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Showing posts from October, 2019

BUSINESS PLAN DEVELOPMENT

Among the factors that occasionally contribute to the failure of most small scale business enterprises, business plan is rated higher (NDE 1978).


     This is because most of the business owners workout the activities of their enterprises off- head instead of preparing a business plan. Like a building plan for a house, which explans how the house should look like when completed. Stoner and Freeman (1992), defined business plan as a formal document containing a mission statement, description of the firms goods and services, a market analysis, financial projections, a description of management strategies for attaining goals. Further, Kathryn and David (1998) argued that a well prepared business plan can take 200 to the complexity of the business contemplated, the strength of the competition, the number of factors more considered. However, experience and successful entrepreneurs make use of business plan in the working of their business and also to raise the necessary capital re…

THE MEANING OF BUSINESS

Business is an economic activity which is related and continuous and regular production of goods and services for satisfying human wants (Wilkinson, 1994). Human beings need food, clothes, shelter among other things.



 They All do have many household requirements to be stusfy in their daily lives. They meet these requirements from the retailer. Whereas the retailer gets from the wholesaler, the wholesaler in turn gets from the mnufcturer. In this regard the retailer, wholesaler and the manufacturer are doing business and therefore they are referred to as business men.




 Newell(2002) defines business as a form of activity conducted with an objective of earning profits for the benefit of those on whose behalf activity is conducted.



 David (2009) sees business as a regular production or purchase and sale of goods undertaken with the objective of earning profit and acquiring wealth through the satisfaction of hymn want.

On this part Berle and means (2003) viewed business as human activity d…

THE QUALITY OF PRODUCT

Product quality is often measured in terms of purity and grade of material used in technical perfection of design and exciting stands.



Kolter (1998),  define product quality as the degree of excellence a product possess with regard to physical properties. ( such as the prestige of the brand name) It may be high,  low,  medium, good,  bad, fair, excellent, first-class etc.

The quality of product or degree of excellence varies greatly for virtually all customers and industrial goods. The very reason for the wide variation in product quality is that consumer differ greatly in their purchasing power.

 While we occasionally do find customers with high income who purchase products that are low in quality ( the upper income family buys used tyre, used furniture, used shoes etc)  a correlation does exist between purchasing power and the quality of products bought.

CHALLENGES OF STARTING A NEW BUSINESS OR EXPANDING AN EXISTING KIND

A new start up while attractive also , it has a greater chance of failure. thus a new startup business is far more likely to fail than an existing business, business with a successful history. the reason for failure in most cases is the inability of the owners of news startups to manage the following challenges very well.



1. PROBLEMS OF CASH FLOW AND GROSS UNDER FINANCING 
The new start ups in most cases has little for the waiting out the start up period and all of the expenses of getting a new business off the ground 
thus lack of cash flow and gross under financing is a major challenge to be faced by a new business at this pint in time




2. COST OF EARLY PUBLICITY
A new startup will need great deal of publicity to attract customers to the business as the location ,the name of what you are doing is not known when you first open your doors. a new company that have never existed before will need to spend money on TV, Radio and newspaper advertisements to attract new customers to the Establish…

MERITS AND DEMERITS OF ONE MAN BUSINESS

The following are some of the merits of sole proprietorship business 

1. DIRECT RESPONSIBILITY
The sole proprietors efforts are rewarded by his his personal profits and his ,mistakes by losses

2. CLOSE SUPERVISION
The sole proprietorship organization is small, he can supervise his staff, if any, personally

3. FLEXIBILITY
 Being his own master and having only the simplest organization, he can change the whole policy of his business in  very short time. He can make quick decisions.

4. FREEDOM FROM REGULATION
Apart from the normal regular responsibilities incurred by anyone who trains or employ staff, the only special duty required of sole proprietor is compliance with registration of business name Act, 
1961

5.PERSONAL CONTRACT
He is close to both clients and employees. He can offer personal service to customers and legal deals with employee's problems on a ''man to man'' basis 

MERITS OF SOLE PROPRIETORSHIP 
Some of the demerits of sole proprietorship form of business are as fol…

DEFINITION OF SOLE PROPRIETORSHIP BUSINESS

DEFINITION
Sole proprietorship business signifies exclusive ownership of small  business enterpeise. In other words, sole proprietorship decribe that business which is owned by one individual a man or woman. this form of business usually attracts many people who are tired of working for government or for someone else and are also eager to be independent.



 They use their little savings  to start business as sole proprietors. With this kind of busineess you need to take several legal action. There are no serious organization expenses; no formal requirement for publicity. Any person who engages in business activities - buys, sells or provide a service under his own name is the proprietor of the business. It may be part-time or full-time

BUSINESS AND THE SOCIETY

Business organizations  have complex relationships with many stakeholders in the society. 

An important of of business manager's role to identify afitrm relevant stakeholders and identify and understand the nature of their interests, power and alaince with one another.bulding positive and manually beneficial relationships across organizational bounderies can help enhance a company's reputation and adress critical social and technical challenges. 

In a world of fast-paced globalization, shifting public expectations and government policies, growing ecological concerns, and new technologies, managers face difficult challenge of achieving economic results while simulteneously creating value for all diverse stakeholders 
society, in its broadest sense, refers to human beings and to social structure they collectively create in more specific sense, the term is used to refer to segments of human kind, such as members of a particular community, nation, or interest group. 

As a set of organ…

SEVERAL EXPECTATIONS OF THE BUSINESS AND SOCIETY

The following are the expectations of what society and business need from each other

(i)  Supplying goods and services that society cannot, or do not want to, produce themselves

(ii)  Creating jobs for customers, supplies, distributors and coworkers

(iii)  Making money to support themselves and their families, pay taxes and use they wages to buy goods and services

(iv)  Continually developing new goods, services and processes

(v)  Investing in new technologies and in the skills of employees

(vi)  Building up and spreading international standards e.g for environmental practices

(vii) Spreading ''good practice'' in different areas, such as the environment and workplace safety.

(viii)  Offer good and services that are of high quality

(ix)  Sell such goods and services that are of fair and reasonable prices and

(x)  show courtesy and fairness to their customers.

THE FRAMEWORK OF BUSINESS IN NIGERIA

business plays a vita role in the life and cultures of a country. it provides just anything the consumers want o need, including basic necessities such as food and housing, luxuries such as televisions and even personal services such as caring for customers and finding companionship.
business enterprises in Nigeria started in the earnest when major British firms amalgamated to form the united African community(UAC).



      This amalgamation helped in laying the foundation stone of the Nigerian business enterprise systems. these companies according to effiong (1985) and john Holt company, Peterson zochonis and company (PZ) G.B ollivant, union trading company (UTC) K. chellarams and sons and miller brothers,which with F.A Swanzy a third party cooperation known as the African association and a number of other smaller firms combined in 1919 to form African and eastern trade corporation (A & ETC) LIMITED. thus bringing into being the united African company (UAC) as we know today it follow…

WHAT IS MARKETING RESEARCH ?

Marketing research involves conducting investigation to support marketing activities and the statistical interpretation of data into information. this information. 

This information is then used by managers to plan marketing activities. Gauge the nature of marketing environment and attain information from suppliers. marketing researches use statistical methods such as hypothesis tests chi-squared tests linear regression , correlations, frequency distributions, poison distributions, binomial distributions etc.


to interpret their findings and convert data into information. The task of marketing research is to provide management with relevant , accurate reliable valid and current information. a distinction should be made between marketing research and marketing research. 

market research pertains to research in a given market.as an example' a firm may conduct research in a target market, after selecting a suitable market segment.
 in contrast, marketing research is fundamentally about th…

BUSINESS PLANNING CONCEPT AND MEANING

Small business operate in an environment which changes are inevitable factors. technological changes, fluctuation in prices of raw materials, changing government policies and regulations changes in consumer taste and preference among other things are inevitable factors that have been shaping and reshaping business activities in Nigeria. they are thus unpredictable however in view of their unpredictability, it has become more necessary for the small entrepreneurs to determine their business goals carefully, and then construct plans for attaining these goals no matter what the changing environment will be


PLANNING DEFINED
Planning is simply the thinking that takes place prior to action or decisions its central is with the future and the future is nothing but the summation of our decisions. thus planning can be described as an anticipatory decision making.


 planning is done to decide what to do and how to do it prior to taking action. ultimately planing is considered of key elements of thou…

IMPORTANCE OF PLANNING TO BUSINESS

Many studies support the idea that the organization who plans before starting a project or a business venture, retail business e.g road side mechanic, barbing, hairdressing retail business auto-wash, beauty salon, tailoring, ad-infinitum are more effective than those who do not plan.
The planning functions have several important goals and chiefly among these goals are discussed as follows;

1. changes in technological environment
Technological changes are so rapid that we cannot predict the interval at which these changes are taking place. production plans have continue to undergo changes as a result of this, there is improvement in the quality of output, thus it has become necessary for small business enterprise owners to plan for possible changes in technology as customers will always demand for technological advanced products to replace the older ones that have become technically obsolete 

2.changes in economic environment
The general state of Nigerian economy can be best described as un…

FUNCTIONS OF AN ENTRRPRENEUR

A society is prosperous only if the degree to which it rewards and encourage entrepreneurial activities because it is entrepreneurs and their activities that are critical determinants of the level of success, prosperity growth and opportunity in the economy.
The most dynamic societies in the world are the ones that have the most entrepreneurs, plus the economic and legal structure to encourage and motivate entrepreneurs to greater activities. Thus entrepreneurs perform the following functions

Identifying entrepreneurial opportunity

There are many opportunities in the world of business. These opportunities are based on human needs as food, fashion, education etc. which are constantly changing. these opportunities are not realized by common man, but an entrepreneur senses the opportunities faster than others do. An entrepreneur therefore, has to keep his eyes and ears open and require imagination, creativeness, innovation and informativeness.

Turning ideas and dreams into viable business 

An…