Our Archives

Call 09159097300, or 09067754232 for any enquiries.

Project Topic:

IMPACT OF MACROECONOMICS VARIABLES ON FIRMS’ PERFORMANCE IN NIGERIA

Project Information:

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 59 ::   Attributes: Secondary data, Data Analysis, Abstract ::   8,354 people found this useful

Project Body:

CHAPTER ONE

INTRODUCTION

1.1. Background of the study

Every company operates within the internal and external environments of business.  The internal environments are within a firm such that the prevailing factors are most times very subject to the control of the managers.  The external environment has to do with the larger business environments in which a firm operates; and the factors therein are not subject to the control of the managers.  The factors in the external environment not subject to the control of a manager generally can be regarded as macro economic factors or variables.

 The corporate managers cannot control the macro economic variables but the government can control them through several policies.  Thus, like all experts, the government in order to do a good job of managing the economy, will have to study, analyze and understand the major variables that affect or determine the current behavior of the macro-economy.  Examples of the macro-economic variables that affect the economy and firms majorly include exchange rate, foreign direct investment, inflation rate, interest rate, money supply, etc.  The management of these variables is usually done through fiscal and monetary policy by the government and her agencies e.g. the Central Bank.

 Another macroeconomic variable that may impact on firms’ performance is exchange rate.  Firms’ financials are presented in terms of the home currency.  Exchange rate increases or decreases the value in home currency of revenues and cost incurred in foreign currency.  According to Lars (2003), exchange rate increases or decreases earnings in home currency share of total costs.  In other words, exchange rate increases or decreases earnings in home currency before interest costs.  Against this backdrop, the study examines the impact of macroeconomic variables on corporate performance in Nigeria.

 

1.2. STATEMENT OF RESEARCH PROBLEM

Researches on the relationship between macro economic variables and firm’s performance have been on going in advanced countries of the world with little or no research in developing countries of the world such as Nigeria.  It is this existing gap that informed the rationale behind this study.  In the light of the above, the following research questions are raised:

What is the effect of inflation rate on corporate performance in Nigeria?

What is the relationship between exchange rate and corporate performance in Nigeria?

How does interest rate affect corporate performance in Nigeria?

Is there a relationship between money supply and the performance of corporate organizations in Nigeria?

 

1.3. OBJECTIVES OF THE STUDY

The general objective of the study is to evaluate the impact of macro economic variables on corporate performance in Nigeria.  However, the specific objectives are stated as follows:

To ascertain the effect of inflation rate on corporate performance in Nigeria.

To find out if there is a significant relationship between exchange rate and corporate performance.

To determine how interest rate affect corporate performance in Nigeria.

To examine the relationship between money supply and the performance of corporate organizations in Nigeria.

 

1.4. RESEARCH HYPOTHESES

In order to validate the relationship between macro economic variables and corporate performance in this study, the following alternative hypotheses are specified:

H0:     Exchange rate does not influence corporate performance.

H0:     there is no relationship between inflation rate and corporate performance.

H0:     Foreign direct investment does not influence corporate performance in Nigeria.

H0: There is no relationship between money supply and the performance of corporate organizations in Nigeria.

 H0: Interest rate does not affect corporate performance in Nigeria.

1.5 SCOPE OF THE STUDY

 This study examines the effects of macro -economic variables on corporate performance in Nigeria.  The time period the study covers is 2002 to 2011.  In other words, the study is a time series one.  The sample size is sixteen quoted firms which are listed on the floor of the Nigerian Stock Exchange.

 

1.6. SIGNIFICANCE OF THE STUDY

This study is expected to be relevant to a number of persons and institutions in Nigeria.  First, the Federal Government of Nigeria will find the outcome of this study useful in terms of making decisions relating to the macro economic environment; in other words, it will help the government to regulate the interest rate, inflation rate, exchange rate and others with a view to achieving macro economic stability so as to assist the companies operating in Nigeria.  The Central Bank of Nigeria definitely will find the study very much useful in terms of devising good monetary policy so as to enhance company’s performance and foreign investors into the Nigeria economy.

 Similarly, future researchers will find the study useful in terms of reference materials on a similar subject matter as this.

 

1.7. Scope of the study

This study is centered on the impact of macroeconomic variables on firms performance or profitability in Nigeria

 

1.8.  LIMITATIONS OF THE STUDY

The limitations of this study include data constraint, inadequate research materials extensively dealing on the subject matter in Nigeria.  The sample size also limits the study due to time factor and its practicality.  Similarly, there is also the problem of generalizing the outcome of the study to other non-manufacturing firms in Nigeria in terms of how macro economic variables may have affected their performance.


Get The Complete Project »

Project Department:

MORE ECONOMICS FREE UNDERGRADUATE PROJECT TOPICS AND RESEARCH MATERIALS

Instantly Share this Project On Social Media:

CLOSELY RELATED ECONOMICS FREE UNDERGRADUATE PROJECT TOPICS AND RESEARCH MATERIALS

IMPACT OF GOVERNMENT EXPENDITURE ON ECONOMIC GROWTH IN NIGERIA CHAPTER ONE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Secondary data, Data Analysis,Abstract  ::   11972 engagements

CHAPTER ONE INTRODUCTION 1.1. Background of the study Government Expenditure no doubt is an important instrument for a government to control the economy of a nation. Economists have been well aware...Continue reading »

IMPLICATION OF TREASURY SINGLE ACCOUNT ON BANKING SECTOR OF NIGERIA AND THE ECONOMY AS A WHOLE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 76 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   14116 engagements

CHAPTER ONE INTRODUCTION 1.1 BACKGROUND TO THE STUDY Treasury Single Account is a public accounting system under which all government revenue, receipts and income and collected into one single acco...Continue reading »

TAXATION AS A TOOL FOR ECONOMIC DEVELOPMENT OF NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   14406 engagements

CHAPTER ONE INTRODUCTION 1.1 BACKGROUND OF THE STUDY Nigeria as a nation has the vision of becoming one among the world’s 20 largest economies in the year 2020; this obviously is the brain beh...Continue reading »

THE IMPACT OF COMPANY INCOME TAX REVENUE ON THE DEVELOPING ECONOMIES: THE NIGERIA EXPERIENCE

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 67 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   5877 engagements

The article on this topic (impact of company income tax revenue on the developing economies) is an extract from literature review of the project material. The complete project work would be made avail...Continue reading »

THE IMPACT OF TAX ON GOVERNMENT CAPITAL EXPENDITURE AND ECONOMIC GROWTH IN NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 65 ::   Attributes: Secondary data, Data Analysis,Abstract  ::   12187 engagements

The article on this topic (impact of tax on government capital expenditure and economic growth in Nigeria) is an extract from literature review of the project material. The complete project work would...Continue reading »

THE IMPACT OF BANK RECAPITALIZATION ON THE ECONOMY OF NIGERIA

 Format: MS WORD ::   Chapters: 1-5 ::   Pages: 71 ::   Attributes: Questionnaire, Data Analysis,Abstract  ::   5005 engagements

ABSTRACT The resultant impact of financial liberalization opened up the Nigerian economy to global financial markets, which has generated increasing apprehension in the economy and has exposed the fra...Continue reading »

What are you looking for today?

TESTIMONIALS:

  • 1. Jayone from FPA said " I had a wonderful experience using UniProjectMaterials,though they did not deliver the material on time, but the content had good quality. I recommend UniProjectMaterials for any project research work.".
    Rating: Very Good
  • 2. Mugisha R from B.U, UGANDA said "Wow, this is great, your materials has helped me alot. Many blessings. I will inform my friends. Thanks. ".
    Rating: Very Good
  • 3. Nwachukwu Ruth Chinyerr from Michael okpara university of Agriculture,umudike said "I really appreciate this. Materials like this are good guides to writing a researchable project.".
    Rating: Good
  • 4. Ibrahim Salama from Kaduna said "Thanks You So Much Sir We Appreciate ".
    Rating: Excellent
  • 5. Ibrahim Salama from Kaduna said "Thanks You So Much Sir We Appreciate ".
    Rating: Excellent
  • 6. Mohammed A.B from Veterinary Laboratory, Zanzibar ,Tanzania said "You are doing good job to assists in research. God bless you.".
    Rating: Very Good

Paper Information

Format:MS word
Chapter:1-5
Pages:59
Attribute:Secondary data, Data Analysis, Abstract
Price:₦3,000
Get The Complete Project »

Best Selling Projects

Our Archives