Featured

Why Do People Start Businesses In 2021?

Why Do People Start Businesses In 2021?

As We all know the sole amin of business is to make profit but aside from that we surely do have other factors that gives motivation to start a business!

Related Articles
What are these factors?

Joblessness:

The main factor that could motivate you to begin a new business on graduation is non availability of Government or private jobs in Nigeria. However, there are several other factors motivating people to begin businesses.

Financial Ambition:

The necessity to be rich legally and fast may motivate someone to begin a new business. His interest is the financial reward that entrepreneurship can bring him. It has to generate enough profit. This is very common in Nigeria.

Desire to Control the Economy:

There are some entrepreneurs who want to control the entire or certain aspects of the economy of their people. In Nigeria today, Odua Group of Companies, Jimoh Braimoh, Wale Tinubu, Otedola, Dangote are individuals being motivated by their desire to control certain aspects of the Nigerian industry. Today is controlling the building industry, haulage; petroleum and food industries. The desire of such persons or their group motivates them to continue to start new businesses.

Desire to pursue a business idea:

A business idea may occur from any source to a prospective entrepreneur. He may eventually be motivated to pursue this idea and begin a new business.

Advantage of an opportunity in the market:

When an opportunity opens up in the market, some entrepreneurs could take advantage of this, explore it and eventually get motivated to start a new business.

Inherited Family Business:

An inherited family business can be a motivating factor for the establishment of a new one.

Desire to be their own boss:

An employee could be motivated by his desire to be his own boss and become an entrepreneur. He/she eventually begins a new business that will be under his or her full control. They want to be their own boss and in charge of all of the day-to-day operations of a company. He entrepreneur wants to be the one making the important business decisions, determining the direction the company will take, making the call on product development and marketing and being responsible for every aspect of the company’s operation.

Replicating a Business Idea found in Another Environment:

Some entrepreneur who travel may come in contact with a business idea that is new to his environment. This may be replicated in the new place by the entrepreneur on his own or with the assistance of the original environment.

Frustration with low Pay:

A worker frustration in a company may decide to get out to establish his own outfit which he believes can compete favourably with his previous employer.

Preference for a Smaller Company Environment:

The preference for a small company environment with the desire to put a personal touch back into doing business may be a motivator for beginning a new business. The drive to start a business comes from. Someone might feel upset working in a large corporation/company, can become very impersonal.

Lack of opportunity in previous employer:

Just like being frustrated with low pay, an
employee that lack opportunities one way or the other may be frustrated. This may be the
motivating factor that will turn him into an entrepreneur with a new business. A talented person that the employers could not retain could be motivated to begin a new business. The desire “to make things improve the world”: someone can be motivated to begin a new business if he/she feels highly pressed to make things that will improve the lot of common man
in his society.

Invite to begin someone else’s business:

There are situations where an entrepreneur invites someone to begin a new business for him/her. Maintain own ethical values which their employer didn’t share: The desire by a
prospective entrepreneur to maintain his own ethical values may motivate him to
establish a new business. The mis-match between the values, goals and ambitions of these entrepreneurial spirits and their employers is a very strong motivating factor for establishing a new business Desire to be involved in operations: Some entrepreneurs could be frustrated in a business and feels confident that he/she possesses the necessary capacity and interest in running a successful business. This motivates him/her to start his own and be directly involved in all operations – the design team, sales, marketing, engineering and production.

Exposure to Some Available Fund:

The availability of some excess fund that is not being used may motivate the idea of beginning a new business. A lot of bankers,civil servants politicians retire with a lot of gratuity to become entrepreneurs.

Spirit of returning to the society:

Whilst a number of motivations could come from entrepreneurs driven by the spirit of returning to the society who already feels
accomplished but now want to contribute back to the society by offering valuable
services to their customers. He/she may then decide to start for them new businesses that may or not even compliment his/her original business.

Life after Retirement:

The fear of what to do to augment their pension salary challenges retirees to begin a new business. Retirement age in Nigeria is between 60 and 70 year depending on one‟s profession. To prevent their early death, medical doctors have recommended that retirees at that age range should be involved in continuous activities like that of their offices while in service. Retirees are therefore motivated by these two challenges to begin their own businesses.

Favourable Government Policies and Procedures:

A favourable Government policies and registration procedures can motivate entrepreneurs to begin new businesses. The Nigerian Government has a lot of polices in place to assist entrepreneur. These include the establishment of special banks like the bank of commerce, agriculture and industries, Government policy tolerates Civil Servants to venture into any area of agriculture while still in service and the protection of creativity and innovations of original works with the Nigerian. Copy right Law policy. Several registration rules and procedural requirements of businesses in Nigeria are also made less cumbersome and majorly and electronically online.

Related Articles

Leave a Reply

Your email address will not be published.

Back to top button