h a t a l l o w e d him t o o p e r a t e on b e h a l f o f L o n r h o i n t h i s way. H e i n r i c h ' s S y n d i c a t e a l s o owned two n e w s p a p e r s i n Z a m b i a , t h e Z a m b i a News and t h e Z a m b i a T i m e s . W i t h an a l l e g e d scheme to s e c u r e a m o n o p o l y o v e r a l l o f t h e n e w s p a p e r s i n t h e c o u n t r y , R o w l a n d a p p o i n t e d K a u n d a ' s f i r s t s e c r e t a r y , D u n s t a n Kamana, e d i t o r o f t h e Z a m b i a T i m e s . R o w l a n d may h a v e been r a t h e r t r a n s p a r e n t i n t h i s m a n o e u v r e , f o r i t w o u l d a p p e a r t h a t he h i r e d Kamana f e e l i n g t h a t b e i n g so c l o s e to K a u r i da he had t h e r u l e r ' s e a r and c o u l d s e r v e a s an i n t e r m e d i a r y f o r L o n r h o . C o m p a n i e s o f t e n employ s u c h s t r a t e g i e s a s h i r i n g l o c a l m i d d l e m e n who h a v e p e r s o n a l a c q u a i n t a n c e w i t h p o w e r f u l p e o p l e i n t h e r u l i n g r e g i m e . S u c h p e o p l e o f t e n p e r f o r m s e r v i c e s o f g r e a t v a l u e by e x p e d i t i n g b u s i n e s s t r a n s a c t i o n s , a r r a n g i n g i n t r o d u c t i o n s , s u p p l y i n g i n f o r m a t i o n and g e n e r a l l y f a c i l i t a t i n g t h e r e l a t i o n s b e t w e e n c o r p o r a t i o n s and h o s t g o v e r n m e n t s . However, i t was p r o b a b l e t h a t R o w l a n d had more t h a n t h e p r o f i t s f r o m n e w s p a p e r s u b s c r i p t i o n s i n m i n d when he a t t e m p t e d to c o n t r o l t h e p r e s s i n Z a m b i a . To w i t , L o n r h o ' s A f r i c a n p a p e r s h a v e been c r i t i c i z e d f o r a t t i m e s r a t h e r s u s p i c i o u s l y r e f l e c t i n g t h e company's i n t e r e s t s : " C l e a r l y L o n r h o ' s a s t u t e Mr. R o w l a n d f u l l y a p p r e c i a t e s t h e v a l u e of a p r e s s m o u t h p i e c e . . . " 1 8 R o w l a n d l i k e l y f e l t t h a t t h e n e w s p a p e r s w o u l d s e r v e as a p e r f e c t c o n d u i t w i t h w h i c h to c u r r y f a v o u r w i t h K a u n d a , p e r h a p s by p r i n t i n g f l a t t e r i n g s t o r i e s a b o u t t h e r u l e r . The p l a n b a c k f i r e d , h o w e v e r . The g o v e r n m e n t o p t e d o u t o f t h e p r o p o s e d p a r t n e r s h i p w i t h L o n r h o , and i n e a r l y 1975 t h e L o n r h o p a p e r s i n Z a m b i a w e r e n a t i o n a l i z e d . The n a t i o n a l i z a t i o n came a s a s e v e r e s l a p on t h e hand t o L o n r h o . In December 1974 t h e T i m e s o f Z a m b i a was c a s t i g a t e d by Kaunda f o r r e l e a s i n g d e t a i l s o f r e c e n t d i p l o m a t i c moves f o r a R h o d e s i a n s e t t l e m e n t , c o n t r a r y t o h i s own i n s t r u c t i o n s . The P r e s i d e n t s t a t e d t h a t n e g o t i a t i o n s w e r e a t a d e l i c a t e s t a g e and t h a t " I p e r s o n a l l y r e q u e s t e d e d i t o r s o f o u r n e w s p a p e r s to c o - o p e r a t e w i t h t h e Government and I f u r t h e r made a s p e c i a l a p p e a l t h a t n o t h i n g s h o u l d be p u b l i s h e d on t h e R h o d e s i a n i s s u e . " 1 9 In an a t t e m p t t o m o l l i f y K a u n d a , R o w l a n d r e t r a c e d h i s s t e p s and f i r e d Karnana, r e p l a c i n g him w i t h a n o t h e r o f t h e l e a d e r ' s s u p p o s e d d a r l i n g s , V e r n o n Mwaanga. S u r e l y much to R o w l a n d ' s r e l i e f , Mwaanga was l a t e r a p p o i n t e d a s Z a m b i a ' s F o r e i g n M i n i s t e r . T h u s , L o n r h o f i n a l l y f o u n d a p e r s o n to f a c i l i t a t e i t s r e l a t i o n s f r o m w i t h i n t h e Kaunda r e g i m e . D e s p i t e h i s e x e r c i s e o f p e r s o n a l power o v e r t h e L o n r h o n e w s p a p e r s , Kaunda a p p a r e n t l y c o n t i n u e s t o be R o w l a n d ' s f i r m f r i e n d . In an a t t e m p t to r e m a i n i n good s t a n d i n g w i t h Z a m b i a ' s r u l e r , R o w l a n d h a s r e p o r t e d l y e m p l o y e d a c o m b i n a t i o n o f s t r a t e g i e s , n o t t h e l e a s t o f w h i c h h a s been a l m o s t e x c e s s i v e f l a t t e r y . The e n t r e p r e n e u r h a s a l s o a l l e g e d l y p r o f f e r e d numerous 74 v a l u a b l e i n d u c e m e n t s t o K a u n d a , most o f w h i c h c o m p r i s e g i f t s o f s e r v i c e s . F o r e x a m p l e , Kaunda and h i s w i f e h a v e r e p o r t e d l y been f l o w n a b o a r d t h e M y s t e r e j e t t o London w h e r e t h e y s t a y i n a l u x u r i o u s L o n r h o a p a r t m e n t , a r e c h a u f f e u r e d a r o u n d t h e c i t y i n a L o n r h o l i m o u s i n e , and shop i n f a s h i o n a b l e s h o p s , c a r t e b l a n c h e on t h e L o n r h o a c c o u n t . 2 0 A n d , R o w l a n d e v i d e n t l y e n s u r e s t h a t p h o t o g r a p h e r s a r e on hand f r o m t h e L o n r h o - o w n e d London O b s e r v e r to p h o t o g r a p h t h e K a u n d a s i n t h e s e v a r i o u s a c t i v i t i e s . In s h o r t , i t a p p e a r s t h a t he t r e a t s t h e K a u n d a s a s i f t h e y a r e r o y a l t y . I t i s l i k e l y t h a t R o w l a n d e x p l o i t s K a u n d a ' s a p p a r e n t l o v e o f p r e s t i g e , and p u b l i c a c c l a i m . I t a p p e a r s t h a t t o Kaunda a l i n k w i t h B r i t i s h r o y a l t y i s more i m p o r t a n t t h a n money, and R o w l a n d seems to c a p i t a l i z e on t h i s . However, l i k e many p e r s o n a l r u l e r s , K aunda h a s a l o n g l i n e o f c l i e n t s to s a t i s f y , and i s , t h e r e f o r e n o t n e c e s s a r i l y immune to t h e s e d u c t i o n o f a f f l u e n c e . In f a c t , t h e r e v e r s e may be t r u e , f o r t h e p o s s e s s i o n o f immense w e a l t h , w h i c h o f t e n g u a r a n t e e s f r e e p a s s a g e i n t o t h e d r a w i n g - r o o m s o f s o c i e t y , a p p a r e n t l y h a s him c a p t i v a t e d . Kaunda i s w e l l l i k e d by t h e Queen ( i t i s r u m o u r e d ) and R o w l a n d i s a l l e g e d l y on a f i r s t name b a s i s w i t h members o f t h e R o y a l F a m i l y . 2 1 I n d e e d , i t m i q h t be s u g g e s t e d t h a t t h e e n t r e p r e n e u r g o e s so f a r a s t o i n f l a t e h i s a f f i n i t y w i t h t h e R o y a l F a m i l y i n o r d e r to i n g r a t i a t e h i m s e l f f u r t h e r w i t h K a u n d a . A n g u s O g i l v y , who was a l o n g t i m e d i r e c t o r o f L o n r h o , i s m a r r i e d t o P r i n c e s s A l e x a n d r a — a c o u s i n to t h e Queen. To R o w l a n d a p p e a r a n c e s seem t o be t h e k e y , and he p e r p e t u a t e s 75 t h i s image w i t h a n assumed O x f o r d a c c e n t , a l o o f y e t c h a r m i n g a t t i t u d e , i n t e n s e l y p r i v a t e p e r s o n a l l i f e , and S a v i l l e Row c l o t h i n g . 2 2 K a u r i d a , b e i n g a v o c a l and w e l l - k n o w n member of t h e Commonwealth, i s made t o f e e l more i m p o r t a n t by t h e s k i l l f u l e n t r e p r e n e u r who r e p o r t e d l y a d d r e s s e s h i m a s "Your G r a c e " and r e f e r s t o Z a m b i a a s "Your Domain" — a s i f t h e l e a d e r w e r e an emperor o f a g r e a t e m p i r e . D e s c r i b e d a s b e i n g w e l l - r e a d , R o w l a n d o b v i o u s l y remembers t h a t " G l o r i a " t o M a c h i a v e l l i was v e r y i m p o r t a n t : " . . . a b o v e a l l a p r i n c e must e n d e a v o u r i n e v e r y a c t i o n to o b t a i n fame f o r b e i n g g r e a t and e x c e l l e n t . " 2 3 K a u n d a , b e i n g a s c h o l a r h i m s e l f , o b v i o u s l y f o r g o t t h e c h a p t e r i n The P r i n c e e n t i t l e d : "How F l a t t e r e r s Must Be Sh u n n e d " . N a t u r a l l y i t i s n o t mere f l a t t e r y t h a t w i n s p o i n t s w i t h K a u n d a ; h o w e v e r , c o m b i n e d w i t h R o w l a n d ' s o t h e r s t r a t e g i e s f o r o p e r a t i n g i n Z a m b i a , i t h a s become t h e f o r m u l a f o r s u c c e s s . I n d e e d , t h e s u c c e s s o f L o n r h o i n Z a m b i a c a n n o t be o v e r s t a t e d . A s e a r l y a s 1968 Kaunda a n n o u n c e d t h a t i t was u n a c c e p t a b l e f o r t h e Za m b i a n economy to be d i r e c t e d by f o r e i g n c o m p a n i e s . He c r i t i c i z e d t h e m i n i n g and o t h e r f o r e i g n - c o n t r o l l e d c o r p o r a t i o n s f o r t h e i r g r o s s u n d e r - c a p i t a l i z a t i o n , e x c e s s i v e l o c a l b o r r o w i n g , and e x p a t r i a t i o n o f huge p r o f i t s . To c o r r e c t t h e s i t u a t i o n , t h e P r e s i d e n t l i m i t e d b o t h b o r r o w i n g by f o r e i g n c o m p a n i e s f r o m t h e b a n k s , and t h e r e m i t t a n c e o f p r o f i t s a b r o a d . He d e c l a r e d t h a t no more t h a n f i f t y p e r c e n t o f p r o f i t s c o u l d be e x p o r t e d , and " i n v i t e d " t w e n t y - s e v e n c o m p a n i e s t o o f f e r t h e g o v e r n m e n t a f i f t y - o n e p e r c e n t s t a k e i n t h e i r e n t e r p r i s e s . 2 4 A t t h e same t i m e , 76 t h e p o l i t i c a l e l i t e was c o n s o l i d a t i n g i t s p o s i t i o n a s a r u l i n g c l a s s by p r o g r e s s i v e l y b r i n g i n g more f o r e i g n c o m p a n i e s i n t o s t a t e o w n e r s h i p . H i s p o s i t i o n t e n u o u s due to l a g g i n g s u p p o r t o f t h e e l i t e , t h e P r e s i d e n t n e x t a n n o u n c e d t h a t a l l m i n e r a l r i g h t s w o u l d r e v e r t t o t h e s t a t e . T h e s e " Z a m b i a n i z a t i o n " m e a s u r e s s e r v e d to r e a f f i r m h i s p o s i t i o n w i t h h i s s u p p o r t e r s . Of g r e a t i n t e r e s t i s t h e f a c t t h a t w h i l e t h e s e n a t i o n a l i z a t i o n p r o c e d u r e s t r a n s p i r e d , R o w l a n d was n o t f i g h t i n g to m a i n t a i n t h e p o s i t i o n o f h i s c o m p a n i e s . R a t h e r , he a p p e a r s to h a v e been i n t h e p r o c e s s of s e c u r i n g an a g r e e m e n t w i t h Kaunda f o r t h e s e r v i c e s o f Mr. Andrew S a r d a n i s — t h e p e r s o n who had m a s t e r m i n d e d t h e Z a m b i a n i z a t i o n scheme.25 i n d e e d , a s i d e f r o m t h e n a t i o n a l i z a t i o n o f t h e two L o n r h o n e w s p a p e r s and a c h a i n o f c i n e m a s , L o n r h o ' s m a s s i v e i n t e r e s t s i n Z a m b i a w e r e l e f t l a r g e l y u n s c a t h e d by K a u n d a ' s move. T h e r e i s no e v i d e n c e of any f o r m a l d e a l s b e i n g c o n c l u d e d by t h e P r e s i d e n t and R o w l a n d f o r t h i s o b v i o u s " o v e r s i g h t " on t h e p a r t o f t h e r u l e r . H owever, a c c o r d i n g to t e s t i m o n y by A n g u s O g i l v y to t h e B r i t i s h D e p a r t m e n t of T r a d e i n 1 9 7 5 , L o n r h o was n o t a b o v e m a k i n g " s p e c i a l p a y m e n t s " : " I was n o t a g a i n s t t h e p r i n c i p l e , or w o u l d n o t be a g a i n s t t h e p r i n c i p l e o f b r i b e r y , b e c a u s e I t h i n k i t h a s p r o b a b l y g o t to be done i n c e r t a i n c o u n t r i e s ; i t i s p a r t of d o i n g b u s i n e s s l i k e p a y i n g a M e r c h a n t bank an u n d e r w r i t i n g f e e . " 2 6 By w h a t e v e r m e t h o d s e m p l o y e d , w h e t h e r t h r o u g h h i s c o n n e c t i o n s w i t h t h e B r i t i s h R o y a l F a m i l y , o r t h r o u g h s t r a t e g i c a l l y p l a n t e d i n t e r m e d i a r i e s , o u t r i g h t b r i b e r y , o r h i s l o n g - t i m e p e r s o n a l 77 f r i e n d s h i p w i t h t h e P r e s i d e n t , R o w l a n d somehow managed t o , and c o n t i n u e s t o , s i d e s t e p t h e many h i g h r i s k s o f d o i n g b u s i n e s s i n t h i s p e r s o n a l l y - r u l e d b l a c k A f r i c a n s t a t e . To w i t , R o w l a n d seems to h a v e p u t g r e a t e f f o r t i n t o f o s t e r i n g g ood r e l a t i o n s w i t h Z a m b i a ' s r u l e r . T h i s may s u g g e s t t h a t i n h i s r e l a t i o n s h i p s w i t h m u l t i n a t i o n a l s , Kaunda h a s some s t r a t e g i e s o f h i s own. I n f a c t t h e r u l e r may w e l l be c a p i t a l i z i n g on h i s p o s i t i o n a s a s o v e r e i g n by e n c o u r a g i n g R o w l a n d t o pay h a n d s o m e l y f o r h i s f a v o u r s . The a b o v e e v i d e n c e t h u s d i s c l o s e s t h a t r a t h e r t h a n b e i n g a d e t e r m i n i s t i c r e l a t i o n s h i p i n w h i c h L o n r h o d o m i n a t e s an u l t i m a t e l y s u b s e r v i e n t K a u n d a , a s d e p e n d e n c y t h e o r y m i g h t s u g g e s t , t h e i r s i s a r e l a t i o n s h i p b a s e d on c o n t i n g e n t i n t e r a c t i o n . Much o f R o w l a n d ' s s t r a t e g y w i t h t h e r u l e r , i f t h e a b o v e e v i d e n c e i s an i n d i c a t i o n , a p p e a r s to be t a i l o r e d to K a u n d a ' s p e r s o n a l p r e f e r e n c e s and p a r t i c u l a r s t y l e o f l e a d e r s h i p , s t r a t e g y e m p l o y e d to r e m a i n on good t e r m s w i t h t h e r u l e r . The e n t r e p r e n e u r h a s n o t o n l y h i r e d i n t e r m e d i a r i e s who a r e a s s o c i a t e d w i t h t h e r u l e r and who may f a c i l i t a t e L o n r h o ' s b u s i n e s s i n Z a m b i a , b u t h a s a l s o a l l e g e d l y p r o f f e r e d i n d u c e m e n t s to Kaunda i n t h e f o r m o f v a l u a b l e g i f t s , m a i n l y i n t h e f o r m o f s e r v i c e s . I n d e e d , he h a s even been r e p o r t e d to employ o u t r i g h t f l a t t e r y to w i n t h e l e a d e r ' s a p p r o v a l . A l l o f t h e s e e f f o r t s h a v e e v i d e n t l y been s u c c e s s f u l , f o r L o n r h o h a s c o n t i n u e d t o i n v e s t h e a v i l y i n Z a m b i a . Y e t a s i n R o w l a n d ' s r e l a t i o n s h i p w i t h D r . B a n d a , i t i s d i f f i c u l t t o s p e c u l a t e a s to who a c t u a l l y h a s t h e u p p e r h a n d . I t may a p p e a r , a t f i r s t g l a n c e , t h a t R o w l a n d i s t h e u l t i m a t e s c h e m e r , h o w e v e r , t h e g r e a t e f f o r t he 78 h a s p u t i n t o f o s t e r i n g g o od r e l a t i o n s w i t h Z a m b i a ' s s o v e r e i g n l e a v e s some d o u b t a s t o who h a s more c u n n i n g . K e n y a T i n y R o w l a n d h a s i n t h e p a s t been i n v o l v e d i n some u n s e e m l y r e l a t i o n s h i p s and a s s o c i a t i o n s i n s u b - S a h a r a n A f r i c a , b u t none q u i t e a s s c a n d a l o u s a s t h o s e i n K e n y a . I n i t i a l l y t h e f r i e n d s h i p s R o w l a n d c u l t i v a t e d w i t h members o f t h e Kenyan r e g i m e e l e v a t e d L o n r h o to a v e r y a d v a n t a g e o u s p o s i t i o n i n t h a t c o u n t r y . I n d e e d , by f o s t e r i n g r e l a t i o n s h i p s w i t h p e r s o n s i n p o w e r f u l p o s i t i o n s , m u l t i n a t i o n a l c o r p o r a t i o n s may e f f e c t i v e l y s i d e s t e p o f f i c i a l h a r a s s m e n t w h i l e a t t h e same t i m e g a i n i n g s u c h a d v a n t a g e s a s c o n t r a c t s o r l i c e n c e s t h a t m i g h t n o t o t h e r w i s e be r e a d i l y a v a i l a b l e . However, a s R o w l a n d p e r h a p s l e a r n e d i n K e n y a , s y s t e m s of p e r s o n a l r u l e a r e m a r k e d by i n h e r e n t u n c e r t a i n t y ; t h e r e i s a l w a y s t h e p o s s i b l i t y f o r f a t e o r f o r t u n e to a l t e r c i r c u m s t a n c e s so t h a t t h e r u l e r who i s f i r m l y i n c o n t r o l one day may n o t be t h e n e x t . The r u l e r i s t h e key p o i n t o f v u l n e r a b i l i t y , f o r h i s w e l f a r e and f o r t u n e a r e c r i t i c a l t o t h o s e who a r e d e p e n d e n t on him f o r t h e i r power and f o r t u n e . T h u s , i f he f a l l s , h i s f r i e n d s , r e l a t i v e s , l i e u t e n a n t s , c l i e n t s and f o l l o w e r s a l s o may f a l l . S u c h t i e s a r e a l w a y s c o n d i t i o n a l , c o n t i n g e n t upon t h e p e r s o n s i n t h e r e l a t i o n s h i p and o r d i n a r i l y c a n n o t o u t l a s t them. T h u s R o w l a n d c u l t i v a t e d some v e r y s t r o n g t i e s w i t h i n t h e r u l i n g K e n y a t t a f a m i l y w h i c h i n i t i a l l y p r o v e d p r o f i t a b l e f o r L o n r h o . However, when P r e s i d e n t Jomo K e n y a t t a d i e d , h i s a s s o c i a t e s and r e l a t i v e s , whose f o r t u n e s h a d been bound w i t h h i s , f o u n d t h e m s e l v e s w i t h o u t a power b a s e i n t h e new Moi r e g i m e . R o w l a n d t o o , f o u n d h i m s e l f to be n o t o n l y w i t h o u t p o w e r f u l f r i e n d s , b u t due t o h i s p a s t a s s o c i a t i o n s , l a r g e l y o u t o f f a v o u r w i t h t h e new r u l i n g r e g i m e . In 1967 L o n r h o E a s t A f r i c a was f o r m e d i n K e n y a t o p r o v i d e s e r v i c e s f o r t h e company i n K e n y a , Uganda and T a n z a n i a . The Kenyan g o v e r n m e n t ' s p o l i c y o f e n c o u r a g i n g f o r e i g n p r i v a t e e n t e r p r i s e p r o v i d e d L o n r h o w i t h a m ple s c o p e f o r e x p a n s i o n and by t h e end o f 1972 t h e company had some f i f t y s u b s i d i a r i e s t h e r e . 2 ^ However, by th e e a r l y 1 9 7 0 ' s , t h e r e w e r e some i n Kenyan g o v e r n m e n t who w e r e not happy w i t h L o n r h o ' s b u r g e o n i n g e c o n o m i c power. In 1 3 7 2 , Mr. J.M. K a r i u k i , t h e A s s i s t a n t M i n i s t e r f o r T o u r i s m and W i l d l i f e , i n f a c t l a u n c h e d a P a r l i a m e n t a r y d e b a t e a b o u t t h e " d a n g e r s " o f t h e m u l t i n a t i o n a l i n t e r m s o f i t s p o l i t i c a l and e c o n o m i c i n t e r e s t s i n K e n y a . F i n a l l y , M r s . G e c a g a , a member o f p a r l i a m e n t , i n t e r v e n e d to p o i n t o u t t h a t h e r s o n , U d i G e c a g a , was m a n a g i n g d i r e c t o r o f L o n r h o i n K e n y a , and t h a t t h e r e w e r e " v e r y many b i g c o m p a n i e s i n K e n y a , much b i g g e r t h a n L o n r h o , t h a t £dicO n o t have A f r i c a n m a n a g i n g d i r e c t o r s o r even d i r e c t o r s . " 2 8 She t h e n a s k e d : "Why h a s L o n r h o been d i s c u s s e d i n t h i s House f o r t h e l a s t t e n d a y s ? I s i t b e c a u s e t h e r e m i g h t be a f r i e n d o r f r i e n d s o f someone i n t h i s House who w a n t e d t h i s m a n a g i n g d i r e c t o r s h i p i n L o n r h o b u t f a i l e d to g e t i t ? " 2 9 Her q u e s t i o n e l i c i t e d no r e s p o n s e . However, i t seems p l a u s i b l e t h a t s h e u n e a r t h e d t h e s o u r c e o f t h e c o n t r o v e r s y . 80 Her s t a t e m e n t may r e v e a l more t h a n a p p e a r s , f o r by a s k i n g s u c h a q u e s t i o n , M r s . G e c a g a may have a c k n o w l e d g e d t h e p o s s i b i l i t y t h a t some p e o p l e i n t h e r u l i n g r e g i m e w e r e g a i n i n g p e r s o n a l l y f r o m t h e i r a s s o c i a t i o n w i t h f o r e i g n e n t e r p r i s e . I n d e e d , t h e e v i d e n c e p o i n t s i n t h a t d i r e c t i o n . U d i Gecaga was a w e l l - c o n n e c t e d p e r s o n i n K e n y a who l a t e r became t h e f i r s t A f r i c a n t o be a p p o i n t e d to L o n r h o ' s m a i n b o a r d i n L o n d o n . H i s u n c l e , t h e F o r e i g n M i n i s t e r D r . M u n g a i , was a nephew o f P r e s i d e n t K e n y a t t a ; h i s m o t h e r was a member o f p a r l i a m e n t and t h e s i s t e r o f t h e F o r e i g n M i n i s t e r . A f t e r r e c e i v i n g t h r e e d e g r e e s f r o m p r e s t i g i o u s W e s t e r n u n i v e r s i t i e s , he became an e x e c u t i v e w i t h t h e Bank o f A m e r i c a and t h e N a t i o n a l Bank of K e n y a , u n t i l he was r e c r u i t e d f o r L o n r h o by one o f t h e company's most i m p o r t a n t A f r i c a n c o n n e c t i o n s — G i l O l y m p i c o f t h e I v o r y C o a s t . S h o r t l y a f t e r j o i n i n g L o n r h o , G e c a g a m a r r i e d a d a u g h t e r o f P r e s i d e n t K e n y a t t a , t h u s f u r t h e r s t r e n g t h e n i n g h i s and L o n r h o ' s t i e s w i t h K e n y a ' s r u l i n g f a m i l y . In a d d i t i o n , one o f G e c a g a ' s u n c l e s , N g e t h e N j o r o g e , was H i g h C o m m i s s i o n e r i n London i n 1 3 7 3 , when L o n r h o ' s d i s s i d e n t d i r e c t o r s and R o w l a n d ' s s u p p o r t e r s b r o u g h t t h e i r d i s p u t e b e f o r e a E n g l i s h H i g h C o u r t i n t h e famous " B o a r d r o o m Row". , 3 U U d i G e c a g a , t h u s , l i k e l y became i n d i s p e n s i b l e to R o w l a n d i n K e n y a . W i t h h i s f a m i l y c o n n e c t i o n s i n t h e r u l i n g r e g i m e , R o w l a n d d i d n o t h a v e to employ t h e s e r v i c e s o f o t h e r i n t e r m e d i a r i e s t o h e l p c u r r y f a v o u r w i t h t h e g o v e r n m e n t , n o r d i d he h a v e to i n g r a t i a t e h i m s e l f w i t h t o o many p e o p l e to p r o m o t e L o n r h o i n K e n y a . By b e c o m i n g a d i r e c t p a r t n e r w i t h a member o f t h e r u l i n g f a m i l y i n L o n r h o ' s l u c r a t i v e v e n t u r e s , R o w l a n d e n s u r e d t h a t i t was i n t h e i r i n t e r e s t t o e x p e d i t e p a p e r w o r k , o v e r l o o k r e g u l a t i o n s and g e n e r a l l y p r o m o t e L o n r h o i n t h e c o u n t r y . K a r i u k i had c o r r e c t l y f e a r e d t h a t L o n r h o ' s w e l l - p o s i t i o n e d c o n n e c t i o n s m i g h t i n f l u e n c e g o v e r n m e n t p o l i c y , and he c o m p l a i n e d t h a t t h e company r a t h e r t h a n i n j e c t i n g c a p i t a l , was b o r r o w i n g l o c a l l y a nd n o t r e p a t r i a t i n g p r o f i t s . L o n r h o , a t t h e t i m e , had been t a k i n g o v e r a s many f i r m s a s p o s s i b l e , i n c l u d i n g t e a c o m p a n i e s and f a r m s . In t h i s r e g a r d t h e r e a p p e a r s t o h a v e d e v e l o p e d somewhat of a s c a n d a l i n t e r m s o f a c o n f l i c t o f i n t e r e s t s w h i c h i n v o l v e d b o t h L o n r h o and K e n y a ' s r u l i n g f a m i l y . T h o s e members o f t h e r u l i n g e l i t e i n v o l v e d p r o b a b l y u s e d t h e i r a r b i t r a r y power t o s i l e n c e t h e s c a n d a l , t h u s t h e a l l e g e d " c o v e r - u p " was n e v e r e x p o s e d i n i t s e n t i r e t y . What i s known a b o u t t h e i n c i d e n t , h o w e v e r , h e l p s to r e v e a l t h e n a t u r e o f t h e r e l a t i o n s h i p t h a t R o w l a n d c u l t i v a t e d w i t h t h e Kenyan p e r s o n a l r e g i m e . In 1975 R o w l a n d began a p r o j e c t to e s t a b l i s h a c o m m e r c i a l v e h i c l e a s s e m b l y p l a n t i n w h i c h L o n r h o ' s s u b s i d i a r y , K e nya M o t o r H o l d i n g s L t d . , p l a y e d a r o l e i n p a r t n e r s h i p w i t h t h e g o v e r n m e n t , t h e I n d u s t r i a l D e v e l o p m e n t Bank L t d . , I n c h c a p e M a c k e n z i e C o r p o r a t i o n , and A s s o c i a t e d V e h i c l e s A s s e m b l y L t d . R e p o r t e d l y , G e c a g a and o t h e r members o f t h e K e n y a t t a f a m i l y w e r e h e a v i l y i n v o l v e d i n I n c h c a p e M a c k e n z i e . 3 1 K a r i u k i , p e r h a p s l e a r n i n g of t h i s scheme t h a t w o u l d be l u c r a t i v e f o r t h o s e g o v e r n m e n t o f f i c i a l s i n v o l v e d , f o o l i s h l y t r u m p e t e d t h i s k n o w l e d g e . In a d d i t i o n , i t was 82 a l s o u n c o v e r e d by Kenyan M.P. Mr. W i c h i r a , t h a t t h e N a i r o b i C h i b u k u Company — d i s t r i b u t o r s o f C h i b u k u b e e r — was owned by L o n r h o , and t h a t b o t h U d i G e c a g a and h i s u n c l e , N y i o k e N j o r o g e , w e r e i n v o l v e d i n t h e company. However, W i c h i r a e v i d e n t l y u n d e r s t o o d t h e " v i r t u e s o f p r u d e n c e " and d i d n o t e n d e a v o u r t o make t h i s k n o w l e d g e t o o p u b l i c . In M a r c h 1375 K a r i u k i was f o u n d m u r d e r e d . He had been w i d e l y r e g a r d e d a s t h e l e a d e r of t h e u n o f f i c i a l P a r l i a m e n t a r y o p p o s i t i o n and had been p a r t i c u l a r l y v o c a l i n h i s c r i t i c i s m o f t h e P r e s i d e n t and h i s f a m i l y on a v a r i e t y o f i s s u e s . He c o n t i n u a l l y q u e s t i o n e d p r a c t i c e s o f c o r r u p t i o n and n e p o t i s m and was c r i t i c a l and c o n d e m n a t o r y o f f o r e i g n b u s i n e s s e n t e r p r i s e , i n e s s e n c e , c h a l l e n g i n g t h e way t h e "game" was b e i n g p l a y e d . L o n r h o was e n t a n g l e d by v i r t u e o f i t s p o w e r f u l Kenyan c o n n e c t i o n s . F o r i n a t t a c k i n g L o n r h o , K a r i u k i had i n a d v e r t e n t l y , or p u r p o s e l y , o n c e a g a i n c r i t i c i z e d t h e r u l i n g f a m i l y . The r e p o r t of t h e c o m m i s s i o n o f i n q u i r y w h i c h i n v e s t i g a t e d t h e m u r d e r a c c u s e d t h e N a i r o b i p o l i c e o f "a m a s s i v e c o v e r - u p o p e r a t i o n " . And w h i l e o t h e r n e w s p a p e r s p u b l i s h e d t h e r e p o r t i n f u l l , t h e L o n r h o - o w n e d S t a n d a r d o m i t t e d v i t a l s e c t i o n s i m p l i c a t i n g t o p p o l i c e p e r s o n n e l . 3 2 K a r i u k i ' s e l i m i n a t i o n l i k e l y r e f l e c t e d t h e p o l i t i c a l f a c t t h a t t h e r e g i m e w o u l d n o t t o l e r a t e o u t s p o k e n p u b l i c r i v a l r y o r e ven c r i t i c i s m t o i t s r u l i n g o l i g a r c h y , and t h e e c o n o m i c f a c t t h a t members o f t h e g o v e r n m e n t w e r e i n d e e d e n g a g e d i n t h e p u r s u i t o f p e r s o n a l a g g r a n d i z e m e n t . K a r i u k i ' s m urder c a u s e d a s e r i o u s p o l i t i c a l c r i s i s i n K e n y a b e c a u s e o f h i s p o p u l a r i t y — 83 p a r t o f w h i c h was due t o h i s o u t s p o k e n c r i t i c i s m o f t h e i n c r e a s i n g l y c l o s e r e l a t i o n s h i p b e t ween g o v e r n m e n t and b i g b u s i n e s s . When P r e s i d e n t A r a p Moi i n h e r i t e d power a f t e r t h e d e a t h o f Jomo K e n y a t t a i n 1978, R o w l a n d h a s t i l y s e v e r e d a l l t i e s t o t h e l a t e P r e s i d e n t ' s f a m i l y . However, t h i s o b v i o u s s t r a t e g y d i d n o t a p p e a r t o e n h a n c e L o n r h o ' s p o s i t i o n w i t h M o i a g r e a t d e a l , a s R o w l a n d was t o l e a r n l a t e r . R e p o r t e d l y , t h e r e h a d been a s c a n d a l w h i c h i n v o l v e d an a t t e m p t by Ge c a g a to keep V i c e - P r e s i d e n t M o i f r o m s u c c e e d i n g K e n y a t t a . And a l t h o u g h G e c a g a h ad p r o t e s t e d h i s i n n o c e n c e , he was t h e c h a i r m a n o f t h e S t a n d a r d — L o n r h o ' s d a i l y n e w spaper i n K e n y a . Moi a c c u s e d t h e S t a n d a r d o f a c t i n g a s t h e m o u t h p i e c e o f t h e c o n s p i r a c y a g a i n s t h i m . R o w l a n d p r o m p t l y f i r e d G e c a g a and demoted s e v e r a l o t h e r known " K e n y a t t a " men.33 j r , e e n t r e p r e n e u r e x p l a i n e d h i s s t r a t e g y a s a m a t t e r o f p r u d e n c e : "Even i f y o u r man o u t t h e r e i s d o i n g a f i r s t - c l a s s j o b and he f a l l s f o u l of t h e g o v e r n m e n t , t h e n he must go."34 By t h i s t i m e L o n r h o was e a r n i n g a p p r o x i m a t e l y one q u a r t e r o f i t s A f r i c a n p r o f i t s f r o m K e n y a a l o n e , w h i c h p r o b a b l y made R o w l a n d f e e l d e s p e r a t e a b o u t t h e u n e x p e c t e d t u r n o f e v e n t s . Moi a p p r o a c h e d t h e r u l i n g o f K e n y a i n a d i f f e r e n t manner f r o m K e n y a t t a , who had p e r s o n i f i e d t h e s t a t e and d o m i n a t e d i t s p o l i t i c a l l i f e p r a c t i c a l l y f r o m i t s i n c e p t i o n . W h i l e Moi i n i t i a l l y s t r e s s e d c o n t i n u i t y , he l a t e r s h i f t e d t h e l o n g - s t a n d i n g p o s i t i o n s o f many p e r s o n s i n t h e r e g i m e , d e t e r m i n e d t o stamp o u t n e p o t i s m , c o r r u p t i o n , and o t h e r l e g a l a b u s e s . 3 5 A l t h o u g h R o w l a n d 84 h a s t i l y a d a p t e d h i s s t r a t e g y t o s u i t t h e new power c o n f i g u r a t i o n s , i t w o u l d be d i f f i c u l t t o m a t c h t h e b e n e f i t s t h a t L o n r h o had d e r i v e d f r o m i t s r e l a t i o n s h i p w i t h t h e K e n y a t t a f a m i l y . A c c o r d i n g t o o b s e r v e r s , he h a s n o t q u i t e been a b l e t o g a i n t h e l e v e r a g e and s t r e n g t h w i t h t h e Moi r e g i m e t h a t L o n r h o o n c e e n j o y e d i n K enya.36 D u r i n g t h e K e n y a t t a e r a , t h e s u c c e s s o f L o n r h o ' s v e n t u r e s i n K e n y a seems to h a v e been l a r g e l y due t o t h e r e l a t i o n s h i p s t h a t R o w l a n d f o s t e r e d w i t h t h e r u l i n g f a m i l y . By e n t e r i n g i n t o p a r t n e r s h i p w i t h t h e s e p e o p l e , L o n r h o was a s s u r e d a s t e a d y and u n i n t e r r u p t e d f l o w o f b u s i n e s s i n t h a t c o u n t r y . S u c h a s s o c i a t i o n s w e r e l u c r a t i v e f o r a l l c o n c e r n e d , and t h e i r s t a b i l i t y was t h e r e b y e n s u r e d . However, as i n t h e c h a n g e of l e a d e r s h i p o f any p e r s o n a l l y r u l e d s t a t e , power c o n f i g u r a t i o n s a l t e r , o f t e n to t h e d e t r i m e n t o f t h o s e who had r e l a t i o n s w i t h t h e f o r m e r r e g i m e . R o w l a n d f o u n d i t d i f f i c u l t to d e t a c h h i m s e l f f r o m h i s c l o s e t i e s to t h e K e n y a t t a r e g i m e , t h u s h i s r e l a t i o n s h i p w i t h Moi began on t h e w r o n g f o o t . However, b e c a u s e s u c h r e l a t i o n s a r e c o n d i t i o n a l , c o n t i n g e n t on i n d i v i d u a l s and c i r c u m s t a n c e s f o r t h e i r s u r v i v a l , R o w l a n d ' s new s t r a t e g y h a s l i k e l y been one o f r e - o r i e n t a t i o n and a d a p t a t i o n . In o r d e r t o a d a p t , he h a s l i k e l y c u l t i v a t e d new r e l a t i o n s h i p s and e s t a b l i s h e d new t i e s , p e r h a p s w i t h t h e h e l p o f i n t e r m e d i a r i e s or f a c i l i t a t o r s . I n s t a b i l i t y i s s i m p l y a f a c t o f o p e r a t i n g i n s u c h an e n v i r o n m e n t . I n d e e d , an a r t f u l e n t r e p r e n e u r must t a k e a d v a n t a g e o f h i s f a v o u r a b l e p o s i t i o n t o d a y , f o r t omorrow he may be a s d e v o i d o f i n f l u e n c e as h i s c o n t a c t s may be o f power. R o w l a n d 85 e v i d e n t l y r e c o g n i s e d h i s v u l n e r a b i l i t y i n t h i s r e g a r d too l a t e , and f o u n d t h a t L o n r h o ' s s u r v i v a l was l a r g e l y c o n t i n g e n t on h i s a b i l i t y t o a d a p t t o t h e c h a n g e i n men and c i r c u m s t a n c e . T h u s , f o r m u l t i n a t i o n a l e n t e r p r i s e , t h e d i s a d v a n t a g e of f o s t e r i n g r e l a t i o n s w i t h t h o s e i n r e g i m e s o f p e r s o n a l r u l e i s d i s c l o s e d by c a s e s s u c h a s t h i s . In t h e i n s t a n c e o f s u b - S a h a r a n A f r i c a , i t a p p e a r s t h a t t h e D a r w i n i a n scheme o f t h e r u l e o f n a t u r e a p p l y s . I n d e e d , o n l y t h o s e b u s i n e s s e n t e r p r i s e s w h i c h b e s t a d a p t w i l l s u r v i v e i n t h e e v e r - c h a n g i n g e n v i r o n m e n t o f p e r s o n a l r u l e . I v o r y C o a s t In t h e l a t e 136Q's L o n r h o t u r n e d i t s a t t e n t i o n to West A f r i c a , e x p a n d i n g i n t o Z a i r e , Ghana, N i g e r i a and t h e I v o r y C o a s t , among o t h e r s . One of t h e f i r s t c o u n t r i e s i n t h e r e g i o n t h a t t h e company i n v e s t e d i n was t h e I v o r y C o a s t . In t h i s s m a l l s t a t e , R o w l a n d ' s scheme a p p e a r s t o h a v e been t o e x p a n d h i s s u g a r e m p i r e , f r o m t h e g r o w i n g of t h e c a n e t o i t s r e f i n i n g . The p l a n was met w i t h o p p o s i t i o n f r o m e x i s t i n g F r e n c h c o n c e r n s , who a l r e a d y had l o n g - e s t a b l i s h e d r e l a t i o n s h i p s i n t h a t . c o u n t r y . 3 ? T h u s , i n o r d e r to g a i n a f o o t i n g i n t h e I v o r y C o a s t , R o w l a n d ' s s t r a t e g y a p p e a r s to h a v e been t o f o r m a p a r t n e r s h i p w i t h t h e I v o r i a n r e g i m e . In t h i s way, L o n r h o managed to s e c u r e some v e r y l u c r a t i v e c o n t r a c t s . The f i r s t came i n 1 9 6 3 , i n w h i c h L o n r h o and t h e g o v e r n m e n t h a d , r e s p e c t i v e l y , 40 p e r c e n t and 60 p e r c e n t i n t e r e s t s . T h i s was t h e S o c i e t e I v o i r i e n n e d ' E x p o r t a t i o n S.A. ( S O C I V E X ) , w h i c h was s e t up 86 a s a commodity m a r k e t i n g e n t e r p r i s e . By 1372 i t was e x p o r t i n g a b o u t 5 p e r c e n t o f t h e c o u n t r y ' s c o c o a and 4 p e r c e n t of i t s c o f f e e . 3 8 i n F e b r u a r y 1371 R o w l a n d ' s d i l i g e n c e p a i d o f f , f o r L o n r h o was f i n a l l y a w a r d e d a s u g a r c o n t r a c t . B a s e d on a p a r t n e r s h i p w i t h t h e g o v e r n m e n t , t h e s t a t e s u g a r c o r p o r a t i o n , SODESUCRE was f o r m e d . The scheme was to i n c l u d e an i r r i g a t i o n s y s t e m c o v e r i n g 12,000 a c r e s o f c a n e , and p o s s i b l y a d a m . ^ i t was on a s c a l e to r e n d e r t h e I v o r y C o a s t i n d e p e n d e n t of i m p o r t e d s u g a r . Much of L o n r h o ' s s u c c e s s i n t h e I v o r y C o a s t and i t s e n t r e e i n t o f r a n c o p h o n e A f r i c a was a p p a r e n t l y due to R o w l a n d ' s r e l a t i o n s h i p w i t h G i l c h r i s t O l y m p i c . " G i l " O l y m p i o was a son of t h e l a t e S y l v a n u s O l y m p i c of T o g o , who i n 1363 had a c h i e v e d t h e s o r r y d i s t i n c t i o n o f b e i n g t h e f i r s t h e a d of an i n d e p e n d e n t A f r i c a n c o u n t r y t o be a s s a s s i n a t e d w h i l e i n o f f i c e . G i l O l y m p i c was an i n t e r n a t i o n a l i n t e r m e d i a r y , s e l l i n g h i s s e r v i c e s a s a f a c i l i t a t o r f o r MNCs i n c e r t a i n b l a c k A f r i c a n s t a t e s . I t i s o f t e n h a z a r d o u s f o r a company t o become i n v o l v e d i n an e n v i r o n m e n t i n w h i c h i t d o e s n o t u n d e r s t a n d t h e c u s t o m s , c u l t u r e s , l a n g u a g e s and p o l i t i c a l c l i m a t e . T h e r e f o r e , s u c h i n t e r m e d i a r i e s a r e o f t e n i n v a l u a b l e t o m u l t i n a t i o n a l c o r p o r a t i o n s . T h r o u g h t h e i r p e r s o n a l a c q u a i n t a n c e w i t h t h e s t a t e ' s b u s i n e s s m e n and g o v e r n m e n t o f f i c i a l s , p e r h a p s even t h e r u l e r h i m s e l f , t h e y can p e r f o r m s e r v i c e s w h i c h may e x p e d i t e MNC b u s i n e s s by way o f a r r a n g i n g i n t r o d u c t i o n s and m e e t i n g s , s u p p l y i n g i n f o r m a t i o n , m a k i n g l o c a l m a r k e t s t u d i e s , and c o n d u c t i n g i n v o l v e d n e g o t i a t i o n s . I n d e e d , O l y m p i c ' s c o n n e c t i o n s w e r e i m p e c c a b l e f o r L o n r h o ' s p u r p o s e s : b e s i d e s b e i n g t h e s e c o n d son of t h e l a t e P r e s i d e n t o f Togo, he had a y o u n g e r b r o t h e r , E l p i d o , who was m a r r i e d t o t h e d a u g h t e r o f t h e I v o r i a n P r e s i d e n t , H o u p h o u e t - B o i g n y . 4 0 ^e was o r i g i n a l l y r e c r u i t e d by L o n r h o f r o m t h e I n t e r n a t i o n a l M o n e t a r y Fund t o become t h e i r new West A f r i c a n manager. R e p o r t e d l y , i t was t h e O l y m p i c name t h a t e n h a n c e d L o n r h o ' s l u s t r e i n West A f r i c a . In N i g e r i a , w h e r e h i s l a t e f a t h e r h a d o n c e w o r k e d f o r U n i l e v e r , " ' G i l ' was a b l e t o sweep R o w l a n d t h r o u g h t h e f i n a n c i a l j u n g l e to t h e c e n t r e s o f p a t r o n a g e and d e c i s i o n . " ^ l In a c o u n t r y t h a t i s r u n a l m o s t e n t i r e l y on t h e a g e n c i e s of t h e s t a t e b e q u e a t h e d by t h e F r e n c h , H o u p h o u e t - B o i g n y h a s r e l i e d on i t s b u r e a u c r a t i s m . In a d d i t i o n , t h e r u l e r d e p e n d s on t h e management, t e c h n i c a l , and b u s i n e s s e x p e r t i s e ( a s w e l l as i n v e s t m e n t s ) o f t h e F r e n c h e x p a t r i a t e c o m m u n i t y . S t e a d y e c o n o m i c g r o w t h h a s s e r v e d H o u p h o u e t - B o i g n y ' s i n t e r e s t s w e l l by g i v i n g him r e s o u r c e s w i t h w h i c h to p r o p up t h e e x t e n s i v e s y s t e m o f p a t r o n - c l i e n t r e l a t i o n s . However, b e c a u s e t h e s t a b i l i t y o f t h e r e g i m e i s c o n t i n g e n t , to a g r e a t d e g r e e , on i t s a b i l i t y to r e d i s t r i b u t e b e n e f i t s , a d e c l i n e i n t h e economy c o u l d make i t v u l n e r a b l e to p o l i t i c a l u n c e r t a i n t i e s . B e c a u s e t h e r e w a r d s o f a c i v i l s e r v i c e a p p o i n t m e n t , o n c e a p r i z e d p o s i t i o n , began t o f a l l s h o r t o f t h e b e n e f i t s d e r i v e d f r o m management and e x e c u t i v e p o s i t i o n s i n f o r e i g n m u l t i n a t i o n a l s , t h e g o v e r n m e n t f o u n d i t e x p e d i e n t i n t h e l a t e 1 9 7 0 ' s to i n t r o d u c e an e x t e n s i v e " I v o r i a n i z a t i o n " o f t h e p r i v a t e a s w e l l a s t h e p u b l i c 88 s e c t o r s . 4 2 T(-,e t i d e o n c e a g a i n t u r n e d and more t e c h n i c a l and p o l i t i c a l a d v i s o r y b o d i e s w e r e c r e a t e d f o r t h e r u l e r . The i n c r e a s e d p r e s e n c e o f t e c h n o c r a t s , a l l a p p o i n t e d by t h e P r e s i d e n t and a l l p e r s o n a l l y d e p e n d e n t on h i m , i s c o n s i s t e n t w i t h t h e a u t o c r a t i c v i e w t h a t t h e g o v e r n m e n t i s H o u p h o u e t - B o i g n y , r a t h e r t h a n an a r e n a t o s e t t l e p o l i t i c a l d i f f e r e n c e s and f o r m u l a t e p o l i c y . T e c h n o c r a t s i n t h e I v o r y C o a s t a r e f a c i l i t a t o r s r a t h e r t h a n d e l i b e r a t o r s , a g e n t s r a t h e r t h a n r e p r e s e n t a t i v e s . I t s h o u l d h a v e t h u s come a s no s u r p r i s e to R o w l a n d t h a t O l y m p i c w o u l d s e l l o u t to t h e h i g h e s t b i d d e r , e s p e c i a l l y i n a c o u n t r y i n w h i c h e c o n o m i c c o n s i d e r a t i o n s a r e p l a c e d b e f o r e t h o s e o f p o l i t i c s , r e n d e r i n g t h e s t a t e l a r g e l y a p o l i t i c a l . R o w l a n d ' s b r e a k w i t h O l y m p i c was, a c c o r d i n g to Thomas K a n z a , a f o r m e r C o n g o l e s e d i p l o m a t , t h e r e s u l t o f O l y m p i c c a l l i n g R o w l a n d a r a c i a l i s t . 4 3 B u t , f o r b o t h , money was t h e p r i m e c o n s i d e r a t i o n — more i m p o r t a n t t h a n w o r d s . W h i l e i n v e s t i g a t i n g t h e L o n r h o o p e r a t i o n i n t h e I v o r y C o a s t , t h e U n i t e d S t a t e s S e c u r i t i e s and E x c h a n g e C o m m i s s i o n (SEC) u n c o v e r e d a more p r o b a b l e r e a s o n f o r t h e d i s c o r d . In F e b r u a r y 1971 i t was a n n o u n c e d t h a t L o n r h o had won t h e SODESUCRE d e a l . However, a few w e e k s l a t e r i t emerged t h a t t h e d e c i s i o n h a d been r e v e r s e d and t h a t t h e c o n t r a c t f o r t h e p r o p o s e d r e f i n e r y had gone to L a n g E n g i n e e r i n g , t h e F l o r i d a s u b s i d i a r y o f a l a r g e T e x a n c o r p o r a t i o n . The SEC f o u n d t h a t L a n g had p a i d more t h a n one m i l l i o n d o l l a r s to i t s I v o r i a n "management c o n s u l t a n t " O l y m p i c , who c o n c u r r e n t l y w o r k i n g on b e h a l f o f L o n r h o f o r t h e same 89 d e a l , had r e q u e s t e d t h a t L a n g d e p o s i t t h e money i n a S w i s s bank.44 O l y m p i o c l a i m e d t h a t t h e money was f o r s e r v i c e s r e n d e r e d , and n o t a p a y o f f . A t t h i s s i g n of a l l e g e d t r e a c h e r y , R o w l a n d p r o b a b l y r e f u s e d t o pay O l y m p i o f o r t h e work he had done on b e h a l f of L o n r h o . T h i s i s r e v e a l e d by t h e f a c t t h a t s e v e r a l y e a r s l a t e r , O l y m p i o s u e d L o n r h o f o r u n d i s c l o s e d c l a i m s . L o n r h o was o r d e r e d by t h e H i g h C o u r t i n L o n d o n , i n M a r c h 1984 , t o pay O l y m p i o , who by t h e n l i v e d i n P a r i s , a s u b s t a n t i a l sum to s e t t l e a l l c l a i m s made • 45 by h i m . J I f O l y m p i c was a s c u n n i n g a s h i s d u p l i c i t y i n d i c a t e s , he l i k e l y i n f o r m e d R o w l a n d t h a t he w o u l d t e l l t h e B r i t i s h p r e s s t h e n a t u r e of t h e work he had done f o r L o n r h o i n t h e I v o r y C o a s t . T h i s w o u l d , o f c o u r s e , h a v e c a u s e d more t h a n a p u b l i c s c a n d a l , f o r t h e B r i t i s h g o v e r n m e n t e x p r e s s e l y f o r b i d s i t s m u l t i n a t i o n a l c o r p o r a t i o n s t o pay b r i b e s i n h o s t c o u n t r i e s . 4 6 Soon a f t e r t h e c o u r t j u d g e m e n t was h a n d e d down, L o n r h o w i t h d r e w i t s c o u n t e r - c l a i m f o r f r a u d . T h i s s e r v e d a s a n o t h e r l e s s o n t o R o w l a n d a b o u t t h e u n c e r t a i n t i e s o f M a c h i a v e l l i a n p o l i t i c s i n t h e r e a l m o f p e r s o n a l r u l e . In o r d e r t o c u r r y f a v o u r w i t h t h e I v o r i a n r e g i m e , he e n t e r e d i n t o a c o m p r a d o r r e l a t i o n s h i p t h a t was b a s e d on n o t h i n g b u t p u r e p r o f i t . L o y a l t y c a n be p u r c h a s e d , but s u s t a i n e d o n l y i f t h e r e i s no one o f f e r i n g a h i g h e r p r i c e . O l y m p i o , i t seems, made h i s f o r t u n e by t a k i n g a d v a n t a g e o f t h e s i t u a t i o n , u s i n g h i s v a l u a b l e c o n n e c t i o n s i n t h e I v o r y C o a s t . T h i s a l l o w e d him t o s e l l h i s s e r v i c e s a s an i n t e r m e d i a r y , w i t h t h e e a r of h i g h g o v e r n m e n t o f f i c i a l s , to t h e h i g h e s t b i d d e r . However, i f t h i s c a s e i s an 90 i n d i c a t i o n , t h e r e e x i s t s no c o d e o f e t h i c s f o r s u c h a g e n t s . I n d e e d , O l y m p i o was c e r t a i n l y n o t a b o v e a c t i n g a s a r e p r e s e n t a t i v e f o r two c o m p e t i n g p a r t i e s , e ven when i t r e q u i r e d t h a t he s e l l one of them o u t . Where i n s t i t u t i o n a l i z e d r u l e s f o r b u s i n e s s c o n d u c t a r e l a c k i n g , c o m p a n i e s s u c h a s L o n r h o must s i m p l y t a k e t h e i r c h a n c e s and hope t h a t t h e y o u t - b i d a l l o t h e r c o m p e t i t o r s f o r t h e f a v o u r s o f t h o s e i n power. T h u s , w h i l e i t i s t h r o u g h i n t e r m e d i a r i e s o r c o m p r a d o r s t h a t MNCs h a v e p e r h a p s had t h e most s u c c e s s when a t t e m p t i n g to do b u s i n e s s i n b l a c k A f r i c a n s t a t e s , t h o s e r e l a t i o n s h i p s t o o a r e c o n t i n g e n t on c i r c u m s t a n c e s and i n d i v i d u a l s . I n t e r m e d i a r i e s , b e i n g t h e e x p e r t s i n p e r s o n a l r u l e , l i k e l y know w e l l how to m a n i p u l a t e men and c i r c u m s t a n c e f o r t h e i r own b e n e f i t . A n d , t h e c o n d i t i o n s , s u b j e c t to c h a n g e i n t h e s e t y p e s o f r e l a t i o n s h i p s , a r e i n f l u e n c e d n o t so much by l o y a l t i e s and a f f i n i t i e s a s t h e y a r e by p u r e p r o f i t . Z a i r e R o w l a n d had e n c o u n t e r e d some s t r o n g m e n i n A f r i c a n p o l i t i c s , b u t he was p e r h a p s n o t p r e p a r e d s u f f i c i e n t l y f o r t h e a n t i c s o f P r e s i d e n t Mobutu S e s e S e k o . To be s u r e , R o w l a n d was n o t h i g h l y s u c c e s s f u l i n h i s m a n o e u v e r i n g i n Z a i r e , f o r Mobutu h a s even duped s u c h h e a v y w e i g h t s a s t h e W o r l d Bank.^'' j t ^ s e v i d e n t t h a t Mobutu u n d e r s t a n d s how w e l l t h e p r o t e c t i o n o f s o v e r e i g n t y can work f o r h i m , a n d h a s a b u s e d h i s r i g h t t o i t q u i t e b l a t a n t l y . F o r h i s 31 p a r t , R o w l a n d n e v e r managed to o b t a i n a f i r m f o o t h o l d i n Z a i r e , e i t h e r t h r o u g h t h e u s e of c o m p r a d o r s o r h i s own charm and c u n n i n g . S i n c e Mobutu S e s e Seko came to power i n 1 3 6 5 , t h e f o r m e r B e l g i a n c o l o n y h a s been s u b j e c t t o a r a t h e r s e v e r e and r a p a c i o u s d e s p o t i s m . Mobutu h a s been c a l l e d "a b l o o d y t h i e f " by a m i n i s t e r of a n e i g h b o u r i n g A f r i c a n c o u n t r y , and n o t w i t h o u t j u s t i f i c a t i o n . 4 8 Z a i r e i s g o v e r n e d a l m o s t e x c l u s i v e l y by p e r s o n a l - f a m i l i a l p o s i t i o n s o f " r o y a l i s j t s t y l e " p a t r o n a g e , c h a r a c t e r i z e d by s e l f - a g g r a n d i z e m e n t , v e n a l i t y , and e x t r e m e c o r r u p t i o n . 4 9 In t h e o r b i t s c l o s e s t t o h i m , a d o z e n members of t h e p r e s i d e n t i a l c l i q u e o c c u p y t h e most s e n s i t i v e and l u c r a t i v e g o v e r n m e n t p o s i t i o n s . Mobutu demands a b s o l u t e p e r s o n a l a l l e g i a n c e a n d , i n r e t u r n , g r a n t s a c c e s s to power and i l l e g a l o p p o r t u n i t i e s to a c c u m u l a t e w e a l t h . H i s d i s p l e a s u r e g u a r a n t e e s p e r s o n a l r u i n , i f n o t i m p r i s o n m e n t . T h e r e e x i s t s i n Z a i r e an e l a b o r a t e s y s t e m of p a t r o n - c l i e n t r e l a t i o n s h i p s whose most d i s t a n t members a r e t h o u s a n d s o f p e t t y b u r e a u c r a t s , army o f f i c e r s , and u n i v e r s i t y p e r s o n n e l . M e a n w h i l e , t h e mass o f t h e p o p u l a t i o n i s e x c l u d e d f r o m t h e s p o i l s and s u b j e c t to r e p r e s s i o n . Mobutu m a i n t a i n s a p r o g r a m i n w h i c h t h e image of h i m s e l f and t h e image o f t h e Z a i r e a n s t a t e become i n c r e a s i n g l y i n d i s t i n g u i s h a b l e : t h e c u l t o f "Mobu t u i srn" i s m a t c h e d by t h e p r o g r a m of Z a i r e a n " a u t h e n t i c i t y . " The Z a i r e a n r u l e r h a s a k een s e n s e of M a c h i a v e l l i a n s t a t e c r a f t and " i s i n many ways t h e A f r i c a n P r i n c e . " 5 0 He r e l i e s u l t i m a t e l y on s c h e m i n g , c u n n i n g , c a l c u l a t i o n , and s t r a t e g y to r e t a i n power; n o t i o n s of c o n s t i t u t i o n and i n s t i t u t i o n s o f g o v e r n a n c e a r e s e t a s i d e by c o n s i d e r a t i o n s o f p o l i t i c a l e x p e d i e n c e . L o n r h o became i n v o l v e d i n Z a i r e i n 1368 when i t a c q u i r e d a s h a r e i n t h e t h i r d l a r g e s t m u l t i n a t i o n a l t h e r e , C o m i n i e r e -- a B e l g i a n m u l t i n a t i o n a l c o r p o r a t i o n . L i k e L o n r h o , C o m i n i e r e ' s i n t e r e s t s w e r e d i v e r s e , r a n g i n g f r o m t h e s u p p l y o f w a t e r and t h e d i s t r i b u t i o n o f e l e c t r i c i t y , t o t i m b e r p l a n t a t i o n s , a m i n o r r a i l w a y , c a r d e a l e r s h i p s and i n s u r a n c e . In 1966, P r e s i d e n t Mobutu had n a t i o n a l i z e d Z a i r e ' s c o p p e r i n t e r e s t s , owned by t h e g i a n t B e l g i a n m u l t i n a t i o n a l c o r p o r a t i o n U n i o n M i n i e r e . T h i s company, h o w e v e r , c o n t i n u e d to h o l d t h e management c o n t r a c t f o r t h e m i n e s and to c o n t r o l t h e s h i p m e n t of t h e m e t a l to r e f i n e r i e s i n B e l g i u m ( w h e r e i t s s t o c k p i l e o f c o p p e r c o n s t i t u t e d s u p p o s e d b a r g a i n i n g power w i t h t h e Z a i r e a n g o v e r n m e n t ) . C o m p e n s a t i o n t e r m s f o r t h e n a t i o n a l i z a t i o n w e r e s t i l l u n d e r d i s c u s s i o n , t o g e t h e r w i t h t h e r e n e w a l of t h e company's management c o n t r a c t . A p p a r e n t l y , a s l o n g a s t h e s e i s s u e s w e r e p e n d i n g , no company was w i l l i n g to become i n v o l v e d i n t h e Z a i r e a n m i n i n g i n d u s t r y ; nor was t h e N o r I d Bank w i l l i n g to a d v a n c e l o a n s f o r e c o n o m i c d e v e l o p m e n t i n t h e c o u n t r y . 5 1 R o w l a n d l i k e l y saw t h i s s t a l e m a t e a s h i s o p p o r t u n i t y t o make a p r o f i t , p e r h a p s i n t h e hope t h a t he c o u l d w r e s t t h e management c o n t r a c t f r o m U n i o n Mi n i e r e . 5 2 R o w l a n d i n i t i a l l y a t t e m p t e d t o s t r i k e an a c c o r d w i t h Mobutu by o f f e r i n g ( a l l e g e d l y on t h e a d v i c e o f C o m i n i e r e ' s p r e s i d e n t M a r t i n T h e v e s ) t o c a r r y o u t a f r e e s u r v e y f o r a r a i l r o a d s t r e t c h i n g f r o m K a t a n g a p r o v i n c e to t h e c o a s t . T h i s l i n k was i m p o r t a n t to Mobutu f o r p o l i t i c a l , e c o n o m i c and s t r a t e g i c r e a s o n s s i n c e i t w o u l d o f f e r an a l t e r n a t i v e r o u t e to t h e B e n g u e l a r a i l w a y t h r o u g h A n g o l a f o r Z a i r e ' s c o p p e r . R o w l a n d a l l o w e d T h e v e s to c o n d u c t t h e n e g o t i a t i o n s s i n c e he had a l l e g e d l y e s t a b l i s h e d a " b u s i n e s s " r e l a t i o n s h i p w i t h t h e F o r e i g n M i n i s t e r , J u s t i n Bomboko. L o n r h o ' s b i d was r e j e c t e d , h o w e v e r . U n i o n M i n i e r e ' s t e n u r e was r e n e w e d a s p a r t o f t h e g e n e r a l c o m p e n s a t i o n t e r m s . T h i s f a i l u r e was l i k e l y due t o t h e f a c t t h a t L o n r h o , t h r o u g h T h e v e s , h ad b a c k e d t h e w r o n g p o l i t i c a l h o r s e . In A u g u s t 1969 Bomboko was d i s m i s s e d by M o b u t u , and L o n r h o l o s t i t s most i m p o r t a n t p o l i t i c a l c o n t a c t i n K i n s h a s a . From t h e s t a r t i t a p p e a r s t h a t L o n r h o was c o n f i d e n t t h a t i t w o u l d s e c u r e t h e g o v e r n m e n t c o n t r a c t . T h i s i s r e v e a l e d by t h e r e p o r t e d p u r c h a s e by L o n r h o o f t h e W a t e r g a t e Steam S h i p p i n g company w i t h t h e i n t e n t i o n o f u s i n g i t s c a r g o v e s s e l s to c a r r y K a t a n g a ' s o r e t o E u o r p e a n m a r k e t s . E a r l y i n 1970 t h e r a i l w a y f e a s i b i l i t y s t u d y was p r e s e n t e d t o t h e Z a i r e a n g o v e r n m e n t . E v i d e n t l y c o n f i d e n t t h a t t h e i r " f r i e n d s " w e r e i n p l a c e , L o n r h o d i r e c t o r A l a n B a l l was r e p o r t e d by t h e F i n a n c i a l T i m e s on J u n e 23 as s t a t i n g t h a t a p r o t o c o l w o u l d be s i g n e d s h o r t l y between t h e Z a i r e a n g o v e r n m e n t and L o n r h o . T h i s d i s p l a y o f c o n f i d e n c e e v i d e n t l y a n n o y e d M o b u t u . B u t , a c c o r d i n g t o o b s e r v e r s , what b o t h e r e d Mobutu s t i l l f u r t h e r , were t h e r u m o u r s t h a t w e r e c i r c u l a t i n g a r o u n d K i n s h a s a . I t was s p e c u l a t e d by some t h a t L o n r h o was p u r s u i n g n o t o n l y t h e m i n i n g management c o n t r a c t , b u t t h e s e c e s s i o n o f K a t a n g a . 5 y " A f t e r a l l , 34 L o n r h o was a R h o d e s i a n company — and was i t n o t R h o d e s i a w h i c h had most o p e n l y e n c o u r a g e d M o i s e Tshombe, t h e a r c h - s e c e s s i o n i s t , to make h i s b r e a k a w a y a t t e m p t some e i g h t y e a r s e a r l i e r ? " 5 4 S u c h t a l k was enough to p r o v o k e M o b u t u ' s s u s p i c i o n s . He i s s u e d a s h a r p l y w o r d e d s t a t e m e n t d e n y i n g t h a t t h e c o n t r a c t had been a w a r d e d t o L o n r h o and t h a t t h e MNC had t r i e d t o s u b v e r t t h e 1363 d i s c u s s i o n s b e t ween K i n s h a s a and U n i o n M i n i e r e on t h e management c o n t r a c t f o r m i n e s . 5 5 I n a d d i t i o n , L o n r h o ' s T i m e s o f Z a m b i a had n e v e r v i e w e d Mobutu f a v o u r a b l y , even c o m m e n t i n g u n f a v o u r a b l y on Z a i r e when Mobutu was v i s i t i n g L u s a k a — M o b u t u , e v i d e n t l y , had a l o n g memory. A few w eeks l a t e r , Mobutu o r d e r e d t h e a s s e t s o f L o n r h o -C o m i n i e r e be p l a c e d u n d e r " g o v e r n m e n t s u p e r v i s i o n " — i t was d e n i e d t h a t t h i s move amounted to n a t i o n a l i z a t i o n — so a s to s a f e g u a r d t h e c o u n t r y ' s i n t e r e s t s w h i l s t L o n r h o and C o m i n i e r e f o u g h t o u t t h e i r now g r e a t d i f f e r e n c e s . A f t e r L o n r h o ' s f a l l f r o m f a v o u r , T h e v e s was a l s o a l l e g e d l y u n d e r p r e s s u r e to r e a s s e r t Com i n i e r e ' s i n dep en den c e f r cm t h e Br i t i s h cornp an y . Not to be o u t d o n e , L o n r h o p u r c h a s e d t h e c o n t r o l l i n g s h a r e s of C o m i n i e r e i n J u l y 1 3 7 1 . M o b u t u , l i k e a l l p e r s o n a l r u l e r s , h a s h i s p r o b l e m s . Most p r e s s i n g i s h i s n e e d t o g u a r d h i s a u t h o r i t y j e a l o u s l y . No p o t e n t i a l c h a l l e n g e r i s a l l o w e d to f o r m a power b a s e . F r e q u e n t l y , he r e s h u f f l e s h i s c a b i n e t , o f t e n w i t h o u t e x p l a n a t i o n . He a p p o i n t s f a i t h f u l f o l l o w e r s a s p r o v i n c i a l g o v e r n o r s , b u t o n l y to p r o v i n c e s o u t s i d e t h e i r home a r e a s . The b u r e a u c r a c y i s k e p t i n a s t a t e o f 95 c h a o s ; e v e r y o n e i s k e p t o f f b a l a n c e . H i s c o n t e m p o r a r i e s must a l l v i e f o r h i s p a t r o n a g e . The game b e l o n g s to M o b u t u , and a l l of t h e r u l e s a r e f o r him to make o r d i s c a r d a s he s e e s f i t . Of c o u r s e , i n an a t m o s p h e r e o f s u c h i n t e n s e s u s p i c i o n and i n t r i g u e , t h e r u l e r c a n become p a r a n o i d , n o t s u r e o f who among h i s e n t o u r a g e o f s y c o p h a n t s m i g h t b e t r a y h i m . I t i s , t h u s , n o t s u r p r i s i n g t h a t Mobutu w o u l d s u s p e c t R o w l a n d , l o n g known f o r h i s own m a n i p u l a t i v e q u a l i t i e s , o f e n g a g i n g i n an i n t r i g u e a g a i n s t h i m . In 1973 Mobutu d e c r e e d t h a t l a r g e s e c t o r s o f t h e economy ( m a i n l y f o r e i g n ) w e r e to be " Z a i r e a n i z e d . " In t h i s b i d to d e m o n s t r a t e h i s w i l l and h i s a u t h e n t i c i t y , he r e - d e f i n e d p r o p e r t y r i g h t s , a r b i t r a r i l y t r a n s f e r r i n g t i t l e to f a v o u r e d f r i e n d s and r e l a t i v e s o f t h e r e g i m e . The e c o n o m i c d i s l o c a t i o n t h a t e n s u e d c r e a t e d s e v e r e s h o r t a g e s ( m a i n l y f o o d s t u f f s ) , and rampant i n f l a t i o n . By 197b t h e d e c r e e was r e c o g n i s e d a s a m i s t a k e . Even w i t h t h e r e s t o r a t i o n of 60 p e r c e n t of t h e a s s e t s to t h e f o r e i g n o w n e r s ( t h e r e m a i n d e r g o i n g t o Z a i r e a n p a r t n e r s ) , t h e damage c o u l d n o t be r e p a i r e d . 5 6 In m a t t e r s of p o l i c y , a c o r r u p t i o n - r i d d e n and p e r s o n a l l y a p p r o p r i a t e d g o v e r n m e n t s u c h a s t h a t o f Z a i r e c a n n o t be an e f f e c t i v e i n s t r u m e n t o f t h e r u l e r ' s w i l l f o r p r o g r e s s . The d i s m a l f a i l u r e o f many o f M o b u t u ' s p o l i c i e s b e a r s w i t n e s s to t h e f a c t t h a t w h i l e a p e r s o n a l r u l e r may a d o p t , e f f e c t , or d e c r e e p o l i c i e s , he may n o t a b l e to e n s u r e t h e i r s u c c e s s . T h i s i s due to t h e d e f i c i e n c i e s i n h e r e n t i n a g o v e r n m e n t s u c h a s M o b u t u ' s , f o r even c l e v e r p o l i c i e s a r e d i f f i c u l t to i m p l e m e n t w i t h o u t 96 i n s t i t u t i o n a l i z e d r u l e s , b o d i e s , and p r o c e s s e s , e s p e c i a l l y e c o n o m i c and b u s i n e s s p o l i c i e s . By F e b r u a r y 1976 R o w l a n d had managed to r e g a i n a m a j o r i t y o f t h e e x p r o p r i a t e d L o n r h o h o l d i n g s i n Z a i r e , w i t h t h e e x c e p t i o n of C o m e t r i k , t h e e l e c t r i c i t y company. T h i s was no e a s y f e a t . M o b u t u , a l r e a d y a s u s p i c i o u s p e r s o n , was e v i d e n t l y n o t a m e n a b l e to p r o t e s t a t i o n s o f i n n o c e n c e . R o w l a n d was f i n a l l y f o r c e d to seek t h e h e l p o f t h e e x i l e d f o r m e r C o n g o l e s e F o r e i g n M i n i s t e r , Thomas K a n z a . He s u g g e s t e d an i n t e r v i e w w i t h a B e l g i a n j o u r n a l i s t whose work Mobutu seemed to a d m i r e . In t h e r e s u l t i n g a r t i c l e , t h e B e l g i a n r e p o r t e d t h a t L o n r h o had been i n n o c e n t o f any w r o n g - d o i n g and had been " l e d a s t r a y by T h e v e s " , who " a f t e r a l l , knew t h e Congo much b e t t e r t h a n R o w l a n d . " 5 ' 7 When t h e s t o r y was p u b l i s h e d , Mobutu r e l e n t e d . The m a j o r i t y o f t h e 3^10 m i l l i o n i n L o n r h o a s s e t s w e r e u n f r o z e n . T h e r e w e r e t e r m s a t t a c h e d , h o w e v e r . The P r e s i d e n t ' s u n c l e , M b o t i L i t h o , was d u l y a p p o i n t e d to t h e b o a r d of t h e L o n r h o - Z a i r e h o l d i n g company. F o r R o w l a n d , i t must h a v e been a m i x e d b l e s s i n g . L i t h o was one o f t h e r i c h e s t men i n Z a i r e , a f t e r Mobutu h i m s e l f . O f t e n d e s c r i b e d a s an " e v i l g e n i u s " , he was w i d e l y r e g a r d e d a s t h e P r e s i d e n t ' s b u s i n e s s a g e n t and c l o s e s t a d v i s e r . H i s i n f l u e n c e was e x t e n s i v e , and he a c t e d a s t h e i n t e r m e d i a r y b e t ween f o r e i g n i n v e s t o r s and Z a i r e a n e n t e r p r i s e s . A f t e r a p o l i t i c a l c a r e e r d u r i n g w h i c h he s e r v e d a s M i n i s t e r o f F i n a n c e and M i n i s t e r o f A g r i c u l t u r e , he p r o c u r e d a " f a m i l y f o o d s t o r e " and f o u n d e d t h e S o c i e t e O e n e r a l e d' A l irnen t a t i on w h i c h was r e s p o n s i b l e f o r t h e d i s t r i b u t i o n o f 97 f o o d s t u f f s . He owned what was s a i d t o be t h e l a r g e s t s u p e r m a r k e t a n y w h e r e i n E u r o p e o r A f r i c a . L o n r h o , i t was r u m o u r e d , h e l p e d him to s t o c k h i s s u p e r m a r k e t ( w h i c h was t h e s i z e o f s i x f u l l - s i z e d f o o t b a l l f i e l d s ) ; h i s p o r t r a i t was a l s o hung i n L o n r h o ' s London b o a r d r o o m . E v e n t u a l l y h i s u n d o i n g , L i t h o was r e p u t e d l y too f o n d o f w h i s k y , and i s s a i d t o h a v e commandered t h e L o n r h o j e t t o f l y a r o u n d t h e d i s t i l l e r i e s i n S c o t l a n d w h e n e v e r he v i s i t e d E u r o p e . 5 b T h e v e s , f o r h i s p a r t , d i e d o f a h e a r t a t t a c k w h i l e v a c a t i o n i n g i n N i c e — l i k e l y a f t e r r e a d i n g t h e i n t e r v i e w w i t h R o w l a n d . T h u s , what i s d i s c l o s e d by t h i s c a s e i s t h a t b u s i n e s s r e l a t i o n s h i p s , a n d , i n d e e d , b u s i n e s s s u c c e s s i n t h e a t m o s p h e r e o f p e r s o n a l r u l e i s h i g h l y c o n t i n g e n t upon t h e p e r s o n o f t h e r u l e r . T h i s c a s e s e r v e s to d e m o n s t r a t e t h a t d e t e r m i n i s t i c , z e r o - s u m e x p l a n a t i o n s of r e l a t i o n s h i p s i n w h i c h m u l t i n a t i o n a l c o r p o r a t i o n s d i c t a t e s e l f - s e r v i n g p o l i c i e s to h o s t s t a t e s t h e r e b y r e n d e r i n g them s u b s e r v i e n t , a s d e p e n d e n c y t h e o r y m i g h t s u g g e s t , do n o t a d e q u a t e l y d e s c r i b e t h e r e l a t i o n s o f Mobutu and L o n r h o . R a t h e r , t h e i r s i s a c o n t i n g e n t r e l a t i o n s h i p , g o v e r n e d by t h e h a z a r d o u s u n c e r t a i n t y of t h e h i g h l y p e r s o n a l and a r b i t r a r y p o l i t i c s o f p e r s o n a l r u l e . T h u s , R o w l a n d f o u n d t h a t , r a t h e r t h a n i n f l u e n c i n g t h e Mobutu r e g i m e w i t h L o n r h o ' s p o t e n t i a l i n v e s t m e n t , he was a t a d i s a d v a n t a g e , and o n l y j u s t managed t o s a v e t h e m a j o r i t y of L o n r h o ' s a s s e t s i n Z a i r e . T h i s s i t u a t i o n o n l y s e r v e s to c o n f i r m t h e power t h a t a c c o m p a n i e s t h e p o s i t i o n o f a s o v e r e i g n i n t o d a y ' s i n t e r n a t i o n a l s t a t e s y s t e m . R o w l a n d , i t seems, u n d e r e s t i m a t e d h i s b a r g a i n i n g power w i t h s u c h a s o v e r e i g n a u t h o r i t y . F o r a l t h o u g h m u l t i n a t i o n a l i n v e s t m e n t i s i m p o r t a n t to M o b u t u , he a l o n e h a s t h e a u t h o r i t y t o d e c i d e w h i c h , i f a n y , m u l t i n a t i o n a l s o p e r a t e i n Z a i r e . A n d t h e game i s p l a y e d by M o b u t u ' s r u l e s b e c a u s e he h a s a l l o f t h e s t a t e ' s r e s o u r c e s w i t h w h i c h t o b a r g a i n . Of c o u r s e , t h e r u l e r ' s p o s i t i o n i s p a r t i c u l a r l y s t r o n g due to t h e immense s u p p l i e s o f c o p p e r i n Z a i r e . T h u s , he knows t h a t i f one m u l t i n a t i o n a l d o e s n o t p l a y h i s "game", t h e r e w i l l be s e v e r a l o t h e r s who w i l l be w i l l i n g r e p l a c e m e n t s . In a d d i t i o n , i t seems t h a t R o w l a n d m i s j u d g e d M o b u t u , p e r h a p s t h i n k i n g h i m an e a s y c o n q u e s t due to t h e l e a d e r ' s b l a t a n t a b u s e o f a u t h o r i t y and u n c h e c k e d p u r s u i t o f s e l f - a g g r a n d i z a t i o n . In t h i s way, t h e e n t r e p r e n e u r a p p e a r s t o h a v e r a t h e r c o n c e i t e d l y o v e r e s t i m a t e d t h e v a l u e and i m p o r t a n c e t h a t Mobutu p l a c e d on L o n r h o a s a p o t e n t i a l p r o f - i t - e a r n e r . From t h e b e g i n n i n g t h e i r r e l a t i o n s h i p was p l a g u e d by p e r v a s i v e u n c e r t a i n t y l a r g e l y a s a r e s u l t o f M o b u t u ' s p e r s o n a l i t y . In a d d i t i o n , r a t h e r t h a n h e l p i n g L o n r h o , R o w l a n d ' s c h o i c e o f i n t e r m e d i a r i e s h i n d e r e d w h a t e v e r headway he managed to make i n Z a i r e . I n d e e d , R o w l a n d c o n t i n u a l l y c h o s e p e o p l e whom t h e r u l e r was i n t h e p r o c e s s o f d i s c a r d i n g . And g e t t i n g s t u c k w i t h U n c l e L i t h o was an u n c e r t a i n b l e s s i n g . F o r a l t h o u g h he had M o b u t u ' s " e a r " , he was so c o r r u p t t h a t t h e b e n e f i t s o f h a v i n g him on t h e L o n r h o b o a r d w e r e d u b i o u s . 5 - ' I t i s t h e c a s e t h a t t h e p l a c i n g o f i n d i g e n t r e l a t i v e s on t h e company p a y r o l l i s a f o r m o f i n d u c e m e n t , e m p l o y e d a s a s t r a t e g y by c o r p o r a t i o n s f o r o b t a i n i n g a d v a n t a g e s w i t h h o s t g o v e r n m e n t s . H owever, h i r i n g M o b u t u ' s u n c l e , i t seems was n o t so much a c h o i c e a s a n e c e s s i t y , l i k e l y done t o e n s u r e t h e s a f e t y o f L o n r h o ' s a s s e t s i n Z a i r e , i f n o t t o s a v e them c o m p l e t e l y . T h u s , t h i s c a s e s e r v e s to u n d e r s c o r e t h e f a c t t h a t r e l a t i o n s h i p s o f MNCs w i t h p e r s o n a l r u l e a r e so h i g h l y c o n t i n g e n t on t h e i n d i v i d u a l s and c i r c u m s t a n c e o f p e r s o n a l r u l e t h a t t h e y may be u l t i m a t e l y d e t r i m e n t a l to t h e i n t e r e s t s o f c o r p o r a t i o n s . Sudan M e a n w h i l e , on t h e o t h e r s i d e o f t h e c o n t i n e n t i n t h e S u d a n , R o w l a n d a c q u i r e d some i n f l u e n t i a l f r i e n d s who w e r e a t t h i s t i m e h e l p i n g h i m to g a i n a f o o t h o l d i n t h e M i d d l e E a s t . Sudan was an i d e a l t r a n s i t i o n p o i n t f o r L o n r h o , s i n c e i t s t r a d d l e d b o t h b l a c k A f r i c a and t h e Moslem w o r l d . R o w l a n d had l o n g c o n s i d e r e d t h e M i d d l e E a s t a s a p o t e n t i a l a r e a f o r L o n r h o e x p a n s i o n . To a i d h i m i n t h i s g o a l , was h i s f r i e n d and i n t e r n a t i o n a l c o m p r a d o r , K h a l i 1 Osrnan , a S u d a n e s e m i l l i o n a i r e . In t h e S u d a n , an i n t e r m e d i a r y can be e s p e c i a l l y u s e f u l , m a i n l y b e c a u s e t h e c o u n t r y d i f f e r s f r o m many o t h e r s t a t e s o f s u b - S a h a r a n A f r i c a i n t h a t i t i s d i v i d e d by e c o n o m i c and c u l t u r a l d i f f e r e n c e s b e t ween N o r t h and S o u t h . The N o r t h i s A r a b i z e d , w e a l t h i e r , and a s s u c h , g r e a t l y i n f l u e n c e d by t h e c u s t o m s , c u l t u r e , and r e l i g i o n o f t h e M i d d l e E a s t . The S o u t h i s A f r i c a n , a C h r i s t i a n and pagan r e g i o n t h a t i s l a r g e l y u n d e r d e v e l o p e d . I t i s , f o r t h e most p a r t , i n t h e n o r t h w h e r e t h e c a p i t a l c i t y o f K h a r t o u m i s l o c a t e d , t h a t most i n t e r n a t i o n a l b u s i n e s s t r a n s p i r e s . However, due to t h e A r a b i n f l u e n c e , 100 n e g o t i a t i o n s c a n be v e r y s l o w and m e t h o d i c a l , f a s h i o n e d by t h e t e n d e n c y to become w e l l - a c q u a i n t e d w i t h a p o t e n t i a l b u s i n e s s a s s o c i a t e o v e r e n d l e s s c u p s o f t e a and m e a l s w h e r e t h e o n l y d i s c u s s i o n s a r e t h o s e of f a m i l y a n d r e l i g i o n . The A r a b s c a n n o t a p p a r e n t l y be h u r r i e d , b e l i e v i n g t h a t " I n s h a l l a h " — i f A l l a h w i l l s i t — t h e b u s i n e s s s h a l l be c o n c l u d e d . In s u c h a c u l t u r e , an MNC may be W e l l - a d v i s e d to se e k t h e s e r v i c e s o f an i n t e r m e d i a r y , f o r t h e n e g o t i a t i o n s a n d d i s c u s s i o n s l e a d i n g to t h e b u s i n e s s d e a l must be done by someone who u n d e r s t a n d s t h e s u b t l e t i e s o f t h e A r a b way o f t h i n k i n g , i n p a r t i c u l a r , and t h e A r a b c u l t u r e , i n g e n e r a l . F o r e x a m p l e , i n a s s e s s i n g t h e i n d u c e m e n t s t h a t m i g h t be made to i n f l u e n c e d e c i s i o n s , i t i s n e c e s s a r y to d i s t i n g u i s h b e t ween r e a l i t y and e x p e d i e n c y . In t h e M i d d l e E a s t , w o r d s do n o t a l w a y s mean what t h e y a p p e a r t o s a y . F o r a company s u c h a s L o n r h o , a t t e m p t i n g t o e x p a n d i t s A f r i c a n b u s i n e s s i n t o t h e M i d d l e E a s t , K h a l i 1 Osrnan was t h e p e r f e c t i n t e r m e d i a r y . K h a l i l h a d made h i s f o r t u n e i n K u w a i t , w h e r e he had f o r m e d a f r i e n d s h i p w i t h t h e E m i r , P r i n c e S abah S a l i m A s a b a h . T h i s had g i v e n him a c c e s s t o f u n d s f r o m a K u w a i t i i n v e s t m e n t company, G u l f I n t e r n a t i o n a l , and a l l o w e d him to b u i l d a b u s i n e s s e m p i r e i n h i s h o m e l a n d o f S u d a n . K h a l i l a p p e a r s to have been w e l l s u i t e d to R o w l a n d ' s s t y l e o f b u s i n e s s ; b a s e d -- a s e v e r — upon i n t i m a t e d e a l i n g s w i t h t h e "man a t t h e t o p " i n any c o u n t r y w h e r e L o n r h o h ad a m b i t i o n s . The new S u d a n e s e r u l e r was C o l o n e l J a a f a r N i m e i r i , and K h a l i l had q u i c k l y made h i m s e l f t h e l e a d e r ' s p e r s o n a l a d v i s o r on h a n d l i n g f o r e i g n f i r m s i n t e r e s t e d i n t h e 101 S u d a n . K h a l i l ' s scheme was to b u i l d a s u g a r e m p i r e i n t h e N i l e R i v e r v a l l e y . L o n r h o was w e l l e q u i p p e d to o f f e r a d v i c e , s i n c e i t by t h i s t i m e c o n t r o l l e d p l a n t a t i o n s i n M a l a w i , S w a z i l a n d , S o u t h A f r i c a and M a u r i t i u s . L o n r h o , v i r t u a l l y unknown i n t h e A r a b w o r l d , s t o o d t o g a i n t h e n e c e s s a r y p r e s t i g e i f i t c o u l d b u i l d t h e s i z e o f p r o j e c t t h a t R o w l a n d and K h a l i 1 e n v i s i o n e d . K h a l i 1 w o u l d a c t a s t h e i n t e r m e d i a r y and w o u l d be d e p e n d e d upon to r a i s e t h e c a p i t a l f r o m t h e G u l f . ' R e p o r t e d l y , t h e i r scheme was to p r o d u c e 300,000 t o n s of s u g a r a y e a r , d w a r f i n g any o t h e r p l a n t a t i o n s i n A f r i c a . The L o n r h o s h a r e w o u l d be 51 p e r c e n t . ^ 0 The p r o j e c t s u c c e e d e d — but a t a p r i c e . R o w l a n d was e v i d e n t l y n o t u s e d to d o i n g b u s i n e s s i n t h e M i d d l e E a s t . F o r him t h e n e g o t i a t i o n s w e r e t o r t u o u s l y s l o w , and he a p p e a r s to h a v e been i n c a p a b l e of a d j u s t i n g to t h e A r a b way of t h i n k i n g . ^ 1 The c a p i t a l n e e d s f o r t h e p r o j e c t a t K e n a n a , some 35 m i l e s down r i v e r f r o m K h a r t o u m , e v e n t u a l l y r e a c h e d US$700 m i l l i o n , and i t was 1985 b e f o r e t h e 300,000 t o n t a r g e t was a t t a i n e d . By t h i s t i m e , t h e L o n r h o i n v o l v e m e n t had d r o p p e d to a mere 0.46 p e r c e n t.&2 R o w l a n d became i n v o l v e d w i t h much more t h a n a s u g a r o p e r a t i o n i n t h e S u d a n , h o w e v e r , and a s a r e s u l t t h e p r o f i t s o f L o n r h o w e r e g u a r a n t e e d i n t h a t c o u n t r y f o r many y e a r s to come. On J u l y 19, 1971 a Communist coup saw P r e s i d e n t J a a f a r N i m e i r i a r r e s t e d by l e a d e r s o f an army f a c t i o n c a l l e d t h e F r e e O f f i c e r s Movement. U n t i l t h e p r e v i o u s d a y , a S u d a n e s e t r a d e d e l e g a t i o n had been i n 102 L o n d o n , w i t h t h e D e f e n c e M i n i s t e r , G e n e r a l H a s s a n A b b a s , a t i t s h e a d . The d e l e g a t i o n was s e e k i n g a&XO m i l l i o n l o a n f r o m t h e B r i t i s h Government — w i t h t h e h e l p o f K h a l i l Osman and some L o n r h o o f f i c i a l s . 6 3 g y c o i n c i d e n c e , t h e man who was c h o s e n by t h e coup l e a d e r s to s u c c e e d N i m e i r i , C o l o n e l B a b i k e r e l N u r , was a l s o i n L o n d o n . The n e g o t i a t i o n s o v e r , t h e g r o u p w i t h t h e e x c e p t i o n o f K h a l i l a n d H a l i m ( I n d u s t r i e s M i n i s t e r ) , f l e w t o B e l g r a d e to d i s c u s s i n v e s t m e n t p o s s i b i l i t i e s w i t h t h e Y u g o s l a v s . I t was t h e r e t h a t t h e y l e a r n e d o f t h e c o u p . W i t h t h e l i k e l y e n c o u r a g e m e n t o f K h a l i l , R o w l a n d s e n t t h e L o n r h o j e t to B e l g r a d e . ^ 4 From t h e r e i t f l e w A b b a s and h i s c o l l e a g u e s s e c r e t l y t o C a i r o , and by J u l y 21 t h e y w e r e i n T r i p o l i . Over L i b y a n r a d i o , A b b a s o r d e r e d t r o o p s l o y a l to N i m e i r i t o s t a g e a c o u n t e r - c o u p . T h a t e v e n i n g , b e f o r e b o a r d i n g a c o m m e r c i a l a i r l i n e bound f o r K h a r t o u m , C o l o n e l e l Nur a n n o u n c e d to a p r e s s c o n f e r e n c e t h a t he was r e t u r n i n g to t h e Sudan t o t a k e c h a r g e . W h i l e f l y i n g o v e r L i b y a n a i r s p a c e , t h e p l a n e was o r d e r e d to l a n d . 6 5 C o l o n e l e l Nur and h i s a i d e w e r e a r r e s t e d . N i m e i r i was p l a c e d f i r m l y back i n power, e x e c u t i n g h i s e n e m i e s and p r a i s i n g t h e r o l e o f D e f e n c e M i n i s t e r A b b a s . By r u s h i n g A b b a s back t o t h e M i d d l e E a s t i n t i m e to o r g a n i z e t h e c o u n t e r - c o u p and to c o n s u l t w i t h t h e L i b y a n s a b o u t f o r c i n g down t h e BOAC p l a n e , L o n r h o p l a y e d a s m a l l b u t c r u c i a l r o l e i n h e l p i n g N i m e i r i to r e m a i n i n power i n t h e Sudan.^S T h u s , a v e r y s t r o n g and c l o s e r e l a t i o n s h i p d e v e l o p e d b e t w e e n R o w l a n d and N i m e i r i , one t h a t was i m m i n e n t l y p r o f i t a b l e f o r L o n r h o . K h a l i l was s t i l l an i m p o r t a n t e l e m e n t i n t h e r e l a t i o n s h i p , b u t R o w l a n d 103 had s u c c e e d e d i n d e m o n s t r a t i n g h i s l o y a l t y to a r u l e r who was so s u s p i c i o u s o f f o r e i g n e r s t h a t he r e q u i r e d them t o h a v e r e g u l a r c o n t a c t w i t h t h e p o l i c e w h i l e i n t h e c o u n t r y . P r e s i d e n t J a a f a r N i m e i r i was an a r c h e t y p a l " s t r o n g m a n " . A f t e r h i s s u c c e s s f u l coup i n 1 9 6 9 , he h e l d t h e r e i n s o f power i n t h e S u d an. He m a i n t a i n e d t h a t power by a d h e r i n g t o t h e f o r m u l a of r e w a r d i n g t h e f a i t h f u l h a n d s o m e l y , and s e v e r e l y p u n i s h i n g t h e d i s l o y a l . However, N i m e i r i 's power was. t e n u o u s , f o r he was u l t i m a t e l y f o r c e d to u s e r e p r e s s i o n , t h e r e b y a l i e n a t i n g one g r o u p of a l l i e s a f t e r a n o t h e r — f r o m t h e Communist l e f t t o t h e I s l a m i c -r i g h t — n a r r o w l y s u r v i v i n g numerous coup a t t e m p t s . A s h i s p a r a n o i a r e g a r d i n g s u p p o s e d p l o t s a g a i n s t him i n c r e a s e d , so d i d h i s r e p r e s s i o n , and h i s p r i s o n s s o o n became f u l l o f p o l i t i c a l p r i s o n e r s . He a t t e m p t e d to c o v e r a l l b a s e s ; h i s p e r s o n a l j e t a l w a y s on s t a n d b y a s i n s u r a n c e a g a i n s t t h e i n e v i t a b l e day o f h i s r e g i m e ' s o v e r t h r o w . 6 ' 7 The p o l i t i c a l p o t e n t i a l of t h e m i l i t a r y i s g r e a t , e s p e c i a l l y to t h o s e l e a d e r s s u c h a s N i m e i r i who g r a b b e d power v i a t h e army. In s u b - S a h a r a n A f r i c a t h e r e i s , f o r t h e most p a r t , no c l e a r d i s t i n c t i o n b e t ween m i l i t a r y and p o l i t i c a l e l i t e s , e s p e c i a l l y i n t h e i r p a r t i c i p a t i o n i n f o r m a l o r g a n i z a t i o n s , s u c h a s p o l i t i c a l p a r t i e s . And i n t h o s e s t a t e s w h e r e p o s i t i o n d o e s n o t mean c o l o r f u l m e d a l s or e l e g a n t u n i f o r m s so much a s f i r m and s e c u r e e c o n o m i c s t a t u s , t h e o n l y way by w h i c h t h e m i l i t a r y c o u l d be i n s u l a t e d f r o m p o l i t i c a l c o n t r o l i s to a s s u r e them i n d e p e n d e n t e c o n o m i c s u p p l y l i n e s . T h i s i s o f c o u r s e h i g h l y i m p r a c t i c a l and 104 i m p r o b a b l e . The p r o b l e m o f m i l i t a r y r e g i m e s i s n o t one o f how t h e y g a i n power, b u t how t h e y u s e i t and keep i t . 6 8 j | - ) e d i l e m m a t h a t N i m e i r i f a c e d was j u s t t h a t — how t o m a i n t a i n h i s t e n u o u s power. C e r t a i n l y , t h e f o r m u l a f o r t h i s w o u l d h a v e been t o f i r s t command o b e d i e n c e on t h e b a s i s o f more t h a n c o e r c i o n , f o r a c e r t a i n d e g r e e o f p o l i t i c a l o r g a n i z a t i o n i s n e c e s s a r y , even i f l e g i t i m a c y i s n o t . A m i l i t a r y d i c t a t o r s h i p t h a t r u l e s s o l e l y on t h e b a s i s o f f e a r and c o e r c i o n i s l i k e l y to b r e a k down and be o v e r t h r o w n i n t h e same manner t h a t i t came to power. F o r h i s p a r t i n t h e a v e r t e d coup a t t e m p t , R o w l a n d f o r g e d a f i f t e e n - y e a r f r i e n d s h i p , o n l y b r o k e n o f f when N i m e i r i was f i n a l l y o v e r t h r o w n i n M a r c h 1 9 3 5 . 6 9 R o w l a n d , by t h i s t i m e , had w i t h d r a w n many of t h e L o n r h o h o l d i n g s f r o m t h e c o u n t r y , p e r h a p s f o r e s e e i n g t h e f u t u r e w i t h o u t N i m e i r i . The h i g h p o i n t o f t h e i r r e l a t i o n s h i p came when N i m e i r i made t i m e b e tween h i s o f f i c i a l e n g a g e m e n t s on a v i s i t t o B r i t a i n t o v i s i t R o w l a n d ' s c o u n t r y home a t B o u r n e End. H i s e n t i r e C a b i n e t went w i t h him.''1-1 F o r L o n r h o , t h e f r i e n d s h i p was v e r y l u c r a t i v e . E v i d e n t l y , i t must h a v e been N i m e i r i ' s way of r e w a r d i n g R o w l a n d f o r h i s c o n t i n u e d s u p p o r t . On S e p t e m b e r 1, 1971 L o n r h o was a p p o i n t e d by Sudan "as s o l e a g e n t f o r s t a t e p u r c h a s e s o f c a p i t a l and s e m i - c a p i t a l g o o d s i n t h e U.K."''1 L o n r h o a l s o a g r e e d to a c t a s p u r c h a s i n g a g e n t s f o r t h e S u d a n e s e g o v e r n m e n t i n o t h e r c o u n t r i e s . I t was n e v e r d i s c l o s e d , h o w e v e r , j u s t what s e r v i c e s L o n r h o was r e n d e r i n g . In t h e p a s t , t h e b u y i n g o f B r i t i s h g o o d s had been done t h r o u g h t h e S u d a n e s e embassy, whose p u r c h a s i n g d e p a r t m e n t 1 0 5 p e r f o r m e d t h i s s e r v i c e a t a c o s t w h i c h was s a i d n o t to e x c e e d 0 . 2 p e r c e n t of t h e v a l u e ; L o n r h o ' s c h a r g e was f i x e d a t 2 p e r c e n t of t h e t o t a l , p l u s bank i n t e r e s t c h a r g e s f o r t h e f i n a n c i a l s e r v i c e s i n v o l v e d i n t h e t r a n s a c t i o n s . ' ' ^ A new l a w was p a s s e d i n K h a r t o u m i n 1 9 7 2 t h a t e x e m p t e d c o m p a n i e s whose p r o d u c t i o n was b a s e d on l o c a l raw m a t e r i a l s f r o m p r o f i t s t a x f o r t h e f i r s t f i v e y e a r s o f o p e r a t i o n and r e d u c e d t h e i r o b l i g a t i o n s f o r f u r t h e r p e r i o d s . S u c h c o n c e r n s a l s o e n j o y e d o t h e r p r i v i l e g e s , i n c l u d i n g f r e e d o m f r o m c u s t o m s d u t y on i m p o r t e d m a c h i n e r y and raw m a t e r i a l s , l o w e r e l e c t r i c i t y c h a r g e s and f a v o u r a b l e l e a s e h o l d t e r m s f o r l a n d . R e p a t r i a t i o n o f p r o f i t s was t o be f r e e o f t a x , a s was w i t h d r a w a l o f c a p i t a l . N ot s u r p r i s i n g l y , t h i s c o i n c i d e d w i t h t h e a n n o u n c e m e r i t o f t h e j o i n t p r o d u c t i o n o f s u g a r w i t h t h e S u d a n e s e g o v e r n m e n t , L o n r h o and K h a l i l ' s company. As w e l l , a n o t h e r d e a l f o r a t e x t i l e f a c t o r y w i t h t h e same t h r e e p a r t n e r s was p e n d i n g . By m a k i n g s u c h i n c e n t i v e s , N i m e i r i was p e r h a p s a 1 1 e m p t i n g to a t t r a c t MNCs to t h e S u d a n , l i k e l y i n t h e hope t h a t t h e y w o u l d i n v e s t i n t h e v o l a t i l e c o u n t r y , e f f e c t i v e l y s u p p l y i n g him w i t h more money f o r p o s i t i o n m a i n t e n a n c e . Or, p e r h a p s he was a t t e m p t i n g to d e m o n s t r a t e t h a t h i s g o v e r n m e n t was l e g i t i m a t e i n some f o r m o f p r a c t i c a l e c o n o m i c p o l i c y , t h e r e b y m a k i n g t h e c o u n t r y e l i g i b l e f o r f o r e i g n a i d and l o a n s f r o m t h e I n t e r n a t i o n a l M o n e t a r y Fund. Or, was i t t h e c a s e t h a t he had s i m i l a r p a r t n e r s h i p s t o t h a t o f L o n r h o w i t h o t h e r f o r e i g n c o r p o r a t i o n s ? The e x a c t e x t e n t of L o n r h o ' s e l e v a t e d p o s i t i o n i n t h e Sudan 106 was o n l y r e v e a l e d , h o w e v e r , a t a p r e s s c o n f e r e n c e i n London w h e r e , K h a l i d , t h e F o r e i g n M i n i s t e r , was a s k e d t o e x p l a i n h i s g o v e r n m e n t ' s r e l a t i o n s h i p w i t h L o n r h o i n t h e l i g h t o f t h e O r g a n i z a t i o n o f A f r i c a n U n i t y ' s (OAU) a t t i t u d e s to a p a r t h e i d . ^ 3 K h a l i d , a s a f o r m e r Sudan a m b a s s a d o r to t h e U n i t e d N a t i o n s , l i k e l y knew o f L o n r h o ' s o r i g i n s i n S o u t h e r n R h o d e s i a and o f i t s o p e r a t i o n s i n w h i t e - r u l e d A f r i c a n c o u n t r i e s . He r e p l i e d , h o w e v e r , t h a t he was " n o t a ware" o f t h e company's o p e r a t i o n s i n S o u t h A f r i c a or R h o d e s i a . ^ T h i s was e ven more s u r p r i s i n g i n l i g h t o f t h e p u b l i c i t y t h a t t h e company h a d r e c e i v e d a s a r e s u l t o f i t s i n t e r e s t s i n w h i t e - r u l e d s u b - S a h a r a n A f r i c a . What i s more l i k e l y t h e c a s e was t h a t t h e S u d a n e s e r e g i m e was a ware o f L o n r h o ' s a c t i v i t i e s -- e s p e c i a l l y a s a d e t a i l e d d o s s i e r on L o n r h o was d e l i v e r e d by them to t h e OAU i n F e b r u a r y , 1 9 7 3 . ^ T h i s f a c t i s of c o n s i d e r a b l e i m p o r t a n c e b e c a u s e o f t h e r o l e t h a t Sudan p l a y e d d u r i n g 1973 and 1974 i n t h e e v e n t s w h i c h l e d t o t h e a p p o i n t m e n t o f L o n r h o t o t h e OAU a s e c o n o m i c a d v i s o r on o i l m a t t e r s . R o w l a n d ' s p r o b a b l e scheme of m a k i n g L o n r h o o i l c o n s u l t a n t t o t h e w h o l e o f b l a c k A f r i c a , v i a w o r k i n g t h r o u g h t h e OAU, n e v e r r e a c h e d f r u i t i o n . The company w o u l d h a v e been t h e s o l e a g e n t f o r b u y i n g , s h i p p i n g and d i s t r i b u t i o n . However, a f t e r I d i Amin drew t h e a t t e n t i o n o f t h e OAU to L o n r h o ' s l i n k s w i t h S o u t h A f r i c a , R o w l a n d was f o r c e d t o c a n c e l t h e c o n t r a c t he had s i g n e d w i t h t h e o r g a n i z a t i o n ; i t s s e c r e t a t y - g e n e r a l , Nzo E k a n g a k i , r e s i g n e d i n d i s g r a c e . The common g r o u n d b etween members o f t h e OAU was t h e i r o p p o s i t i o n to a p a r t h e i d and t h e w h i t e m i n o r i t y r e g i m e s of s o u t h e r n 107 A f r i c a ; i f l i t t l e e l s e , t h e r e was f u l l a c c o r d on q u e s t i o n s o f r a c i a l i s m , f o r e i g n e x p l o i t a t i o n and n e o - c o l o n i a l i s m . S u c h bad p u b l i c i t y damaged L o n r h o c o n s i d e r a b l y , l i k e l y c o n v i n c i n g R o w l a n d t h a t he must a l w a y s a p p e a r t o be on t h e s i d e o f b l a c k n a t i o n a l i s m ( w h i l e q u i e t l y s e c u r i n g a d e a l w i t h W e s t e r n P l a t i n u m o r o t h e r S o u t h A f r i c a n c o n c e r n s ) . The r e l a t i o n s h i p s t h a t R o w l a n d f o s t e r e d f i r s t w i t h K h a l i 1 Osman and l a t e r , N i m e i r i p r o v e d p r o f i t a b l e f o r L o n r h o . R o w l a n d somehow managed to be " i n t h e r i g h t p l a c e a t t h e r i g h t t i m e " w h e r e N i m e i r i was c o n c e r n e d . The f a c t t h a t he was a b l e t o a i d N i m e i r i t o r e t u r n to p o wer, a l b e i t t h r o u g h a m i n o r r o l e , o n l y s e r v e s to d e m o n s t r a t e how r e l a t i o n s h i p s o f MNCs and p e r s o n a l r u l e a r e c o n t i n g e n t upon i n d i v i d u a l s and c i r c u m s t a n c e . No s t r a t e g y t h a t R o w l a n d c o u l d h a v e d e v i s e d w o u l d l i k e l y h a v e p l a c e d him i n a b e t t e r p o s i t i o n w i t h t h e S u d a n e s e r u l e r . R o w l a n d ' s s t r e n g t h , i n t h i s c a s e , l a y i n h i s a b i l i t y to a c t q u i c k l y i n a c r i s i s , by r e c o g n i s i n g h i s p o t e n t i a l to b e n e f i t i f he e m p l o y e d t h e c o r r e c t s t r a t e g y . The e n t r e p r e n e u r seems t o h a v e r e c o g n i s e d t h a t N i m e i r i ' s p o s i t i o n was t e n u o u s , and when t h e o p p o r t u n i t y f o r him to d e m o n s t r a t e h i s d e v o t i o n to t h e r u l e r a r o s e , he d i d n o t h e s i t a t e . O t h e r s w e r e n o t so w i l l i n g t o p l a y s u c h a d a n g e r o u s game a s t o a l i g n t h e m s e l v e s so c l o s e l y w i t h a m i l i t a r y d i c t a t o r , k n o w i n g t h a t t h e day o f h i s v i o l e n t o v e r t h r o w was i n e v i t a b l e . I n d e e d , t y i n g L o n r h o ' s c o n t i n u e d s u c c e s s so c l o s e l y t o someone i n so p r e c a r i o u s a p o s i t i o n u n d e r s c o r e s t h e f a c t t h a t R o w l a n d i s q u i t e a g a m b l e r . The c o n t i n u e d s u c c e s s o f L o n r h o i n t h e Sudan 108 was, i n d e e d , c o n t i n g e n t upon t h e c o n t i n u e d w i l l o f N i m e i r i . I f he had been s u d d e n l y o v e r t h r o w n , w i t h l i t t l e o r no w a r n i n g , t h e r e s u l t s m i g h t h a v e been d i s a s t r o u s f o r L o n r h o . A s i t w as, by t h e t i m e t h e l e a d e r was e v e n t u a l l y d e p o s e d i n 1985 i n a m i l i t a r y coup d ' e t a t , R o w l a n d h a d w i t h d r a w n t h e m a j o r p a r t o f L o n r h o ' s i n v e s t m e n t f r o m t h e Su d a n . Zimbabwe In Zimbabwe, R o w l a n d went t o a g r e a t d e a l o f t r o u b l e i n t e r m s of p o s t u r i n g , c u r r y i n g f a v o u r and e l i c i t i n g f r i e n d s h i p s i n o r d e r to p l a c e L o n r h o i n a p r o p i t i o u s p o s i t i o n . However, r a t h e r t h a n a s s e s s i n g t h e p o l i t i c a l c l i m a t e f o r d o i n g b u s i n e s s i n Zimbabwe, R o w l a n d a t t e m p t e d to m a n u f a c t u r e h i s own, t a i l o r i n g i t to L o n r h o ' s n e e d s — much t o h i s e v e n t u a l d e t r i m e n t . In t h e e n d , h i s e x c e s s i v e m e d d l i n g o n l y c r e a t e d more o b s t a c l e s . In f a c t , t h i s p a r t i c u l a r c a s e d i s c l o s e s much a b o u t j u s t how c o n t i n g e n t i n t e r m s of t i m i n g , c i r c u m s t a n c e s , and p e r s o n a l i t i e s M N C - p e r s o n a l r u l e r e l a t i o n s h i p s a c t u a l l y a r e . A s i n M a l a w i , R o w l a n d r i g h t l y f o r e c a s t t h a t t h e power c o n f i g u r a t i o n s i n Zimbabwe w o u l d c h a n g e d r a s t i c a l l y i n t h e c o m i n g y e a r s , and t h u s s e t o u t t o c u l t i v a t e t h e p e r s o n whom he f e l t w o u l d e v e n t u a l l y l e a d t h e c o u n t r y . U n l i k e M a l a w i , i t seems he d i d n o t h a v e a g r a s p o f t h e e n t i r e p i c t u r e o f Zimbabwe, a t l e a s t i n t e r m s o f w i t h whom s t r a t e g i c r e l a t i o n s h i p s s h o u l d be f o s t e r e d . In f a c t , t h e r e v e r s e , f o r h i s c a r e f u l l y o r c h e s t r a t e d p l a n s c r u m b l e d one 103 a f t e r a n o t h e r a s he t r o d on t h e t o e s o f a l l o f h i s w o u l d - b e p a r t n e r s and f o u n d h i m s e l f s t u m b l i n g i n a f r a n t r c s h u f f l e r a t h e r t h a n g l i d i n g t h r o u g h a f l u i d " t a n g o " . R o w l a n d began on t h e r i g h t f o o t , h o w e v e r . He seemed c o n v i n c i n g i n h i s r e g a r d f o r b l a c k n a t i o n a l i s m , a p p e a r i n g t i r e l e s s l y to p u r s u e a s e t t l e m e n t i n R h o d e s i a . In t r u t h , L o n r h o ' s i n t e r e s t s w e r e a t s t a k e — e s p e c i a l l y i t s o i l p i p e l i n e w h i c h r a n f r o m t h e M ozambique p o r t o f B e i r a to S a l i s b u r y ( w h i c h c o u l d n o t o p e r a t e a s l o n g a s U n i t e d N a t i o n s s a n c t i o n s w e r e i n f o r c e a g a i n s t t h e i l l e g a l r e g i m e i n R h o d e s i a . ) 7 6 A s i n t h e 1 3 6 0 ' s , R o w l a n d o n c e a g a i n r e c o g n i s e d t h a t i t w o u l d be p r u d e n t to s u p p o r t an u p - a n d - c o m i n g b l a c k r u l e r . In f a c t , when P r i m e M i n i s t e r I a n S m i t h ' s power began t o w a v e r , R o w l a n d ' s a p p a r e n t s t r a t e g y was t o s i m u l t a n e o u s l y back s e v e r a l p r o m i s i n g b l a c k n a t i o n a l i s t s , t h e r e b y b e t t e r i n g t h e o d d s on h i s b i d f o r a f a v o u r e d p o s i t i o n . He a l l e g e d l y t e n d e r e d a s i n d u c e m e n t s , s u c h g i f t s o f s e r v i c e s a s a i r l i n e t i c k e t s , h o t e l s u i t e s , and m e d i c a l e x a m i n a t i 6 n s — " w h a t e v e r was r e q u i r e d . " ? 7 "So g r e a t was h i s e n t h u s i a s m t h a t he d i d n o t seem t o d i s c r i m i n a t e , and L o n r h o f u n d s w e r e s h o w e r e d i n t u r n upon B i s h o p A b e l M u z o r e w a , t h e R e v e r e n d N d a b a n i n g i S i t h o l e , and f i n a l l y J o s h u a N k o m o . " 7 8 I t was Nkomo i n whom R o w l a n d p l a c e d h i s h i g h e s t h o p e s , h o w e v e r . T w i c e t h e L o n r h o j e t made t r i p s a c r o s s t h e Z a m b e z i R i v e r , t a k i n g I a n S m i t h f r o m S a l i s b u r y t o L u s a k a . The f i r s t t i m e was i n November 1377, when S m i t h and t e n o f f i c i a l s w e r e f l o w n to meet K a u n d a . " T h e i r a i m was .to f i n d a f o r m u l a by w h i c h J o s h u a 110 Nkomo c o u l d be b r o u g h t i n t o a n a t i o n a l government.''''^ When t h i s news was l e a k e d , t h e r e w e r e r e c r i m i n a t i o n s on a l l f r o n t s . R o b e r t Mugabe, who m a i n t a i n e d an u n e a s y a l l i a n c e a t t h e t i m e w i t h Nkomo, was l e d t o b e l i e v e t h a t Nkomo h a d a t t e n d e d t h e m e e t i n g , and t h u s b e l i e v e d ( r a t h e r a s t u t e l y ) t h a t t h i s was a c o n s p i r a c y t o u n d e r m i n e h i m . R o w l a n d ' s s e c o n d i n i t i a t i v e o c c u r r e d a y e a r l a t e r , when he d i d f l y S m i t h t o L u s a k a f o r d i r e c t t a l k s w i t h Nkomo. T h e r e t h e y made p l a n s f o r f u r t h e r m e e t i n g s , t h i s t i m e t o i n v o l v e Mugabe. Mugabe d e c l i n e d t o p a r t i c i p a t e upon l e a r n i n g t h a t S m i t h a n d Nkomo had a l r e a d y met w i t h o u t h i m . A l l o f t h i s s o - c a l l e d d i p l o m a c y d i d n o t h e l p m a t t e r s much — i n f a c t t h e r e v e r s e . The a n i m o s i t y and s u s p i c i o n b e t w e e n Nkomo and Mugabe o n l y i n t e n s i f i e d . And a s i t t u r n e d o u t , t h e r e was l i t t l e c h a n c e f o r S m i t h a n d Nkomo to come t o t e r m s e i t h e r , f o r a g r o u p o f t h e l a t t e r ' s g u e r r i l l a s , armed w i t h a S o v i e t g r o u n d - t o - a i r m i s s i l e , s h o t down a c i v i l i a n j e t l i n e r n e a r V i c t o r i a F a l l s . T h i r t y - e i g h t d i e d i n t h e c r a s h ; o f t h e e i g h t e e n s u r v i v o r s , t e n w e r e s u m m a r i l y '"executed'' by t h e f r e e d o m f i g h t e r s . 8 0 R o w l a n d made many v a l u a b l e c o n t r i b u t i o n s t o t h e "Nkomo c a u s e " ; a c c o r d i n g t o Nkomo h i m s e l f , t h e most v a l u a b l e b e i n g a i r l i n e t i c k e t s . Nkomo i n h i s p e r s o n a l m e m o i r s c l a i m s t h a t R o w l a n d ' s h e l p was p e r s o n a l , n o t p o l i t i c a l , and t h a t " R o w l a n d d i d n o t a p p e a r t o want a n y t h i n g i n r e t u r n , o r t o be p l a n n i n g f o r me to t a k e h i g h o f f i c e a f t e r i n d e p e n d e n c e . " ^  A l t h o u g h r a t h e r nai've, Nkomo's a c c o u n t w o u l d be a c c e p t a b l e i f n o t f o r t h e f a c t t h a t he I l l had m e n t i o n e d p o l i t i c s . N h a t w o u l d t h e P r e s i d e n t o f one o f t h e more s u c c e s s f u l m u l t i n a t i o n a l s o p e r a t i n g i n A f r i c a , l a r g e l y due t o t h e s t r e n g t h o f i t s e x c e l l e n t t i e s t h e r e , be d o i n g i f i t w e r e n o t to c u l t i v a t e p o l i t i c a l a l l i e s ? R o w l a n d was n o t , and n e v e r h a s been i n t h e b u s i n e s s o f c h a r i t y . I n d e e d , t h e r e i s no m e n t i o n o f some o f t h e " g i f t s " t h a t R o w l a n d r e p o r t e d l y g a v e Nkomo — l i k e t h e g o l d w a t c h . 8 2 j t j s more l i k e l y t h e c a s e t h a t R o w l a n d was s t e a d f a s t l y p r e p a r i n g f o r t h e day when t h e c o u n t r y became Zimbabwe, s e c u r i n g h i s p o s i t i o n ( a n d L o n r h o ' s ) w i t h t h o s e p e o p l e who m i g h t be i n power a f t e r i n d e p e n d e n c e . Nkomo, a t t h e t i m e , was r e g a r d e d a s ' s u r e ' t o become t h e n a t i o n a l l e a d e r . A c c o r d i n g to Nkomo, R o w l a n d was v e r y c l o s e t o h i m : " I r e g a r d e d hi m a s a s o n - i n - l a w , what we c a l l t h e 'mkweenyana', one o f t h e f a m i l y by m a r r i a g e . " 8 3 In r e t u r n , R o w l a n d c a l l e d h i m by t h e n i c k n a m e " L l o y d " , a k i n d o f "nom de g u e r r e when t h e y t a l k e d on t h e t e l e p h o n e . " 8 * * I n d e e d , a t t h i s p o i n t , t h e s i t u a t i o n must h a v e l o o k e d v e r y f a v o u r a b l e i n t e r m s o f p r o f i t a b l e b u s i n e s s a l l i a n c e s f o r L o n r h o . U n f o r t u n a t e l y f o r R o w l a n d , h i s s t r a t e g y b a c k f i r e d ; a s i t . t u r n e d o u t he had o n c e a g a i n b a c k e d t h e w r o n g p o l i t i c a l h o r s e . D u r i n g t h e p o s t - i n d e p e n d e n c e e l e c t i o n c a m p a i g n , e a r l y i n 1 3 8 0 , L o n r h o r e p o r t e d l y " d o n a t e d " t o Nkomo's ZAPU p a r t y a p p r o x i m a t e l y <£l50,000, a s w e l l a s e l e c t i o n e e r i n g m a t e r i a l ( h a s t i l y p r i n t e d i n t h e U.K.) and a c a m p a i g n h e l i c o p t o r . 8 ^ D e s p i t e t h i s , Mugabe's ZANU p a r t y won f i f t y - s e v e n s e a t s t o ZAPU's t w e n t y . S u p r i s i n g l y , i n h i s s t r a t e g i c a s s e s s m e n t o f p o s s i b l e new power c o n f i g u r a t i o n s , 112 R o w l a n d n e g l e c t e d t o n o t e t h e t r i b a l a l i g n m e n t s i n Zimbabwe. F o r i f he h a d , he w o u l d h a v e r e a l i z e d t h a t Nkomo c o u l d n e v e r w i n . Y e t R o w l a n d d i d n o t abandon h i s c a n d i d a t e f o r some t i m e . T h e r e a r e two m a j o r t r i b e s i n Zimbabwe. T h e s e a r e t h e N d e b e l e and t h e Shona ( p o p u l a r l y known a s t h e M a t a b e l e a n d t h e M a s h o n a ) . Mugabe r e p r e s e n t e d t h e l a r g e r Shona p o p u l a t i o n w i t h h i s Zimbabwe A f r i c a n N a t i o n a l U n i o n ( Z A N U ) , w h i l e Nkomo l e d t h e M a t a b e l e w i t h t h e Zimbabwe A f r i c a n P e o p l e ' s U n i o n ( Z A P U ) . An u n e a s y a l l i a n c e was f o r m e d b e t w e e n t h e two l e a d e r s l o n g enough t o h o l d t h e e l e c t i o n i n F e b r u a r y 1 9 3 0 , o n l y t o f i n a l l y b r e a k down w i t h c l a i m s and c o u n t e r - c l a i m s a b o u t t h e r e s p o n s i b i l i t y f o r t h e m o u n t i n g c i v i l i a n c a s u a l t i e s o f g u e r r i l l a a c t i v i t i e s i n r u r a l a r e a s . The g u e r r i l l a a c t i v i t y w h i c h c o n t i n u e d b e t w e e n ZANU and ZAPU was p e r h a p s t h e l o n g o v e r d u e m a t e r i a l i z a t i o n o f h o s t i l i t i e s t h a t had m a n i f e s t i t s e l f b e t w e e n t h e two t r i b e s u n d e r c o l o n i a l r u l e . 8 6 Nkomo was f i n a l l y f o r c e d t o f l e e t h e c o u n t r y , f r i g h t e n e d by Mugabe's F i f t h B r i g a d e t r o o p s who had b r o k e n i n t o h i s B u l a w a y o home w h i l e he was h i d i n g e l s e w h e r e ; f a i l i n g t o f i n d h i m t h e y had s h o t t h r e e p e o p l e . He e v e n t u a l l y t u r n e d up i n London r e q u e s t i n g R o w l a n d ' s a i d . H i s h o t e l and s u n d r y e x p e n s e s w e r e r e p o r t e d l y p a i d f o r by L o n r h o , b u t by t h i s t i m e R o w l a n d had r e a l i z e d t h a t he had b a c k e d t h e w r o n g p e r s o n , and any f u r t h e r a i d t o t h e ZAPU l e a d e r was s u r e t o h a v e d i r e c o n s e q u e n c e s f o r L o n r h o ' s i n t e r e s t s i n Zimbabwe. T h i s became e m b a r r a s s i n g l y a p p a r e n t when Nkomo g a v e a p r e s s c o n f e r e n c e e n d o r s i n g t h e r e p o r t r e l e a s e d by t h e C a t h o l i c 113 b i s h o p s i n Zimbabwe a b o u t a t r o c i t i e s i n M a t a b e l e l a n d . 8 7 A s soon a s t h e f i r s t r e p o r t s o f h i s p r e s s c o n f e r e n c e w e r e p u b l i c i z e d , "one of R o w l a n d ' s a i d e s was on t h e t e l e p h o n e t o t e l l h im CNkomol t h a t f r o m now on t h e r e w o u l d be no more f i n a n c i a l h e l p a v a i l a b l e f r o m L o n r h o . " 8 8 Nkomo d e c l a r e s t h a t d e s p i t e t h e l e t - d o w n i n t h e " d a r k e s t moment o f my l i f e " , he i s g r a t e f u l t o R o w l a n d f o r h i s s u p p o r t i n e a r l i e r d a y s . 8 ^ J u d g i n g by t h e k i n d w o r d s Nkomo had f o r R o w l a n d , i t w o u l d seem t h a t e v e n a t t h e t i m e o f w r i t i n g h i s a u t o b i o g r a p h y , Nkomo may s t i l l h a v e c l u n g t o t h e v a i n hope t h a t R o w l a n d , due t o h i s r a t h e r u n c a n n y a b i l i t y t o m a n i p u l a t e p o l i t i c a l e v e n t s , c o u l d s t i l l p l a c e h i m i n a p o s i t i o n o f a u t h o r i t y i n Zimbabwe. O t h e r w i s e , f i n d i n g h i m s e l f s u d d e n l y w i t h o u t R o w l a n d ' s s u p p o r t w o u l d l i k e l y h a v e e l i c i t e d a c r i d c r i t i c i s m o f L o n r h o ' s P r e s i den t . In t h e c a s e o f Mugabe, R o w l a n d f o u n d h i m s e l f i n a l e s s t h a n f a v o u r a b l e p o s i t i o n ; Zimbabwe was s t i l l t h e m a i n c e n t r e f o r L o n r h o p r o f i t s . One o f t h e f i r s t a t t e m p t s he made t o i n g r a t i a t e h i m s e l f wi t h Mugabe was t o r e p l a c e t h e L o n r h o - o w n e d London O b s e r v e r ' s A f r i c a C o r r e s p o n d e n t , R i c h a r d H a l l , w i t h an a s s o c i a t e o f Mugabe's, Godwin M a t a t u . M a t a t u was a Zimbabwean j o u r n a l i s t who had p r e v i o u s l y been t h e p o l i t i c a l e d i t o r o f A f r i c a m a g a z i n e . He was r e p o r t e d l y g i v e n a l a r g e s a l a r y , a L o n r h o c a r and a h o u s e i n H a r a r e . T h i s r e s u l t e d i n y e t a n o t h e r p o l i t i c a l m i s c a l c u l a t i o n on R o w l a n d ' s p a r t , h o w e v e r . M a t a t u w as, f i r s t , an i n e x p e r i e n c e d j o u r n a l i s t , a n d s e c o n d , he f e l l f r o m f a v o u r w i t h Mugabe soon a f t e r he was h i r e d by t h e O b s e r v e r . 114 U n d a u n t e d , R o w l a n d a t t e m p t e d a new s t r a t e g y i n an e f f o r t t o f o s t e r good r e l a t i o n s w i t h t h e new Zimbabwean l e a d e r . In a move t h a t r e p o r t e d l y a l m o s t p r e c i p i t a t e d t h e l o s s o f a l l L o n r h o ' s h o l d i n g s i n Zimbabwe, R o w l a n d d e c i d e d t o m a n i p u l a t e t h e p r e s s i n h i s f a v o u r , p r e s u m a b l y t o u s e i t a s a " m o u t h p i e c e " to i n g r a t i a t e L o n r h o w i t h Mugabe. He t h u s o r c h e s t r a t e d t h e i n t e r v i e w o f R o b e r t Mugabe by t h e e d i t o r o f t h e O b s e r v e r . D o n a l d T r e l f o r d . Once a g a i n R o w l a n d a p p e a r s t o h a v e m i s j u d g e d h i s p o l i t i c a l i n f l u e n c e , e s p e c i a l l y o v e r a p r i n c i p l e d j o u r n a l i s t . He l i k e l y f e l t t h a t b e c a u s e L o n r h o owned t h e O b s e r v e r . T r e l f o r d w o u l d w r i t e a f l a t t e r i n g s t o r y a b o u t Mugabe, t h e r e b y f u r t h e r i n g L o n r h o ' s i n t e r e s t s i n Zimbabwe. However, t h e f a c t t h a t L o n r h o owned t h e O b s e r v e r a p p a r e n t l y m a t t e r e d l i t t l e t o T r e l f o r d . P r e s u m a b l y , R o w l a n d o n l y u n d e r s t a n d s m a t t e r s o f e x p e d i e n c e , o t h e r w i s e he w o u l d n e v e r h a v e a l l o w e d t h e i n t e r v i e w t o t r a n s p i r e . T he i n t e r v i e w was s c h e d u l e d f o r A p r i l 1 1 , 1 9 8 3 . I t w o u l d h a v e been c a n c e l l e d by Mugabe i f n o t f o r t h e i n t e r f e r e n c e o n c e a g a i n o f R o w l a n d , who p e r s u a d e d h i m t o keep t h e a p p o i n t m e n t . A t t h i s same t i m e , t h e r e a p p e a r e d s t o r i e s f r o m Roman C a t h o l i c m i s s i o n a r i e s a b o u t a t r o c i t i e s c o m m i t t e d i n M a t a b e l e l a n d by Mugabe's F i f t h B r i g a d e . T r e l f o r d l e a r n i n g o f t h i s , h e l d a p e r f u n c t o r y i n t e r v i e w w i t h t h e r u l e r , t h e n s e t o u t on a m i d n i g h t j o u r n e y t o M a t a b e l e l a n d t o l e a r n t h e t r u t h . In t h e e n s u i n g a r t i c l e t h a t was p u b l i s h e d , T r e l f o r d s p a r e d no f e e l i n g s i n an a c c o u n t o f " g r i s l e y m u r d e r i n t h e b u s h " , w i t h o n l y a b r i e f m e n t i o n o f Mugabe a s a s a r d o n i c a n d r u t h l e s s p e r s o n a l i t y . 9 0 115 R o w l a n d i s s a i d t o h a v e r e a c t e d v i o l e n t l y . He t h r e a t e n e d t o c l o s e t h e p a p e r i f t h e s t o r y was p u b l i s h e d , b u t i t was a f a i t a c c o m p l i by t h e n . The e n t r e p r e n e u r was now i n w o r s e t r o u b l e d e s p i t e h i s c o s t l y e f f o r t s t o c u r r y f a v o u r w i t h Mugabe. ( F o r i n s t a n c e , he had r e p o r t e d l y " d o n a t e d " a b o u t m i l l i o n t o e d u c a t i o n a l p r o j e c t s i n Z imbabwe, and had g i v e n a few s e l e c t m i n i s t e r s f r e e v a c a t i o n s a t a L o n r h o h o t e l i n M a u r i t i u s , l i k e l y a t t e m p t i n g t o i n f l u e n c e a n y o n e t h a t m i g h t be c l o s e l y a s s o c i a t e d to M u g a b e . ) 9 1 B e c a u s e o f T r e l f o r d ' s s t o r y , a l l o f t h e L o n r h o h o l d i n g s i n Zimbabwe w e r e i n p e r i l , e s p e c i a l l y i n l i g h t o f t h e n a t u r e o f p e r s o n a l r u l e t h a t a l l o w s mere whim to g o v e r n t h e s t a t u s o f a company o r an i n d i v i d u a l . In f a c t , Mugabe h i m s e l f t o o k t h e o p p o r t u n i t y a t a p u b l i c r a l l y t o make an a t t a c k on t h e m e n d a c i t y o f t h e W e s t e r n m e d i a . 9 2 L i k e l y e n v i s i o n i n g a b s o l u t e d i s a s t e r f o r L o n r h o i n Zimbabwe, R o w l a n d p r o m p t l y t e l e x e d an a b j e c t a p o l o g y . In h i s m e s s a g e to Mugabe, R o w l a n d m a l i g n e d h i s own e d i t o r c a l l i n g h i m " d i s c o u r t e o u s , d i s i n g e n u o u s and w r o n g " i n p u b l i s h i n g t h e a c c o u n t o f t h e M a t a b e l e l a n d c o n f l i c t . 9 3 Mugabe d i d n o t h e s i t a t e t o make t h i s l e t t e r p u b l i c , a s he had been i n v i t e d t o do. I t s u p p o r t e d h i s c l a i m s t h a t t h e F i f t h B r i g a d e was n o t d o i n g a n y t h i n g w r o n g i n i t s " s e a r c h and d e s t r o y " m i s s i o n s i n t o M a t a b e l e l a n d . R o w l a n d c a l l e d t h e a r t i c l e " s e n s a t i o n a l " , s t a t i n g t h a t T r e l f o r d had " t a k e n a d v a n t a g e o f h i s p o s i t i o n a s e d i t o r " to p r i n t a s t o r y w h i c h w o u l d n o t h a v e been p u b l i s h e d i f w r i t t e n by a mere r e p o r t e r . 9 4 T r e l f o r d r e s p o n d e d t h a t t h e l e t t e r h ad been l u d i c r o u s , d e f a m a t o r y and i n a c c u r a t e , s t a t i n g f u r t h e r t h a t "Mr. 116 R o w l a n d i s s i m p l y a c t i n g t o p r o t e c t h i s b u s i n e s s i n t e r e s t s . " 95 |_|e went s t i l l f u r t h e r and r i d i c u l e d R o w l a n d ' s c h a r g e t h a t he had been d i s c o u r t e o u s t o P r i m e M i n i s t e r Mugabe: " I wonder what he t h i n k s a b o u t t h e d i s c o u r t e s y o f t h e F i f t h B r i g a d e i n M a t a b e l e l a n d who h a v e been b a y o n e t i n g p e o p l e and t o r t u r i n g them w i t h e l e c t r i c s h o c k t r e a t m e n t . " 9 6 T h e i r d i s p u t e was f i n a l l y r e s o l v e d w i t h c o n c i l i a t o r y s t a t e m e n t s w r i t t e n by T r e l f o r d , and e n d o r s e d by b o t h . R o w l a n d c o n t i n u e s t o do b u s i n e s s i n Zimbabwe, p r e s u m a b l y p r o f i t a b l y . In r e t r o s p e c t , i t seems p u z z l i n g t h a t L o n r h o d i d n o t become t h e t a r g e t o f Mugabe's r e p r i s a l s a f t e r R o w l a n d ' s numerous p o l i t i c a l b l u n d e r s i n t h e c o u n t r y . A g a i n , a s some o f t h e p r e v i o u s c a s e s d e m o n s t r a t e , t h e r e l a t i o n s h i p s o f f o r e i g n i n v e s t o r s and p e r s o n a l r u l e r s a r e o f t e n c o n t i n g e n t on t h e whims and p e r s o n a l i t y o f t h e r u l e r s . T h u s , t o a t t e m p t t o a n t i c i p a t e Mugabe's p o s s i b l e c o u r s e o f a c t i o n w i t h any d e g r e e o f a c c u r a c y i s a l m o s t i m p o s s i b l e , f o r i n d i v i d u a l whim c a n n o t be c a l c u l a t e d u s i n g s c i e n t i f i c m e t h o d s . O b v i o u s l y , Mugabe i s a s a s t u t e a b u s i n e s s m a n a s he i s a p o l i t i c i a n , f o r he r e c o g n i s e s t h a t he r e q u i r e s t h e f o r e i g n i n v e s t m e n t t h a t t h e B r i t i s h m u l t i n a t i o n a l b r i n g s w i t h i t . He i s e v i d e n t l y n o t p r e o c c u p i e d w i t h t h e r e l a t i o n s he h a s w i t h L o n r h o , o r i t s P r e s i d e n t , a s l o n g a s i t p r o v i d e s what he r e q u i r e s . Money, i s one p r o b a b l e m o t i v a t i o n — t o a v o i d t h e s t r o n g r i v a l r y f o r h i s p o s i t i o n by s u p p l y i n g p o l i t i c a l p a t r o n a g e t o h i s a s s o c i a t e s , and t o f u n d t h e c a m p a i g n he wages w i t h o t h e r F r o n t L i n e S t a t e s a g a i n s t t h e w h i t e m i n o r i t y r e g i m e o f S o u t h A f r i c a . T h u s , t h e s t r a t e g y t h a t R o w l a n d h a s p u r s u e d i n h i s 117 r e l a t i o n s h i p s i n Zimbabwe h a v e n o t been a l t o g e t h e r s u c c e s s f u l . I t a p p e a r s t h a t s u c h r e l a t i o n s a r e c o n t i n g e n t on so many p e r s o n a l i t i e s , and e v e n t s a s t o be a l m o s t u n p r e d i c t a b l e . A s M a c h i a v e l l i s t a t e d i n 1 5 1 2 : " I c o n c l u d e t h e n t h a t f o r t u n e v a r y i n g and men r e m a i n i n g f i x e d i n t h e i r w a y s , t h e y a r e s u c c e s s f u l so l o n g a s t h e s e ways c o n f o r m t o c i r c u m s t a n c e s , b u t when t h e y a r e o p p o s e d t h e n t h e y a r e u n s u c c e s s f u l . " 9 7 R o w l a n d , h a s l i k e l y h a d t o a l t e r h i s s t r a t e g i e s w i t h Mugabe i n o r d e r n o t t o l o s e t h e g r e a t e s t p a r t o f L o n r h o ' s A f r i c a n business. 9® I n d e e d , by m a n i p u l a t i n g s o m e t h i n g a s p u b l i c , and s u p p o s e d l y u n b i a s e d a s t h e p r e s s , R o w l a n d h a s r e v e a l e d e x a c t l y t o what l e n g t h s he w i l l go i n o r d e r t o s a f e g u a r d L o n r h o ' s i n t e r e s t s . T h i s i s s o m e t h i n g o f a n o v e l c a s e i n t h a t i t i s s u c h b l a t a n t e v i d e n c e . o f how m u l t i n a t i o n a l c o r p o r a t i o n s m i g h t a t t e m p t t o c i r c u m v e n t t h e p r o b l e m s o f t h e u n c e r t a i n t y o f p e r s o n a l r u l e . R o l e s c a n c h a n g e a t any t i m e , t h i s R o w l a n d p r o b a b l y c o u n t s o n , and he a p p e a r s a s t u t e enough t o r e a l i z e why Mugabe d i d n o t n a t i o n a l i z e a l l o f L o n r h o ' s a s s e t s when g i v e n t h e j u s t i f i c a t i o n . F o r t h e t i m e he p l a y s t h e p a r t , b u t i s l i k e l y a t t h e v e r y moment c u r r y i n g f a v o u r w i t h p e r s o n s c l o s e t o Mugabe i n o r d e r t o b e n e f i t L o n r h o . I t seems t h a t b o t h men now know e x a c t l y w h e r e t h e o t h e r s t a n d s i n t e r m s o f s t r a t e g i c i n t e r e s t s , a nd a l t h o u g h t h e i r r e l a t i o n s h i p i s n o t on c l o s e o r f r i e n d l y t e r m s , t h e y r e c o g n i z e t h a t t h e y s h a l l b o t h b e n e f i t i f i t c o n t i n u e s . U S S u b - S a h a r a n A f r i c a h a s p r o v e d a t t i m e s t o be a r a t h e r f r u s t r a t i n g e x p e r i e n c e f o r R o w l a n d . But due t o h i s un c a n n y a b i l t y t o m a n i p u l a t e p o l i t i c a l e v e n t s t h e r e , he h a s managed t o l a n d on h i s f e e t and t o p r e v e n t L o n r h o f r o m d i s a p p e a r i n g i n t o t h e h a n d s o f t h e p r i v a t e power b r o k e r s . H i s keen u n d e r s t a n d i n g o f p e r s o n a l r u l e h a s a i d e d him i n t h e s e s u c c e s s e s . He h a s made some m i s t a k e s i n h i s c a l c u l a t i o n s , i t i s t r u e , b u t by a t o n c e a l i g n i n g h i s e x c e l l e n t s e n s e o f b u s i n e s s w i t h h i s k n o w l e d g e o f p e r s o n a l r u l e , he h a s managed t o t u r n s e e m i n g d i s a s t e r s i n t o s u c c e s s e s . Some o b s e r v e r s s a y t h a t A f r i c a h a s become t o o s m a l l f o r R o w l a n d and t h a t t h i s i s e v i d e n c e d by h i s r e c e n t b i d f o r H a r r o d s , L o n d o n ' s l a r g e s t d e p a r t m e n t s t o r e . H o wever, A f r i c a seems t o be h i s f i r s t l o v e . 9 9 S u c h a keen u n d e r s t a n d i n g o f A f r i c a n p o l i t i c s w o u l d s u r e l y be w a s t e d i n t h e o r d e r l y a n d i n s t i t u t i o n a l i z e d c o u n t r i e s o f E u r o p e . I t i s i n t h e r e a l m o f u n c e r t a i n t y , p e r s o n a l a g g r a n d i z e m e n t , p a t r o n a g e , t r i b a l i s m , a n d p e r s o n a l i t y c u l t t h a t R o w l a n d i s i n h i s e l e m e n t . H i s f o r m u l a f o r t h e s u c c e s s f u l d e a l i n g s o f a m u l t i n a t i o n a l w i t h a p e r s o n a l r e g i m e h a s been one o f t h e most n o t a b l e a n d d u r a b l e . 119 CONCLUSION A t t e m p t i n g t o d e f i n e human r e l a t i o n s h i p s by p u r e l y e m p i r i c a l a c t i v i t y may become a m i s l e a d i n g e n d e a v o u r . Human i n t e r a c t i o n i s o f t e n p o w e r e d by s e l f - i n t e r e s t e d a c t i v i t y i n w h i c h t h e r e i s no c e r t a i n o u t c o m e . By a t t e m p t i n g t o a s s i g n s c i e n t i f i c a l l y -g e n e r a t e d h y p o t h e s e s to a c t i v i t y t h a t i s c o n t i n g e n t upon t h e v i s s i c i t u d e s o f i n d i v i d u a l human i n t e r a c t i o n and more s o , upon c a p r i c i o u s c i r c u m s t a n c e s , i s t o n a r r o w t h e s c o p e o f p o s s i b l e c h a n g e . I t i s d i f f i c u l t t o p r e d i c t w i t h any s c i e n t i f i c a c c u r a c y t h e p r e c i s e manner t h e c o n d u c t o f a f f a i r s s h a l l t a k e , e s p e c i a l l y when t h e y f a l l w i t h i n t h e r e a l m o f e x p e d i e n c y , u n c e r t a i n t y , r i s k , and a d v e n t u r e . O p p o r t u n i t y c a n be m a n u f a c t u r e d i f a p e r s o n knows w e l l how to m a n i p u l a t e men and c i r c u m s t a n c e t o h i s d e s i r e s . H owever, o p p o r t u n i t y i s a l w a y s c o n t i n g e n t , t o some d e g r e e , on f a t e o r f o r t u n e — t h e f o r t u n e s o f men h a v e n e v e r been p r e d i c t e d w i t h any d e g r e e o f s c i e n t i f i c a c c u r a c y . T h i s t h e s i s h a s d i s c l o s e d , i n p a r t , some o f t h e r e l a t i o n s h i p s t h a t e x i s t b e t w e e n m u l t i n a t i o n a l c o r p o r a t i o n s a n d t h e p e r s o n a l l y r u l e d s t a t e s o f s u b - S a h a r a n A f r i c a . P e r s o n a l r u l e i n b l a c k A f r i c a i s c h a r a c t e r i z e d by r a m s h a c k l e r e g i m e s , i n w h i c h i n s t i t u t i o n a l a u t h o r i t y a n d o r g a n i z a t i o n a l c a p a b i l i t y a r e l a r g e l y d e f i c i e n t . I t i s a s y s t e m o f r u l e i n w h i c h t h e s e l f - s e r v i n g r u l e r h o l d s power i n p r e c a r i o u s b a l a n c e v i a a n e t w o r k o f p a t r o n a g e , c o r r u p t i o n a n d , 120 q u i t e o f t e n , f e a r and c o e r c i o n . When a h i e r a r c h i c a l l y - o r g a n i z e d m u l t i n a t i o n a l c o r p o r a t i o n g u i d e d by p r o c e e d i n g s and c o n v e n t i o n s , r u l e s a n d r e g u l a t i o n s , i n i t s b u s i n e s s t r a n s a c t i o n s , i s f a c e d w i t h s u c h a b y z a n t i n e s c e n a r i o , t h e m a j o r q u e s t i o n a r i s e s a s t o how i t o p e r a t e s . T h i s t h e s i s h a s r e v e a l e d t h a t , j u s t a s i n i n d i v i d u a l human r e l a t i o n s , M N C - p e r s o n a l r u l e r e l a t i o n s h i p s r a t h e r t h a n b e i n g z e r o - s u m and u n i d i r e c t i o n a l a s d e p e n d e n c y t h e o r y s u g g e s t s , a r e c o n d i t i o n a l , h i g h l y c o n t i n g e n t on t h e a r b i t r a r y n a t u r e o f p e r s o n a l r u l e . A s t h e c a s e o f L o n r h o d e m o n s t r a t e s , t h e most s u c c e s s f u l c o m p a n i e s i n b l a c k A f r i c a a r e t h o s e w h i c h h a v e t h e a b i l i t y t o a d a p t t o an e n v i r o n m e n t w h e r e b u s i n e s s and p o l i t i c s a r e synonymous. The s t r a t e g i e s o f a d a p t a t i o n a r e n u m e r o u s , a l t h o u g h n o t a l w a y s e a s i l y r e c o g n i z e d . MNCs may u n d e r t a k e t o p r o f f e r i n d u c e m e n t s f o r a v a r i e t y o f p u r p o s e s , s u c h a s o b t a i n i n g a d v a n t a g e o r a v o i d i n g h a r r a s s m e n t . I n d u c e m e n t s may be i n t h e f o r m o f g i f t s o r money, a l t h o u g h t h e s e a r e o f t e n v i e w e d a s u n d e r - h a n d e d and c o r r u p t . The employment o f r e l a t i v e s , f r e e a i r l i n e t i c k e t s , o r v a c a t i o n s a r e more i n g e n i o u s m e t h o d s o f i n f l u e n c e , and l e s s r e c o g n i z a b l e a s s u c h . S t i l l a n o t h e r t a c t i c may i n c l u d e e n l i s t i n g t h e a i d o f a r e l i a b l e c o m p r a d o r o r i n t e r m e d i a r y w h o , t h r o u g h h i s u n d e r s t a n d i n g o f t h e h o s t c o u n t r y o r i n f l u e n t i a l c o n n e c t i o n s , may n e g o t i a t e a n d p e r h a p s p r o f f e r i n d u c e m e n t s on b e h a l f o f t h e c o r p o r a t i o n . T h i s s t r a t e g y a p p e a r s t o be e a s i e r and l e s s h a z a r d o u s f o r t h e MNC, a s i t a l l o w s t h e company t o d i s t a n c e i t s e l f f r o m i n c r i m i n a t i n g a c t i v i t y t h a t v i o l a t e s home g o v e r n m e n t l a w s , 121 y e t s t i l l p u r s u e i t s b u s i n e s s i n t e r e s t s . T i n y R o w l a n d o f L o n r h o h a s p u r s u e d numerous s t r a t e g i e s v i s - a - v i s p e r s o n a l r e g i m e s i n s u b - S a h a r a n A f r i c a . He h a s e n l i s t e d t h e a i d o f c o m p r a d o r s , p r o f f e r e d money, g i f t s , and s e r v i c e s o f a l l f o r m s , i n o r d e r t o e i t h e r e s t a b l i s h o r m a i n t a i n g ood r e l a t i o n s w i t h t h o s e who h o l d t h e r e i n s o f power. H i s s t r a t e g i e s h a v e b e e n , a t t i m e s , M a c h i a v e l l i a n , and w h i l e t h e y a r e somewhat t r a n s p a r e n t , t h e y a r e o f t e n e f f e c t i v e . In o t h e r i n s t a n c e s , h o w e v e r , h i s c a r e f u l l y o r c h e s t r a t e d schemes h a v e b a c k f i r e d , l e a v i n g L o n r h o i n a v u l n e r a b l e p o s i t i o n . C o n t i n g e n c y t h e o r y t h u s f i l l s t h e g a p s l e f t by d e p e n d e n c y t h e o r y i n i t s e x p l a n a t i o n o f t h e r e l a t i o n s o f MNCs and p e r s o n a l r u l e i n b l a c k A f r i c a . I n d e e d , w h i l e d e p e n d e n c y t h e o r y i s a p o i n t o f d e p a r t u r e f o r s u c h i n v e s t i g a t i o n , i t f a i l s t o a c c o u n t f o r t h e u n c e r t a i n and a r b i t r a r y n a t u r e o f p e r s o n a l p o l i t i c s w h e r e i n d i v i d u a l i n t e r e s t s s u p e r c e d e t h o s e o f t h e s t a t e . C o n t i n g e n c y t h e o r y r e v e a l s a d i s t i n c t i v e p a t t e r n o f b e h a v i o r i n s u c h r e l a t i o n s h i p s . I t i s a p a t t e r n i n w h i c h b u s i n e s s s u c c e s s d e p e n d s a s much on s t r i k i n g p e r s o n a l r e l a t i o n s h i p s w i t h p o w e r f u l i n d i v i d u a l s a s i t d o e s on i n v e s t i n g i n c e r t a i n s e c t o r s o f t h e economy. F o s t e r i n g and m a i n t a i n i n g s u c h r e l a t i o n s r e q u i r e s d i f f e r e n t s t r a t e g i e s i n e a c h c a s e , f o r e a c h i n d i v i d u a l h a s h i s own i n t e r e s t s and m o t i v a t i o n s . T h u s , w h i l e R o w l a n d e m p l o y e d b r i b e r y , f l a t t e r y , and a m e a s u r e o f d e c e i t t o c o u r t K a u n d a , he u s e d an i n t e r m e d i a r y and q u i c k t h i n k i n g t o i n g r a t i a t e h i m s e l f w i t h N i m e i r i . In Zimbabwe he went t o o f a r i n a t t e m p t i n g t o m a n i p u l a t e 122 t h e p o l i t i c a l s i t u a t i o n f o r b u s i n e s s a d v a n t a g e and was f o r c e d t o t r y t o make ammends. In Z a i r e , Mobutu w i e l d e d h i s j u r i d i c a l s o v e r e i g n t y l i k e a weapon, and R o w l a n d was v i r t u a l l y f o r c e d t o h i r e t h e r u l e r ' s n o t - s o - s o b r e u n c l e i n o r d e r t o s a f e g u a r d L o n r h o ' s i n t e r e s t s . T h u s , p o l i t i c s i n s u b - S a h a r a n A f r i c a i n t r u d e v i r t u a l l y on e v e r y a s p e c t o f s o c i e t y , and b u s i n e s s i s n o t immune. I n d e e d , i n s u b - S a h a r a n A f r i c a , p o l i t i c s is. b u s i n e s s . A nd a s R o w l a n d d o u b t l e s s knows, and t h e c a s e o f L o n r h o r e v e a l s , b u s i n e s s r e l a t i o n s h i p s i n b l a c k A f r i c a , l i k e human r e l a t i o n s h i p s , a r e h i g h l y u n p r e d i c t a b l e , p r o v i s i o n a l , c o n d i t i o n a l , a r b i t r a r y , and n o n - z e r o - s u m , e a c h c o n t i n g e n t on t h e v i s s i c i t u d e s o f i n d i v i d u a l i n t e r a c t i o n a n d t h e e v e r - c h a n g i n g c i r c u m s t a n c e s o f p e r s o n a l r u l e . 123 S o u r c e s " I f a man w i l l b e g i n w i t h c e r t a i n t i e s , he s h a l l end i n d o u b t s ; b u t i f he w i l l be c o n t e n t to b e g i n w i t h d o u b t s , he s h a l l end i n c e r t a i n t i e s . " So s a i d F r a n c i s B a con i n h i s work A d v a n c e m e n t o f L e a r n i n g . N h a t Bacon s a i d , t o a p o i n t , i s t r u e , f o r few r e s e a r c h e n d e a v o u r s can unmask t h e t r u t h w i t h a c o m p l e t e d e g r e e o f a c c u r a c y . I n d e e d , w e r e t h e r e no d o u b t s , r e s e a r c h w o u l d n o t n e e d t o be u n d e r t a k e n a t a l l . T h e r e i s a l w a y s a s o - c a l l e d m a r g i n o f e r r o r t h a t i s r e c o g n i z e d , even i n t h e most s c i e n t i f i c e x p e r i m e n t s . T h i s t h e s i s t o o , i s n o t w i t h o u t i t s m a r g i n o f e r r o r . I t s s o u r c e s w e r e a m i x t u r e o f t e s t i m o n i a l e v i d e n c e and p u b l i s h e d w o r k s , n e i t h e r o f w h i c h s h o u l d be j u d g e d more o r l e s s t r u t h f u l s i m p l y b e c a u s e o f t h e i r f o r m . T h e p u b l i s h e d s o u r c e s u s e d i n t h i s t h e s i s a p p e a r i n t h e b i b l i o g r a p h y , and t h e r e f o r e n e e d no f u r t h e r d i s c u s s i o n . The t e s t i m o n i a l e v i d e n c e , h o w e v e r , n e e d s t o be e x p l a i n e d f o r t h o s e who a r e n o t c o m f o r t a b l e w i t h t h e e x t e n t o f t h e e n d n o t e s . Numerous p e o p l e w e r e i n t e r v i e w e d i n t h e c o u r s e o f w r i t i n g t h i s t h e s i s . E a c h i n d i v i d u a l ' s c o n t r i b u t i o n was i m p o r t a n t i n t h a t i t h e l p e d t o p i e c e t o g e t h e r t h e p u z z l e t h a t t h i s t h e s i s s e t o u t t o d i s c l o s e . C h a p t e r T h r e e , i n p a r t i c u l a r , i s b a s e d more on i n t e r v i e w s w i t h p e o p l e , t h a n on p u b l i s h e d s o u r c e s . S u r p r i s i n g l y , "none a r e so f o n d o f s e c r e t s a s t h o s e who do n o t mean to keep them," and much i n f o r m a t i o n f o r t h i s s t u d y a r r i v i n g c o m p l e t l y u n s o l i c i t e d . Many p e o p l e o f f e r e d t o c o n t r i b u t e what t h e y c o n s i d e r e d r e l e v a n t t o t h e 124 t o p i c f r o m t h e i r e x p e r i e n c e s . S e v e r a l who w e r e i n t e r v i e w e d know T i n y R o w l a n d p e r s o n a l l y , e i t h e r t h r o u g h d o i n g b u s i n e s s w i t h h i m , o r t h r o u g h l o n g - s t a n d i n g p e r s o n a l r e l a t i o n s h i p s . O t h e r s had w o r k e d f o r a g e n c i e s i n s u b - S a h a r a n A f r i c a and r e l a t e d a n e c d o t e s a b o u t t h e i r e x p e r i e n c e s . S t i l l o t h e r s h a d , and do, work f o r m u l t i n a t i o n a l c o r p o r a t i o n s and w e r e a b l e t o s u b s t a n t i a t e many o f t h e i d e a s t h a t w e r e b o r n a s t h e o r y i n C h a p t e r Two. P e o p l e s u c h a s Mr. G. Wiz ( h i s a l i a s ) a nd Mr. A a r o n D a v i d b o t h w o r k e d i n s u b - S a h a r a n A f r i c a , t h e l a t t e r , a s an a c c o u n t a n t f o r T e n n o c o P e t r o l e u m , and t h e f o r m e r , b o t h f o r h i m s e l f and a s a p i l o t f o r C h e v r o n P e t r o l e u m . Mr. D a v i d was s e e m i n g l y open and s t r a i g h t f o r w a r d a b o u t h i s i n f o r m a t i o n , e ven c o r r e c t i n g s p e l l i n g e r r o r s made d u r i n g t h e c o u r s e o f t h e i n t e r v i e w s . N i t h t y p i c a l German r e s e r v e , Mr. N i z , on t h e o t h e r h a n d , o f t e n s a i d much w i t h o u t s a y i n g a n y t h i n g . E a c h m e e t i n g w i t h h i m c o n c l u d e d w i t h more u n a n s w e r e d q u e s t i o n s , c a u s i n g s p e c u l a t i o n and c a r e f u l c o m p a r i s o n o f a l l p r e v i o u s i n t e r v i e w s t o s e e w h e r e he had f i l l e d i n t h e g a p s o f a p r i o r m e e t i n g . H i s h e l p was n o t w i t h o u t v a l u e , h o w e v e r . He went so f a r a s t o c o r r e c t a d r a f t o f t h e c a s e o f t h e S u d a n , and t h e i n f o r m a t i o n a b o u t t h e work o f i n t e r m e d i a r i e s ( e s p e c i a l l y t h o s e who o p e r a t e i n t h e M i d d l e E a s t ) . The B u c h a n a n s k i n d l y p r o f f e r e d a s much i n f o r m a t i o n a s t h e y c o u l d . They seemed e a g e r t o be g i v e n t h e o p p o r t u n i t y to d i s c u s s t h e i r e x p e r i e n c e s i n Z a m b i a , many o f w h i c h l e f t them q u i t e b i t t e r . They s p o k e h i g h l y o f R o w l a n d , whom t h e y r e s i g n e d l y s t a t e b o u g h t t h e i r home and b u s i n e s s i n Z a m b i a so t h a t t h e y w o u l d n o t l o s e 125 e v e r y t h i n g when Kaunda c l a i m e d t h e i r a s s e t s , a l l e g e d l y f o r Z a m b i a . Z a m b i a had been t h e i r home, and t h e home o f t h e i r p a r e n t s f o r d e c a d e s , and t h e y w e r e most unhappy t o be f o r c e d to move, l e a v i n g b e h i n d t h e i r l i f e - s a v i n g s i n t h e Bank o f Z a m b i a . They even p r o v i d e d d o c u m e n t s f r o m t h e Bank w h i c h d e t a i l e d how t h e i r money had been r e d i s t r i b u t e d . T h a n k s t o an i n t r o d u c t i o n by t h e B u c h a n a n s , t h e two p e o p l e r e f e r r e d t o a s t h e " f r i e n d s " o f R o w l a n d , came t o be i n t e r v i e w e d . ( T hey a r e a l l g ood f r i e n d s , and meet one a n o t h e r s o c i a l l y q u i t e o f t e n . ) The " f r i e n d s " o f R o w l a n d know hi m and h i s i m m e d i a t e f a m i l y on a c l o s e , p e r s o n a l b a s i s . They met h i m when t h e y e n t e r e d i n t o a p a r t n e r s h i p w i t h h i m f o r t h e B e i r a P i p e l i n e d e a l i n M o z a m b i q u e . A l t h o u g h t h e d e a l e v e n t u a l l y c o l l a p s e d a nd t h e y now r e s i d e i n V a n c o u v e r , t h e y s t i l l meet h i m a t l e a s t o n c e a y e a r . They know h i s p e r s o n a l l a w y e r a s a f r i e n d , a s w e l l a s t h e p i l o t o f t h e M y s t e r e j e t , and many p e o p l e c o n n e c t e d w i t h t h e B r i t i s h R o y a l F a m i l y . They h a v e , o f t h e i r own v o l i t i o n , c r e a t e d numerous o p p o r t u n i t i e s t o a d v a n c e i n f o r m a t i o n to me a b o u t R o w l a n d and h i s d e a l i n g s i n s u b - S a h a r a n A f r i c a , p r o v i d e d p i c t u r e s and a r t i c l e s , a n d e v e n t e l e p h o n e d o c c a s i o n a l l y w i t h new p i e c e s o f i n f o r m a t i o n t h a t h a v e come t o m i n d . T h e i r u n w i l l i n g n e s s t o h a v e t h e i r names u s e d seems t o be b a s e d on t h e w i s h n o t t o d e s t r o y t h e i r f r i e n d s h i p w i t h R o w l a n d . However, a t t i m e s t h e y h a v e been r e l u c t a n t t o be s p e c i f i c a b o u t names, d a t e s and a m o u n t s , w h i c h h a s had t h e e f f e c t o f l e a v i n g g a p s i n t h e i n f o r m a t i o n , f i l l e d o n l y by s e a r c h i n g e n d l e s s l y t h r o u g h n e w s p a p e r a r t i c l e s . 126 I n d e e d , many t h i n g s t h a t t h e a b o v e p e o p l e , and o t h e r s , s a i d d u r i n g i n t e r v i e w s and c o n v e r s a t i o n s , h a v e been c o r r o b o r a t e d by ne w s p a p e r a r t i c l e s , and s m a l l r e f e r e n c e s i n b o o k s and p e r i o d i c a l s . O f t e n , a s i m p l e name h a s l e d t o new r e s e a r c h and f u r t h e r s u b s t a n t i a t i o n o f f a c t s . I n d e e d , i f i t had n o t been f o r t h e h e l p s u c h p e o p l e , my r e s e a r c h w o u l d n o t h a v e become so i n - d e p t h . T h e i r h e l p f u l i d e a s , and p e r h a p s even u n c o n s c i o u s h i n t s , l e d to a s n o w - b a l l e f f e c t t h a t i s even now d i f f i c u l t t o s t o p . I n d e e d , " £ d c r u e l s t o r y r u n s on w h e e l s , and e v e r y hand o i l s t h e w h e e l s a s t h e y r u n . "1 I w i s h t o a s s u r e t h e r e a d e r t h a t I h a v e made e v e r y e f f o r t to v e r i f y t h e i n f o r m a t i o n t h a t I h a v e g a t h e r e d and t h a t I w i l l d i s c u s s i t s r e l i a b i l i t y i n f u r t h e r n o t e s w h e r e r e l e v a n t . 127 NOTES C h a p t e r One E x t e n s i v e l i t e r a t u r e e x i s t s on m u l t i n a t i o n a l c o r p o r a t i o n s . In o r d e r t o r e a c h t h e s e c o n c l u s i o n s s o u r c e s s u c h a s t h e f o l l o w i n g w e r e c o n s u l t e d : A d e o y e A. A k i n s a n y a M u l t i n a t i o n a l s i n a C h a n g i n g  Env i ronmen t (New Y o r k : P r a e g e r P u b l i s h e r s , 1 9 8 4 ) ; B e n j a m i n Bobo " M u l t i n a t i o n a l C o r p o r a t i o n s i n t h e E c o n o m i c D e v e l o p m e n t o f B l a c k A f r i c a , " i n J o u r n a l o f A f r i c a n S t u d i e s V o l . 9 , n o . l , S p r i n g 1 9 8 2 , p p . 1 3 - 2 1 . ; S t e p h e n Hymer "The M u l t i n a t i o n a l & t h e Law o f Uneven D e v e l o p m e n t , " i n J a g d i s h N. B h a g w a t i , ( e d . ) E c o n o m i c s and W o r l d  O r d e r f r o m t h e 1 9 7 0 ' s t o t h e 199Q"s (New Y o r k : M a c m i l l a n P u b l i s h e r s , 1 9 7 2 ) ; C h a r l e s K e g l e y & Eugene N i t t k o p f "The M u l t i n a t i o n a l C o r p o r a t i o n i n W o r l d P o l i t i c s , " i n K e g l e y & W i t t k o p f ( e d s . ) The G l o b a l A g e n d a ( T o r o n t o : Random Ho u s e , 1 9 8 4 ) ; T h e o d o r e H. Moran ( e d . ) M u l t i n a t i o n a l C o r p o r a t i o n s : The P o l i t i c a l Economy  o f F o r e i g n D i r e c t I n v e s t m e n t ( T o r o n t o : D.C. H e a t h & Co., 1 9 8 5 ) ; R o n a l d M u l l e r "The MNC & t h e E x e r c i s e o f Power," i n A b d u l S a i d & L u i z Simmons ( e d s . ) The New S o v e r e i g n s : MNCs a s N o r l d Power (New J e r s e y : E n g l e w o o d C l i f f s , 1 9 7 5 ) ; A n t h o n y Sampson The S o v e r e i g n  S t a t e o f ITT (New Y o r k : S t e i n & Day, 1 9 7 3 ) . 2 J o h n Montgomery "The Q u e s t f o r P o l i t i c a l D e v e l o p m e n t " i n C o m p a r a t i v e P o l i t i c s J a n u a r y 1 9 6 9 , p.286. 3 S t a n i s l a v A n d r e s k i The A f r i c a n P r e d i c a m e n t (New Y o r k : A t h e r t o n P r e s s , 1 9 6 8 ) p . 9 7 . 4 A n d r e s k i , o p . c i t . , p . 1 0 9 . ^ P e t e r E k e h " C o l o n i a l i s m a n d t h e Two P u b l i c s i n A f r i c a : A T h e o r e t i c a l S t a t e m e n t " i n C o m p a r a t i v e S t u d i e s i n S o c i e t y & H i s t o r y V o l 1 7 , 1 9 7 5 , p p . 9 1 - 1 1 2 . g B o t h P r i n c e B e r n h a r d o f t h e N e t h e r l a n d s and P r i m e M i n i s t e r T e n a k a o f J a p a n w e r e i m p l i c a t e d i n t h e f a m o u s L o c k h e e d S c a n d a l . See N o t e # 7, t h i s c h a p t e r . ^ I n t e r v i e w w i t h Mr. G. Wiz who w o r k e d a s a " e n t r e p r e n e u r " i n s u b - S a h a r a n A f r i c a f o r s e v e n y e a r s a s w e l l a s S o u t h A m e r i c a a n d t h e C a r r i b e a n . He h a s r e l a t e d numerous i n c i d e n t s o f how i n t e r m e d i a r y work i s done — and e s p e c i a l l y e v e n t s i n t h e Sudan w h i c h r e q u i r e d h i s " e x p e r t i s e " i n m i l i t a r y m a t t e r s . He i s p r e s e n t l y i n t h e same l i n e o f b u s i n e s s , b u t o n l y u n d e r t a k e s j o b s t h a t pay o v e r U.S.*10,000.00/month c a s h . S e r i e s o f i n t e r v i e w s b e g i n n i n g November 1 9 8 7 ; S a i d K. A b u r i s h P a v - O f f ( L o n d o n : A n d r e D e u t c h L t d . , 1 9 8 5 ) p . 4 . 128 The L o c k h e e d S c a n d a l , a s i t was c a l l e d , i n v o l v e d t h e p a y m e n t s f r o m 1972 t o 1974 by A. C a r l K o t c h i a n , p r e s i d e n t o f L o c k h e e d A i r c r a f t C o r p o r a t i o n , o f m i l l i o n s o f d o l l a r s t o J a p a n e s e " s a l e s c o n s u l t a n t s " ( c o m p r a d o r s ) a nd g o v e r n m e n t o f f i c i a l s a t t h e i r r e q u e s t i n o r d e r t o f a c i l i t a t e t h e s a l e o f L o c k h e e d ' s T r i S t a r p a s s e n g e r p l a n e t o A l l N i p p o n A i r l i n e s . A t t h e t i m e o f t h i s i n c i d e n t , t h e p a y i n g o f f o r e i g n c o n s u l t a n t s a n d g o v e r n m e n t o f f i c i a l s i n o r d e r t o s e c u r e b u s i n e s s a b r o a d was a w i d e s p r e a d a n d l o n g s t a n d i n g p r a c t i c e . L o c k h e e d i t s e l f was i n v o l v e d i n J a p a n , Germany, I t a l y , t h e N e t h e r l a n d s , I n d o n e s i a , a n d S a u d i A r a b i a f r o m t h e l a t e 1 9 5 0 ' s t o t h e m i d - 1 9 7 0 ' s . L o c k h e e d ' s a c c o u n t i n g p r o c e d u r e s d u r i n g t h i s p e r i o d o f t i m e w e r e t e r m e d " h i g h l y u n u s u a l " . H h a t , i n memos and c o r r e s p o n d e n c e , a p p e a r e d to be g e n e r o u s c o n t r i b u t i o n s to a'Widows' and O r p h a n s ' Fund i n I n d o n e s i a p r o v e d to be p a y m e n t s t o t h e I n d o n e s i a n A i r F o r c e . W h i l e c o n d u c t i n g t h e 1972 a u d i t , W i l l i a m F i n d l e y o f A r t h u r Y o u n g a nd Company was s u r p r i s e d t o f i n d a r e c e i p t w h i c h r e a d : " I r e c e i v e d One H u n d r e d P e a n u t s . " A s i t t u r n e d o u t , " p e a n u t s " r e p r e s e n t e d one m i l l i o n J a p a n e s e Y e n . When t h e s c a n d a l b r o k e i n J a p a n , s o u v e n i r h a n d k e r c h i e f s w e r e s o l d w h i c h s a i d , " I r e c e i v e d One H u n d r e d P e a n u t s . " A r e c o r d , " I A l s o W o u l d L i k e P e a n u t s , " made t h e p o p u l a r c h a r t s . In I t a l y , t h e I t a l i a n g o v e r n m e n t p u r c h a s e d C-130's f o r t h e i r A i r F o r c e f r o m L o c k h e e d b e c a u s e key p e r s o n s i n I t a l i a n p o l i t i c s c o u l d g e t p a y o f f s f r o m L o c k h e e d . R a t h e r t h a n b u y i n g I t a l i a n p l a n e s , more s u i t e d t o t h e i r n e e d s , t h e y b o u g h t L o c k h e e d ' s b e c a u s e t h a t m u l t i n a t i o n a l was w i l l i n g t o make p a y o f f s w h i l e F i a t was n o t . In Germany, L o c k h e e d made p a y m e n t s t o a B a v a r i a n P o l i t i c a l P a r t y , t h e C h r i s t i a n S o c i a l U n i o n , i n o r d e r t o w i n a c o n t r a c t t o s e l l t h e West German g o v e r n m e n t t h e same p l a n e s a s had been s o l d to I t a l y . P r i n c e B e r n h a r t o f H o l l a n d was a l s o a l l e g e d l y i n v o l v e d i n t h e s c a n d a l . S a u d i s u p e r - i n t e r m e d i a r y Adnan K h a s h o g g i a l s o was i n v o l v e d . He was r e s p o n s i b l e f o r i n t r o d u c i n g S a u d i r o y a l t y t o L o c k h e e d o f f i c i a l s w h i c h r e s u l t e d i n t h e s a l e t o t h a t c o u n t r y o f L o c k h e e d ' s F-104 S t a r f i g h t e r . I n t h e U.S. p r e s s , K o t c h i a n a n d o t h e r L o c k h e e d o f f i c i a l s w e r e a c u s e d o f b r i b e r y . A c o u r t b a t t l e e n s u e d e n d i n g w i t h a new p r e c e d e n t b e i n g s e t i n w h i c h t h e F o r e i g n C o r r u p t P r a c t i c e s A c t was s i g n e d i n t o l a w i n 1977 by U.S. P r e s i d e n t Jimmy C a r t e r . A l t h o u g h due t o t h e c o n s t r a i n t s o f l e n g t h o f t h i s p a p e r , e v e r y t r a n s a c t i o n b e t w e e n L o c k h e e d and i t s c o n s u l t a n t s c a n n o t be d e t a i l e d , t h e b u l k o f them w e r e c a r r i e d o u t w i t h c o m p r a d o r s o r i n t e r m e d i a r i e s who r e p e a t e d l y r e p r e s e n t e d o f f i c i a l s o f f o r e i g n g o v e r n m e n t s e n g a g e d i n p u r c h a s i n g p l a n e s f o r m i l i t a r y and d o m e s t i c p u r p o s e s . J i m Hougan "The B u s i n e s s o f B u y i n g F r i e n d s , " i n J o h n M. J o h n s o n & J a c k D. D o u g l a s ( e d s . ) C r i m e A t t h e T o p : D e v i a n c e i n  B u s i n e s s a n d t h e P r o f e s s i o n s ( P h i l a d e l p h i a : L i p p i n c o t t P u b l i s h e r s , 1 9 7 8 ) p p . 1 9 6 - 2 2 7 . 129 B r i b e r y i s p r o h i b i t e d by t h e U.S. A n t i - t r u s t Law, and t h e C l a y t o n and Sherman A c t s w h i c h c o n s i d e r i t d a n g e r o u s to f r e e c o m p e t i t i o n i n t r a d e and commerce any a c t s o f c o n s p i r a c y — w h i c h i n c l u d e s u c h i l l e g a l p r a c t i c e s a s b r i b e r y o f o f f i c i a l s , c r e a t i o n o f t r u s t s t o i n d u c e o f f i c i a l s , and m o n o p o l i e s f o r t h e s a k e of p r i v a t e o r o f f i c i a l g a i n . In a d d i t i o n , i n 1977 P r e s i d e n t C a r t e r s i g n e d i n t o l a w t h e F o r e i g n C o r r u p t P r a c t i c e s A c t ( s e e f o o t n o t e 3, a b o v e ) . T h i s A c t makes i t a c r i m i n a l o f f e n s e t o o f f e r o r pay money to f o r e i g n g o v e r n m e n t o f f i c i a l s ( o r t h o s e who w i l l p a s s on s u c h p a y m e n t s t o f o r e i g n g o v e r n m e n t o f f i c i a l s - s u c h a s c o m p r a d o r s ) f o r t h e p u r p o s e o f o b t a i n i n g o r r e t a i n i n g b u s i n e s s . The A c t , h o w e v e r , d o e s a l l o w p a y m e n t s t o o f f i c i a l s whose d u t i e s a r e e s s e n t i a l l y m i n i s t e r i a l o r c l e r i c a l , f o r e x a m p l e , n o n d i s c r e t i o n a r y . 10 I n t e r v i e w w i t h Mr. G. Wiz who h a s been i n v o l v e d i n s i m i l a r f o r m s o f o p e r a t i o n s on b e h a l f o f any c o u n t r y w i l l i n g to pay h i s f e e f o r o r c h e s t r a t i n g s u c h a d e l i b e r a t e l y d e c e p t i v e t r a n s a c t i o n . A u g u s t , 1 9 8 8 . In a d d i t i o n , some M i d d l e E a s t e r n s t a t e s s u c h a s S a u d i A r a b i a and K u w a i t h a v e l e g a l r e q u i r e m e n t s m a k i n g t h e employment o f l o c a l a g e n t s m a n d a t o r y f o r a l l t r a n s a c t i o n s w i t h t h e g o v e r n m e n t s o f t h e two c o u n t r i e s . Among t h e s e v e n d e s e r t s h e i k d o m s on t h e P e r s i a n G u l f - A r a b i a n P e n i n s u l a ( f o r m e r l y known a s t h e T r u c i a l S t a t e s ) , a f o r e i g n company f o r a l l p r a c t i c a l p u r p o s e s w i l l be u n a b l e t o do b u s i n e s s w i t h any o f t h e s e r e g i m e s u n l e s s i t r e t a i n s one o f t h e M i d d l e E a s t ' s w e a l t h i e s t and most i n f l u e n t i a l m i d d l e m e n , Mehdi a l T a j i r . P e t e r N e h e m k i s " B u s i n e s s P a y o f f s A b r o a d : R h e t o r i c & R e a l i t y " i n C a l i f o r n i a Management R e v i e w 18 , no.2 ( W i n t e r 1975) p p . 1 6 - 1 7 . 11 I n t e r v i e w w i t h A a r o n D a v i d , f o r m e r a c c o u n t i n g c o n s u l t a n t f o r T e n n o c o ( i n G a b o n ) , J u l y , 1 9 8 8 . C h a p t e r Two 0. S u n k e l " T r a n s n a t i o n a l C a p i t a l i s m & N a t i o n a l D i s i n t e g r a t i o n i n L a t i n A m e r i c a , " i n S o c i a l and E c o n o m i c S t u d i e s 2 2 , 1 9 7 3 , p p . 1 3 2 - 1 7 6 . ; T. Dos S a n t o s "The C r i s i s o f Dependency T h e o r y & t h e P r o b l e m o f D e p e n d e n c e i n L a t i n A m e r i c a , " i n H. B e r n s t e i n ( e d . ) D e v e l o p m e n t and U n d e r d e v e l o p m e n t ( P e n g u i n , 1 9 7 3 ) ; S. Hymer "The MNC and t h e Law o f Uneven D e v e l o p m e n t " i n J a g d i s h N. B h a g w a t i ( e d . ) E c o n o m i c s and W o r l d O r d e r f r o m t h e 1 9 7 0 ' s to t h e  1 9 9 0 ' s (New Y o r k : F r e e P r e s s , 1972) 2 R. P r e b i s h The E c o n o m i c D e v e l o p m e n t o f L a t i n A m e r i c a and  i t s P r i n c i p a l P r o b l e m s (New Y o r k : U n i t e d N a t i o n s , 1 9 5 0 ) ; G. M v r d a l E c o n o m i c T h e o r y and U n d e r d e v e l o p e d R e g i o n s ( L o n d o n , 1 9 5 7 ) ; 130 C. F u r t a d o D e v e l o p m e n t and U n d e r d e v e l o p m e n t ( B e r k e l e y , 1 9 6 4 ) ; N. G i r v a n The D e v e l o p m e n t o f D e p e n d e n t E c o n o m i e s i n t h e C a r r i b e a r i a n d  L a t i n A m e r i c a (New Y o r k , 1973) 3 S u n k e l , o p . c i t . , p .28. 4 Hymer, o p . c i t . , p . 5 8 1 . ^ K a r l Marx a s c i t e d i n P e t e r B. E v a n s " N a t i o n a l Autonomy and E c o n o m i c D e v e l o p m e n t : C r i t i c a l P e r s p e c t i v e s on MNCs" i n R o b e r t 0. Keohane & J o s e p h S. Nye ( e d s . ) T r a n s n a t i o n a l R e l a t i o n s  and N o r l d P o l i t i c s ( M a s s a c h e u s e t t s : H a r v a r d U n i v e r s i t y P r e s s , 1972) p . 3 3 3 . g F.H. C a r d o s o " I m p e r i a l i s m a nd Dependency i n L a t i n A m e r i c a " i n F r a n k B o n i l l a & R o b e r t G i r l i n g ( e d s . ) S t r u c t u r e s o f Dependency ( S t a n f o r d U n i v e r s i t y : I n s t i t u t e o f P o l i t i c a l S t u d i e s , 1973) p . 1 1 . 7 B a r b a r a S t a l l i n g s " E c o n o m i c Dependency i n A f r i c a and L a t i n A m e r i c a " i n C o m p a r a t i v e P o l i t i c s 3, V o l . 3 1 , 1 9 7 2 , p . 1 1 . 8 S u n k e l , o p . c i t . , p p . 2 2 - 2 3 . Kwame Nkrumah N e o c o l o n i a l i s m : The L a s t S t a g e o f  Imoer i a l i srn ( L o n d o n : N e l s o n , 1965) 10 C o l i n L e y s U n d e r d e v e l o p m e n t i n K e n y a ( B e r k e l e y : U n i v e r s i t y o f C a l i f o r n i a P r e s s , 1975) 11 The C h i l e - I T T ( I n t e r n a t i o n a l T e l e p h o n e & T e l e g r a p h ) C a s e i n t h e e a r l y 1 9 7 0 ' s i s p e r h a p s one o f t h e most famous t o be c i t e d i n t h i s r e g a r d . From 1970 t o 1972 ITT a c t i v e l y s o u g h t , f i r s t , t o p r e v e n t t h e e l e c t i o n o f S a l v a d o r A l l e n d e a s p r e s i d e n t o f C h i l e a n d , o n c e A l l e n d e was e l e c t e d , t o s e e k h i s o v e r t h r o w . In t h e p r o c e s s , ITT n o t o n l y r e s o r t e d on i t s own t o i l l e g a l o r e x t r a l e g a l a c t i v i t i e s , b u t a l s o s o u g h t t o i n v o l v e t h e U.S. g o v e r n m e n t i n b o t h open and c l a n d e s t i n e a c t i v i t i e s a g a i n s t A l l e n d e a nd was s o l i c i t e d by t h e U.S. g o v e r n m e n t t o s e r v e a s an a g e n t o f i t s p o l i c y . I T T ' s p r i n c i p a l i n v e s t m e n t i n C h i l e a n d t h e m a i n r e a s o n f o r i t s p o l i t i c a l i n t e r v e n t i o n was C h i l t e l c o , a p r o f i t a b l e t e l e p h o n e company. The M a r x i s t c a n d i d a t e S a l v a d o r e A l l e n d e was on a n a t i o n a l i z a t i o n c a m p a i g n t h a t w o u l d h a v e r e s u l t e d i n g r e a t l o s s e s f o r t h e m u l t i n a t i o n a l . I n S e p t e m b e r 1 9 7 3 , A l l e n d e was o v e r t h r o w n i n a m i l i t a r y coup and r e p l a c e d w i t h t h e m i l i t a r y d i c t a t o r G e n e r a l A u g o s t o P i n o c h e t who was s y m p a t h e t i c t o f o r e i g n m u l t i n a t i o n a l c o r p o r a t i o n s . An a c c o u n t o f t h i s e p i s o d e a p p e a r s i n A n t h o n y Sampson The  S o v e r e i g n S t a t e o f ITT ( G r e e n w i c h , Conn.: F a w c e t t P u b l i c a t i o n s , 1 9 7 3 ) c h p t . 1 1 . 12 C h r i s t o p h e r C l a p h a m T h i r d N o r l d P o l i t i c s ( L o n d o n : Croomhelm, 1985) p . 1 0 3 . 131 13 G o r a n Hyden "Urban G r o w t h & R u r a l D e v e l o p m e n t , " i n G w endolen M. C a r t e r & P a t r i c k O'Meara ( e d s . ) A f r i c a n I n d e p e n d e n c e :  The F i r s t T w e n t y - F i v e Y e a r s ( B l o o m i n g t o n : U n i v e r s i t y o f I n d i a n a P r e s s , 1 9 8 5 ) p . 2 0 6 . 14 A.G. H o p k i n s An E c o n o m i c H i s t o r y o f N e s t A f r i c a ( L o n d o n : Longman G r o v e , 1 9 7 5 ) p . 2 0 5 . 1 5 S a i d K. A b u r i s h P a y - O f f ( L o n d o n : A n d r e D e u t s c h L t d . , 1985) 16 A l a n James S o v e r e i g n S t a t e h o o d : The B a s i s o f In t e r n a t i o n a l  S o c i e t v ( L o n d o n : A l l e n U n w i n , 1986) p.25. 17 See f o o t n o t e number o n e , C h a p t e r One f o r l i s t o f s o u r c e s c o n c e r n i n g MNCs. 18 James B. M c P h e r s o n B a t t l e C r y F r e e d o m : The C i v i l N ar E r a (New Y o r k : O x f o r d U n i v e r s i t y P r e s s , 1 9 8 9 ) — r e v i e w o f book i n The  C h r i s t i a n S c i e n c e M o n i t o r . A p r i l 1 0 , 1 9 8 9 . 19 N i c c o l o M a c h i a v e l l i The P r i n c e ( T r a n s l a t e d by Max L e r n e r ) (New Y o r k : Random House, I n c . , 1 9 5 0 ) p . 3 8 3 . 20 M i c h a e l O a k e s h o t t "The R u l e o f Law" i n On Human C o n d u c t ( O x f o r d : C l a r e d o n P r e s s , 1 9 7 5 ) p . l 2 1 . 21 A b d u l S a i d & L u i s R. Simmons ( e d s . ) The New S o v e r e i q n s :  C o r p o r a t i o n s a s N o r l d P o w e r s (New J e r s e y : P r e n t i c e H a l l I n c . , 1 9 7 8 ) . 22 I d i Amin s e i z e d power i n Uganda by m i l i t a r y coup i n J a n u a r y 1 9 7 1 . H i s c o n d u c t was b i z a r r e and u n p r e d i c t a b l e t h r o u g h o u t h i s r u l e . In A u g u s t 1972 Arnin o u s t e d f r o m Uganda a l l A s i a n s , r e g a r d l e s s o f w h e t h e r t h e y w e r e Ugandan c i t i z e n s o r n o t . A l m o s t a l l t h e A s i a n s ' p r o p e r t y was a p p r o p r i a t e d by g o v e r n m e n t o f f i c i a l s a n d t h e armed f o r c e s . 23 A f r i c a R e v i e w E c o n o m i c B u s i n e s s R e p o r t , ( E s s e x , U.K.: W o r l d o f I n f o r m a t i o n , 1988) I n s u b - S a h a r a n A f r i c a , t h e m a j o r c o n c e n t r a t i o n s o f f o r e i g n c a p i t a l a r e i n N i g e r i a , Z a i r e , Gabon, L i b e r i a , K e n y a and t h e I v o r y C o a s t . O t h e r s i g n i f i c a n t i n v e s t m e n t s a r e i n Zimbabwe, Z a m b i a , S e n e g a l , Ghana and Cameroon. B e g i n n i n g f r o m a s m a l l b a s e , f o r e i g n i n v e s t m e n t grew r a p i d l y i n B o t s w a n a , Gambia and S o m a l i a i n t h e s i x t i e s a nd s e v e n t i e s . N e g l i g i b l e f o r e i g n c a p i t a l h a s f l o w e d t o a number o f c o u n t r i e s , m a i n l y l a n d l o c k e d o n e s w i t h s m a l l p o p u l a t i o n s and no s i g n i f i c a n t m i n e r a l r e s o u r c e s , s u c h a s B u r u n d i , C had, E q u a t o r i a l G u i n e a , L e s o t h o , M a l i , Rwanda and Upper V o l t a . 24 I n t e r v i e w w i t h Mr. J a c q u e s B e d a r d o f CIDA, O c t o b e r , 1987. Mr. B e d a r d w o r k e d f o r t h e C a n a d i a n I n t e r n a t i o n a l D e v e l o p m e n t A g e n c y ( C I D A ) i n s e v e r a l s t a t e s o f s u b - S a h a r a n A f r i c a . He now r u n s 132 t h e I n d o n e s i a Programme f o r CIDA i n H u l l , Quebec. 25 " B u s i n e s s i n t h e D e v e l o p i n g N o r l d , " i n The E c o n o m i s t December 26, 1 9 8 7 , p.87. 26 M i c h a e l S h a f e r " C a p t u r i n g t h e M i n e r a l M u l t i n a t i o n a l s : A d v a n t a g e o r D i s a d v a n t a g e , " i n T h e o d o r e H. Moran ( e d . ) M u l t i n a t i o n a l C o r p o r a t i o n s : The P o l i t i c a l Economy o f F o r e i g n  D i r e c t I n v e s t m e n t ( T o r o n t o : D*C. H e a t h & Co., 1 9 8 5 ) p . 2 7 . 27 D a v i d B o u l t o n The G r e a s e M a c h i n e (New Y o r k : H a r p e r & Row, 1 9 7 8 ) p . 12 6 . 28 T h e s e i d e a s a r e r e f l e c t e d i n t h e book P a y - Q f f by S a i d K. A b u r i s h , o p . c i t . 29 I n t e r v i e w o f J u l y , 1988 w i t h Howard N i l s o n , who w o r k e d f o r The C a n a d i a n I n t e r n a t i o n a l D e v e l o p m e n t A g e n c y ( C I D A ) i n N i g e r i a a p p r o x i m a t e l y t e n y e a r s a g o . 30 B l a c k ' s Law D i c t i o n a r y ( S t . P a u l , M i n n . : H e s t v i e w P r e s s , 1 9 6 8 ) p . 2 5 0 . 31 P e t e r N e h e m k i s " B u s i n e s s P a y - o f f s A b r o a d : R h e t o r i c & R e a l i t y , " i n C a l i f o r n i a Management R e v i e w 1 8 , No.2., W i n t e r 1 9 7 5 , p p . 1 6 - 1 7 . 32 A b u r i s h , o p . c i t . 33 T h i s was r e c o u n t e d by an e x - e x e c u t i v e o f S h e l l I n t e r n a t i o n a l who was i n v o l v e d e x t e n s i v e l y i n t h e o p e r a t i o n s o f t h a t m u l t i n a t i o n a l i n a number o f T h i r d W o r l d c o u n t r i e s . I n t e r v i e w J u l y , 1 9 8 8. 34 I n t e r v i e w w i t h A a r o n D a v i d , f o r m e r c o n s u l t i n g a c c o u n t a n t f o r T e n n o c o i n Gabon, J u l y , 1 9 8 8 . 35 „ , B o u l t o n , o p . c i t . 36 " B u s i n e s s i n t h e D e v e l o p i n g W o r l d , " i n The E c o n o m i s t December 2 6 , 1 9 8 7 , p.88. C h a p t e r T h r e e 1 R i c h a r d H a l l My L i f e w i t h T i n y ( L o n d o n : F a b e r & F a b e r , 1 9 8 7 ) p . 6 3 . 2 D a i l y M a i l ( L o n d o n ) May 2 3 , 1 9 7 3 . p . 3 . 3 T h i s q u o t a t i o n and a number o f o t h e r s i n t h e body o f t h i s 133 p a p e r may be a t t r i b u t e d t o a s u c c e s s i o n o f i n t e r v i e w s w i t h f r i e n d s o f T i n y R o w l a n d . T h e s e p e o p l e w e r e i n v o l v e d w i t h R o w l a n d on a number o f p r o j e c t s i n M o z a m b i q u e a n d Zimbabwe, and t h e y p r e s e n t l y r e m a i n h i s c l o s e p e r s o n a l f r i e n d s . They f e e l t h a t some o f t h e i n f o r m a t i o n t h e y h a v e r e v e a l e d i s n o t i n t h e b e s t i n t e r e s t s o f f r i e n d s h i p . They a l s o w i s h t o r e m a i n anonymous f o r p e r s o n a l r e a s o n s , some o f w h i c h i n v o l v e c o n c e r n s f o r r e l a t i v e s s t i l l i n A f r i c a . They s h a l l h e n c e f o r t h be r e f e r r e d to a s " f r i e n d s " o f R o w l a n d . I n t e r v i e w , O c t o b e r , 1 9 8 7 . 4 G r e g L a n n i n g A f r i c a U n d e r m i n e d ( E n g l a n d : P e n g u i n B o o k s , 1 9 7 9 ) p . 3 2 0 . ^ D e p a r t m e n t o f T r a d e I n v e s t i g a t i o n o f C o m p a n i e s A c t , 1 9 4 8 , R e p o r t e d by A l l a n Heyman, QC and S i r N i l l i a m S l i m m i n g s ( L o n d o n : Her M a j e s t y ' s S t a t i o n e r y O f f i c e , 1976) p p . 6 - 7 . g D e p a r t m e n t o f T r a d e o p . c i t . , p p . 7 - 8 . ^ S u z a n n e C r o n j e e t a l The L o n r h o C o n n e c t i o n ( C a l i f o r n i a : B e l l w e t h e r B o o k s , 1 9 7 6 ) p , 3 8 . 8 A t t h i s t i m e Z a m b i a was b e g i n n i n g to d e v e l o p what w o u l d e v e n t u a l l y be h e r f o r t u n e - c o p p e r . S e v e r a l p r o j e c t s w e r e begun t h a t y e a r . The J a p a n e s e f i n a n c e m i n i s t r y a n n o u n c e d a p p r o v a l o f two J a p a n e s e c o m p a n i e s t o r a i s e l o a n s i n London and E u r o p e f o r t h e d e v e l o p m e n t o f c o p p e r i n Z a m b i a . The c o m p a n i e s , M i s t u i a nd M i t s u b i s h i o f f e r e d a US$70 m i l l i o n l o a n t o t h e m i n i n g g i a n t A n g l o - A m e r i c a n C o r p o r a t i o n ( C e n t r a l A f r i c a ) . In r e t u r n A n g l o - A m e r i c a n w o u l d g u a r a n t e e t o s u p p l y J a p a n w i t h . o n e - h u n d r e d t h o u s a n d t o n s o f f i n i s h e d c o p p e r a n n u a l l y f o r t e n y e a r s . The l o a n s w e r e t o be u s e d f o r two s p e c i f i c p r o j e c t s : t h e N c h a n g a M i n e i n C h i n g o l a and t h e d e v e l o p m e n t o f t h e A n g l o - i n v e n t e d T o r c o p r o c e s s f o r ' t r e a t m e n t o f r e f r a c t o r y o r e s . O t h e r d e v e l o p m e n t s w e r e a n n o u n c e d by Roan S e l e c t i o n T r u s t t o i n c r e a s e t h e c a p a c i t y o f t h e M u f u l i r a M i n e , t h e s e c o n d l a r g e s t u n d e r g r o u n d c o p p e r m i n e i n t h e w o r l d . The same company a l s o o p e n e d a new c o p p e r m i n e , t h e K a l e n g w a M i n e . R h o k a n a C o r p o r a t i o n a l s o l a u n c h e d d e v e l o p m e n t p l a n s t o p r o d u c e some 90,000 t o n s p e r y e a r by s e a r c h i n g o l d , d r i e d up m i n e s - f o r e x a m p l e t h e Mkubwa M i n e o u t s i d e N d o l a was b e i n g r e a d i e d t o be r e - o p e n e d by 1 9 7 0 . A f i n a l a g r e e m e n t was a l s o r e a c h e d f o r e s t a b l i s h m e n t o f a c o p p e r f a b r i c a t i o n p l a n t i n w h i c h t h e Z a m b i a n g o v e r n m e n t h e l d a 5 1 % i n t e r e s t ( 4 9 % went to a S w e d i s h - U S c o n s o r t i u m ) . 9 O r i g i n a l l y c a l l e d " N y a s a l a n d R a i l w a y s " and c h a n g e d a t i n d e p e n d e n c e . 10 R i c h a r d H o d d e r - W i 1 1 i a m s " D r . B a n d a ' s M a l a w i , " i n C o m p a r a t i v e P o l i t i c s 1 2 , 1, 1 9 7 4 , p . 9 6 . Banda d e c l a r e d : 134 You c a n make a l l t h e money you want and t a k e a s much a s you l i k e t o London b u t a f t e r I h a v e t a x e d y o u . . . I won't r e s t r i c t you a t a l l . B u t h e r e i f you t r y t o make t h i s c o u n t r y a B a n a n a R e p u b l i c o r a S u g a r R e p u b l i c , t h e n you w i l l l e a r n f r o m me and my p e o p l e . . . . T h e s e men h a v e s a i d t o me 'we a r e b u s i n e s s -men and n o t p o l i t i c i a n s ' . T h a t i s g o o d . . . I s h a l l j u d g e L o n r h o by i t s a c t i v i t i e s . The M a l a w i News December 1963 a s c i t e d i n C r o n j e op. c i t . p.277 f t ,nt #46. 12 A f r i c a n D e v e l o p m e n t ( L o n d o n ) December 1 9 7 1 , p . 1 3 . 13 C o l i n Legum e d . A f r i c a C o n t e m p o r a r y R e c o r d 1968/69 ( L o n d o n : A f r i c a n a P u b l i c a t i o n s , 1 9 6 9 ) p . l 8 2 . 14 15 F i n a n c i a l T i m e s ( L o n d o n ) J u l y 2 3 , 1970 I n t e r v i e w o f November 1987 w i t h S o n j a and J i m B u c h a n a n , f o r m e r l y o f Z a m b i a . A c c o r d i n g to t h e B u c h a n a n ' s t h e y f i r s t e n c o u n t e r e d R o w l a n d when t h e y s o l d t h e i r b u s i n e s s and home to h i m i n t h e m i d - 1 9 7 0 ' s . In o r d e r t o r e c o v e r t h e i r i n v e s t m e n t s (no more t h a n t h e e q u i v a l e n t t o US$100 was a l l o w e d t o l e a v e Z a m b i a a t t h e t i m e ) , t h e y s o l d t h e i r b u s i n e s s ( a r e a l - e s t a t e f i r m ) and f a m i l y home t o R o w l a n d on t h e b a s i s o f g o o d f a i t h . R o w l a n d p a i d them i n B r i t i s h ^ p o u n d s upon t h e i r a r r i v a l i n E n g l a n d s e v e r a l m o n t h s l a t e r . T he Tanzam r a i l r o a d p r o j e c t was s a i d to be t h e l a r g e s t s i n g l e f o r e i g n a i d p r o j e c t i n A f r i c a ' s h i s t o r y . The C h i n e s e ( P e o p l e ' s R e p u b l i c o f C h i n a ) r a i l r o a d p r o j e c t c o s t US*1,056 m i l l i o n . They o f f e r e d t o u n d e r t a k e t h i s p r o j e c t i n 1965 d u r i n g T a n z a n i a n P r e s i d e n t N y e r e r e ' s v i s i t t o C h i n a . Kaunda and N y e r e r e s i g n e d t h e a g r e e m e n t i n P e k i n g i n S e p t e m b e r 1967 i n w h i c h C h i n a c o m m i t t e d i t s e l f t o f i n a n c i n g a nd b u i l d i n g t h e r a i l w a y . A f t e r l e n g t h l y n e g o t i a t i o n s , i n J u l y 1970 C h i n a a g r e e d t o an i n t e r e s t - f r e e l o a n o f US*406 m i l l i o n t o c o v e r i t s c o n s t r u c t i o n and c o s t s t o be p a i d o v e r 30 y e a r s b e g i n n i n g i n 1 9 8 3 . J . J o a j u " I m p e r i a l Dream becomes P a n - A f r i c a n R e a l i t y , " i n A f r i c a R e p o r t V o l 1 7 - 1 8 , J a n u a r y 1 9 7 2 , pp. 1 0 - 1 5 . 17 R o b e r t J a c k s o n & C a r l R o s b e r g P e r s o n a l R u l e i n B l a c k  A f r i c a ( B e r k e l e y : U n i v e r s i t y o f C a l i f o r n i a P r e s s , 1 9 8 2 ) p . l 6 3 . 18 P r o p e r t y and F i n a n c e a s c i t e d i n C r o n j e op. c i t . , p.279 f t . n t #12. 19 M i c h a e l N o r r i s T e r r o r i sm ( C a p e Town: Howard T i m m i n s , 1 9 7 1 ) p . 1 5 0 . 20 I n t e r v i e w w i t h " f r i e n d s " o f R o w l a n d , November 1987. 2 1 i b i d . , December 1987. 135 22 I n t e r v i e w w i t h S o n j a and J i m B u c h a n a n , November, 1988. 23 M a c h i a v e l l i , o p . c i t . , p . 8 2 . 24 The B u c h a n a n s went i n t o some d e t a i l on what had h a p p e n e d to t h e a s s e t s o f w h i t e s i n Z a m b i a . They s u p p l i e d d o c u m e n t s f r o m t h e Bank o f Z a m b i a t o i l l u s t r a t e t h e i r p o i n t s . A l l o f t h e i r a s s e t s t h a t w e r e n o t s o l d t o L o n r h o - w i t h t h e money t o be p a i d t o them upon a r r i v a l i n London - w e r e s e i z e d w i t h o u t c o m p e n s a t i o n . A l m o s t t e n y e a r s l a t e r t h e y r e c e i v e d a s t a t e m e n t f r o m t h e Z a m b i a n g o v e r n m e n t t e l l i n g them t h a t t h e i r money i n t h e Bank o f Z a m b i a had been r e d i s t r i b u t e d . T h i s came a f t e r s e v e r a l d o z e n a t t e m p t s by Mr. B u c h a n a n t o g e t h i s l i f e s a v i n g s r e t u r n e d . 25 On A p r i l 1 5 , 1968 an e c o n o m i c programme was o u t l i n e d t h a t was d e s i g n e d " t o a c h i e v e i t s g o a l o f e c o n o m i c i n d e p e n d e n c e u n d e r Humanism." P r e s i d e n t K aunda s a i d t h a t e c o n o m i c a c i t v i t y i n Z a m b i a had been d o m i n a t e d by E u r o p e a n s and A s i a n s , many o f whom had "one f o o t i n t h e c o u n t r y t o t a k e a d v a n t a g e and t h e o t h e r o u t s i d e r e a d y t o jump o u t when i t s u i t e d them." From now o n , he c l a i m e d , o n l y o r g a n i z a t i o n s whose s h a r e h o l d e r s o r p a r t n e r s w e r e Z a m b i a n c i t i z e n s w o u l d be a l l o w e d t o make u n r e s t r i c t e d b o r r o w i n g s f r o m l o c a l i n s t i t u t i o n s ; o n l y Z a m b i a n e n t e r p r i s e w o u l d g e t c e r t a i n a r e a s w h e r e t h e y c o u l d o p e r a t e w i t h o u t c o m p e t i t i o n f r o m e x p a t r i a t e b u s i n e s s m e n . A f r i c a C o n t e m p o r a r y R e c o r d 1968/69 o p . c i t . , p . 2 5 5 - 2 5 6 . 26 T e s t i m o n y o f Mr. A. O l g i v y t o t h e B r i t i s h D e p a r t m e n t o f T r a d e i n q u i r y i n t o L o n r h o ' s a c t i v i t i e s i n 1 9 7 6 . I n t h i s i n q u i r y , R o w l a n d was c a s t i g a t e d by t h e c o m m i t t e e f o r m a k i n g " s p e c i a l p a y m e n t s made i n t h e d e v e l o p m e n t o f t h e g r o u p ' s ( L o n r h o ) b u s i n e s s o u t s i d e t h e U.K." D u r i n g h i s t e s t i m o n y , R o w l a n d r e f u s e d t o d i s c l o s e t h e names o f t h e r e c i p i e n t s o f t h e p a y m e n t s . He made most o f t h e p a y m e n t s v i a h i s p e r s o n a l bank a c c o u n t . However, l a t e r t e s t i m o n y a n d d o c u m e n t s r e v e a l e d t h a t he owed L o n r h o L 8 3 6 , 4 9 9 w h i c h he c l a i m e d w e r e p a y m e n t s made by h i m s e l f and l a t e r r e i m b u r s e d a s " e x p e n s e s " by L o n r h o - a l t h o u g h t o g i v e R o w l a n d h i s due, he made a f u r t h e r L57,000 i n " s p e c i a l p a y m e n t s " t h a t w e r e n e v e r r e i m b u r s e d by L o n r h o . D e p a r t m e n t o f T r a d e o p . c i t . , p p . 6 3 8 , 4 0 0 - 4 0 1 , 4 0 3 - 4 0 4 , A p p e n d i x 15 ( p . 8 ) . One m a j o r e x c e p t i o n t o t h i s was C a p t a i n S t e f a n K l e i n . In h i s t e s t i m o n y i n t h e same i n v e s t i g a t i o n , R o w l a n d a t t e m p t e d to j u s t i f y " s p e c i a l p a y m e n t s " t o K l e i n by s t a t i n g t h a t t h e y came f r o m h i s p e r s o n a l a c c o u n t . The sums t o t a l l e d L39,800 t o K l e i n , L5,000 o f p a y m e n t s t o o t h e r named r e c i p i e n t s and L12,200 i n c a s h t o u n i d e n t i f i e d r e c i p i e n t s . When q u e s t i o n e d a b o u t K l e i n ' s r o l e , a n d why he w r o t e l e t t e r s a n d i n t e r - c o m p a n y memoranda on L o n r h o ' s n o t e p a p e r , R o w l a n d r e p l i e d t h a t he o n l y d e a l t w i t h K l e i n p e r s o n a l l y . " I h a v e known K l e i n f o r 25 y e a r s . He i s n o t o n l y a f r i e n d o f m i n e b u t i s a v e r y a b l e man; he knows e v e r y b o d y . I f you w a n t e d t o meet O n a s s i s o r N i a r c h o s o r t h e l a t e Duke o f W i n d s o r , 136 S t e f a n K l e i n c o u l d a r r a n g e i t . " L a t e r i n h i s t e s t i m o n y he s t a t e d : "He I K l e i n l i s t h e s o r t o f man who c o u l d be u s e f u l t o any company, G u e s t Keen N e t t l e f o l d , L e y l a n d o r L o n r h o . He i s m u l t i l i n g u a l . " The E x a m i n e r r e p l i e d : "But i s he e m p l o y e d by L o n r h o ? " R o w l a n d t h e n s t a t e d : "He i s e m p l o y e d a s a c o m m i s s i o n a g e n t by L o n r h o , i f and w h e n | ? | . . . . b u t n o t o n l y by L o n r h o . He h a s had c o m m i s s i o n s f r o m me p e r s o n a l l y . . . . 11 i s d i f f i c u l t t o s a y what he i s . He i s c e r t a i n l y n o t a r e g u l a r l y p a i d e m p l o y e e o f L o n r h o , no, w i t h p e n s i o n r i g h t s and so f o r t h , b e c a u s e he d o e s n o t b e l i e v e i n p e n s i o n . " D e p a r t m e n t o f T r a d e o p . c i t . , p p . 5 8 6 - 5 8 6 . ; See a l s o p.340 f o r b a c k g r o u n d . 27 L o n r h o L t d . , A n n u a l R e p o r t f o r 1 9 7 2 : The E c o n o m i s t J u n e 10 , 1 9 7 8 , p.94. 28 P a r l i a m e n t a r y D e b a t e s , N a i r o b i , C o l . 1 2 1 5 , May 8, 1973 c i t e d i n C r o n j e o p . c i t . , p.279 f t . n t . #21. 2 9 i b i d . , c o l 1 4 6 6 , May 1 7 , 1 9 7 3 . 30 The " B o a r d Room Row" a s i t became known was t h e b i d by e i g h t o f R o w l a n d ' s f e l l o w d i r e c t o r s i n A p r i l 1 973 t o d i s m i s s h i m f r o m h i s p o s i t i o n a s C h i e f E x e c u t i v e O f f i c e r . The b o a r d was s p l i t a l m o s t e v e n l y b e t w e e n t h o s e who f e l t he s h o u l d be o u s t e d and t h o s e who f e l t he s h o u l d n o t . The a n t i - R o w l a n d f a c t i o n was l e d by S i r B a s i l S m a l l p e i c e , a n o n - e x e c u t i v e d e p u t y c h a i r m a n , and G e r a l d P e r c y , R o w l a n d ' s r i g h t - h a n d man a n d d e p u t y m a n a g i n g d i r e c t o r o f L o n r h o f o r o v e r a d e c a d e . In t h e May c o u r t c a s e w h i c h R o w l a n d b r o u g h t t o s t a y an i n j u n c t i o n a l r e a d y g r a n t e d , S m a l l p e i c e s a i d t h a t R o w l a n d ' s p r e o c c u p a t i o n w i t h t h e l o n g - t e r m f u t u r e and h i s h i g h l y e g o c e n t r i c a p p r o a c h t o b u s i n e s s and management, c o u p l e d w i t h h i s l a c k o f i n t e r e s t i n t h e d a y - t o - d a y management, was c r e a t i n g a s i t u a t i o n d e t r i m e n t a l t o L o n r h o ' s f u t u r e . In t h e end t h e b o a r d o f d i r e c t o r s e l e c t e d n o t t o d i s m i s s R o w l a n d . T h e i r r e a s o n s a r e n o t a l t o g e t h e r c l e a r b u t t h e f a c t s may be p r e s e n t e d : From t h e b e g i n n i n g R o w l a n d was s u p p o r t e d by some o f h i s s e n i o r A f r i c a n e x e c u t i v e s . Tom M t i n e , U d i G e c a g a and G i l O l y m p i o s i g n e d a s t a t e m e n t b a c k i n g h i m s h o r t l y a f t e r t h e row became p u b l i c . A s e n i o r L o n r h o e x e c u t i v e i n F r e n c h - s p e a k i n g West A f r i c a ( B r i a n Chapman) a l s o i n t i m a t e d t h a t R o w l a n d ' s d i s m i s s a l m i g h t n o t be a c c e p t a b l e t o t h e company's I v o r i a n a s s o c i a t e s . In t h e May c o u r t h e a r i n g s , a number o f A f r i c a n e x e c u t i v e s g a v e e v i d e n c e f o r R o w l a n d . Tom M t i n e s a i d i n h i s a f f i d a v i t t h a t he had been a u t h o r i z e d t o s p e a k on t h e b e h a l f o f t h e Z a m b i a n G o v e r n m e n t , and t h a t i f R o w l a n d w e r e t o be r e m o v e d f r o m o f f i c e , t h e company's w h o l e o p e r a t i o n i n Z a m b i a w o u l d n o t o n l y be i n j e o p a r d y , b u t w o u l d c e a s e . He c l a i m e d t h a t t h e Z a i r e a n Government w o u l d f o l l o w any c o u r s e w h i c h Z a m b i a t o o k . K h a l i l Osman c l a i m e d t h a t i t w o u l d be d i f f i c u l t f o r L o n r h o t o f i n d new p r o j e c t s i n t h e S u d a n , w h i l e e x i s t i n g o n e s w o u l d be i n d a n g e r . I t was a l s o s u g g e s t e d t h a t Ghana w o u l d t a k e a c t i o n i f R o w l a n d w e r e r e m o v e d . R o w l a n d h i m s e l f s t a t e d t h a t t h e Z a m b i a n g o v e r n m e n t w o u l d f r e e z e L o n r h o ' s a s s e t s i n 1 3 ? t h a t c o u n t r y , s t o p t h e t r a n s f e r o f f u n d s t o L o n d o n , n o t pay b i l l s , a n d l i k e l y n a t i o n a l i z e t h e company's a s s e t s . 31 I n t e r v i e w o f O c t o b e r 1988 w i t h " f r i e n d s " o f R o w l a n d . 32 F i n a n c i a l T i m e s ( L o n d o n ) J u n e 5, 1 9 7 5 . p.4. The f o r m e r P o l i c e - C h i e f o f N a i r o b i p r e s e n t l y l i v e s i n V a n c o u v e r , and he h a s made i t known on s e v e r a l o c c a s i o n s t h a t he d o e s n o t w i s h t h i s m a t t e r to be d i s c u s s e d , a l t h o u g h i t i s a l m o s t f i f t e e n y e a r s a f t e r t h e f a c t . I t may be s p e c u l a t e d t h a t t h e r e a s o n f o r h i s l e a v i n g N a i r o b i i s b a s e d on t h i s i n c i d e n t . 33 In May 1983 C h a r l e s N j o n j o was named by Moi a s a ' t r a i t o r ' t o t h e g o v e r n m e n t whom 'unnamed f o r e i g n p o w e r s w e r e g r o o m i n g t o t a k e o v e r t h e p r e s i d e n c y . ' N j o n j o was s u b s e q u e n t l y s u s p e n d e d f r o m h i s p o s i t i o n i n t h e g o v e r n m e n t . I n t e r e s t i n g l y e nough t h e p e r s o n who p o i n t e d t h e f i n g e r a t N j o n j o was E l i j a h M w a n g a l e , t h e n M i n i s t e r o f T o u r i s m , s o o n e l e v a t e d t o t h e p o s i t i o n v a c a t e d by t h e h a p l e s s N j o n j o o f F o r e i g n M i n i s t e r . M w a n g a l e h a d been c h a i r m a n of t h e c o m m i t t e e s e t up t o i n v e s t i g a t e t h e m u r d e r o f J.M. K a r i u k i . " H i s r e p o r t was w i d e l y r e g a r d e d a s n o t b e i n g a v e r y c o n v i n c i n g w h i t e - w a s h i n g j o b . " N j o n j o , 6 5 , had l o n g c u l t i v a t e d t h e image o f an E n g l i s h g e n t l e m a n t o t h e e x t e n t t h a t most o f h i s c o u n t r y m e n r e f e r r e d t o h i m a s " S i r C h a r l e s " o r t h e "Duke o f K a b e t e - S h i r e " and made f u n o f h i s t h r e e - p i e c e s u i t and g o l d w a t c h c h a i n . H i s v i s i t s t o B r i t a i n a n d h i s c o n t a c t s t h e r e w e r e t h e s u b j e c t s o f f r e q u e n t g o s s i p . He was r e p u t e d t o be a " c l o s e " f r i e n d o f T i n y R o w l a n d . I t w o u l d h a v e made s e n s e f o r R o w l a n d t o c u l t i v a t e h i m b e c a u s e o f h i s a c c e s s t o t h o s e i n power and s t e a d i l y i n c r e a s i n g w e a l t h w h i c h e n a b l e d him t o w i e l d enormous i n f l u e n c e t h r o u g h p a t r o n a g e . To h a v e l o s t h i m must h a v e been a n o t h e r b l o w t o R o w l a n d who, a t t h e t i m e , was p r o b a b l y d e s p e r a t e f o r " f r i e n d s " i n an i n c r e a s i n g l y h o s t i l e a t m o s p h e r e . A f r i c a C o n t e m p o r a r y R e c o r d 1983/84 o p . c i t . , p .B161. In a d d i t i o n , a t t h e same t i m e a s h i s d r o p p i n g G e c a g a , R o w l a n d f i r e d a n o t h e r o f K e n y a t t a ' s nephews, N g e n g i M u i g a o i , f r o m t h e b o a r d o f M a c k e n z i e ( K e n y a ) L t d . "The L o n r h o d r o p o f G e c a g a was s e e n a s a s h r e w d p l a y by R o w l a n d t o keep i n w i t h t h e new G overnment and t r y t o r e c o v e r some o f t h e g r o u n d l o s t when t h e S t a n d a r d came u n d e r t h e b i t t e r a t t a c k f r o m A t t o r n e y - G e n e r a l , C h a r l e s N j o n j o . G e c a g a l a t e r s u e d L o n r h o f o r o v e r L38,000 ( 6 4 0 , 0 0 0 K e n y a S h i l l i n g s ) w h i c h he c l a i m e d had n o t been p a i d t o him a f t e r h i s d i s m i s s a l . L o n r h o , r e p u d i a t e d t h e c l a i m . A f r i c a C o n t e m p o r a r y R e c o r d 1 981/82 o p . c i t . , p .B195. 34 H a l l , o p . c i t . , p.69. 35 J a c k s o n & R o s b e r g , P e r s o n a l R u l e i n B l a c k A f r i c a o p . c i t . , p.107 138 36 N e s t A f r i c a F e b r u a r y , 1 3 7 8 , p . 2 2 5 . 37 T h e s e p e o p l e w e r e f o r m e r c i v i l s e r v a n t s i n t h e c o l o n i a l a d m i n i s t r a t i o n and ' p i e d s n o i r s ' f r o m N o r t h e r n A f r i c a who c o u l d n o t , o r w o u l d n o t , r e t u r n to F r a n c e . They began t o d e v e l o p i n t e r e s t s i n t h e I v o r y C o a s t b e t w e e n 1358 and 1365 and h e l p e d t o i n i t i a t e what was t o become t h e c o u n t r y ' s s o - c a l l e d ' m i r a c l e ' d e v e l o p m e n t . T h e s e , t o g e t h e r w i t h o l d - t i m e r s , s u c h a s t h e w e a l t h y F r e n c h e n t r e p r e n e u r , B l o h o r n , p l a c e d t h e i r c o n f i d e n c e i n H o u p h o u e t - B o i g n y : d u r i n g t h e c r u c i a l d a y s o f i n d e p e n d e n c e t h e y s i d e d w i t h Houphouet a g a i n s t t h e F r e n c h g o v e r n m e n t . T h e i r s was n o t o n l y m o r a l s u p p o r t , b u t c o n s i d e r a b l e p o l i t i c a l i n f l u e n c e i n P a r i s a s w e l l . T h e i r power c a n n o t be m e a s u r e d s o l e l y by t h e f a c t t h a t t h e y c o n t r o l more t h a n e i g h t y - f i v e p e r c e n t o f l o c a l b u s i n e s s - c o m m e r c e and i n d u s t r y ; t h e y a l s o e x e r t c o n s i d e r a b l e p o l i t i c a l power w i t h t h e I v o r i a n r e g i m e . The o l d - t i m e r s f o r m a t y p e o f e x c l u s i v e ' m a f i a ' a c t i n g a g a i n s t new b u s i n e s s m e n a t t e m p t i n g t o e n t e r t h e c o u n t r y . They a r e u n i t e d a g a i n s t a l l f o r e i g n e r s , b u t e s p e c i a l l y a g a i n s t B r i t i s h a nd I s r a e l i e n t r e p r e n e u r s . The d i f f i c u l t i e s e n c o u n t e r e d by L o n r h o i n i t s b i d t o c o n s t r u c t a S u g a r p r o d u c t i o n c o m p l e x i n t h e I v o r y C o a s t , i s a c a s e i n p o i n t . ( T h e n e g o t i a t i o n s f o r t h e c o n t r a c t w e r e c o n d u c t e d by G i l O l y m p i o . ) A l t h o u g h t h e r e was no F r e n c h c o u n t e r - p r o p o s a l , i t r e q u i r e d e i g h t e e n m o n t h s o f n e g o t i a t i o n s t o o b t a i n t h e c o n t r a c t f o r an o v e r a l l i n v e s t m e n t o f L16 m i l l i o n s i g n e d w i t h L o n r h o e n g a g e d o n l y i n a s u p e r v i s i o r y and m a n a g e r i a l c a p a c i t y . O p p o s i t i o n to L o n r h o ' s b i d was n e v e r o v e r t . I t a p p e a r e d i n t h e f o r m o f p u r e l y ' t e c h n i c a l ' q u e r i e s and f u r t h e r i n q u i r i e s . T h i s s p e c i a l r e l a t i o n s h i p b e t w e e n t h e c i r c l e s o f Frenchmen and t h e Houphouet ' o l d G u a r d ' i s b ound t o c h a n g e w i t h t h e d e p a r t u r e o f t h e l e a d e r . A y o u n g e r g e n e r a t i o n o f I v o r i a n s h a v e n e i t h e r t h e n o s t a l g i c n o r t h e m a t e r i a l a t t a c h m e n t t o t h e F r e n c h o l d - t i m e r s . A f r i c a C o n t e m p o r a r y R e c o r d 1 971/72 o p . c i t . , p p . B 5 9 0 - 9 2 . 38 A f r i c a C o n t e m p o r a r y R e c o r d 1969/70 o p . c i t . , p .B502.; A f r i c a C o n t e m p o r a r y R e c o r d 1971/72 o p . c i t . , p p . B 595-596. 39 Hopes f o r t h i s p r o j e c t w e r e h i g h a t t h e t i m e and i t was s t a t e d : "The c o u n t r y ( I v o r y C o a s t ) w i l l be s e l f - s u f f i c i e n t i n s u g a r by 1974 a s a r e s u l t o f a management c o n t r a c t s i g n e d w i t h L o n r h o . " A f r i c a C o n t e m p o r a r y R e c o r d 1 971/72 o p . c i t . , p.B596. 40 G i l O l y m p i o and h i s b r o t h e r B o n i t o w e r e s e n t e n c e d t o d e a t h i n a b s e n t i a i n 1977 by P r e s i d e n t Eyadema o f Togo f o r t h e i r a l l e g e d p l o t t o o v e r t h r o w h i m . I n an i n t e r v i e w w i t h James Fox o f t h e Sunday T i m e s ( L o n d o n ) , November 24 , 1 9 7 4 , O l y m p i o s t a t e d t h a t " B e f o r e I was r e l a t e d t o my w i f e by m a r r i a g e , I was r e l a t e d t o h e r by b l o o d . " O l y m p i o ' s b r o t h e r m a r r i e d M a r i e H o u p h o u e t - B o i g n y on J u n e 2 2 , 1968. He i s now 139 d i v o r c e d and r e t a i n s an a d d r e s s i n A b i d j a n . 41 H a l l , o p . c i t . , p.70. J a c k s o n & R o s b e r g P e r s o n a l R u l e i n B l a c k A f r i c a o p . c i t . , H a l l , o p . c i t . , p . 6 9. 42 p . 1 47. 43 44 D a v i d B o u l t o n The G r e a s e M a c h i n e (New Y o r k : H a r p e r & Row, 1978) p .128. 45 T h e r e i s no e v i d e n c e o f t h i s s u i t i n t h e E n g l i s h Law R e p o r t s , w h i c h l e a v e s t h e e v e n t open t o s p e c u l a t i o n . T h e s e a r e t h e f a c t s w h i c h may be i n t e r p r e t e d a number o f w a y s : 1. I t i s n o t p o s s i b l e t o keep t h e r e p o r t o f a c o u r t c a s e o u t o f t h e E n g l i s h Law R e p o r t s , e s p e c i a l l y a Supreme C o u r t c a s e — a c o u r t c a s e i s p u b l i c k n o w l e d g e ; 2. T h e r e f o r e , t h e c a s e was a) d i s g u i s e d by " p i g g y - b a c k i n g " i t on a n o t h e r c a s e ( w h i c h i s p o s s i b l e t o d o ) , o r b) O l y m p i o d i s g u i s e d i t by u s i n g t h e name o f one o f h i s h o l d i n g c o m p a n i e s and s u i n g one o f R o w l a n d ' s h o l d i n g c o m p a n i e s - d i f f i c u l t f o r t h e p r e s s t o t r a c e . What i s l i k e l y , j u d g i n g by t h e s p e e d w i t h w h i c h R o w l a n d d r o p p e d h i s c o u n t e r - s u i t i s t h a t O l y m p i o a t t e m p t e d t o e x t o r t money f r o m R o w l a n d by t h r e a t e n i n g t o make p u b l i c t h e work he had done f o r R o w l a n d i n t h e I v o r y C o a s t . R o w l a n d p r o b a b l y w o u l d not be b r i b e d a n d t o l d O l y m p i o to g e t l o s t . U n f o r t u n a t e l y f o r R o w l a n d , i n p r o v i d i n g d o c u m e n t s t o t h e D e p a r t m e n t o f T r a d e i n q u i r y o f 1 9 7 5 , he ( p r o b a b l y ) a c c i d e n t l y l e f t a payment o f L5,000 made o u t t o G. O l y m p i o on O c t o b e r 2 7 , 1971 i n h i s s t a t e m e n t o f e x p e n s e s . (He w i p e d o u t a l l o t h e r names i n t h e s t a t e m e n t s ) T h i s was l i k e l y e v i d e n c e e n o u g h f o r O l y m p i o t o p r o v e t h a t he h a d done some k i n d o f work f o r R o w l a n d — no m a t t e r how d u b i o u s . O l y m p i o t h e n p r o c e e d e d t o s u e R o w l a n d on t h e g r o u n d s o f s o m e t h i n g l i k e " f a i l u r e t o pay c o m p e n s a t i o n f o r work" o r " b r e a c h o f c o n t r a c t " . K e e p i n g i n l i n e w i t h h i s e x t o r t i o n scheme, O l y m p i o s u e d R o w l a n d u s i n g o b s c u r e h o l d i n g company names so t h a t i t w o u l d n o t be e v i d e n t t o t h e p r e s s o r maybe even t h e c o u r t s who was a c t u a l l y i n v o l v e d . T h u s , R o w l a n d l o s t , a n d k n o w i n g t h a t O l y m p i o was n o t a f r a i d o f t h e c o n s e q u e n c e s o f d i s c l o s i n g t h e i r p a s t r e l a t i o n s h i p , d r o p p e d t h e c o u n t e r - s u i t f o r f r a u d . I t i s an i n t e r e s t i n g e v e n t i n t h a t i t d e m o n s t r a t e s t h a t o n c e e n t e r e d i n t o , t h i s t y p e o f r e l a t i o n s h i p i s n e v e r e n t i r e l y f o r g o t t e n . A c c o r d i n g t o G. W i z , a p r u d e n t p e r s o n w i l l n e v e r u s e s u c h a b l a c k m a i l t e c h n i q u e w i t h s u c h an i m p o r t a n t p e r s o n u n l e s s he i s v e r y d e s p e r a t e . I n t e r v i e w G. W i z , J a n u a r y , 1 9 8 9 ; D e p a r t m e n t o f T r a d e o p . c i t . , p . 4 8 8 . 46 B r i t i s h Law r e g a r d i n g b r i b e r y i n f o r e i g n c o u n t r i e s h a s been e x p l i c i t s i n c e A u g u s t 4, 1 9 0 6 . T h i s p a r t i c u l a r a c t known a s The P r e v e n t i o n o f C o r r u p t i o n A c t s t a t e s i n s u b - s e c t i o n 2 t h a t : 140 " E v e r y p e r s o n s h a l l by h i m s e l f o r by o r i n c o n j u n c t i o n w i t h any o t h e r p e r s o n c o r r u p t l y g i v e , p r o m i s e , o r o f f e r any g i f t , l o a n , f e e , r e w a r d , o r a d v a n t a g e w h a t s o e v e r t o any p e r s o n f o r t h e b e n e f i t o f t h a t p e r s o n o r o f a n o t h e r p e r s o n , a s an i n d u c e m e n t t o o r r e w a r d f o r o r o t h e r w i s e on a c c o u n t o f any member, o f f i c e r , o r s e r v a n t o f any p u b l i c b o d y . . . d o i n g a n y t h i n g i n r e s p e c t o f any m a t t e r o r t r a n s a c t i o n w h a t s o e v e r , a c t u a l o r p r o p o s e d , i n w h i c h s u c h p u b l i c body a s a f o r e s a i d i s c o n c e r n e d , s h a l l be g u i l t y o f a m i s d e m e a n o r . " T h e n , w i t h r e s p e c t to f o r e i g n j u r i s d i c t i o n s , B r i t i s h l a w s t a t e s i n s e c t i o n 31 o f t h e C r i m i n a l J u s t i c e A c t o f 1948 t h a t : "Any B r i t i s h s u b j e c t ... who c o m m i t s , i n a f o r e i g n c o u n t r y , when a c t i n g o r p u r p o r t i n g t o a c t i n t h e c o u r s e o f h i s e m p l o y m e n t , any o f f e n s e w h i c h , i f c o m m i t t e d i n E n g l a n d , w o u l d be p u n i s h a b l e on i n d i c t m e n t , s h a l l be g u i l t y o f an o f f e n s e ... and s u b j e c t to t h e same p u n i s h m e n t , a s i f t h e o f f e n s e h a d been c o m m i t t e d i n E n g l a n d . " I t i s i n t e r e s t i n g t o n o t e i n t h e P r e v e n t i o n o f C o r r u p t i o n A c t t h a t t h e b r i b e c a n n o t be f o r t h e a d v a n t a g e f o r a p e r s o n d i r e c t l y o r i n d i r e c t l y . T h u s , B r i t i s h l a w i s v e r y c l e a r i n n o t d i s t i n g u i s h i n g b e t w e e n a d i r e c t p a y - o f f o r one t o ( o r t h r o u g h ) an i n t e r m e d i a r y o r c o m p r a d o r . 47 A c c o r d i n g t o R o b e r t J a c k s o n i n h i s a r t i c l e " S o v e r e i g n t y and U n d e r d e v e l o p m e n t : J u r i d i c a l S t a t e h o o d i n t h e A f r i c a n C r i s i s " i n J o u r n a l o f Modern A f r i c a n S t u d i e s 24, 1 9 8 6 , p p . 1 - 3 1 . The p o t e n t i a l o f i n t e r n a t i o n a l a i d t o e n h a n c e t h e d e v e l o p m e n t o f A f r i c a n s t a t e s i s l i m i t e d by t h e i r j u r i d i c a l s t a t e h o o d and t h e i n e f f e c t i v e n e s s o f t h e i r g o v e r n m e n t s . He c i t e s t h e r e l a t i o n s h i p o f t h e I n t e r n a t i o n a l M o n e t a r y F u n d and t h e W o r l d Bank w i t h t h e g o v e r n m e n t o f Z a i r e a nd g i v e s t h e e x a m p l e o f how E r w i n B l u m e n t h a l , a r e p r e s e n t a t i v e o f t h e IMF, was s e c o n d e d to t h e Bank o f Z a i r e and t h e M i n i s t r y o f F i n a n c e t o e n s u r e t h a t t h e Mobutu r e g i m e c o m p l i e d w i t h t h e t e r m s o f i t s w e s t e r n l o a n s . He and h i s team w e r e f r u s t r a t e d a nd t h w a r t e d by t h e r e g i m e and c o n c l u d e d t h a t t h e mismanagement and f r a u d i n Z a i r e d e s t r o y e d a l l a t t e m p t s t o e n s u r e t h e r e c o v e r y o f t h e economy. J a c k s o n s t a t e s t h a t p r e s u m a b l y f u t u r e c r e d i t o r s a r e now f o r e w a r n e d a b o u t t h e i r l i m i t e d c a p a c i t y t o i n t e r v e n e i f s o v e r e i g n g o v e r n m e n t s a r e e i t h e r u n a b l e o r u n w i l l i n g t o c o - o p e r a t e . 48 T h i s p e r s o n h a s r e q u e s t e d t h a t he r e m a i n anonymous f o r h i s own p r o t e c t i o n . He d i d c i t e s e v e r a l e x a m p l e s o f M o b u t u ' s immense w e a l t h : "When I was i n Geneva I saw a f i v e - s t a r h o t e l t h a t b e l o n g e d t o h i m ( M o b u t u ) . . . . He r o b s h i s c o u n t r y so t h a t he and h i s f r i e n d s c a n l i v e a l i f e o f l u x u r y . " I n t e r v i e w , O c t o b e r , 1987. 49 M i c h a e l S c h a t z b e r g "Le M a i Z a i r o s : Why P o l i c y F a i l s i n Z a i r e " i n A f r i c a n A f f a i r s 8 1 , 1 9 8 2 , p p . 3 3 7 - 3 4 8 . ^ J a c k s o n & R o s b e r g P e r s o n a l R u l e i n B l a c k A f r i c a o p . c i t . , p . 1 7 1 . F o r e i g n a i d by i n t e r n a t i o n a l o r g a n i z a t i o n s and v a r i o u s 141 f o r e i g n g o v e r n m e n t s p l a y s an i m p o r t a n t r o l e i n t h e economy o f Z a i r e . B u t t h e v o l u m e h a s been r e d u c e d c o n s i d e r a b l y d u r i n g t h e p a s t t e n y e a r s and t h e p a t t e r n h a s c h a n g e d r a d i c a l l y . In 1971 t h e U n i t e d N a t i o n s D e v e l o p m e n t Programme, t h e N o r l d Bank and E u r o p e a n D e v e l o p m e n t Fund c h a n n e l l e d l a r g e a m o unts i n t o Z a i r e . By 1979 t h e P a r i s C l u b had met t o d i s c u s s Z a i r e ' s o u t s t a n d i n g d e b t o f *2,300 m i l l i o n a nd a g r e e d t h a t p a y m e n t s o f i n t e r e s t and r e p a y m e n t s o f p r i n c i p a l due t h e t h r e e y e a r s f r o m 1978 t o 1 9 8 0 , a m o u n t i n g t o $ 1,000 m i l l i o n , s h o u l d be r e s c h e d u l e d o v e r 10 y e a r s . M o s t c o u n t r i e s h a v e been d i l a t o r y i n g i v i n g a i d t o Z a i r e b e c a u s e o f i t s p r e c a r i o u s p o l i t i c a l s i t u a t i o n . They h a v e a l s o i n s i s t e d t h a t Z a i r e a c c e p t t h e d i s c i p l i n e o f t h e IMF b e f o r e t h e y p o u r any more a s s i s t a n c e "down t h e Z a i r e d r a i n . " H e a r i n g by S u b - C o m m i t t e e on A f r i c a o f C o m m i t t e e on F o r e i g n  A f f a i r s U.S. House o f R e p r e s e n t a t i v e s , 97 C o n g r e s s , 1 s t s e s s i o n , S e p t e m b e r 1 5 , 1 9 8 1 . ; " S t a f f R e p o r t t o C o m m i t t e e on F o r e i g n R e l a t i o n s , " U.S. S e n a t e , J u l y , 1 9 8 2 . One c l e r k c h a r a c t e r i z e d t h e r e - a r r a n g i n g o f t h e f i n a n c e s o f Z a i r e , t o be l i k e " R e - a r r a n g i n g t h e deck c h a i r s on t h e T i t a n i c . " A f r i c a C o n t e m p o r a r y R e c o r d 1976/77 o p . c i t . , p.B533. 52 H a l l , o p . c i t . , p . 6 3 . 53 The " f r i e n d s " o f R o w l a n d s t a t e d t h a t t h e y knew a s a f a c t t h a t R o w l a n d , a l o n g w i t h o t h e r c o m p a n i e s , h a d a t t e m p t e d t o h e l p " f a c t i o n s " i n K a t a n g a P r o v i n c e t o b r e a k o f f f r o m t h e r e s t o f Z a i r e . They d o n ' t know ( o r r e f u s e d t o s a y ) how much money was i n v o l v e d , h o w e v e r . I n t e r v i e w , November, 1987. 54 F i n a n c i a l T i m e s ( L o n d o n ) J u l y 2 3 , 1 9 7 0 . 5 5 A f r i c a n D e v e l o p m e n t ( L o n d o n ) A p r i l 1 9 6 9 , p.8. 56 M o butu j u s t i f i e d t h e s e r a d i c a l m e a s u r e s by s t a t i n g t h a t he w i s h e d t o " p r o v e t o t h o s e v u l t u r e s o f i n t e r n a t i o n a l h i g h f i n a n c e t h a t t h e R e p u b l i c o f Z a i r e i s n o t g o i n g t o be m i l k e d l i k e a cow and t h a t t h e w e a l t h o f Z a i r e must b e n e f i t f i r s t a n d f o r e m o s t t h e p e o p l e o f Z a i r e . " A f r i c a C o n t e m p o r a r y R e c o r d 73/74 o p . c i t . , p.B610. Z a i r i a n i z a t i o n , w h i c h a l l o w e d i n d i v i d u a l Z a i r i a n s t o t a k e o v e r t h e s h o p s and f a r m s f o r m e r l y owned by f o r e i g n e r s , was a d i s a s t e r . I t was d i f f i c u l t t o f i n d c i t i z e n s e x p e r i e n c e d o r r i c h e n o ugh t o buy o u t b u s i n e s s e s , w h i c h r a n g e d f r o m a l l f i r m s w h i c h e x p o r t e d , i m p o r t e d and s o l d a w i d e r a n g e o f c o m m o d i t i e s , i n c l u d i n g b u i l d i n g m a t e r i a l s , c o t t o n , r i c e , m a t c h e s , c l o t h , s h o e s , d r i n k s , f l o u r , t o b a c c o , and a l s o w h i c h i n c l u d e d l a r g e r w h o l e s a l i n g and t r a d i n g e n t e r p r i s e s . F r e q u e n t l y , t h e s t a t e was f o r c e d t o s e t up s p e c i a l c o r p o r a t i o n s o r a g e n c i e s o f i t s own t o t a k e o v e r . A s a r e s u l t o f t h e s u d d e n t a k e - o v e r s , c o n s i d e r a b l e d i s l o c a t i o n o c c u r r e d . S h o p s f r e q u e n t l y r a n o u t o f c e r t a i n l i n e s o f s t o c k o r s o m e t i m e s c l o s e d down a l t o g e t h e r a s t h e new Z a i r i a n m a n a g e r s t r i e d 142 t o r e b u i l d l i n k s w i t h t r a d i t i o n a l s o u r c e s o f s u p p l y . " S t a f f R e p o r t t o C o m m i t t e e on F o r e i g n R e l a t i o n s , " U.S. S e n a t e , J u l y , 1 9 8 2 . ; U.S. N a i p a u l A Bend i n t h e R i v e r (New Y o r k : Random Ho u s e , 1 9 8 0 ) . ^ I t seems r a t h e r i m p o s s i b l e j u d g i n g by M o b u t u ' s c h a r a c t e r , t h a t he w o u l d be s w a y e d by a s i m p l e n e w s p a p e r s t o r y . I n d e e d , i t w o u l d seem more l i k e l y t h a t t h e r u l e r g a i n e d i n some way, - maybe an e n t r e e f o r one o f h i s nephews i n t o an e x c l u s i v e S w i s s s c h o o l o r p e r h a p s t h r o u g h R o w l a n d ' s p l a c i n g U n c l e L i t h o on L o n r h o ' ( Z a i r e ) b o a r d o f d i r e c t o r s ? I t w o u l d h a v e been u n a f f o r d a b l e f o r R o w l a n d to pay h i m m o n e t a r i l y , a s M obutu i s a l r e a d y v e r y w e a l t h y . W h a t e v e r t h e scheme was, i t w i l l p r o b a b l y n e v e r come to l i g h t . 58 A f r i c a n D e v e l o p m e n t ( L o n d o n ) M a r c h 1 9 7 4 , p.7.; A f r i c a  C o n t e m p o r a r y R e c o r d o p . c i t . , p.B610. M b o t i L i t h o d i e d i n P a r i s i n 1981 o f " u n d i s c l o s e d c a u s e s " . 59 The e x t e n t o f L o n r h o ' s i n v e s t m e n t s i n Z a i r e a t t h e t i m e w e r e r a t h e r s u b s t a n t i a l , e s p e c i a l l y a f t e r g a i n i n g c o n t r o l l i n g i n t e r e s t o f C o m i n i e r e i n 1 9 7 1 . They now c o m p r i s e a m i n u t e p e r c e n t a g e o f t h e company's a s s e t s i n s u b - S a h a r a n A f r i c a a c c o r d i n g t o an a r t i c l e p u b l i s h e d by The Sunday T i m e s on 25 S e p t e m b e r , 1988 ( p . D 3 ) . T h i s s u g g e s t s t h a t R o w l a n d f i n a l l y g a v e up t r y i n g t o do b u s i n e s s i n Z a i r e . I n December 1 9 7 8 , Z a i r e a n c o m m e r c i a l b a n k s r e c e i v e d f r o m D r . B l u e m e n t h a l ( t h e B e l g i a n f i n a n c i e r who was h i r e d by t h e IMF t o h e l p Z a i r e w i t h i t s d e b t c r i s i s ) a r e p o r t w h i c h s i n g l e d o u t f i f t y i n d i v i d u a l b u s i n e s s m e n and c o r p o r a t i o n s t o whom f u r t h e r c r e d i t was t o be d e n i e d . V i r t u a l l y a l l names a p p e a r i n g on t h e l i s t b e l o n g e d t o members o f M o b u t u ' s c l o s e s t c i r c l e o f p o l i t i c a l a s s o c i a t e s . The B l u e m e n t h a l c i r c u l a r s i n g l e d o u t a s t h e w o r s t o f f e n d e r s two c o r p o r a t i o n s owned by U n c l e L i t h o . He was s a i d to h a v e a m a s s e d a c o n s i d e r a b l e p e r s o n a l f o r t u n e v i a q u e s t i o n a b l e means - u s i n g m e t h o d s s u c h a s i m p o r t l i c e n c i n g a n d c u r r e n c y e x c h a n g e s t o p r o c u r e h i s m i l l i i o n s . I n M a r c h , 1 9 7 7 , L i t h o , was s a i d t o h a v e been d e t a i n e d a t t h e F r a n c o - S w i s s b o r d e r f o r a r o u t i n e c a r c h e c k w h i c h l e d t o t h e d i s c o v e r y o f some f i f t y m i l l i o n F r e n c h f r a n c s i n t h e t r u n k . A f r i c a C o n t e m p o r a r y R e c o r d 78/79 o p . c i t . , p.B587; 1976/77 p.B533. U n c l e L i t h o , i t w o u l d a p p e a r , was b e c o m i n g b o t h e r s o m e t o Mobutu ( h e was r e p u t e d t o be a " l u s h " ) , h o w e v e r , b e i n g h i s u n c l e (on h i s m o t h e r ' s s i d e ) , he c o u l d n o t s i m p l y be e x i l e d a s o t h e r s h a d . K n o w i n g t h a t R o w l a n d was l i k e l y t o do a n y t h i n g t o s a f e g u a r d L o n r h o ' s a s s e t s , Mobutu " k i l l e d two b i r d s w i t h one s t o n e " and g o t b ack a t R o w l a n d f o r some r e a l o r i m a g i n a r y w r o n g by f o i s t i n g h i s u n w a n t e d u n c l e upon L o n r h o ' s p r e s i d e n t . T h u s , w h i l e h a v i n g U n c l e L i t h o i n h i s camp g a v e R o w l a n d an " i n " w i t h M o b u t u , h i s v a l u e i n t e r m s o f t h e image w h i c h R o w l a n d w i s h e d t o p o r t r a y t o h i s s h a r e h o l d e r s , on t h e o t h e r h a n d , l e f t s o m e t h i n g to be d e s i r e d . 143 60 F i n a n c i a l T i m e s ( L o n d o n ) J u l y 2 3 , 1 9 7 1 . 61 Much b u s i n e s s i n t h e M i d d l e E a s t i s b a s e d on t h e p r e m i s e o f " I n s h a l l a h " - i f God N i l l s I t . M o s t d e v o u t M o s l e m s b e l i e v e t h a t t h e r e i s no n e e d t o h u r r y t h r o u g h a t r a n s a c t i o n b e c a u s e e v e r y t h i n g i s r u l e d by A l l a h (God) and t h e r e f o r e , i f and when t h e b u s i n e s s s h a l l be c o n c l u d e d , d e p e n d s on H i s w i l l . 62 L a n n i n g , o p . c i t . , p . 2 5 0 - 2 5 1 . go The T i m e s ( L o n d o n ) J u l y 3 0 , 1 9 7 1 . 64 The f l i g h t i n t h e L o n r h o p l a n e was l a t e r s u b s t a n t i a t e d by S i d d i k Hamad to James F o x , Sunday T i m e s ( L o n d o n ) November 3, 1 9 7 4 . 65 > D a i l y T e l e g r a p h ( L o n d o n ) J u l y 2 1 , 1 9 7 1 . 66 I n December 1 9 8 4 , " i n an a t t e m p t t o r e a c h a p o l i t i c a l s e t t l e m e n t w i t h t h e SLPM ( S u d a n e s e P e o p l e ' s L i b e r a t i o n Movement) -a g u e r r i l l a movement d e d i c a t e d t o o v e r t h r o w i n g t h e N i m e i r i r e g i m e , N i m e i r i o n c e a g a i n e n l i s t e d ( o r a c c e p t e d ) t h e h e l p o f t h e m u l t i n a t i o n a l t y c o o n , ' T i n y ' R o w l a n d , t h e c h i e f e x e c u t i v e o f L o n r h o , t o a c t a s a g o - b e t w e e n . " A f r i c a n C o n t e m p o r a r y R e c o r d 1 9 8 4 / 8 5 o p . c i t . , p.B85. 67 A c c o r d i n g t o Mr. G. N i z , i n an i n t e r v i e w i n F e b r u a r y 1 9 8 9 , " S a u d i A r a b i a t o l d N i m e i r i t h a t i f he b r o u g h t i n S h a r i ' a Law t h e y w o u l d g i v e numerous c o n c e s s i o n s t o t h e S u d a n . To s w e e t e n t h e d e a l , t h e y t h r e w i n an o l d 707 a i r p l a n e . A f t e r he was d e p o s e d , S a u d i A r a b i a t o l d N i m e i r i to g i v e b a c k t o t h e p e o p l e what was t h e i r s - and n o t t o f o r g e t t h e j e t . " T e r r i f i e d o f p l o t s a g a i n s t h i m , N i m e i r i had t h e j e t on s t a n d b y a l l t h e t i m e a n d , " i f t h e P r e s i d e n t i a l j e t moved, no o t h e r a i r t r a f f i c was a l l o w e d c l e a r a n c e . I o n c e even t r i e d t o l a n d by d e c l a r i n g an e mergency and t h e y t o l d me t h a t t h e y ' d b l o w my a s s o u t o f t h e s k y . " 68 C h r i s t o p h e r C l a p h a m & G e o r g e P h i l i p ( e d s . ) The P o l i t i c a l  D i l e m m a s o f M i l i t a r y R e g i m e s ( S y d n e y : Croomhelm L t d . , 1 9 8 5 ) p . 3 2 . 69 N i m e i r i was f i n a l l y o v e r t h r o w n i n M a r c h 1 9 8 5 . A c c o r d i n g t o o b s e r v e r s , what f i n a l l y b r o u g h t a b o u t h i s d e m i s e was t h e i n t r o d u c t i o n o f S h a r i ' a Law i n S e p t e m b e r 1 9 8 3 . N e a r t h e end o f M a r c h 1 9 8 5 , t h e v i o l e n t d e m o n s t r a t i o n s by M u s l i m l e a d e r s was t a k i n g i t s t o l l . D e s p i t e e v i d e n c e o f i n c r e a s i n g d i s c o n t e n t and no d o u b t l i v i n g i n a f a n t a s y w o r l d o f h i s own p o p u l a r i t y , N i m e i r i l e f t t h e c o u n t r y f o r a p r i v a t e v i s i t t o t h e U n i t e d S t a t e s . E v i d e n t l y , b e c a u s e t h e r e was so much v i o l e n c e due t o h i s m i s r u l e , h i s s u p p o r t e r s t o l d h i m t o go on a v a c a t i o n and t h e y w o u l d " c l e a n up." To make e x a m p l e s o f s o - c a l l e d d i s s i d e n t s , t h e y " f l o g g e d p e o p l e , c o m m i t t e d c r o s s - a m p u t a t i o n s , and k i l l e d a s p i r i t u a l l e a d e r by f i r s t h a n g i n g and b e a t i n g h i m t h e n d u m p ing him o u t o f a h e l i c o p t o r i n . t h e d e s e r t . They k i l l e d a b o u t 2500 p e o p l e , and 144 s i m p l y b u l l d o z e d them i n t o a p i t . " The p e o p l e w e r e i n a s t a t e o f r i o t by t h i s t i m e , b e c a u s e t h e i r m a i n s t a p l e , s u g a r h a d o n c e a g a i n r i s e n i n p r i c e . By now c a n e s u g a r was b e i n g b u r n e d i n t h e f i e l d s b e c a u s e t h e o p p o s i t i o n f o r c e s h a d b l o c k e d a l l o f t h e m a i n t r u c k i n g r o u t e s t o Kenana and o t h e r s u g a r r e f i n e r i e s , a l t h o u g h t h e t r u c k s w o u l d h a v e been u n a b l e t o d e l i v e r anyway f o r want o f f u e l . T he Sudan was u n a b l e t o pay t h e i r m e m b e r s h i p to t h e U n i t e d N a t i o n s t h a t y e a r , a n d a l l c o m m u n i c a t i o n i n t h e c o u n t r y was a t a s t a n d s t i l l b e c a u s e i t s t e l e p h o n e b i l l h a d n o t been p a y e d . "Upon t r y i n g t o r e t u r n t o t h e S u d a n , N i m e i r i made i t a s f a r a s E g y p t b e c a u s e t h e p i l o t r e f u s e d t o l a n d i n t h e Sudan a t n i g h t . " He was n e v e r a b l e t o r e t u r n , f o r t h a t n i g h t he was o v e r t h r o w n . " P e o p l e i n some o f t h e m u l t i n a t i o n a l o i l c o m p a n i e s knew t h a t he w o u l d n o t be r e t u r n i n g even b e f o r e he d i d . Ne l i v e d r i g h t b e s i d e t h e m i l i t a r y b a r r a c k s . " N i m e i r i h a d e x h a u s t e d a l l o f h i s p o l i t i c a l o p t i o n s , a n d had r u n o u t o f a l l i e s and i n so d o i n g h a d c r e a t e d a m u l t i t u d e o f e n e m i e s . He was n o t l e f t s h o r t o f money b e c a u s e he had been c h a n n e l i n g f u n d s i n t o U.S. b a n k s f o r y e a r s . " H i s w i f e made d e p o s i t s i n S o u t h e r n A l a b a m a B a n k s o f a b o u t US*7 m i l l i o n ( c a s h ) . N i m e i r i b o u g h t c u r r e n c y on t h e m a r k e t f r o m s o - c a l l e d money t r a d e r s , t h e n t o o k i t o u t o f t h e Sudan on t h e p r e t e n s e t h a t he n e e d e d i t f o r e x p e n s e s s u c h a s l a n d i n g f e e s i n t h e c o u n t r i e s he v i s i t e d . " I n t e r v i e w G. Wiz J a n u a r y 2 6 , 1 9 8 9 . ^ N i m e i r i went w i t h K h a l i l Osman t o R o w l a n d ' s home t o " d i s c u s s b u s i n e s s p h i l o s o p h y . " The T i m e s ( L o n d o n ) A u g u s t 1 5 , 1976. 71 72 73 M a n c h e s t e r G u a r d i a n S e p t e m b e r 3, 1 9 7 1 . i b i d . T he OAU's a t t i t u d e t o A p a r t h e i d i s r e f e r r e d t o i n i t s A f r i c a n C h a r t e r on Human and P e o p l e s ' R i g h t s . I t d i f f e r s s i g n i f i c a n t l y f r o m o t h e r human r i g h t s d o c u m e n t s by v i r t u e o f t h e f a c t t h a t i t i n c o r p o r a t e s t h e w o r d s " p e o p l e s ' r i g h t s . " T h a t t h e A f r i c a n C h a r t e r u s e s t h e w o r d " p e o p l e s ' " i s a r e f e r e n c e t o t h e r i g h t o f s e l f - d e t e r m i n a t i o n i n s u b - S a h a r a n A f r i c a b e i n g t h e r i g h t o f A f r i c a n s t o h a v e g o v e r n m e n t s o f t h e i r own r a c e — o r a c c o r d i n g t o A l i M a z r u i , A f r i c a must be d o m i n a t e d by b l a c k A f r i c a n s . 74 C r o n j e , o p . c i t . , p . 1 9 2 . 7 5 A f r i c a C o n t e m p o r a r y R e c o r d 1 973/73 o p . c i t . , p.A124. ^ UDI was t h e S m i t h r e g i m e ' s U n i l a t e r a l D e c l a r a t i o n o f I n d e p e n d e n c e f r o m G r e a t B r i t a i n on November 1 1 , 1 9 6 5 . The B r i t i s h G o v ernment r e g a r d e d R h o d e s i a ' s i n d e p e n d e n c e t o be u n c o n s t i t u t i o n a l and i l l e g a l , and no o t h e r c o u n t r y f o r m a l l y r e c o g n i z e d i t . In t h e e n s u i n g y e a r s , B r i t a i n p u b l i c l y r u l e d o u t t h e u s e o f f o r c e to 145 q u e l l t h e r e b e l l i o n , and r e l i e d on p r o g r e s s i v e l y i n c r e a s e d e c o n o m i c s a n c t i o n s t o p r o d u c e a n e g o t i a t e d s e t t l e m e n t and a r e a l i g n m e n t o f p o l i t i c a l f o r c e s among t h e w h i t e s . 7 7 I n t e r v i e w w i t h " f r i e n d s " o f R o w l a n d , November, 1988. 78 H a l l , o p . c i t . , p.130. 79 T h e T i m e s ( L o n d o n ) J a n u a r y 2 2 , December 3, 1 9 7 7 ; A f r i c a C o n t e m p o r a r y R e c o r d 1978/79 o p . c i t . , p.B55. 80 A f r i c a C o n t e m p o r a r y R e c o r d 1 9 78/79 o p . c i t . , p .979. 81 J o s h u a Nkomo The S t o r y o f My L i f e ( L o n d o n : M e t h e u n L t d . , 1 9 8 4 ) p l 8 4 . 82 T e l e p h o n e i n t e r v i e w o f O c t o b e r 1987 w i t h " f r i e n d s " o f R o w l a n d . 83 Nkomo, o p . c i t . , p .184. 84 H a l l , o p . c i t . , p . 1 3 2 . 85 "The e n t i r e e l e c t i o n was r i g g e d by G r e a t B r i t a i n t o g e t Nkomo i n , h o w e v e r , t h e p e o p l e ( w h i t e s ) r e a l l y h ad t o pack t h e i r b a g s when Mugabe g o t i n . " T e l e p h o n e i n t e r v i e w w i t h " f r i e n d s " o f R o w l a n d , November, 1988. 86 R i c h a r d Brown " R e c e n t H i s t o r y o f Zimbabwe" i n A f r i c a S o u t h  o f t h e S a h a r a 1980-81 ( L o n d o n : E u r o p a P u b l i s h e r s L t d . , 1 9 8 0 ) p p . 1 1 9 1 - 1 1 9 9 . 87 The E c o n o m i s t M a r c h 5, 1 9 8 3 , p . 3 2 - 3 3 . 88 The T i m e s ( L o n d o n ) M a r c h 3 0 , 1 9 8 4 , p . 8 a . 89 Nkomo, o p . c i t . , p.244. 90 The E c o n o m i s t A p r i l 2 1 , 1 9 8 4 , p. 56. 91 I n t e r v i e w w i t h " f r i e n d s " o f R o w l a n d November 1987. 92 The E c o n o m i s t A p r i l 2 1 , 1 9 8 4 , p. 5 6 . 93 The D a i l y T e l e g r a p h ( L o n d o n ) A p r i l 1 9 , 1 9 8 4 , p.2. 94 . i b i d . 95 .... i b i d . 9 6 The E c o n o m i s t A p r i l 2 8 , 1 9 8 4 , p.65. 146 97 M a c h i a v e l l i , o p . c i t . , p . 94. L o n r h o ' s a s s e t s i n Zimbabwe n o t l i s t e d a s s u b s i d i e s o f o p e r a t i o n s e l s e w h e r e , a r e a p p r o x i m a t l y L110 m i l l i o n o f a t o t a l o f L 2 . 2 5 b i l l i o n w o r l d - w i d e . The Sunday T i m e s ( L o n d o n ) S e p t e m b e r 2 5 , 1 9 8 8 , p.D3. 99 The Sunday T i m e s ( L o n d o n ) J u l y 2 6 , 1 9 8 7 , p.39-40. S o u r c e s L o u i s a de Ramee ( p e n name: O u i d a ) " M o t h s , " i n V i r g i n i a S. T h a t c h e r ( e d . ) The New W e b s t e r D i c t i o n a r y o f t h e E n g l i s h L a n g u a g e ( C h i c a g o : C o n s o l i d a t e d Book P u b l i s h e r s , 1 9 8 0 ) p . l 0 1 . 147 BIBLIOGRAPHY A b u r i s h , S a i d K. P a y - Q f f A n d r e D e u t s c h L t d . , L o n d o n , 1 9 8 5 . A d e l m a n , Ken " Z a i r e ' s Y e a r o f C r i s i s " i n A f r i c a n A f f a i r s 7 7 , #306, J a n u a r y , 1978. A k i n s a n y a , A d e o y e A. M u l t i n a t i o n a l s i n a C h a n g i n g E n v i r o n m e n t P r a e g e r P u b l i s h e r s , New Y o r k , 19 8 4 . A l i , S h a u k a t C o r r u p t i o n : A T h i r d N o r l d P e r s p e c t i v e A z i z P u b l i s h e r s , Chowk U r d u B a z a r , L a h o r e , 1 9 8 5 . A n d r e s k i , S t a n i s l a v The A f r i c a n P r e d i c a m e n t A t h e r t o n P r e s s , New Y o r k , 1 9 6 8 . A u s t i n , D e n n i s " T h i n g s F a l l A p a r t " i n R i c h a r d B i s s e l & M i c h a e l Radu ( e d s . ) A f r i c a i n t h e P o s t - D e c o l o n i z a t i o n E r a T r a n s a c t i o n B o o k s , New B r u i n s w i c k , New J e r s e y , 1 9 8 4 , p p . 2 0 5 - 2 2 7 . B a i l e y , F.G. S t r a t e g e m s & S p o i l s : A S o c i a l A n t h r o p o l o g y o f  P o l i t i c s Copp C l a r k P u b l i s h i n g Co., T o r o n t o , 19 6 9 . B l a c k ' s Law D i c t i o n a r y . 3 r d e d . , N e s t v i e w P r e s s , S t . P a u l , M i n n e s o t a , 1968. B l a k e , D a v i d H. & R o b e r t S. W a l t e r s The P o l i t i c s o f G l o b a l E c o n o m i c R e l a t i o n s P r e n t i c e - H a l l I n c . , New J e r s e y , 1976. B obo, B e n j a m i n " M u l t i n a t i o n a l C o r p o r a t i o n s i n t h e E c o n o m i c D e v e l -opment o f B l a c k A f r i c a " i n J o u r n a l o f A f r i c a n S t u d i e s V o l . 9 , n o . l , S p r i n g 1 9 8 2 , p p . 1 3 - 2 1 . B o u t l t o n , D a v i d The G r e a s e M a c h i n e H a r p e r & Row, New Y o r k , 1 9 7 8 . B r e t t o n , Henry L. Power & P o l i t i c s i n A f r i c a A l d i n e P u b l i s h i n g Co., New Y o r k , 1 9 7 3 . B r i e r l y , J . L . The Law o f N a t i o n s 5 t h e d . , C l a r e d o n P r e s s , O x f o r d , 1 9 5 5 . B r o w n , R i c h a r d " R e c e n t H i s t o r y o f Zimbabwe" i n A f r i c a S o u t h Of t h e S a h a r a 1980-81 E u r o p a P u b l i s h e r s L t d . , L o n d o n , 198 0 . B r o w n l i e , I a n "The E x p a n s i o n o f I n t e r n a t i o n a l S o c i e t y : The C o n s e q u e n c e s f o r t h e Law o f N a t i o n s " i n B u l l , H e d l e y and A. W a tson ( e d s . ) The E x p a n s i o n o f I n t e r n a t i o n a l S o c i e t y 148 O x f o r d U n i v e r s i t y P r e s s , 1 9 8 4 . B u l l , H e d l e y The A n a r c h i c a l S o c i e t y C o l u m b i a U n i v e r s i t y P r e s s , New Y o r k , 1 9 7 7 . C a r d o s o , F e r n a n d o " I m p e r i a l i s m a n d D ependency i n L a t i n A m e r i c a , " i n F r a n k B o n i l l a & R o b e r t G i r l i n g ( e d s . ) S t r u c t u r e s o f  Dependency I n s t i t u t e o f P o l i t i c a l S t u d i e s , S t a n f o r d , 1 9 7 3 . C a l l a g h y , Thomas M. " A f r i c a ' s Debt C r i s i s " i n J o u r n a l o f I n t e r - n a t i o n a l A f f a i r s . 3 8 , 1 9 8 4 , pp.61-79 C l a p h a m , C h r i s t o p h e r ( e d . ) P r i v a t e P a t r o n a g e & P u b l i c Power F r a n c e s P i n t e r P u b l i s h i n g , L o n d o n , 1 9 8 2 . C l a p h a m , C h r i s t o p h e r T h i r d N o r l d P o l i t i c s Croom Helm L t d . , L o n d o n , 1 9 8 5 . C l a p h a m , C h r i s t o p h e r & G e o r g e P h i l l i p ( e d s . ) The P o l i t i c a l D i l e m m a s o f M i l i t a r y R e g i m e s Croomhelm P u b l i s h i n g L t d . , S y d n e y , 1 9 8 5 . C l a r k , D i c k U.S. C o r p o r a t i o n s i n A f r i c a R e p o r t t o t h e C o m m i t t e e on F o r e i g n R e l a t i o n s , U.S. S e n a t e S u b - C o m m i t t e e on A f r i c a n A f f a i r s o f C o m m i t t e e on F o r e i g n R e l a t i o n s ^ 1 9 8 1 . C o m m i t t e e on F o r e i g n R e l a t i o n s . 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K o t e c h a , Ken A f r i c a n P o l i t i c s U n i v e r s i t y P r e s s o f A m e r i c a , I n c . , W a s h i n g t o n , 1 9 8 1 . L a n n i n g , G r e g A f r i c a U n d e r m i n e d P e n g u i n B o o k s , L t d . , E n g l a n d , 1 9 7 9 . L a P a l o m b a r a , J o s e p h ( e d . ) B u r e a u c r a c y & P o l i t i c a l D e v e l o p m e n t U n i v e r s i t y o f P r i n c e t o n P r e s s , P r i n c e t o n , 1 9 6 3 . Legum, C o l i n A f r i c a n C o n t e m p o r a r y R e c o r d : A n n u a l S u r v e y  1 972-1987 A f r i c a n P u b l i c a t i o n s , New Y o r k . L e m a r c h a n d , Rene "The CIA i n A f r i c a : How C e n t r a l ? How I n t e l l i g e n t ? " i n J o u r n a l o f Modern A f r i c a n S t u d i e s V o l . X I V , 1 9 7 6 , p p . 4 0 1 - 2 6 . 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W i l l a m e , J e a n - C l a u d e P a t r i m o n i a l i s m & P o l i t i c a l Change i n t h e  Congo S t a n f o r d U n i v e r s i t y P r e s s , C a l i f o r n i a , 1 9 72. W i l l i a m s , R o b e r t P o l i t i c a l C o r r u p t i o n i n A f r i c a Gower P u b l i s h i n g Co., L t d . , E n g l a n d , 1 9 8 7 . W r a i t h , R o n a l d & S i m p k i n s , E d g a r C o r r u p t i o n i n D e v e l o p i n g  Coun t r i e s M e t h e u n P r e s s L t d . , L o n d o n , 1 9 6 3 . W i g h t , M a r t i n Power P o l i t i c s L e i c e s t e r U n i v e r s i t y P r e s s , L e i c e s t e r , 1 9 7 8 . Y o u n g , C r a w f o r d " Z a i r e : The U n e n d i n g C r i s i s " i n F o r e i g n A f f a i r s 5 7 , 1, 1 978. Y o u n g , K . T . , J r . "New P o l i t i c s i n New S t a t e s " i n F o r e i gn  A f f a i r s . 3 9 . A p r i l 1 9 6 1 , P . 4 9 8 . 154 N e w s p a p e r s and J o u r n a l s A f r i c a n A f f a i r s A f r i c a n C o n t e m p o r a r y R e c o r d A f r i c a n D e v e l o p m e n t A f r i c a R e p o r t C o m p a r a t i v e P o l i t i c s C o m p a r a t i v e S t u d i e s i n S o c i e t y & H i s t o r y D a i l y M a i l ( L o n d o n ) D a i l y T e l e g r a p h ( L o n d o n ) The E c o n o m i s t The F i n a n c i a l T i m e s ( L o n d o n ) F o r e i g n A f f a i r s I n t e r n a t i o n a l A f f a i r s I n t e r n a t i o n a l O r g a n i z a t i o n J o u r n a l o f I n t e r n a t i o n a l A f f a i r s J o u r n a l o f Modern A f r i c a n S t u d i e s M a n c h e s t e r G u a r d i a n R e v i e w o f I n t e r n a t i o n a l S t u d i e s The New Y o r k T i m e s The O b s e r v e r ( L o n d o n ) The Sunday T i m e s ( L o n d o n ) The T i m e s ( L o n d o n ) N e s t A f r i c a N o r l d P o l i t i c s 

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