Business Ideas In Nigeria To Consider In 2017
A skill that is of utmost importance to entrepreneurs nowadays is the ability to understand the times, to know what ideas will make profit at any point in time.
All these played no small role in creating the hardship that many Nigerians had to deal with in 2016. However, it is getting better and hopefully, 2017 will see a massive decline in all of them.
2016 was a year of relative hardship (not so relative to some people though) for a vast majority of Nigerians. The Nigerian Naira was on a free fall, oil prices did not want to feel left out so it fell too, and then there's MMM that I dont even feel like talking about.
It is everyone's hope that 2017 will be much better than 2016. While we are hoping, here are some ideas you can consider.
Before we start to consider the ideas, it will be wise for us to first consider the factors that make this ideas viable.
1. WORLD POLITICS
The political climate the world over is constantly changing and continuously evolving. No one can claim to have foreseen Britain's exit from the European union. Then there's Donald Trump who became the president elect, against all odds, of the United States of America, with the effects of that victory being felt in China and the world at large. No one can really predict ,for now, the implications of these changes to us as a people and Nigeria as a country.
2. THE RISE, FALL, RISE, FALL..... OF OIL PRICE
January 2016 was a terrible month for crude oil. The price fell to $29.01/barrel , the lowest in fourteen years. The only time it was lower was November of 1998 where it fell to $16.74/barrel. The effect of this fall was far reaching as Nigeria's economy is terribly dependent on crude oil, even the common man felt it. From all indications however, better days are ahead because the price has gradually recovered and now stands at $50/barrel with the potential to increase if OPEC implements their emergency policies.
It is everyone's hope that 2017 will be much better than 2016. While we are hoping, here are some ideas you can consider.
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| source: businessnewsdaily.com |
Before we start to consider the ideas, it will be wise for us to first consider the factors that make this ideas viable.
1. WORLD POLITICS
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| source: environmentmagazine.org |
2. THE RISE, FALL, RISE, FALL..... OF OIL PRICE
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| source: payvand.com |
January 2016 was a terrible month for crude oil. The price fell to $29.01/barrel , the lowest in fourteen years. The only time it was lower was November of 1998 where it fell to $16.74/barrel. The effect of this fall was far reaching as Nigeria's economy is terribly dependent on crude oil, even the common man felt it. From all indications however, better days are ahead because the price has gradually recovered and now stands at $50/barrel with the potential to increase if OPEC implements their emergency policies.
3. RECESSION
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| source: The Washington Standard |
There is no denying that the Nigerian economy was in a state of recession this past year. The fall in oil prices played a major role in it. Nigerians being the 'hustlers' that they are found alternative ways to make money. These ways included but were certainly not limited to sports betting and a certain scheme that rhymes with lonzi.
4. TERRORISM
2016 saw the rise of the Niger Delta Avengers, increased agitation for Biafra, the Fulani herdsmen and all their bickering and the most destructive of them all, Boko Haram. Resources that could have been channeled into the ailing Nigerian economy were used to purchase weapons for the Nigerian Army, valuable crude oil was wasted by the actions of the Niger Delta Avengers and businesses were destroyed and many displaced as a consequence of the activities of Boko Haram.
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| source: waploaded.com |
To the ideas...
Now that we have looked at the political, social and economic changes that will determine, to a large extent, how businesses will operate in 2017, let us begin to look at businesses that are likely to succeed this year.
Agriculture
This is the first and most obvious . Considering the present economic climate and the growing clamour for diversification from crude oil, agric has automatically become flavour of the month. With the continous rise in the price of dollar and the push for patronage of made in Nigeria products, looking inwards instead of importing has become inevitable. Eggs that used to be imported from South Africa will now be sourced for locally. Some of our local rice with the right type of packaging can compete and win against rice imported from Thailand, and with the influx of 'plastic rice', the faith in imported rice is gradually being lost. Products like Fish, tomato and poultry produce that used to be imported can be considered for large scale production.
Another area of agriculture that is constantly overlooked is food processing. Retail and wholesale outlets patronize local manufacturers but seldom display their goods. Why? Packaging!. Entrepreneurs can grab this opportunity and begin the packaging of local products in a manner that even foreign supermarket chains will be interested.
Finally, there is exportation. We all know how expensive dollar has become, Farmers have been exporting on a relatively small scale for a while now. In 2017, if the dollar remains as it is, Export based businesses will have the time of their lives.
Clothes, Shoes, Fashion
Irrespective of how hard the times are, Nigerians love fashion. They love to look good. Unfortunately, many of what we wear is imported and with the dollar being what it is, it has become increasingly hard for good quality clothes and shoes to be bought without putting a hole in our pockets. Keeping this in mind, fashion entrepreneurs in Nigeria will find that 2017 will be one of their best years if they can produce designs of high quality.
Small Scale Manufacturing
Large scale manufacturers took quite a hit in 2017. This was evident in the increase in price, reduction in quality and/or quantity. The prices of raw materials that they needed sky rocketed either because of the dollar issues or overall inflation in Nigeria. 2017 will be quite a year for small scale manufacturers as they do not require importation of raw materials that have been made expensive due to the scarcity of the dollar. There are so many small things that can be made with the materials available to us, It is just a matter of thinking, think...........i said think...NOW!!!!
Furniture
As has been the problem with many made in Nigeria goods, there is always a dearth in quality. We love quality as a people, as far as furniture is concerned, we want the absolute best. That is why we have have resorted to importing Chairs, side tables, chandeliers, etcetera. If all these were to be made in Nigeria, there is a growing market that is slowly but surely becoming receptive to made in Nigeria goods. Make them with high quality materials, have creative designs and watch your products fly.
These are just a couple of ideas for you to think about. We have the power to move ourselves if we just try. TRY!
Another area of agriculture that is constantly overlooked is food processing. Retail and wholesale outlets patronize local manufacturers but seldom display their goods. Why? Packaging!. Entrepreneurs can grab this opportunity and begin the packaging of local products in a manner that even foreign supermarket chains will be interested.
Finally, there is exportation. We all know how expensive dollar has become, Farmers have been exporting on a relatively small scale for a while now. In 2017, if the dollar remains as it is, Export based businesses will have the time of their lives.
Clothes, Shoes, Fashion
Irrespective of how hard the times are, Nigerians love fashion. They love to look good. Unfortunately, many of what we wear is imported and with the dollar being what it is, it has become increasingly hard for good quality clothes and shoes to be bought without putting a hole in our pockets. Keeping this in mind, fashion entrepreneurs in Nigeria will find that 2017 will be one of their best years if they can produce designs of high quality.
Small Scale Manufacturing
Large scale manufacturers took quite a hit in 2017. This was evident in the increase in price, reduction in quality and/or quantity. The prices of raw materials that they needed sky rocketed either because of the dollar issues or overall inflation in Nigeria. 2017 will be quite a year for small scale manufacturers as they do not require importation of raw materials that have been made expensive due to the scarcity of the dollar. There are so many small things that can be made with the materials available to us, It is just a matter of thinking, think...........i said think...NOW!!!!
Furniture
As has been the problem with many made in Nigeria goods, there is always a dearth in quality. We love quality as a people, as far as furniture is concerned, we want the absolute best. That is why we have have resorted to importing Chairs, side tables, chandeliers, etcetera. If all these were to be made in Nigeria, there is a growing market that is slowly but surely becoming receptive to made in Nigeria goods. Make them with high quality materials, have creative designs and watch your products fly.
These are just a couple of ideas for you to think about. We have the power to move ourselves if we just try. TRY!
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