The Impact of the Global Financial Crisis on Business Development in Makurdi Metropolis, Benue State, Nigeria from 2007–2009

Abstract

The current global financial crisis has in one way or the other negatively impacted on business and economic development of many nations, both advanced and emerging countries including Nigeria. The main objective of this study is to determine the impact of the crisis under reference on business in Nigeria using Benue State as a case study from [2007][2008][2009]. The study used a simple empirical survey method or design in the main with a sample size of 100. The data collected was analysed via the use of simple statistical techniques including percentages as well as the use of ANOVA techniques. From the findings, the study revealed that the financial crisis had some effects on business development in Nigeria. However, the study concludes and recommends that government urgently intervene by the use of both fiscal and monetary policy packages in all sectors to significantly mitigate the influence of the crisis on the economy in general and business development in particular. It was also recommended that the liberalization policy should focus on stabilizing the growth of the indigenous enterprises, and to also strengthen the financial and regulatory system in Nigeria.

Conceptual overview of social entrepreneurship and its relevance to Nigeria's third sector

“…As the market for aid is vaporizing which presumably puts a cap on the amount of money social institutions can access, it means that social entrepreneurs have to creatively design solutions to tackle the challenge of funding their activities (Lasprogata & Cotton, 2003). This becomes a major problem especially when a social entrepreneur's project is not "100% profit-driven", (Foryt, 2002). This is multiplied in lowincome developing nations like Nigeria where funding is practically non-existing locally.…”

“…Gary McPherson of the Canadian Center for Social Entrepreneurship argues that "social entrepreneurship strives to combine the heart of business with the heart of the community through the creativity of the individual" (as cited in Foryt, 2002). Alvord, Brown and Letts (2004) sees social entrepreneurship as creating "innovative solutions to immediate social problems and also mobilizes the ideas, capacities, resources and social arrangements required for longterm, sustainable, social transformations" while CASE (2008) sees social entrepreneurship as "recognizing and resourcefully pursuing opportunities to create social value or crafting innovative approaches to addressing critical social needs".…”