Wealth Creation, Retirement and Succession Planning of Entrepreneurs in South-East, Nigeria.docVIP

Wealth Creation, Retirement and Succession Planning of Entrepreneurs in South-East, Nigeria.doc

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Wealth Creation, Retirement and Succession Planning of Entrepreneurs in South-East, Nigeria.doc

Wealth Creation, Retirement and Succession Planning of Entrepreneurs in South-East, Nigeria   [a] Ph.D, Department of Business Administration, Kogi State University, Anyigba, Nigeria.   *Corresponding author.   Received 25 June 2013; accepted 22 August 2013.   Abstract   The South-East, Nigeria has a long history of entrepreneurship in West Africa, yet there are no records of business enterprises inherited from the last three or four generations of their founders. This is a survey research and it covered five commercial cities of the region. The study revealed among others: close to 26% of entrepreneurs are above 60 years; majority don’t know when they would retire, or not even thinking of retiring and 94.2% have no succession plans. It is against this backdrop that the paper made far reaching recommendations such as: the need for entrepreneurs to incorporate and professionalize their enterprises, employ graduates and professionals, have well defined retirement program and good succession plans. All these will enhance the chances of these entrepreneurs to develop big and well managed corporations, hence making generational transitions of businesses possible.   Key words: Wealth creation; Retirement; Succession planning; Professionalizing; Generational enterprises; South-East Nigeria   INTRODUCTION   Entrepreneurs operating singly or in groups as smallto-medium scale enterprises (SMEs) dominate most economies ? developed or developing. And research has shown that 85 to 90 percent of enterprises in any economy are SMEs, and mostly family owned. Entrepreneurs are agents of economic and technological development. In other words, entrepreneurs are wealth creators.   They and their enterprises contribute significantly to their nations’ gross domestic product.   After creating wealth, most successful entrepreneurs in Nigeria have very poor attitude to retirement. A major factor responsible for this management malaise is their inability or refusal to put in pl

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