Day: December 10, 2020

Decision making take too long Size of market may be too small Complexity of the organisation may create difficulty in management Lack of enthusiasm due to size which kills commitment- no personal contact High risks due to change in fashion, Read More …

To enable infant industries to grow without  interference from foreign industries. To avoid entry into the country of commodities which might be harmful to the moral culture and health standard of its people. To eliminate dumping of inferior or substandard Read More …

Sources of capital to small scale enterprises. Personal funds /owners capital Borrowing from friends and relatives Members contribution Loans from bank and other non bank financial institutions Going public i.e borrowing from public by use of stocks. Venture capital i.e  Read More …

Methods of controlling volume of imports Tariffs – Involves levying import duty on goods that are entering a country Quotas – Is a quantitative restriction permitting only a given number of units of a commodity to be imported during a Read More …

HIRE PURCHASE :- A  system where the buyer agrees to pay for the commodity in installment. The buyer obtains the possession of the article on the down payment (deposit) but the title of ownership remains with the seller until the Read More …

The company knows value of its shares in the market The company may sell more shares since its is known to the public. The company raises more capital by floating more shares in the stock exchange The company uses more Read More …

Losses caused by the insurers carelessness i.e not accidental Incase the insured has no insurable interest in the property Incase of accident / loss is not directly related to the risk insured Incase the insured has not paid premiums as Read More …

Benefits of privatization Kenyans enjoy improved products and services due to research carried out by privatised firms The spirit of competition enhances good management hence efficiency Consumers enjoy fair prices of products and services due  to minimal wastes if any. Read More …

Price mechanism- The interaction of demand and supply in the market .  Government policy – Through taxation subsidies and price controls   Auction – Prices suggested by prospective buyers

C.W.O –  Cash with order – The buyer  must  pay for the goods when he makes an order. C.O.D –     Cash on Delivery –  Payment is effected when goods are delivered to the buyer. F.O.B – Free on board . Read More …