Effects of Privatization and Commercialization on the Company Management

Effects of Privatization and Commercialization on the Company Management

Effects of Privatization and Commercialization on the Company Management


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Abstract on Effects of Privatization and Commercialization on the Company Management

The interest of this study is to destroy valuable contributions to companies management and general industrial development in Nigeria through privatization and commercialization Nigeria has been lacking behind in terms of development owning to numerous reasons some of which are embedded in the management of her local producers system. In this study therefore, the interesting is to carryout some research into these problem that impede company management process in Nigeria and suggest ways and means of moving them through modern management process and in addition X-ray the far reaching benefit that could be drawn from privatilization and commerclizatin on company management. Faced with the dilemma of external indebtedness and internal economic stabilization measure.The major component of this medication is the gradual dismantling of state control. How the management of companies affected by privatization going to fare, because the crux of this study. Some selected government enterprises operating within the continues or bead quarter in the state were studied to give the research an empirical touch. In conclusion few question which may be agitating the minds of people were answers. Among these question are: Why did government intervened in economics activates an did why is it urgent now that state control has be dismounted for private initiations to come in? A note of warning was sounded about seeing privatization as a solution to all management and economics ills and that the right remedy should be given to the appropriate private ailment at the right time.

Chapter one on Effects of Privatization and Commercialization on the Company Management


It has been exonerated that the economic situation of Nigeria from the recent past to present is anything but good. Datas back to the colonial ear, Nigeria’s economy has been saddled with plan-less and bad administration. Other countries like Taiwan, south Korea and even south African that started from the same platform as Nigerian in quest of economic emancipation have today made considerable achievement.

As for Nigeria, she was held down to low economic attainment by a vicious circle of force, tribalism, nepotism, political profiteering, poor education orientation and poor work altitude. This circle however, was often broken by seeing economic progress as in the area of grandaunt pyramids of the sixties and the oil boom era of the seventies which bid not stand the test of time.Nigeria have been conscious of dividing economic fortunes and proclamation of such measures as how profit image operation feed the Nation,(OFN), Austerity measures war against indiscipline program (SAP) of the Ibrabim  Babamosi Babangida administration (1965-93) . SAP has one of its children as privatization and commercialization.All the above measures were geared towards economic stabilization. The extent of success of each depends upon the straight   of will and purpose of their proponents.

Going down memory came, Nigeria was one known for her groundnut pyramids . In the 1970-84, groundnut production had  gone down considerable from what it used to be in the sixties when Nigeria was the world trading exporter of groundnuts, by 1984, Nigeria has become a net importer of groundnut oil, cocoa, beans and cotton to mentioned but a few and so was importing more than it was exporting. With the outbreak of Middle East war in 1973, oil prices rose to an unprecedented level and Nigeria becomes the most industrialized in the developing countries.

Unfortunately she made no contingencies and could not utilize her sudden found wealth. Nigeria abused her ability to import and this depleted her internal reserve to the barest minimum Nigeria was no longer in a position to pay for her imports through exchange earning, she began to accept short credits which ironically graduated to long term embarrassing debts.




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