FINANCIAL STRATEGIES FOR A GLOBALIZED FIRM

By

ODIMMGBE CHIJIOKE

Presented To

Department of Accountancy

ABSTRACT

In this study, my main objective is to find out the strategies by which globalised firms finance other institutions or of what need or importance is a globalised firm to an economy.

For easy understanding of this project work, the globalised firm was termed to be Afri Bank (Nig.) Plc. Which is a Nigeria based firm which has met all the requiremtn of a globalised firm.

I was able in chapter one of this project work to discover the problems militating against this globalised from Afribank (Nig) Plc. To be:

1. Market forces and competitive pressure

2. Fast changing and technology advancement

multinational/trans-national trade which cost a lot of monies to run

3. Economic alliances

4. Quantum leaps in information and communication technology.

In chapter two I explained all the review of literature used.

Then, finally chapter three gave the summary, findings,

recommendations and finally the references fo textbooks used in the course of this project work.

TABLE OF CONTENTS

Title page

Approval page

Dedication

Acknowledgement

Abstract

Table of content

CHAPTER ONE

1.0 Introduction

1.1 Background of the study

1.2 Statement of problem

1.3 Scope of the study

1.4 Objective of study

1.5 Limitation of study

1.6 Definition of terms

CHAPTER TWO

2.0 Review of related literature

2.1 Financial management and its overview

2.2 The task of financial management

2.3 Finance management funciton

2.4 Finance management and the global organisation

CHAPTER THREE

3.1 Summary

3.2 Findings

3.3 Recommendation

Reference

CHAPTER ONE

1.0 INTRODUCTION

This paper examines the movements trends of globalization,

with particular emphasis on the challenges it creation to financial management and how to cope with these challenges.

It also defined the except of globalization, gives an overview of the task of financial management in a global organization. This paper also appreciates the strategies of a global organization.

This papers also gave discussing on how the finance manager should handle these challenges facing its organization, and this managerial function to the organization.

1.1 THE BACKGROUND OF STUDY

For easy understanding of this project topic, "Financial Strategies for a Globalised Firm". Let the globalised firm be "Central Bank".

Like the case in many countries, commercial banking started in Nigeria long before the central banks was established. Whereas far back as 1892, it was only in 1958 (66years later) that the central bank of Nigeria was established by the central bank of Nigeria Act of 1958, it started full, operation on 1^st July, 1959.

Prior to the establishment of the central bank was partially performed by the West African currency Boards, which was established by the British Government in 1912. This body was established to perform the primary role of issuing in West African Currency in all the five countries that were British Countries.

Nigeria was one of the British colonies. Before the colonization of Nigeria, several currencies were circulating in Nigeria.

Merchants who came into Nigeria for trade came with their own currencies. The Arabians, Portuguese and British traders who came to trade in the West African Coast each introduced their own countries' currencies in West African. The result was that several currencies were circulating side by side.

When British gained a higher control of Nigerian and some other west African countries, the need for monetary control arose. In 1912 the colonial government set up a committee, headed by Lord Emolt from England, to study ways and means of dealing with two basic necessitation. One was financing the needs of the export trade of the expatriate firm in West African and the other was the eradication of the confused, in convenient and in British West Africa (Nwankwo 1980:1).

These were the recommendations of Lord Emott committee, the West African currency Board (W.A.C.B) was established in November 1912.

It was charged with the following three objectives:

1. To issue a West African currency

2. To ensure a speedily convertibility of this currency with the old silver currency before it and

3. To provide a means whereby the colonial governments might share in the profit of the currency issue.

1.2 STATEMENT OF PROBLEMS

The problems mediating this firms are as follows:

1. Fast changing technology advancement

2. Multination/trans-national trade which cost a lot of money to run

3. Capital market integration and internationalization of finance capital

4. Market forces and competitive pressure

5. Quantum leaps in information and communications technology

6. Economic alliances.

1.3 SCOPE OF STUDY

Due to the time limit or factor required in this project work.

I will like to restrict my scope in Enugu metropolis that is the Enugu branch of this globalsed bank.

1.4 OBJECTIVES OF STUDY

The objectives that made me to go into research on this

project topic includes:

1. To determine the strategies in which globalised from finances other institutions.

2. to determine the relationship between the bankers and its customers

3. To determine the challenges facing this globalised bank.

4. To determine the financial management of this globalised form

5. To determine the remittance strategies of this bank.

1.5 LIMITATION OF STUDY

Besides the time factor attached to this project work, there

are many factors that stammed up during the development of this project topic, which includes:

1. FINANCIAL CONSRAINT:

also, as a student, the financial empowerment (money) was the key factor, the money spend on transportation and in fact finding also, in borrowing of necessary literature that will help in the writing of this research work.

2. MANAGEMENT CONTRAINT

The respondents, especially the branch manager of the bank did not corporate as was expected. Also, the workers in the different department that I visited were reluctant in answering some of the questions I asked them.

But all this problems did not withstand the centunity of this research work.

1.6 DEFINITION OF TERMS

1. GLOBALIZATION: This is a multidimensional concept with political, socio-economic transitional and business undertones. It is simply the integration of national economic leading to near free movement of goods services capital and skill among companies.

2. GLOBAL: A world-wide recognition and also embracing the whole of a group of known company(ies) throughout the world.

3 FINANCE : This means the volume of money held as cash and cash balance at bank, also, the possession of fund when it is needed for investment.

4. FIRM : A firm simply means an organization or group of person(s) carrying on a business either for project making or charitable organization.

5. STRATEGIES: This is the science and arts of planning, skill exhibition, and systematic management of an affairs