...CAPITAL MARKET AND MANUFACTURING SECTOR FINANCING IN NIGERIA Ewa, Efa Okoi Department of Business Management University of Calabar, Nigeria +234-8037-796-936 efa_ewa@yahoo.com Abstract This paper discusses mainly the role of the capital market in financing the manufacturing sector in Nigeria. The discussion centered on the state of the Nigerian manufacturers, background, challenges and the imperatives of the capital market meeting the financial and investment challenges of the sector in the face of recent economic reforms and increasing competition posed by globalization. The study sought to determine the extent to which the Nigerian capital market contributes to the development of manufacturing industries. An attempt was made to highlight government intervention in funding the sector and the reality of the country’s manufacturing sector. The study revealed that the Nigerian manufacturing sector has been on the decline owing mainly to government reliance on the oil industry, the decaying infrastructural facilities in the country and non-access to investment fund by local manufacturers. The study concluded that the capital market, despite the problems and challenges it may faced, is a veritable tool in the growth and development drive of the country’s manufacturing sector. 1. Introduction The manufacturing sectors in any country of world rely on medium and long-term fund to carry out its productive activities. Equity capital alone is never adequate and external...
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...production facilities, job creation, and technology in Indian market. Openness to trade entails the following measures: 1.1 Trade facilitation: Addressing border and information bottlenecks a. As goods cross borders in GVCs, primarily as inputs and then as final products, fast and efficient customs and port procedures will play an essential role to smoothen operations in supply chains. To compete globally, Indian firms require lean inventories to respond swiftly to demand; and reduce unpredictable border delays with fast-track...
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...commodity exporter of rubber, tin, then palm oil and petroleum, with total income rising at 6 to 7 percent each year from 1970 until 2000. As a result, industrial sector in Malaysia has been rapidly grow over the past few dacades. Industrial sector can be define as a category of stocks that relate to producing goods used in construction and manufacturing. This sector includes companies involved with aerospace and defense, industrial machinery, tools, lumber production, construction, cement and metal fabrication. Performance in the industrial goods sector is largely driven by supply and demand for building construction residential, commercial and industrial as well as the demand for manufactured products. When the economy contracts and consumers save more and spend less, activity in this sector drops because companies will postpone expansion and produce fewer goods. The industrial sectors are drawn for each contain a mixture of international corporations, national companies, entrepreneurial smaller and medium-size enterprises (SMEs) and informal local businesses. Each part of a sector may have different impacts and dependence on economics activity. In many of the examples, the process of changing performance in industry sectors has followed a common sequence, though the detail varies considerably between sectors. For example, a realization by the leaders of major companies that their long-term business interests, survival as well as profitability, depend on understanding...
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...US wage rate discourages FDI in insurance services. However, it also shows that FDI in manufacturing and insurance services complement each other. Thus, the foreign acquisition of US manufacturing assets may have contributed to the almost fourfold increase of FDI inflows in insurance services between 1987 and 1998. 1) Introduction Since the 1980s, many foreign firms have seen the US as a relatively attractive destination for direct investment. Foreign direct investment (FDI)1 allows investors to exert a significant influence on the host country. It creates a global marketplace in which firms from one country are operating another firm in a totally different environment. The US has undergone a major process of restructuring and deregulation that has encouraged this type of investment. In 1998, US FDI inflows accounted for 30% of worldwide FDI inflows (US $193 billion) with the second largest host country (the UK) a distant US$130 billion behind. The dot com bubble in the 90s spurred the nearly doubling of FDI levels in the US in 1998 as overseas firms were eager to tap into the expanding market. Most FDI growth was contributed by the large inflows of Mergers and Acquisitions (M&As). For example, new investment by foreign direct investors through M&As in the US accounted for 90 per cent of total investment expenditures in foreign affiliates in 1998 (UNCTAD,1999). The insurance sector in the US is a prime example of an industry that has undergone many M&As as a...
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...developed countries by forcing the technology mechanism and changing the structure of production towards activities with higher levels of productivity. The evidence show that during 1970s and 1980s there were of structural changes in economic activities where developing countries enters the global markets. In his preface, Giplin (2001; xi) point out that “…important step toward the creation of a truly global economy, since the mid-1980s the world has also witnessed the extraordinary growth of economic regionalism as a countermovement to economic globalization.” Similarly, Magdoff (1992; 50) state that “In fact, capital exports have helped shape the evolving global economy ever since the end of the Second World War”. Moreover, Glyn and Sutcliffe (1992; 79) point out that “…left the world economy leaderless in the 1970s and 1980s with increasingly open economies disciplined by market forces, but without a unique center of gravity.” This implies that global economies forces t To provide a well-structured discussion, this essay will begin by briefly introducing into how neo-liberalism in the mainstream of development thinking greatly achieve its victory of defence mechanism for a new wave of market orientation intervention, before discussing the structural changes. It will then provide explanation on how these structural changes resulted to globalisation. It will also examine the economic policy making implication of the state in general. It will then conclude by looking at the practical...
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...Development in Malaysia Ali Salman Saleh∗ and Nelson Oly Ndubisi∗∗ Small and medium enterprises (SMEs) in play a vital role in the Malaysian economy and are considered to be the backbone of industrial development in the country. However, few studies examined their development, challenges and future prospects. Therefore, the aim of this paper is to examine and analyse the role of SMEs in different sectors as well as their major contribution to the economy. The paper goes further to review the existing literature as well as the empirical studies in order to identify the major challenges (domestically and globally) that face this sector. The key messages from the studies examined in this paper are that Malaysian SMEs still face many domestic and global challenges in achieving economies of scale and competing internationally. Among the challenges are the low level of technological capabilities and limited skilled human capital resources, a low level of technology and ICT penetration, low levels of research and development (R&D), a substantial orientation towards domestic markets, a high level of international competition (for example, from China and India), a high level of bureaucracy in government agencies, and internal sourcing of funds. These characteristics suggest that government programs and incentives are either insufficient or not delivered effectively enough to overcome these problems. This paper attempts to identify the challenges as a positive first step towards ...
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...The Role of Micro and Small Enterprises in Employment Creation and Income Generation A Survey Study of Mekelle City, Tigray Region, Ethiopia A Thesis Submitted to the Department of Management of Mekelle University in Partial Fulfillment of the Requirements for the Award of Master of Arts Degree in Development Studies (Regional and Local Development Studies) by Bereket Tadesse Advisor: Gebremedhin Yihdego (Assistant Professor) Co-Advisor: Tesfay Aregawi (Assistant Professor) Mekelle University College of Business and Economics Department of Management June 2010 Mekelle Declaration I declare that this thesis work entitled “The Role of Micro and Small Enterprises in Employment Creation and Income Generation a Survey Study of Mekelle City, Tigray Region, Ethiopia.” is my original work, has not been presented earlier for award of any degree or diploma to any other university and that all sources of materials used for the thesis have been duly acknowledged. I have produced it independently except for the guidance and suggestion of my research advisors. Name of the student Bereket Tadesse Signature: ----------------- Date: ---------- Name of the supervisor Gebremedhin Yihdego (Assistant professor) Signature: ------------------ Date: ---------- Name of Co -Advisor Tesfay Aregawi (Assistant Professor) Signature: ----------------------- Date: -------- Mekelle University Abstract Unemployment and low income are one of the present situations in urban cities of Ethiopia. The...
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...Development in Malaysia Ali Salman Saleh∗ and Nelson Oly Ndubisi∗∗ Small and medium enterprises (SMEs) in play a vital role in the Malaysian economy and are considered to be the backbone of industrial development in the country. However, few studies examined their development, challenges and future prospects. Therefore, the aim of this paper is to examine and analyse the role of SMEs in different sectors as well as their major contribution to the economy. The paper goes further to review the existing literature as well as the empirical studies in order to identify the major challenges (domestically and globally) that face this sector. The key messages from the studies examined in this paper are that Malaysian SMEs still face many domestic and global challenges in achieving economies of scale and competing internationally. Among the challenges are the low level of technological capabilities and limited skilled human capital resources, a low level of technology and ICT penetration, low levels of research and development (R&D), a substantial orientation towards domestic markets, a high level of international competition (for example, from China and India), a high level of bureaucracy in government agencies, and internal sourcing of funds. These characteristics suggest that government programs and incentives are either insufficient or not delivered effectively enough to overcome these problems. This paper attempts to identify the challenges as a positive first step towards ...
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...electronic or mechanical) without the written permission of the publisher. ISBN 978-1-921768-44-6 2 Ai Group National CEO Survey 2013 Business prospects in 2013 Australian Industry Group National CEO Survey Business prospects in 2013: Australia's gap year? Ai Group National CEO Survey 2013 Business prospects in 2013 3 Key messages Business prospects in 2013: Australia's gap year? The Australian economy is going through significant change, with multiple, long-term forces restructuring our economy (such as global growth shifts and our own demographic changes), and ongoing challenges in our immediate outlook (such as the high Australian dollar and our relatively high business cost base). Recent drivers of growth are waning, with capital investment by the mining industry due to peak soon and federal and state government investment already past its post-GFC peak. But other potential growth drivers – most notably commercial and residential investment – are yet to show signs of a meaningful pickup. The global outlook also remains challenging, with only Asia generating any real growth in demand. As a result, in 2013, we are likely to see a gap in Australia’s economic momentum....
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...MAKE IN INDIA – PROSPECTS OF ELECTRONIC SECTOR Presented By: Sandeep.P.S, Akhila Reddy FEBRUARY 26, 2015 SIVA SIVANI INSTITUTE OF MANAGEMENT KOMPALLY, HYDERABAD PAPER PRESENTATION MAKE IN INDIA – PROSPECTS OF ELECTRONIC SECTOR Students-PGDM D. Akhila Reddy (ph:8008603183, mail: akhila.23tps@ssim.ac.in) Sandeep P.S(ph:09037323232, mail: Sandeep.23tps@ssim.ac.in) Siva Sivani Institute of Management, Secunderabad. ABSTRACT “Make in India” is an international marketing strategy, conceptualized by the Prime Minister of India, Narendra Modi on 25th September 2014 to attract Foreign direct investments from businesses around the world. Ultimately this process will strengthen the India's manufacturing sector. The campaign's purpose is to enhance job creation, boost the national economy and convert India to a selfreliant country and to give the global recognition to Indian economy. The purpose of Make in India is to convert the Indian economy as the manufacturing hub and to transform the Indian economy. India is inviting the investors from the rest of the world by eliminating laws and regulations, making bureaucratic processes easier and shorter, and make government more transparent, responsive and accountable. India is well known for software industry but lagging in hardware industry, therefore India is importing most of the electronic goods like Mobiles, Laptops, Flat panel LED, LCD TVs from foreign countries like Japan, China USA,UK, Singapore etc. as they have the brand...
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...Banking Internationalization drives and export orientation are prominent in the organizational strategies of a number of leading Indian firms and multinationals located in India. This is a significant indicator of the growing competitiveness of firms, industries, and the nation. This paper examines the sources of competitive advantage in a few selected sectors and firms and explores the internationalization possibilities and potential. International marketing strategies are complex and tend to vary widely across nations, industries, and firms. The elements that form the ingredients of international strategies are numerous and their importance is tightly interwoven to contexts. With a view to enrich the existing body of international marketing theory, the authors investigate the international marketing strategies adopted in 12 different business sectors in India in an attempt to explore and explain the similarities and differences found in this varied set of industries. The examples span the old economy industries such as the assembly and manufacturing enterprises that are both skill-and capital-intensive and also the new economy sectors that are information-intensive. This study is exploratory in nature and offers a classification scheme using case research methodology, grounded theory approach, and modeling techniques. The five-cluster classification (visual map) may prove to be useful in many strategic and tactical...
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...Trends in manufacturing to 2020 A foresighting discussion paper Future Manufacturing Industry Innovation Council i Date: 30 September 2011 For more information, or to comment on the paper, please contact: Manager Future Manufacturing Department of Innovation, Industry, Science and Research GPO Box 9839 Canberra ACT 2601 Phone: (02) 6213 6000 Facsimile: (02) 6213 7000 Email: Futuremanufacturing@innovation.gov.au ii Future Manufacturing Council discussion paper: Trends in manufacturing to 2020 Table of Contents Executive summary ....................................................................................................................................1 Background.................................................................................................................................................2 Future Manufacturing Council................................................................................................................2 Defining manufacturing...........................................................................................................................2 Profile of Australian manufacturing........................................................................................................4 Trends to 2020 ... and beyond: Issues and opportunities for Australian manufacturing...................12 Terms of trade driving value and volatility of the Australian dollar and structural changes in the economy – an upside...
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...is also responsible for lagging behind of manufacturing sector. Role of industrialization in economic development of the country Industrial sector play very important role in economic development of the country. The historical facts reveal that all the developed countries of the world broke the vicious circle of underdevelopment by industrialization. The role of industrialization in economic development is defined as follow: ⦁ Increase in national income Industrial sector also contributes GDP of country .According to year 2015-16 industrial sector contribution in GDP 18%.Development in industrial sector mean more production, investment, employment in the country. ⦁ Higher standard of living Industrialization helps increase the value of output per worker .The income of the labor due to higher productivity increase .The raise in income raise living standard of the people. ⦁ Economic stability Industrialization is the best way of providing economic stability in the country. A nation that only depends on production and export of raw material alone cannot achieve rapid economic growth. The uncertainty of nature and fluctuation in demand leads to an unstable...
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...5 6 7 8 9 10 11 12 13 14 15 16 17 18 Introduction Manufacturing Unit 1: Mumbai Manufacturing Unit 2: Chennai Manufacturing Unit 3: Mumbai Manufacturing Unit 4: Uttar Pradesh Manufacturing Unit 5 : Uttar Pradesh Manufacturing Unit 6: Uttar Pradesh Manufacturing Unit 7: Uttar Pradesh Manufacturing Unit 8: Uttar Pradesh Manufacturing Unit 9: Delhi Manufacturing Unit 10: Delhi Manufacturing Unit 11: Uttar Pradesh Manufacturing Unit 12: Delhi Manufacturing Unit 13: West Bengal Manufacturing Unit 14: West Bengal Manufacturing Unit 15: Karnataka Summary of Industry Requirements Study Team 1 2-10 11-13 14-16 17-18 19-20 21-24 24-27 28-30 31-32 33-34 35-38 39 40-41 42-43 44-45 46-48 49 Case Study Report Productivity and Competitiveness of Indian Toy Manufacturing Sector Diagnostic Case Studies Introduction This report contains diagnostic case studies of fifteen toy manufacturing units selected from seven different toy product categories. The study focuses on unit specific problems related to production, raw material availability, marketing, finance, productivity, export performance etc. These case studies also throw light on other aspects of the working of these units such as product range, market scenario, taxation structure etc. Though the manufacturing units produce a wide range of toy products, for the study purposes the units have been broadly grouped under seven major product categories. Number of manufacturing units taken up for detailed case study based on the seven...
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...FEBRUARY 2014 CEMENT The Pakistan Credit Rating Agency Limited CEMENT – AN OVERVIEW SECTOR STUDY STUDY CONTENTS Summary Sector Study: Global Cement Industry Pakistan Industry Business Risk Financial Risk Outlook PAGE 1 2 2 4 6 7 February 2014 www.pacra.com SECTOR STUDY The Pakistan Credit Rating Agency Limited CEMENT – AN OVERVIEW (FEBRUARY 2014) SECTOR DYNAMICS Business Risk Outlook Medium Stable to Positive OVERVIEW Pakistan’s cement industry has an oligopolistic structure – top five players (out of a total of 18) controls above 55% share. Geographically production facilities are concentrated in north (83%) of the country, while south has around 17%. During the last decade, the Pakistani cement industry has expanded its production capacity significantly; while gradually making inroads into the exports markets. The cement production capacity of Pakistan stood 44.8mln tons in FY13. Demand dynamics, playing key role in cement manufacturing, kept capacity utilization at ~75%, a behavior observed in past few years. Currently, Pakistan is ranked among the world's top 10 cement exporting countries. Pakistan Cement - Production and Capacity Utilization 50 45 40 35 Mln Tons HIGHLIGHTS FY13 Total Companies No. of listed Companies Share of listed Companies (based on capacity) Cement Production Capacity Utilization Market Capitalization Revenue* Net Income* Cement Sector Loans Share in Banking Loans Cement NPLs Share in Total NPLs Cement Infection Ratio ...
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