gender differential paper IJCRB

ijcrb.webs.com
INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS
JUNE 2011
VOL 3, NO 2
4.1 Government Policies and Regulations
For every area development some basic criteria are highlighted in advance for eliminating the
obstructions creating elements will be cleared. In this regard, the Government Policies and
Regulations are not matching with the available SME sector in the province. To boost the
process of industrialization in the area, initially a specific package of incentives is granted to that
area. However, in 1986 the government decided to establish an industrial estate in Gadoon
Amazai. In this regard the government announced certain incentives for the investors. Here the
problem is narrated in two ways cycle completion. One on the part of the investors, was that they
have collected financial assistance/loans on the name of the said industrial estate in Gadoon
Amazai, but really this financial/loans facility was diverted to the established area of the country,
namely, Karachi, Faisalabad, and other developed area of the country. All this was done in the
paper records, but nothing was available on the ground. Another aspect of the problem was that
the Federal Government withdrew these incentives. These withdrawals of the financial packages,
the investors of the said area become frustrated and they started withdrawal of their investment
from the active industrial side of the Province. This has created an atmosphere of distrust among
the investors, which directly hate the SMEs sector in its development stages.
4.2 Political instability/day night change of Government
The political instability and constant changing in policies is another problem faced by the
investor of this province. Different ruling parties have different policies towards industries and
there is no consistency and continuity in the policies for the growth and development of SMEs,
such problems seriously damage the industrial activities in the Province. For SMEs development
constant policies measures are needed, which are disturbed by the day-night change of the
government. First, the province is backward due to number of issues which is not feasible at this
stage to discuss but on the other hand, the government bias positions can double the problems,
which directly hampered the growth of SMEs in the area.
4.3 Location Disadvantage
Unfortunately, the Province of Khyber Pakhtunkhwa is in disadvantageous position due to its
geographical location. It is 1700 km away from the sea port, which makes the logistics problem,
that double the cost of production. Due to this for flange area position, the products of the
Province industrial estate may not be able to export to the country main markets like Karachi and
Lahore.
4.4 Competitive Problems
The manufacturers of Khyber Pakhtunkhwa cannot compete with the manufacturers of the other
provinces of the country due to certain local disadvantages and other factors. First, it is
highlighted, that the people of Khyber pakhtunkhwa are not trust worthy, this information has
paralaysed the industrial environment. Secondly, the people are not socially well behaved in
dealing with the different supplier and contractor that directly damage the flow of growth of
SMEs in the area. For all these issues, the investors are hesitating from investing in that area of
the country. Usually in Khyber Pakhtunkhwa investments are made in small units and produce
goods at a smaller scale for the local markets. Because of these factors Khyber Pakhtunkhwa
manufacturers are facing all these problems in competing with other provinces manufacturers,
which in reality slow down the industrial progress in the province.
COPY RIGHT © 2011 Institute of Interdisciplinary Business Research 272