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IMPACT OF GOVERNMENT INDUSTRIAL POLICY ON THE DEVELOPMENT OF SMALL SCALE ENTERPRISE IN NIGERIA


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IMPACT OF GOVERNMENT INDUSTRIAL POLICY ON THE DEVELOPMENT OF SMALL SCALE ENTERPRISE IN NIGERIA


CHAPTER ONE

1.0       INTRODUCTION

1.1       BACKGROUND OF THE STUDY
Small scale enterprises varies widely around the world, small scale enterprise are normally private owned corporation partnership or sole proprietorship. What constitute “small scale enterprise are common in many countries depending on the economic system in operation, typical examples includes convenience store, other small shop (such as bakery or delicatessen), hairdressers, trade man, lawyers, accountants, restaurants, guest house.

A small scale business can be started at a very low cost and on part- time basis, small scale business is also well suite to internet marketing because it can easily serve specialized riches, some things that would have been more difficult prior to the internet revolution which began in the late 1990s sometimes called a small scale business, a small scale enterprise is a business that employs a small number of workers and does not have a high volume of capital. Such enterprises are generally privately owned and operated sole proprietorship, corporations and partnerships. The legal definition of a small scale enterprise varies by industries and countries.

In some countries, the definition of a small scale enterprise is bound by financial measure such as net profit, balance sheets, totals, the value of assets and annual sales. In Ogun State for example, a non-manufacturing small scale enterprise is one that does earn more than 1 million in a year. Financial measure can varies by industry, as annual receipts may be higher for industries that have higher overhead cost to operate. In general small scale enterprises are business that does not dominate their respective industries. The role of small scale enterprises in fostering economic development has been well articulated in different form of this nature. The specific attention on them is based on their expected impact and potential contribution on broad and diversified production base as well as their accelerative effect in achieving macro-objectives pertaining to full employment, income distribution and the development of local technology. They are particularly most conducive for diffusion of management skills and stimulation of indigenous entrepreneurship overtime.
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