Receivables and Collection Management in Nigeria

Abstract

This paper presents the results of a study on credit practices in Nigeria carried out in 1998 by Ogbonna Ike and Enase Okenedo of the Lagos Business school. Twenty companies were involved in the study to determine the factors that influence credit policy, how credit policy is implemented and the role of sales, marketing and accounting in the credit function. It looked specifically at how credit policy is formulated in Nigeria using a sample of companies within various industries. In addition, it tried to determine the variables that have an impact on the effectiveness of policy as well as the extent and nature of that impact. Eight companies were multinational companies while twelve were wholly indigenous and were drawn from the following industries: Food, beverages and tobacco; Automobiles and tyres; Healthcare; Packaging; Chemicals and Paints; Petroleum Marketing and Textiles


LBS Management Review Vol.4(2) 1999: 119-133