Open Access Original Research Article

The Role of Microfinance Banks on Employment Generation in the Grassroots: Evidence from Karu Local Government Area of Nasarawa State, Nigeria

U. Adama Joseph, U. Duru Innocent, O. Diyoke Kenneth

Asian Journal of Economics, Business and Accounting, Page 1-9
DOI: 10.9734/AJEBA/2017/35325

This study investigated the role of Microfinance Banks on employment generation in Karu Local Government Area (L.G.A) of Nasarawa State, Nigeria. The aim is to ascertain the extent to which microfinance banks have discharged their responsibilities of transforming the rural areas and making financial services accessible to a large segment of the potentially productive Nigerian population which otherwise would have little or no access  to financial services. The study adopted a survey research design. The instrument for data collection was a structured questionnaire. One Hundred and Twenty customers of MFBs and two MFBs were randomly and purposively selected for the study. A total of 120 copies of the questionnaires were administered out of which 100 copies were properly completed and retrieved while 20 copies were not retrieved. Descriptive statistics was employed to analyze data for the study; the tools are simple percentage and frequency distribution. The study showed among others that creation of jobs was the greatest effect of financial intermediation of MFBs in the Grassroots. However, it also showed that lack of entrepreneurial skills was the major problem confronting the MFBs in the area financial intermediation for employment generation in the grassroots. The study therefore recommends among others that The Central Bank of Nigeria should evolve a credit policy that ensures that a certain percentage of the loan portfolio of the MFBs go for the transformation of the grassroots. Also, government should through the CBN, regulate, monitor the activities of MFBs, and redress the constraints affecting them in the area of financial intermediation for employment generation through favourable credit policy which can lead to entrepreneurial development in the rural areas. The CBN should ensure that loans advanced by MFBs to the grassroots are serviced at a single digit interest rate in order not to deter people with genuine business ideas.

Open Access Original Research Article

Critical Factors for Suppliers’ Assessment and Selection: Empirical Evidence from Public Institutions in a Developing Country

Johnson Nsowah, Haruna Maama, Augustine Anane

Asian Journal of Economics, Business and Accounting, Page 1-13
DOI: 10.9734/AJEBA/2017/35580

This study examined the critical factors that influence the selection and assessment of suppliers in public institutions in Ghana. The study employed both descriptive and survey research design. The study was conducted between April, 2016 and March, 2017. Public institutions in the Brong Ahafo and Ashanti regions of Ghana constituted the population of the study. The study made use of purposive sampling technique to select 100 public institutions. Self-administered questionnaire was used to collect data from the respondents. Descriptive statistical analysis method was used to analyze the quantitative data. The analyses was done in percentages and mean and presented in relevant tables. The study found that the traditional suppliers’ performance measurement approach, based on lowest cost was widely used to assess the performance of suppliers in public institutions in Ghana. Additionally, majority of the institutions applied categorical system and analytical hierarchical process of performance assessment alongside the cost based system. With regards to the specific criteria applied to assess the performance of suppliers, it was revealed that the quality or technical capabilities (e.g. durability, reliability, fitness for purpose and less variance of the products) of the suppliers was a major factor considered. Apart from quality criteria, cost criteria (price level, price stability and discounts and terms of payments offered by the suppliers) and delivery ability of the suppliers were also used to assess the performance of suppliers. It is recommended that the management of the institutions should employ modern performance management tools such as IBS’s Emptoris, Ariba, Ecnet, and super decision or mathematical software such as Microsoft Excel, Oracle, SAP, Maple to enable effective assessment of suppliers’ performance.  

Open Access Original Research Article

The Relationship between Customer Satisfaction and Corporate Reputation and Credibility

Anthony Tik-tsuen Wong, Libby Chien Lu Lin Hsiang, Canon Tong

Asian Journal of Economics, Business and Accounting, Page 1-12
DOI: 10.9734/AJEBA/2017/35538

Service industries, such as banking and finance retailing, are different in many ways to industries that deal with a tangible product. Therefore, service-marketing gurus emphasize process, people, and physical elements to enable service providers to market themselves effectively. There are controversial about the associations between customer satisfaction and corporate reputation and corporate credibility, this study therefore examined the influence of customer satisfaction on the credibility and reputation of the Farmers' Association credit departments (FACDs) in Taiwan. The Farmers' Association (FA) in Taiwan is a multi-purpose organisation that provides a vast number of services to rural communities in Taiwan. As FACDs are credit departments of an association, influenced by the government yet operating as private organisations, their function and services are rather intricate and ambiguous. The aim of this study was to determine the positive effect of customer satisfaction to corporate credibility and reputation of FACDs in Taiwan. Total 334 fully completed questionnaires were received from participants. The outcome of data analysis showed that the two hypotheses are supported that customer satisfaction has positive effect both on corporate reputation and credibility.

Open Access Original Research Article

Accounting Ethics and Audit Quality in Nigeria

Amos O. Arowoshegbe, Emmanuel Uniamikogbo, Gina Atu

Asian Journal of Economics, Business and Accounting, Page 1-15
DOI: 10.9734/AJEBA/2017/34826

The study examined the effects of accounting ethics on audit quality in Nigeria. Although no method yet has been found to guarantee the optimum quality level for the financial information users, and implicitly the quality of audit services, efforts concerning this aspect has been intensified lately. A number of elements that influence quality in audit profession have been identified by many authors as Integrity, Objectivity, Professional Competence and Due Care, Confidentiality, and Professional Behaviour. Auditors, as professionals, are expected to behave in accordance with the professional codes of ethics, and to maintain standards of moral behaviour that are expected of a professional person for a quality audit report to be achieved. To restore public confidence in the profession, auditors in conducting their tasks should be able to produce an audit with higher quality. For this purpose, auditors need to be brave whistleblowers so that the resulting audit would be to the favour of the stakeholders. The paper examined the manner in which ethical principles impact on the quality of audit report issued by professional auditors. Findings from the various literature reviewed showed the existence of positive and significant relationship between Accounting Ethics and Audit quality. The study concludes that Accounting Ethics play an important role in improving auditor’s proficiency thus; there is the need for Accounting Regulatory Bodies and other stakeholders to make concerted efforts in ensuring that accounting ethics are standardized and strictly enforced. This paper therefore recommends that ethics in accounting should be made effective as a major course in Nigerian Universities, so as to enlighten and educate students on how to and how not to behave as accountants. In the same vein, the paper suggests increased ethics education at both pre-qualifying and post-qualifying levels of the accounting profession to stop unholy practices among accountants.

Open Access Review Article

The Prospects of Agriculture in Nigeria: How Our Fathers Lost Their Way - A Review

Abiwon Babatunde Oluwaseyi

Asian Journal of Economics, Business and Accounting, Page 1-30
DOI: 10.9734/AJEBA/2017/35973

The Nigerian agricultural sector was a resilient sustainer of the economy and the Nigerian people in terms of food supply, employment and national income generation. This was possible as a result of focused regional based policy and commodity comparative and absolute advantage. However, the sector has struggled to perform the above stated functions since the 1980s due to policy neglect, economic distraction and economic indiscretion of successive Nigerian government. The exploration of crude oil in commercial quantity and the “oil boom” experienced in Nigeria in the 1970s heralded an era of decay and decline in agricultural output and the overall contribution of the sector to the economy changing Nigeria’s perception of the place and role of agriculture in national development considerably over time. The policies, strategies and schemes used to address issues relating to the contribution of agriculture to the country’s development also changed with this perception making different dynamic strategies spelt out in policy programs overlap and difficult to separate into appropriate time phases. In this review, an attempt is made to awaken the consciousness of the average Nigerian to some areas of negligence, economic indiscretion and policy inadequacy on the part of successive administrations in Nigeria since political independence from which the current precarious condition of the Nigerian agricultural sector may have resulted. A number of recommendations on possible ways to salvage the situation in the sector have been highlighted.