Management Journal for Advanced Research

A Study of the Factors that Affect Agribusiness Financing in Zambia (A Case Study of Smallholder Farmers in Chibombo District)

Richard Chanda — Sat, 06 Apr 2024 00:00:00 +0000

Limited access to agricultural financing is a constraint to the development of the Smallholder Farmers (SHFs) of the agriculture sector. This research aimed to address three fundamental objectives: the extent of financial inclusivity, the factors influencing access to finance, and the exploration of alternative financing models. A descriptive research design was employed which led to the adoption of a mixed-methods approach. A total of 100 out of 48,000 SHFs in Chibombo District were purposively sampled. The findings revealed that only 19% of SHFs surveyed reported having accessed credit and only 8% of rural SHFs were utilizing formal banking services. The study delved into credit access challenges, both on the demand and supply sides, results indicated that, the variables (gender, age, income) had weak statistically significant impact on the likelihood of borrowing money at the 0.05 significance level. However, it was noted that the p-values for gender and income were relatively close to the significance level indicating potential impact. In response to these challenges, the research proposed innovative financing models including mobile money lending, peer-to-peer lending, guarantee schemes, collateral substitutes and group lending. The study recommended that the Government and other stakeholders should strengthen technological infrastructure, develop and implement tailored financial education programs and encourage diversification of agriculture activities, and develop regulatory framework for mobile money lending to ensure consumer protection and fair competition.

An Investigation into the Effectiveness of Customs Strategies in Mitigating Smuggling of Goods in Zambia

Chipo Hamachila, Dr. Chaste Nsama — Sat, 06 Apr 2024 00:00:00 +0000

This dissertation assesses customs strategies' effectiveness in curbing goods smuggling in Zambia. Despite efforts by the Zambia Revenue Authority (ZRA), which is a statutory body mandated to among other functions, collect revenue on behalf of the Zambian Government and tackle smuggling, the problem of smuggling remains pervasive, necessitating a comprehensive strategy review. Using a Mixed Method approach, the study combined qualitative and quantitative methods. Primary data was collected via semi-structured questionnaires, supplemented by desk research for secondary data. The study targeted individuals from the Zambia Revenue Authority (ZRA). The study aimed to conjure 100+ responses and key personnel interviews, using purposive sampling. Analysis employed a descriptive and interpretive design to identify themes, patterns, and relationships. Objectives included investigating the effectiveness of the existing customs strategies in mitigating smuggling of goods in Zambia, evaluating taxes' influence on smuggling, establishing the correlation between willingness to pay taxes and smuggling, and the effectiveness of policy, legal, and institutional frameworks against smuggling. Findings show that the existing customs strategies, while generally effective, needs enhancement. Furthermore, findings revealed a significant positive relationship between taxes and smuggling prevalence. However, the willingness to pay taxes and smuggling relationship is complex, suggesting other influencing factors. Evaluation of policy, legal, and institutional frameworks reveals challenges like corruption, resource inadequacy, and inter-agency coordination limitations, hindering effectiveness. Regarding law effectiveness in combating smuggling, perspectives vary. While some viewed the law as effective, others cited corruption, inadequate penalties, and resource constraints affecting implementation. The study recommended Continuous Monitoring and Adaptation. Given the dynamic nature of smuggling and its relationship with taxation, policymakers should continuously monitor and adapt strategies. Regular assessments of the effectiveness of customs strategies, tax policies, and awareness campaigns to encourage compliance in term of paying taxes are crucial to ensuring that interventions remain relevant and impactful in the evolving landscape of Smuggling activities. Furthermore, the study recommended implementing legal reforms that effectively target existing gaps, establish sanctions commensurate with the gravity of offences, and account for the evolving methods employed in smuggling activities.

Comparative Analysis of Investment Behaviour: Exploring Investment Patterns and Decision-Making between Generation X, Generation Y, and Generation Z

Sat, 06 Apr 2024 00:00:00 +0000

This research paper compares investment behaviours among Generations X, Y, and Z in Bengaluru, India, focusing on investment choices, amounts, and periods and utilising mixed methods. The study examines investment behaviour as a function of risk tolerance, financial literacy, investment choices, technological dependency, and retirement planning. A total of 301 participants from various backgrounds participated in the study, with data analysed using ANOVA tests and post hoc LSD tests to identify significant differences between generational cohorts. SPSS and MS Excel were employed for statistical analysis.

The findings of this study are significant, revealing that while there were no statistically important variations in financial proficiency among the generations, Generation Z displayed the highest average scores. This underscores the importance of ongoing financial education initiatives targeted at younger individuals. Additionally, Generation Z exhibited the highest risk tolerance, followed by Generation Y and Generation X, indicating a propensity for riskier investment options among younger generations. Despite rapid technological advancements, there were no notable differences in technology dependency across generations, suggesting a consistent impact of technology on investment behaviour across age groups.

Significant differences were observed in retirement investment propensity, with Generation Y showing a higher inclination towards retirement investment than Generation X. However, no notable difference was seen between Generation Z and either Generation X or Y, emphasising the importance of long-term financial planning, particularly among younger generations. Furthermore, the study highlights a correlation between financial proficiency and risk appetite, with higher literacy levels associated with increased risk-taking behaviour.

Analysis of investment preferences reveals that Generation Z prefers Mutual Funds/Equity, Generation X favours Real Estate and Fixed Deposits, and Generation Y leans toward Gold. These preferences reflect the perceived stability, inflation-hedging properties, and cultural significance of the chosen investment avenues.

Consumer Awareness and Adoption of One-Trip Travel Insurance: A Comparison among Generation X, Millennials and Generation Z

Danya K N, Crystal Anil, Satvik Sharma, Dr. Shaeril Michael Almeida — Wed, 10 Apr 2024 00:00:00 +0000

This research explores the awareness and adoption of one-trip insurance among different generational groups, namely Gen X, Gen Z, and Millennials. Utilizing a qualitative research design with purposive sampling and interview method of data collection, the study involved 24 participants, with eight individuals representing each generation. The findings of this study conclude that in-trip insurance is not a popular choice of security among most of the sample due to lack of awareness about the specific policy and insurance in general. Other barriers include cost, distrust in the system and utility of the insurance and false optimism.

The significance of the study arises from the observed lack of awareness and the presence of negligence and false optimism among individuals regarding insurance options.

An Examination of the Impediments to Profitability of Smallholder Dairy Farmers in Palabana Dairy Cooperative

Chivunda Kapende, Dr. Euston Kapotwe — Wed, 10 Apr 2024 00:00:00 +0000

Smallholder dairy farming holds critical importance in most developing economies, Zambia included, as it contributes significantly to livelihoods through food security, income, and employment opportunities. The research aimed to identify and examine the factors constraining the profitability of smallholder dairy farm operations in Palabana dairy cooperative. The study used the mixed method approach and the two-stage sampling procedure which included purposive sampling procedure and simple random sampling to collect data by utilizing closed and open-ended questionnaires from 73 smallholder dairy farmers. The data was analyzed using descriptive statistics and regression methods. The majority of the smallholder dairy farmers were males (67.1%), possessed tertiary education (79.5%) with vast dairy farming experience of 16 years and above (39.7%), and had an age distribution of 36-50 years skewed towards the middle-aged to elderly (46.6%). Slightly above half of the respondents (56.2%) practiced livestock farming only, and the majority (60.3%) boasted of having attended livestock training. The study revealed that socio-economic factors, production costs and production methods had a significant impact (p = .001) on the profitability of the dairy farming business and they explained 61.2% of the change in dairy farming profitability. Using the Likert scale measurement, the key constraints to dairy farming profitability identified under socio-economic factors (p = .023) included; not enough grazing land, lack of access to credit facilities and nonparticipation in milk price determination. The constraints under production costs (p = .000) were the high cost of feed, the cost of breeding (artificial insemination) and the cost of disease prevention and control. For the items under Production methods (p = .031), the key challenges identified with high ratings included low knowledge of best husbandry practices and poor breeding methods. Based on the findings of the study, the research strongly recommends that farmers lease nearby farmlands to deal with the shortage of grazing land, Government and financial institutions to come up with various credit packages with reduced interest rates tailored for smallholder dairy farmers, smallholder dairy farmers to form organized unions to enable them bargain for better milk prices, the cooperative to organize targeted training and capacity building programs where demonstration farms will be established to showcase the best husbandry practices and farmers to engage more in mixed farming methods which will enable them grow own fodder thus reduce feed expense.

An Analysis of Female Graduates Social Entrepreneurship in Zambia

Kayla Kalenga Yombwe, Dr. Erastus Mwanaumo — Thu, 11 Apr 2024 00:00:00 +0000

The study was undertaken among female university graduates in Zambia to analyze aspects of social entrepreneurship intention. The emergence of social entrepreneurship as a worthwhile approach for alleviating social problems and that women are more prone to social entrepreneurship, while universities offer entrepreneurship courses, motivated the study. Ajzen’s Theory of Planned Behaviour was used in the study. It assessed personal attitude, subjective norm, perceived behaviour control, prior entrepreneurship exposure and prior experience as predictors of social entrepreneurship intention among female university graduates in Zambia. Using the mixed methods design, a sample of 500 female graduate students was randomly derived and answered the Entrepreneurial Intentions Questionnaire (EIQ). Analysis by hierarchical multiple regression at 95% confidence level and p-value significant at 0.05, revealed that all the models were significant. Prediction of SEI among female Zambian university graduates was strongest when the variables of variables of PA, SN, PBC, PEE and PE were considered together. The study is consistent with Ajzen’s theory of planned behaviour. Recommendations are made to government, educational institutions to adopt strategies to inspire SE.

Impact of Poor Claim Settlement on the Demand for Insurance

Anushka Satish Rao, Anusha Susan Jacob, Devapriya T, Dr. Shaeril Michael Almeida — Tue, 16 Apr 2024 00:00:00 +0000

Insurance is a dynamic world with cut-throat competition among the insurers. Each insurer is constantly trying to get more customers to buy their products while trying to keep their costs to a minimum. However, since there is no singular factor that affects the demand for insurance in a country, a major factor that the insurers have control over is the claim settlement ratio. With better and faster claim settlement, it is assumed that customers will be more satisfied and thus more likely to buy and recommend the insurance products, thus boosting the sales of the insurers. This study aims to find the connection between these two factors to identify the relationship between them and to suggest changes that the insurers can implement to improve the demand for their product, through analysis using means such as Chi-Square and Regression.

Financing Constraints of Microenterprises (MES) in North-Eastern Nigeria: The Prospect of Islamic Microfinance

Wed, 17 Apr 2024 00:00:00 +0000

Micro Enterprises (MEs) occupy a central place in the economies of both developed and developing nations. Micro Enterprises are business with fewer than ten (10) employees. These enterprises have fundamental roles in the development of any economy. In addition, they make-up the vast majority of enterprises (between 70% and 95%) around the globe. Despite the importance and contributions of MEs to the economic growth of Nigeria, many constraints affects their development and the most formidable of these constraints is the lack of access to finance. However, the emergence of Islamic microfinance in the Nigeria is a positive innovation in the economy. Adoption of Islamic microfinance would significantly address the financing constraints faced by micro enterprises in the region. It is against this background that this study examined the financing constraints faced by micro enterprises in the north-eastern region and assess how Islamic microfinance can improve MEs access to finance. A structured questionnaire was used to collect data from microenterprises in two (2) states of the north-east region, namely, Gombe and Yobe states, respectively. Multiple sampling techniques were used to identify respondents in six (6) local government areas (3 from each state), including, Gombe, Akko, Funekaye, Potiskum, Bade and Damaturu LGAs. Out of the 440 copies of questionnaires administered, 426 were usable. The results of descriptive analysis revealed that microenterprises may eventually succeed in accessing external financing, but they might encounter difficulties in the process of obtaining these loans. The challenges MEs often face in accessing external funds include: religious prohibition, high interest rate, strict documentation requirement, high collateral, short loan duration, insufficient amount of loan, and complexity of loan application and procedure. The result also showed that Islamic Microfinance have high prospect in enhancing ME access to finance and majority of ME owners are willing to patronize the Islamic microfinance if offered.