Deregulation and Performance of State-Owned Enterprises in Nigeria
- Submitted by: oladejobiodun
- Views: 606
- Category: English
- Date Submitted: 12/13/2012 02:57 AM
- Pages: 24
- Report this Essay
DEREGULATION AND PEFORMACE OF SELECTED STATE-OWNED ENTERPRISES: EMPIRICAL EVIDENCE FROM NIGERIA
Oladejo Abiodun Oyebamiji
Department of Management & accounting
Obafemi Awolowo University,ile-Ife.
Osun State, Nigeria.
oladejobiodun@yahoo.com
oladejoabiodun@oauife.edu.ng
Abstract
The study examined the impacts of deregulation on State-owned enterprises and investigated the challenges arising from the ownership structure of these enterprises. Primary and secondary data were used for the study. Primary data were sourced through the administration of a questionnaire on 60 top executive officers of five purposively selected state-owned enterprises; four in Lagos State and one in Gombe State. Secondary data were collected from Nigeria Stock Exchange Fact Books and Annual Reports and Statement of Accounts of selected firms. Data collected were analysed using appropriate descriptive statistics and inferential statistics.
The results showed that deregulation had negative but not significant impact on performance of state-owned enterprises. Furthermore, the results show that challenges arising from ownership structure and new ownership structure have positive and significant impact on enterprise performance.The study concluded that deregulation process, if properly implemented, was capable of transforming previously comatose state-owned enterprises into viable private-sector managed firms.
Key words: deregulation, privatization, ownership structure, profitability, stock value
1. INTRODUCTION
The participation of the state in enterprises in Nigeria dates back to the colonial era. The task of providing infrastructural facilities such as railway, roads, bridges, water, electricity and port facilities fell on the colonial government due to the absence of indigenous companies with the required capital as well as the inability or unwillingness of foreign trading companies to embark on these capital-intensive projects. This trend continued after...
Oladejo Abiodun Oyebamiji
Department of Management & accounting
Obafemi Awolowo University,ile-Ife.
Osun State, Nigeria.
oladejobiodun@yahoo.com
oladejoabiodun@oauife.edu.ng
Abstract
The study examined the impacts of deregulation on State-owned enterprises and investigated the challenges arising from the ownership structure of these enterprises. Primary and secondary data were used for the study. Primary data were sourced through the administration of a questionnaire on 60 top executive officers of five purposively selected state-owned enterprises; four in Lagos State and one in Gombe State. Secondary data were collected from Nigeria Stock Exchange Fact Books and Annual Reports and Statement of Accounts of selected firms. Data collected were analysed using appropriate descriptive statistics and inferential statistics.
The results showed that deregulation had negative but not significant impact on performance of state-owned enterprises. Furthermore, the results show that challenges arising from ownership structure and new ownership structure have positive and significant impact on enterprise performance.The study concluded that deregulation process, if properly implemented, was capable of transforming previously comatose state-owned enterprises into viable private-sector managed firms.
Key words: deregulation, privatization, ownership structure, profitability, stock value
1. INTRODUCTION
The participation of the state in enterprises in Nigeria dates back to the colonial era. The task of providing infrastructural facilities such as railway, roads, bridges, water, electricity and port facilities fell on the colonial government due to the absence of indigenous companies with the required capital as well as the inability or unwillingness of foreign trading companies to embark on these capital-intensive projects. This trend continued after...