Nigeria is a blessed country, no doubt about that. Both in the term of human and natural resources are in abundant within the shores and territory of the country, these factors should facilitates business growth in nations as our other nations of such magnitude are waxing stronger. Nations like India, Brazil, South Korea etc are now ahead of Nigeria in their economic and technological development. Insecurity is one of the major hinderance of business growth. How?
DISRUPTION OF SUPPLY CHAIN Business thrives when there are linkage between the sources, production, marketing component of the business empire. Here, the supply chain have been adversely affected by the incidents of insecurities. Kidnapping, wanton killing, banditry and the activities of separatist groups in the nations heightened the dangers of insecurity. For instance, at many mines, experts are kidnapped and many scared away. The train was bombed, deliveries are delayed, merchants are raped, robbed and killed, industries are lock up etc. With the incidents, the supply chain are affected and many business failed.
LIMITED INVESTMENT
Nigerian economy and business sector is really bleeding as the nation's resources are least utilized since local and foreign investors are afraid to do business here.
They are scared and does not want to risk their wealth in a hostile environment where violence and crime are increasing daily.
Multinational companies like coca coke, Unilever etc with high stakes in Nigerian business sectors as investors have shun her to other african nation like Ghana where the environment are more secure and safe for their workers and establishment.
INCREASED BRAIN DRAIN
Many academics, technocrats, technician and egg heads are leaving the shore of the nation in doves. They moved to other countries where their expertises will be valued and rewarded in a sane environment.
These entrepreneurs that should pilot our business sector leave it in the hand of few and untrained personal which dwindle the fortune rather than increasing the value of the sectors. Government of the day are less concern about this danger that looming but keep making policies that pushes many more out of business.
POOR INFRASTRUCTURAL DEVELOPMENT
Roads, railways, power supply, telecommunication, airport etc are basis on business thrives and depend solely on. Vital sector like this have been adversely affected as many of them have been damaged with no plan of reconstructing them.
As good as it sounds when the government borrow extenally from foreign bodies like world banks to maintain and constructs new structures but the money end up in the pockets of few elites who sabotage the good idea and the debt hanged on the economy of the nation.
INCREASED COSTS
Every establishment thinks of security and spend heavily on secure and safe environment as the business thrives. This operational costs are added so that the prices of goods and services of the establishment increased higher that usual.
Additional security investments like hiring of security personnel, installations of cameras and alarm systems etc are needed to protect the establishment, their employees, customers and wares optimally.
POOR GOVERNMENTAL INTERVENTION
With good policies, government can contributes to the growth of business in their area. Taxations, licences and levies from the government agencies should be carefully implemented with good hope of helping the business owners rather than to steal from them.
Through their banks and other monetary institutions, Government can give out soft and interest free loans and grant for the business to thrives because money remains the greatest inpediments to the growth of the business establishments in nigeria.
Government via their agencies or consultants train those business owners on the modern ways of doing business for their growth. Areas like branding, accounting, marketing, advertisements etc are still poor and does not meet the needed standard for international market for exporting of the wares so that the economy will be sustained.
IMPACT ON TOURISM AND HOSPITALITY
Hostel and restort centers are sparingly booked due to very low patronage by local and foreign business men and women that engage in one or two business ventures in the country.
Countries like UAE, Saudi Arabia, Egypt etc are thriving due to high business consultations and transactions. They have the needed security apparatus and modern infrastructures which really cost them fortune to implemented but form the basis for the business development and their hospitality sectors are growing higher every day as more people keep visiting.
Insecurity deter people from visiting Nigeria including her citizen that left her shore and foreigners. They are afraid and business are affected.
CONCLUSION
Business sectors drives the economy of any nation and never should be neglected. Government should provides all the needed help to business owners and entrepreneurs so that their establishment will flourish and create more jobs so as to reduce unemployment rate that affecting nigerian economy.
Improved security investments and budget to meet the required status to maintain peaceful condition for business to thrives. Security establishment and architectures should be scrutinized so that corrupt security personnel are flushed out and their integrity be maintained.