Actions that colleges can take to meet their moral responsibilities in response to apartheid in South Africa are discussed, along with different sides to the question of divestment from American companies doing business in South Africa. It is suggested that divestment even by a large number of colleges is unlikely to cause American companies to withdraw from South Africa, and even if they did withdraw, the South African government would not likely be affected. To the degree that American companies pay good wages, move black workers into skilled jobs, and recognize black unions, they are contributing to the development of a black power base. Other approaches include: deciding about divestment on a case-by-case basis, forbidding new investment by American firms, and refusing to renew loans to the South African government. Objections to divestment on moral grounds and the question of whether divestment is a moral or a political act are considered. Actions colleges can take to help promote peaceful change in South Africa are suggested: educating Americans about South Africa, helping South African schools with desegregation, educating black South African exchange students, raising money to send to voluntary groups in South Africa, and pressing companies to pressure the South African government to liberalize its racial policies. (SW)