Background
Nepal is one of developing countries. Still in rural areas people use to fulfill their needs by exchanging goods. But with rising concept of money people have established small to medium scale of businesses. But large scale of businesses is rare. Several types of problems are prevalent in doing businesses. Political instability, lack of social security and incapability of government to bring clear visions about how to reduce current unemployment problem by making people attracted towards businesses are major problems.
Types of business in Nepal
There are many types of business in Nepal and the type based on generation of income includes
• Agriculture: - Nepal is an agricultural country. More than 80% of population is dependent upon this business directly or indirectly. The agricultural business shares 38.15% of national GDP (MOAC, 2004).
• Mining business: - Large mining enterprises do not exist in Nepal. Small mining firms are established. Mining business shares only 0.5% of GDP and limestone is most important in Nepal. Cement industries are established in many parts of country. There are 256 mining business firms.
• Manufacturers business: - Nepal is independent in noodle, soap, matches and other physical goods. However no physical goods such as cars, bus, are manufactured. But nowadays motorbike, mobiles are manufactured.
• Real state: - Not many people are attracted in this business as they think it is not a viable proposition. However small numbers of people are engaged in this business and only in Katmandu.
• Retailers and distribution business: - Actual data are not found .However it has been said that 60% of businessmen do this business as it is easier to establish consumer oriented shops.
• Service business: - Nowadays trend of establishment of restaurants, consulting firms is also increasing. However these service firms are established only in town but lack in rural areas.
• Transportation business: - deliver goods and individuals from location to locations, generating a profit on the transportation costs .e.g. DHI, FedEx
• Financial business: - There are 180 types of financial institutions in Nepal and simultaneously large numbers of co-operatives are established. They generate profit through investment.
Business and people
Due to incapability of Government to provide enough job opportunities, people are attracted towards self entrepreneurship so the program of self employment brought by Maoist during their 9-months rule became famous. Small types of businesses such as production of ghee, collection of wool in Himalaya region have been regular activities of people. Similarly nowadays many people returned back from Golf countries have established poultry firms. As poultry business brings profit in shorter periods of time. Similarly pashmina of Nepal is also used to export to USA. But due to extra tax by India on way creates problem. As salary from government is not enough to feed families, people are attracted to be self entrepreneur than to be engaged in government service. Similarly many people are attracted towards improving lifestyle by keeping cattle, buffalo, goats to sell milk and meat respectively. So due to this we can say in coming future, many people will improve their lifestyle by doing such businesses.
Business & public policy advocacy
Business firms must be active participants in policy issues before government policy makers. For example in Nepal, an organization named Clean Energy Nepal is always lobbying for use of greener technology in public. Similarly it is working for the spread of knowledge about adaptation and mitigation of climate change in public level. It gives pressure to government to bring renewable energy, clean energy technique effective in public level from state in climate change. Such works make clear about energy policy and can help people to find opportunities for business. Generally business firms can be engaged in public policy advocacy as
• Forming public policy strategy.
• Working to formation of tax policy for encouraging investment of public in business.
• Giving legal support for lobbying legislation
• Appearing on various government organized forums and conferences to find whether policy is public oriented or not.
Conclusion
Nepal is not an industrialized country. So there is lack of large level of businesses however small scale of business types has been daily routine of people even in rural areas. To promote business in country, government and already established larger business firms should try to bring program like self entrepreneurship. But for that government must improve current tax system and should provide security and business firm should advocate for that.
Niraj – this is a nice essay that is well-tied to Nepal. Keep up the good work!
References
∙John C. Wu, 1997: Article name: The Mineral Industry of Nepal
∙en.wikipedia.org/wiki/Business
∙http://www.list-of-companies.org/Nepal/Business_Services/
∙MOAC, 2004: Annual Report of Ministry of Agriculture and Co-operatives, Nepal, 2004.
∙www.cen.org.np
∙http://www.nepal.com/real-estate/
∙http://siteresources.worldbank.org/NEPALEXTN/Resources/publications/415830-1174327112210/ch1.pdf
No comments:
Post a Comment