January 27, by articles 2 Comments The Problems and Prospects of Small Scale Industries in Nigeria Economy This chapter examines relent literature and theory on the problems of financing small scale industries in Nigeria economy. Infact much work has been done on related dreams of this research work. Small-scale industries development has assumed a lending role in the rapid industrialization and development of different countries of the world. As a result of this lending role and importance of small scale industries in the industrialization of the nation a lot has been said doubt this sector.
In this review, the researcher has tried not to restrict Haines of to the books dealing with hotels alone but a combination of both hotels with the small scale business background.
This in view of the fact that not very many works have been done locally on the subject of hotel operation and management. Definition of Small Scale Business This is definition of small-scale industry there is accepted universally.
The definitions may differ from state to state and from institution to institution, definitions are usually based on the level of economic development of the particular economy and the purpose of the definition, however, there are standard adopted by who defined small scale industry.
In the opinion of Boom Longenecher the definition are not legally fixed since people with some of the standard being number of employee, assets size, volume of sales, initial capital outlag, ownership structure, management style, profit level, market share, type of industry or a combination of two or more of the above criteria.
Generally accepted as a sound criteria is investment of fixed capital, though a fixed amount is used as a bases of any definition, the definition must be flexible for easy adjustment and to keep with changing needs of industrial development.
There are therefore some of the definition of small scale business as written by Agbo G. According to Kotler Lawrencesmall scale industry is an industry which is independently owned and operated and not dominant in its area of operation.
The man at the top of knows who the few people in the organization in whom responsibility for the organization, in whom responsibility for the result rest without having to consult his records or association. The Committee for economic development CED of the United State has given a valuable list of characteristic of small business which states that a small business will have at least two of the following characteristics.
Management are also owners Area of operation are mainly local Owner sources capital Small size within the industry. According to Small Business Administration SBAa Federal Government agency established in to advice, assets and prefect small business, defined to small scale business is not rigidly fixed, but can be related to exceptional cases so for as the particular firm is not dominant in the whole industry.
Japan employs a differential measure between the industrial and commercial sectors. These includes a measure and a maximum size of Boo employees, manufacturing sectors and a maximum of 50 employees in commerce.
Other definitions of small firms operation in some developing economics like: In Malaysia, it is an enterprise with shareholder fund of less than N,00 and loss than 50 workers. Cameroon defined for either tax papered or commercial activity as enterprise with investment and ceiling of 20 million Frances CFA and 50 million Frances CFA respectively for each purpose.
Industry with a capital investment up to N, in machinery and equipment alone this excludes working capital and cost of land. From the above, it can be discussed that there are only two major ways of defining a small scale industry, a qualitative and quantitative approach.
A quantitative approach tasks about the number or size of people employed in the business and the sales volume. Quantitative there are about four characteristics. Owner supplies capital It is operated in local area The size is small in consideration with other industries. Furthermore, the central bank defines it as an establishment with a total investment of N million or 1 million dollars excluding cost of land but including working capital.
In my view, however the small scale business enterprise is one that ranges up to 10 employees with capital investment of N, to N20, Why People Want to go into Business Ownership Most Nigerians at think of having their own business, even when they are still serving others or in paid employment they dream of establishing their own business enterprises during their life time.
Nwachukwu views sound of the reasons why people wish to own business as follows: Keith and Cubelum defined business as the sum of the activities concerned with the creation and distribution of goods and services for private profit.
Thus, the profitability in business attracts people into owing or going into business. It may farroult to be true one succeeds but or make enough profit as to become wealthy. They see it as an opportunity to do what they love doing. For instance, owning a rally or wholesale store, transport company, a hotel being identified with well organized and profitability business or being associated with high quality product or service.
People also have to go into business ownership because it seems the best way of getting away from paid employment constraints, politics or career dead lock.
Some others would want to own business to emulate successful businessmen who has acquired leadership in business with attendant power. Some leadership confers on such people. Because some businessmen are successful in their private business and are respected in the society, and such people are powerful in the society, others would want to emulate them, not realizing that it is not everybody that owns a business that is successful.
Ownership of the business may be an alternative when steadily paid employment could not be secured. It is sometimes not easy to find paid employment like is the case.Managerial problem is the greatest problem facing small-scale enterprises in Nigeria as a whole and especially in our country Nigeria.
Managers, of small-scale enterprises are unable to plan, direct, organize, control, co-ordination and fund the business as expected.
the Indian small scale industries could not progress satisfactorily as these industries are suffering from various weaknesses. Thus, in this research paper an effort has been made to identify the problems relating to the Indian small scale industries and to know the prospects of Indian small scale industries.
Problems and Prospects of Operating a Small Scale Business.
Problems and Prospects of Operating A Small Scale Business – Many books has been written on hotel operation and management. In this review, the researcher has tried not to restrict Haines of to the books dealing with hotels alone but a combination of both hotels with the small scale business background.
AN INVESTIGATION INTO THE PROBLEMS AND PROSPECT OF MANAGING SMALL-SCALE BUSINESS IN EDO STATE, NIGERIA. ABSTRACT. The purpose of this study was to find the problems and prospects of financing small scale business enterprises in Etsako Local Government Area of Edo State.
The study examined the finance constraints to small scale farming. the vast domestic market, marketing remains a problem area for the small-scale sectors. Marketing has been identified as an important aspect affecting small-scale industries performance.
Besides finance, marketing is the key element which, if not pragmatically assessed leads to the closure of the units. PROBLEM AND PROSPECT OF SMALL SCALE ENTERPRISE IN NIGERIA (A CASE STUDY OF EZINIHITTE IN IMO STATE) ABSTRACT.
Small-scale enterprises with a focus on Nigeria cannot be over emphasized during this period of very high unemployment rate among our youthsReviews: 7.