An application of a two-step Delphi model in identification of factors affecting the competitive performance of the South African citrus industry

This paper seeks to understand the underlying factors driving the success or failure of the competitive performance of the South African citrus industry. In order to do this, a two-step Delphi technique was employed to capture the opinions from selected citrus industry experts. These views were obtained using a questionnaire designed in the form of Porter Diamond model. Results reveal that a range of endogenous and exogenous factors affects positively and/or negatively the competitive success of industry. The enhancing factors include the both the quality and availability of local input suppliers, economies of scale, diversity in foreign markets and quality of private funded research. Those negatively affecting the industry include both availability and quality of skilled citrus labour, current tax system, consumer education, labour policy, administrative regulations and quality of government-funded research. From these factors, displayed in a X-Y scatterplot of �impact ratings��based on first-step Delphi results and �relevance scores� �based on the second step Delphi results, strategies were drawn to improve the competitive success of the industry, for all determinants that were highly correlated. Key words; Citrus industry, South Africa, Delphi analysis, competitiveness, Porter Diamond model. JEL CLASSIFICATION: Q17, P32