Paste your essay in herCHALLENGES FACING SMEs IN NIGERIA
INTRODUCTION
In Nigeria today, there are challenges facing small to medium enterprises. It is said that the strength of a developing country’s economy rests on the shoulder of small organizations. These enterprises help in providing employment to people in the country. They also help in industrial growth. SME have certain functions such as provision of employment, help in the growth of the GDP in a country, helps a country to be economically independent and also helps in wealth and income distribution in a country. There are certain hindrances SMEs face which include the issue of electricity, lack of funds, taxes, lack of infrastructures etc. This research plans to really highlight those challenges and address it.
The environments in which SMEs operate are seen to be quite challenging. Because of this, they find it difficult to fulfill their various functions. That is why this research is being conducted to find possible ways in which SMEs could fulfill those functions.
The approach that would be used in this research includes the qualitative philosophy approach and quantitative approach which is basically interested in understanding the feelings of the interviewee in this research, develop hypothesis, and understand the interviewee’s point of view.
STATEMENT OF THE PROBLEM
Based on my own opinion, entrepreneurs have not been shown significant help in making their businesses survive in Nigeria. It is said the within the first five years of creation, many SMEs die off and only 1 out of 10 remain to reach full maturity.
. This is a major problem in Nigeria because SMEs could be seen as the backbone of a country but since the backbone is not strong such a country would fall. Specifically this study addresses the following:-
• why small to medium enterprises fall;
• the challenges they face to cause such a fall;
• How such challenges could be eradicated to help small to medium enterprises survive and mature to their optimum growth.
AIMS AND OBJECTIVES OF THE RESEARCH
The rate of unemployment in Nigeria is on the rise which is surprising, due to the fact that Nigeria is seen as the largest market in Africa and it is supposed to be exploited for investing, meanwhile that is not happening and Nigeria is crippled with high rate of poverty. People are not exploiting the opportunity they have to go into entrepreneurship and be business owners, this is quite disturbing. Developed and developing countries have made use of that opportunity, for example Kenya made use of SME and it has improved their economy, SME has contributed to Kenyan’s GDP by 12 to 14 percent and it has improved by increase in employment, income and wealth distribution and providing a source of income to low earners in the society , India who is similar to Nigeria in terms of population also made use of SME and it improved their economy, united states of America, Korea are also good examples of countries SME has improved.
The SME in Nigeria is meant to be rejuvenated or revamped because I believe the SME in Nigeria could help solve the embarrassing rate of unemployment which has led to high crime rate.
So many people have argued that the reason SME is experiencing this challenges is because of the government unethical dealings, non- provision of funds and infrastructure and lack of corporate governance.
The overall purpose of this research is:
• To evaluate the challenges facing SME’s
• To create solutions to the challenges
• To create favoring factors in the environment that support SME’S
• To encourage other people to go into entrepreneurship since there are favoring factors supporting SME’s.
RESEARCH QUESTIONS
What are the challenges facing SME’s?
Is there a way to eradicate these challenges?
How important are SME’s to our country?
What strategy could be used to eradicate these challenges?
METHODOLOGY
In order to carefully analyze the challenges facing small to medium enterprises in Nigeria, an interview would be conducted to reach out to the owners of the enterprises and ask them the challenges their facing as owners of SME’s. A questionnaire would also be prepared for entrepreneurs who plan to set up small to medium enterprises and also already established owners. The questionnaire would include some questions such as:
How long have you been operating your enterprise?
What are the challenges you have faced during the operation
If any do you think these problems could be solved
The reason for choosing the qualitative method of approach which is the interview is as follows:
To get into personal interaction with the interviewee; this is intended to get relevant information that would be necessary in conducting this research.
To get certain answers that cannot be gotten through the use of the quantitative approach
A case study about the challenges facing SMEs would be required and answers will be required from the participants which could help provide solutions in eradicating this challenge
This study is limited to those who own small to medium enterprises and those who plan to own small to medium enterprises (entrepreneurs)
The data that would be collected in this study includes:
Certain challenges entrepreneurs face
Suggestions to curb these challenges
How the government can help in solving this problem
How long certain SMEs have survived
How the SMEs who have survived for more than 10 years did it
The methods that would be used in collecting the data include the quantitative and qualitative method which is the use of questionnaires and interviews.
EXPECTED RESULT
This research is expected to give answers to the various research questions and also contribute to the knowledge established in this study.
ETHICAL CONSIDERATIONS
• When conducting this study I will make sure that i respect the right of interviewee, I would not force them to answer my questions; I would not secretly record anything without their permission.
• I would acknowledge the sites I used in conducting this research.
• I will not harm anyone during the conduct of my research.
• Offensive languages would not be used during the conduct of my research.
• The interviewee would be given the right to act based on his / her own free will.
• The privacy of the interviewee will be taken into consideration.
• I will make sure the personal identity of the interviewee would be protected.
• Information gotten during this research will be treated with confidentiality.
• I will treat my research with adequate transparency and honesty.
BUDGET
For this research to be conducted a sum of 80,000 would be needed to fund these needs and they are as follows:
Transport fare
Printing of questionnaire
Food
Water
Necessary textbooks for the purpose of this study
REFRENCES
Jeffrey Stern. Format for Research Proposals. February 16, 2005. http://www4.caes.hku.hk/acadgrammar/report/resproposal/ProposalFormat.htm.
millers, cassava. n.d. http://cassavamillers.com/studies-and-papers/an-overview-of-small-and-medium-enterprises-smes-in-nigeria.
Nwaoguj, Charles. Sun News Daily. july 4, 2016. http://sunnewsonline.com/why-nigerias-17m-smes-struggle-to-survive/.
Nwaoguji, Charles. Nigeria Today . july 4, 2016. http://www.nigeriatoday.ng/2016/07/why-nigerias-17m-smes-struggle-to-survive/.
Nwaoguji, charles. the sun newspaper. july 4, 2016. http://sunnewsonline.com/why-nigerias-17m-smes-struggle-to-survive/ (accessed april 7, 2017).
onugu, Basil. st.clement.edu. 2005. http://stclements.edu/grad/gradonug.pdf (accessed april 2017).