An evaluation of business performance and technology development in the pre- and post-privatisation period of a public company in Nigeria

All over the world, enterprises and properties owned and managed by governments at little or no profit are now being turned over to private ownerships through the process of privatisation. Nigerian government is not an exception. This study was therefore designed to assess the performance and technology development of a company in the country, before and after privatisation, using questionnaire, interview schedule as well as data from secondary source. The company was very active in new product development activities and local raw material substitutions before privatisation. It also performed very well during the first five years (1989–1993) of privatisation. The returns on investment (ROI) were very high and the company was able to pay very high dividends to its shareholders. However, the business became unprofitable since 1994. The period (1989–1994) also witnessed no new product development activities, inefficient functioning of plants and machineries, poor maintenance activities due to economic recession, epileptic power supply and high cost of fuel for running generating sets. Strategies for reaping the benefits of privatisation were therefore recommended.