Sunday, August 14, 2022
  • About Us
  • ImagiNATION
  • Rate Card
  • Contact Us
The Nation Online
Advertisement
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation
No Result
View All Result
No Result
View All Result
Home Columns Economics and Business Forum

Small businesses in economy

by Staff Writer
29/10/2012
in Economics and Business Forum
3 min read
0
Share on FacebookShare on TwitterShare on WhatsAppShare on LinkedinLinkedinShare via Email

Those who have been to technical schools may find a niche in the construction industry as building contractors.

Advanced economies provide a lot of opportunities to people to work as insurance brokers.

One-person firms are common in business services such as accounting, auditing, estate management, freelance journalism and clinical services.

In Malawi, most people are into minibus business and provision of private secondary education.

Why are there not many small-scale businesses around? The simple answer is that it is easier to start a business than to stick to it.

Then, there is the issue of capital which one should consider before setting up a business. One needs to save enough to get into business.

Otherwise, sooner than later, you discover you have started with too little resources. You also discover problems you did not expect. You must have the spirit of perseverance and adaptability to remain there.

Most people quit within five years from the date of launching their businesses.

Many small businesses die because of bad management. Nobody drives a vehicle without first receiving instructions in driving.

Many people go into business without first acquiring principles of business management.

They think such training is not necessary. But in the business environment of these days, ignorance does not guarantee success. You need to study the market structure, economic trends and the competitors.

One person may start a business by merely imitating others. He will open a private secondary school when his own education leaves a lot to be desired.

He encounters problems he did not expect and find the going tough. If you do not know the field already, then you must make careful inquiries about it such as what is the minimum capital, the skills required and the nature of competition you are likely to encounter.

Some fail in business because they do not have the ethic. Two American business magnates of the past have a word for us.

Benjamin Franklin said: “The way to wealth, if you want it, is as clear as the way to the market. It is made of industry and frugality.”

A more recent magnate Paul Getty says in his book How To Be Rich that successful businesspersons work 16 to 18 hours in a day, seven days in a week and seldom take vocations; and that they practise frugality.

“Make money first before you decide what to do with it.”

There is a suitable character for business practice. If you do not have it naturally, you must cultivate it.

Said Lord Thomas of the Canadian media magnate: “No leisure, no pleasure.”

Government policy

Since most governments recognise the indispensability of small to medium enterprises, they have adopted policies for promoting entrepreneurship and supporting small businesses.

Some governments provide direct and indirect subsidies to reduce costs for small businesses. Some provide tax concessions, other exempt small businesses from labour regulations such as safety and health or minimum wages. Some offer to train small-scale businesspeople in entrepreneurship and guarantee bank for loans for them.

Why do governments take such patronising policies? They know they have a responsibility of seeing to it that all people who need jobs are employed. A society full of unemployed people is vulnerable.

What is the policy of the Malawi Government towards job creation? What assistance has it pledged to give to those who want to be self-employed?

I have a feeling that policies of our governments are as vague about assisting businesspeople as they are about encouraging the books industry, reading culture and authorship.

What is required is to institute a commission of inquiry into the problems of small businesses and recommend how to put a new lease of life into the sector.

Previous Post

National Bank for cashless society

Next Post

Home processed g/nuts powder not a danger to life

Related Posts

Economics and Business Forum

Why do you have him for a friend?

February 8, 2020
Economics and Business Forum

Do you have any idea what your retirement needs will be?

February 16, 2019
Economics and Business Forum

Stop spoiling your children

November 17, 2018
Next Post

Home processed g/nuts powder not a danger to life

Opinions and Columns

Candid Talk

When parents demand more

August 14, 2022
People’s Tribunal

Time is not on the side of PDP

August 14, 2022
Big Man Wamkulu

She is very elusive, loves money

August 14, 2022
My Thought

Stop cyber harassment

August 14, 2022

Malawi-Music.com Top10

Trending Stories

  • World Bank suggests kwacha re-alignment

    0 shares
    Share 0 Tweet 0
  • AG wants Chisale’s K3.4bn claim axed

    0 shares
    Share 0 Tweet 0
  •   MPs on trial

    0 shares
    Share 0 Tweet 0
  • Mindset change should target Indian-Malawians

    0 shares
    Share 0 Tweet 0
  • Wanderers pen Sulom over refs

    0 shares
    Share 0 Tweet 0

  • Values
  • Our Philosophy
  • Editorial policy
  • Advertising Policy
  • Code of Conduct
  • Plagiarism disclaimer
  • Disclaimer
  • Privacy Policy
  • Terms of use

© 2022 Nation Publications Limited. All Rights Reserved.

No Result
View All Result
  • Home
  • News
  • Politics
  • Business
  • Entertainment
  • Life & Style
    • Every Woman
      • Soul
      • Family
    • Religion
    • Feature
  • Society
  • Columns
  • Sports
  • Chichewa
  • Enation

© 2020 Nation Publications Limited. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.