THE view implicit in SA’s transformation policy is that societies and economies can be fixed like machines, and past iniquities can be redressed by the redistribution of physical and financial assets alone.Goodwill represents the intangible but real value of combined skills; the relationships a business has with its suppliers, customers; and communities; and its corporate culture, which shapes how business is conducted.If it is sold and the new owners lack this human and social capital, the business will probably fail. That is because the network of skills that, over time, create lasting value from money and physical assets cannot be redistributed mechanistically nor can they be created by external intervention. Neither can intangibles such as trading acumen, be measured or divvied up according to master plans.Still, the physical products of human capital, such as successful businesses or farms, are sometimes mistakenly thought to be transferrable, as happened in Zimbabwe. This caus...
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