The Blog is a final Bus Stop for Academic Materials such as Assignments, Essays, Reports, Thesis, Projects, Dissertations Among others.

Sunday, 17 May 2015

AREAS OF CONCENTRATION IN SMALL SCALE BUSINESS MANAGEMENT EXAM




Below are question that you should expect: I will not answer them all but I will give you a clue: Also, some answers are already in the blog. 

Question:
What are the characteristic of a Small Business?

Answer:
Here are the characteristic, but you will explain – will only outline them: 1. Simple technology 2. They are not capital intensive 3. It is easy to set them up 4. They require limited financial commitment: You can remember the rest.

Question:
List and explain the contributions of small business to the economic development of Nigeria. One guy has asked me this question and here is the answer:


Answer:
Unique Advantages and contributions of small business: 1. They originate new products and services 2. They generate employment opportunities: 3. They enhance local contents:
Other contributions are; Revenue Generation, Innovation, Industrialization, Allocation of Resources, Poverty Reduction 

Question:
Critically discuss the challenges facing small business;

Answer:
Small businesses are beset with numerous problems in developing counties.  These problems can be categorized into managerial, technical, financial and commercial. 

Question:
Differentiate Between A Vision and a Mission

Answer:
Vision points at a direction where an organization should go, while mission explains how.  Vision is about the future, while mission is about the present (here and now).

Question:
Critically compare and contrast small and big business
Answer:
Comparison of small and big business:
In terms of number of employees:  90% of small business in Nigeria have less than 20 employees:
In terms of sales: Large Business Account for most of the sales while small business account for very little.

In terms of Origin:  Almost all large business started as small business
Question:
Define and explain the concept small business management:
Answer:  
The issue of proper definition of small scale business is yet to be resolved due to variation from country to country, from industry to industry and among researchers in the field.
Empirical evident has revealed a general tendency for small-scale enterprises to be relatively more important in the Less Developed Countries (LDCs) than in the developed industrials economies.  While in the developed countries large enterprise tend to predominate because of strong economies large enterprises tend to predominate because of strong economies of scale, in many developing counties, there is very large number of small scale enterprises as a result of heir flexibility.

The American Committee for Economic development defines a small business as one that has at least two of these features:

(a) Management is independent
(b) Capital is supplied and ownership held by an individual or a few individuals;
(c)  The area of operations is primarily local; and
(d) The firm is small in comparison with competitors.
The definition is acceptable in the Nigerian context, but however, because of the dynamic nature of small business the formal definition is very flexible.
In the United Kingdom, the Economist Advisory classified small business according to industries in terms of assets and turnover ranging between £20,000 to £25,000 in net assets and £50,000 to £500,000 in business turnover.

According to Small Business Association in the United States of America (USA), any business which has less than 250 employees and whose annual turnover is not more than $10 million is small scale. 
In the Nigerian context, small business according to the Third National Development Plan Vol. 1.P.353 is classified thus:
i.             Small scale industries – are manufacturing establishment employing less than 12 people or whose investment machinery and equipment do not exceed six hundred thousand (600,000).
ii.           In the credit guidelines of the Central Bank of Nigeria (CBN), small businesses are classified as those businesses with an annual turnover of less than half a million Naira (N500,000).
REFERENCE:
M.S Isyaka and Aina Olalekan Kazeem: Small Business Management (Concept and Practice) Published and printed by: Chartered Graphics Press, Abuja, Nigeria.
Note: I will be posting this exam questions bit by bit:  But try and read them very well.


No comments:

Post a Comment