The analysis of institutional quality of the labour market in South Africa

The focus of the research in the study is South Africa, or the Republic of South Africa, as one of emerging markets. The authors studied the labor market from the point of view of Austrian companies seeking to do business in the South African market. The authors tried to answer the following question: "How do Austrian companies perceive institutional quality from the point of view of the labor market in South Africa, when deciding to enter the market of this country?" In the study the method of interviews and document analysis was used. The analysis of labor market research has shown that the country has a weak education system. The higher the level of education, the fewer people are trained which leads to the shortage of skilled labor, high unemployment and the increase in crime. Nevertheless, Austriancompanies believe that the South African market is worth entering, since it can, on the one hand, serve as a transit hub for other African markets, on the other hand, with the creation of mechanisms and supply chains in the network, the market becomes attractive and generates positive cash flows.