Greetings my esteemed readers.
I have missed being on this space. I start my post for the year with an article I shared on LinkedIn last December. This is a country-specific article on my country, Nigeria. I do hope you find it useful:
What are the things that impede businesses in Nigeria and How Can they be Managed?
In my working career and recent observation over the years, some of these affect the survival and sustainability of businesses in Nigeria:
- Funding and High Interest Rate
- Business Skills or Expertise
- Market Share
While this list is in no way exhaustive, I will elaborate on the last point. My view is that market share is one of the factors that need to be addressed in the Nigerian business space.
Over the last decade, our youths and working population are being encouraged to thread the path of entrepreneurship. This has had its positive impact of innovation and an ‘active’ economy with potentials for growth.
You only need to walk into Exhibitions or Fairs across major cities in Nigeria to see the resultant effect – Nigerian made shoes, bags, soaps, creams, processed foods and more. Our social media showcases an array of various Nigerian products and businesses. For most of the products, you would have hard time believing they are made in Nigeria by Nigerians. A good place to be for any country . This should gradually minimize our import-dependency and over dependency on oil revenue, if well channeled.
History however, abound on how developed economies constantly seek raw materials outside their own countries for the survival of their businesses and their economies. (This was how Crude Oil was discovered in Nigeria and Malaysia was said to have come to Nigeria for Palm Oil Seed!)
But it does not end with ensuring they local businesses produce, developed economies seek for markets outside of their countries and regions for the benefit and survival of local businesses and overall national economy. Developing economies should take a clue from U.S-China Trade discourse, as harsh as it may seem to the ears of many.
Therefore, with remarkable progress and improvement in achieving quality made in Nigeria goods, it is time to take deliberate efforts to create international market for these products, to enhance the survival and sustainability of these young businesses. No doubt, there are steps and efforts, I know, but concerted efforts should be made to position Nigerian products and Nigerian economy in the export map.
In addition to efforts by organisations such as Chambers of Commerce, Nigerian Export Promotion Council, lawyers, businessmen and women, entrepreneurs and associations, should begin to create business consortium and advocacy to ensure that their products are sold in the international markets. Not only would they have a market waiting in Nigerians in diaspora, but a huge international market abound. Limiting the proudly Nigerian goods only within the shores of Nigeria will do the businesses and the country no good in the long run.
Prior to the banking mergers and consolidation of 2004 -2005 led by the Central Bank of Nigeria, Nigeria had about 100 Banks. Following that consolidation, 25 or so banks emerged, stronger and better. Rather than play in the export zone alone, businesses of a kind (shoe makers, bag makers, soap makers, cream makers, fashion designers and more), should begin to think consolidation, partnership and collaboration and engage the international market ; this will have better yields than a lone voice or individual effort. There is only so much a national or state economy can offer budding businesses, especially when there is limited purchasing power within such an economy.
What do you think?
#Business #Consortium #Export #Import #Consolidation #Market #Share #Partnership #Collaboration #Made #In #Nigeria #Proudly #Nigeria #Products #Small Scale Industry.