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Explain the economic, social and political factors affecting entrepreneurial development

Explain the economic, social and political factors affecting entrepreneurial development

Answers

Lydia
Economic, Social and Political Factors Affecting Entrepreneurial Development
1. High taxation levels. For business and personal incomes
-Which in effect reduce profits earned making it un attractive to engage in business
-Taxation of raw materials and other inputs raise production costs.
2. Corruption and official harassment
-Occurs where entrepreneurs are forced to bribe officials in various government departments to allow operation or start up.
3. Unregulated competition from the outside world due.
-Liberalization which opened importation competing locally produced goods.
4. Declining personal incomes of people due to
-Over-increasing cost of living
-Arise in unemployment
5. The high cost of finance
-The cost of borrowing is high
-Business collapses because they lack ability to repay loans.
6. Lack of necessary skills and knowledge due to
-Lack of training opportunities
-High education costs
7. Poor transport and communication network
- making business difficult
- Inconveniencing consumers
- High energy costs
- Lack of entrepreneurial culture
lydiajane74 answered the question on May 8, 2018 at 01:34

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