Expanded Profit Motive as A Fundamental Factor for Failure of Entrepreneurial Efforts.
Abstract
Many factors have been fingered and blamed for low productivity of Nigerian economy, prominent among which is the weak industrial base.
And this weakness is indicated by the low level of the index of capacity utilization in the manufacturing sector and general high rate of business failure in Nigeria.
Having considered the problems from the accounting point of view, the researcher formed an opinion that EXPANDED (OR QUICK) PROFIT MOTIVE is a fundamental factor for failure of entrepreneurial efforts;
this opinion considers the proper management of available resources – especially financial resource – as a primary factor that will make for success of a business venture.
This expanded profit motive manifests in various forms, which include (a) lack of compliance to loan repayment schedule, (b) venturing into business without business ideas. (c) Over-pricing of products, (d) Employment of unskilled labour and high labour turnover etc.
But whatever form(s) such manifestation may take, ultimately they culminate into poor discharge of business functions.
Accordingly, this research was driven by the investigation and assessment of various manifestations of Expanded profit motive as to establish the truth or otherwise and the extent of their contributions to business failure.
The investigation was carried out on the basis of five (5) stated hypotheses about which the research revolved.
Besides the data collected from ALO Aluminum Company inform of responses obtained from questionnaires, the researcher visited some other establishments which are considered to be in position to have a store of data and numerical information that would have been useful for comparative analysis.
Those organizations visited did not permit the researcher to avail the required data, and this made it difficult to use standard statistical technique, such as correlation coefficient and distributions in the analysis of data.
Consequently, the researcher resorted to the use of simple percentage, published and verbal information as basis for conclusion.
Table Of Contents
Cover Page I
Title Page Ii
Certification Iii
Dedication Iv
Acknowledgements V
Abstract Vi
Table Of Contents Vii
CHAPTER ONE
- : Background To The Study 1
- : Statement Of The Problem 22
- : Research Hypothesis 23
- : Purpose Of Study 25
- : Significance Of Study 25
- : Scope Of Study 27
- : Limitation Of Study 27
References 30
CHAPTER TWO: REVIEW OF RELATED LITERATURE
- : Introduction 31
- : Types Of Profit 32
- Definition Of Terms 34
- Entrepreneurship: Notes On Historical Perspective 41
- Entrepreneurial Traits 52
- : Definition Of Entrepreneur 60
2.6:The Ethic Of Entrepreneurship 62
2.7:Financial Prudence As Sustaining Factor 66
2.8:Finance Management 72
2.9:Profit Maximization And Growth Of Business Organization 87
References 95
CHAPTER THREE: RESEARCH METHODOLOGY
- Source Of Data Collection 98
- : Population Of The Study 99
- : Data Collection Procedure 100
- : Method Of Data Analysis 101
CHAPTER FOUR
4.0: Data Presentation And Analysis 103
4.1: Data Presentation 104
4.2 Data Analysis 123
4.2.1: Hypothesis 1 124
4.2.2: Hypothesis 2 127
4.2.3: Hypothesis 3 130
4.2.4: Hypothesis 4 133
4.2.5: Hypothesis 5 135
REFERENCES 141
CHAPTER FIVE: DISCUSSION OF RESULT
5.1: Implication Of Research Result 144
5.2: Management Function 147
5.3.Budgeting And Sourcing For Business Finance 151
References 156
CHAPTER SIX
- Summary Of Findings 157
- Conclusion 159
- : Recommendations For Further Study 164
REFERENCES 165
Introduction
Background Of Study
Since I became an accounting student and gradually came to be deeply sensitized on the issue of business management theories and practice, I became generally interested in studies related to Entrepreneurial Development, but particularly excited at the enquiries into the causal factors of both success and failure of Entrepreneurial Effort.
The desire for this enquiry is partly driven by my personal aspirations but mainly sustained by what I consider as easily observable poor state of private sector of Nigeria economy, poor contribution of this private sector to the growth of the economy and poor state of industrial development in Nigeria.
All these, by extention, mitigate the national quest for job creation with the attendant well known negative consequences for the socio-economic wellbeing of Nigerian Nation.
In this present research effort, I would generally discuss the importance of a widespread culture of entrepreneurship businessactions in the establishment and sustenance of a private sector driven economy especially in this introductory chapter.
The investigation proper is intended to seek and reveal the causes of failure of most of the entrepreneurial efforts and focus particularly on the extent of the contribution of ‘Expanded profit motive (objective)’ to the failure of entrepreneurial ventures (small/medium business).
References
Aguolu O. (1998): Fundamentals Of Auditing Rex Charles &Patrick Ltd., Nimo Anambra State Nigeria
Amucheazi E.C. – Readings In Social Services: Issues Innational Development. Fourth Dimension Publishers Co. Ltd, #179 Zik Avenue, Enugu Nigeria
Animalu, A.O.E. – Education Science And Technology. Agendafor Nigeria In 21th Century: Academy Of Science, Unilag Lagos Nigeria
Anyafo A.M.O. (1996): Public Finance In Developing Economy The Nigerian Case Banking And Finance
Publications Unec Enugu Nigeria
Ely R.T. Et Al (1937): Outline Of Economics6th Ed. Macmillan, Newyork
Eze J.A.(1999): – Fundamental Of Small Business Management:Glanic Books #52 Rehab Road Emene Enugu Nigeria
Tags: profit motive advantages and disadvantages, profit motive capitalism, profit motive definition economics, profit motive examples in business, profit motive in a market economy, profit motive in a sentence, profit motive synonym, why is profit motive important
Be the first to comment