Graduate Employment Opportunities in China

Graduate Employment Opportunities in China The purpose of this paper is to the moving from education into the China employment market. The objectives to write this essay is desire know the graduate market in China accurately and try to understand the actual situation. In this paper, we shall first briefly introduction to the marketplace for graduate employment opportunities in China. What do employers look for is the essay going to describe secondly. Thirdly, a general comment on the intended career path and target position after graduation. In addition, the writer will through the conclusion to state briefly what skills are vital to cope with target position after graduation. (Done, J. Mulver, R, 2011) stated the term labour market is used to describe the interactions between employers who need workers and employers. labour market is both complex and dynamic, that there have two fundamental forces driving the labour market, which are demand and supply. So the relationship between supply and demand is critical. In the graduate labour market, the people who are seeking a job is the supply, and the employer offering the job is the demand. The supply have to make they known in the marketplace, and the demand have to let people know they have a job and they want to fill. This essay will focus in the manufacturing industry which is essential industry in China. The Marketplace For Graduate Employment Opportunities At Home Country Under the comprehensive influence of economy, politics and society, the employment of graduate is confronted with a fierce situation in China. In the meanwhile, it also presents both unprecedented opportunities and challenges for current graduate employment. In the past thirty years, Chinas economy has grown at an average of approximately 10% a year, and become the worlds second largest economy now. Chinas markets have opened to the whole world and the trade has increased remarkably. And China is the largest global producer of washing machines, cameras and computers (among hundreds of other products), its manufacturing capability is very eminence. In order to face foreign and domestic huge market, many companies are constantly expanding staff recruitment. Chinas human market network stated that the percentage of the bachelor of business administration employed in manufacturing sector was 58.8% in 2010. The business administration possess wide range of knowledge, including planning, organization, direction, control and organize the relevant business operations and behavioral decision. As a result, the ratio was higher than other major in manufacturing. In addition, (Done, J. and Mulvey, R. 2011) stated the graduates have more workforce and seem to be bring innovation and creativity to the company. This is the reason why many companies like to hire the student who just finished university. The marketplace for graduate employment opportunities in China is massive. Considering that is labor demand in Chinas manufacturing industry is large. The Ministry of Social Security and Human Resources described employment as stable and normal with a record about 6.94 million jobs created in the 2012 first half. On the other hand, The challenge for graduates is still exist. The speed of society development is slower than the speed of the increase of graduated students; as a result, some graduates cannot find positions in the job market . At the same time, expectations of college students in getting good jobs in big cities causes the drastic competition in the metropolis job markets. On the contrary, in the vast countryside and small or medium cities, there are still many vacant positions that students dont want to accept. Example like GuangZhou, it is a big city in Guangdong province in China. But the graduate employment opportunities is seldom in this city, because the manufacturin g industry is not important in GuangZhou and a large number of the graduate are looking for a job here, this is a competitive job market. But the cities beside the GuangZhou, like DongGuan, HuiZhou, three of them are Medium-sized city. There are so many employment opportunities over there. The first reason is the medium-sized city always pay attention to manufacturing industry, the secondly is most graduates dont want to accept work in the medium-sized or small city, there are still many vacant positions. A lot of the graduates tend to overestimate themselves and their expectations to the future jobs are too high. Almost all of them have a high requirement of their salaries and working conditions, they would rather stay in big cities waiting for job opportunities than go back to their hometowns and find other jobs. This is the important reason why marketplace for graduate employment opportunities in China is massive, but many of graduates cannot find suitable job in big city. In this section, combined with the date form government department, journal, and the industry news, the graduate student employment opportunity of manufacturing industry in China is very well in small or medium city. Small and medium city hope the graduates work there. There are many graduate jobs available in manufacturing industry and the labor demand in China is large. In the big city, the students can not be optimistic about employment prospects, the labour market competition is intense and almost full. Since everyones power is limited, we cannot change the social environment within a short period. However, we can adapt ourselves to this society. Above all, we should change our obsolete employment concepts and adjust the psychology in employment in order to set up a proper conception of job-selecting views. Try to adjust the employment exception according to own ability. Do not think too much expectation on the salary and working conditions when we seek for jobs we have never don e before. Hold a right attitude towards jobs and set job expectation at a suitable level is the key to the solution and remission of the difficulty in employment. Besides, the graduates should strengthen the sense of competition, never complain about the society. To sum up, we have to learn how to assuage and solve the employment problem by ourselves, what we should do is to take it rationally and combine our own situations with facts. What skills and competencies are graduate employers looking for? All graduates need good employability skill. When the graduate is taking job interview, the employers will pay much attention about the employability skills. So, which skill is most important in employability skills? Following that, the table shows the 24 skills which were most deemed important based on survey by employers. Where 1 is the least important and 5 is the most important. Table 1: Table showing importance (least important to most important) of graduate skills (J.M. Norusis,2004) Form this table, the most important seem to be teamwork, the following is motivation, learning attitude, independent work, communication skill, inter personal skill, flexibility etc. After that, the academic learning is the least important in 24 skills. In the labour market, a lot of competitors have the same degree as you or higher than your degree. Therefore, the graduates have good employability skill is a major key to get the job. As a student, In addition to get the graduate certificate, still have to import the employability skill. This will be measured and tested throughout the recruitment and selection process. What Do Employers Look For? In the manufacturing industry, the employers are looking for graduates who are enthusiasm, positive mental attitude, efficient, detail oriented, honesty, listening and Prioritize. Also, graduates who have good teamwork, motivation,learning attitude, independent work, communication skill, inter personal skill. The prioritize and skill of communication are most important in manufacturing industry, by reason of there are one important step in factory when it is manufacturing products. The step is assign work mission. Excellent assign work mission can help the factory improve work efficiency to make best profit. As the result, the prioritize main is good at assign work mission, and the communication skill can help others understand what you talking about and listening to your order. Nowadays, all the companies are using the computer to do the work, so, the internet technology is become more and more important. The graduates should have basic knowledge about the computer. Next, most employers also look for at least a 2:1 in a degree, international experience and foreign language skill. Chinas markets have opened to the whole world, employer intend to staff has international experience and one or two foreign language skill to help the company into foreign markets. Intended Career Path My intense interest now is international business management ,a subject that combines global issue, international trade, business management and social value. It provides me with a good opportunity to express my idea, display my management ability. And at the same time I obtain from it the pleasure of study and immense satisfaction. I hope I will become a prominent businessman in this field someday. My intended career path has three stages short, medium and long term. They are showing for less than 3 years, 4 to 7 years and over 8 years respectively. The following is my years of occupation planning: Short term, less than 3 years: A student do not has any experience about the job when the student just finished university. Therefore, the first year should be during the internship in manufacturing industry based on knowledge, learn to find and solve problems, to consolidate the management knowledge, improve the operation level. For the future work to lay a good foundation. To start the plan, I will looking for the small or medium company. The reason is first these companies scale are not big, every department is close the ranks. I can learn the knowledge and experience form different department. Secondly, I can easy to get the opportunity for advancement. In the big company, the competition is very intense, learning and advancement are difficulty. But, when I already have jobs, I have to understand salary expectations before graduation are generally lower than the real payment. I hope after two years, I can understand the manufacturing industry market, supply chain, and get much experience of management. This is the objective of short term plan. Medium term, 4 to 7 years: In the medium term plan, to find a suitable development of the company, set the mentality is my objective. In this 4 to 7 years, I have to hard work, strive for the leader s position. When you become a leader, you can use own opinion, ways to do something. And you have chance to show the brilliance. Last, you can promote your leadership, communication skill, problem solving, and teamwork. On the other hand, I have to establish a good communication with the guests for make a networking for future development. A strong networking is very helpful for my future life. The result from my Numerical Reasoning Skills Feedback Report, the score was at the 81st percentile. This means my scored better than 81 per cent of the comparison group. As the result, the report state I have high ability of basic arithmetic, quickly extracting valuable information from a lot of complicated information, and economic common sense. That is very useful to strive for the leaders position. Long term, over 8 years: Try to be the manger in big company. I am pursuing a management position with sales manager in Cheung Kong (Holdings) Limited in HongKong . The requirements for my target position are a minimum of degree in Business Administration, Sales and management experience, good understanding of PRC property market, excellent leadership and presentation skills with result-oriented approach, good command of written and spoken English, Cantonese and Mandarin. Sales management is to realize all kinds of organizational objectives, create, establish and maintain the good between target market exchange and contact and design analysis, planning, implementation and control. Through the planning, implementation and control enterprise sales activities to achieve the enterprises sales target. This job is looking for who have sales experience, problem-solving, communication skills, leadership, presentation skills and knowledge of market management. The reason to select that job because the first I want to work in big city in Asia, HongKong is one of the fastest growing economy city in Asia. The second is my knowledge of business management is suitable for this job. The other reason is I was working in Kaisa Group ( See Appendix ) before, I learn the management, marketing, and people-oriented skill in my work experience. I believe these experience is suitable for sale management. In my long term plan, after 8 years, I believe I will have much experience of sales management and market management, many skills have improved and I have degree in business administration, also I can written and spoken English, the Cantonese and Mandarin are my mother language. So, I think I could be get this job. I determined to achieve my goal. The result of the Prospects Planner What job would suit me? shows the list of matched occupations: 1. Environmental consultant (89%) 2. Equality and diversity officer (88%) 3. Investment analyst (87%) 4. Charity fundraiser (87%) 5. Management consultant (87%). Five of these occupations are different types and following my skills, motivations, desires. From this result, I think the Environmental consultant, Equality and diversity officer, Investment analyst and Management consultant are right for me according my hobby or skills. First, the environmental consultant and investment analyst,can give me much personal autonomy and high profit, but it is not following my knowledge of my degree course. After that, the equality and diversity officer, management consultant are according my degree choice.The important condition of these two occupations is problem solving. I believe I am good at these occupations cause I was study in two different countries to learned many skills. One is Singapore and the other is China. In this two different countries, I had join many school group work, and I was working in a big company about three months in China. (see Appendix 18) I have a lot of opportunity to learn how to solving problem. Also my intense interest now is business management. The result form my Abstract Reasoning Skills Feedback Report, my score was at the 65th percentile. The report is testing the ability of the new idea and problem-solving. And my point is better than 65 per cent of the comparison group. The full mark is 100 per cent of the comparison group. From this result, that can be prove my ability of the new idea and problem-solving in medium level. I should be improve my skill in future, make it in the high level. Conclusion In conclusion, the employment opportunities sound positive in China. The labour market in big city intense and almost full, but the small and medium city still many vacant positions. The graduates have to change their employment concepts. They can not tend to overestimate themselves and their expectations to the future jobs are too high. Graduates should understand their salary is not high when they just finished university to start a job. But the first or second year in your job is a good opportunity to improve the skills and get experience. As we know, the Teamwork, motivation, and learning attitude were most deemed important based on survey by employers. The graduates have to remember improve their skills everyday. Good skills is a good key to get the job in a fiercely competitive occupation labour market. About the career path, the right career choice or not, is directly related to their career success or failure. To begin choice our career, at least should consider the following points: personality and career matching, interest in the match and vocational, career matching expertise, internal and external environment and adapt to occupational. Set career goals, is the core of career planning. The cause of the success or failure of a person, to a large extent depend on the availability of appropriate target correctly. No goal, as the boat into the sea, vast surrounding, there is no direction, I do not know their own going. Goal setting, following a career in the choice of route choice career after aim in life to make choices. Next step From the result, I understand I have to improve my teamwork skill now. Before that, I like to work alone, but I know the teamwork is more important than work alone now. From the table, we know the most important is teamwork. The employer always looking for who have good teamwork skill. If I do not improve this skill, I will be lost many opportunity. To improve my teamwork skill. I should join more group activity, communicate with others and try to give more opinions to the team. On the other hand, I will continue to find the internship in my summer holiday. I have send letter to Kaisa Group Real Large Estate Company, I hope I can work in this company in summer holiday again. Because the internship is looking for student to do a sales management, that is very precious experience for me, cause that my target position is sales management.In the future, I hope I will become a prominent businessman in this field someday.

Competency Statement Essay

To maintain a commitment to professionalism by conducting myself in a professional manner at all times. Every day I get to be part of all my students and their families lives and I hope to influence them with positive attitude, great energy and provide them with knowledge that they can use as building blocks for their future education .I have an understanding of my job expectations and every day I make decisions based on knowledge about age appropriate early childhood practices. CSVI a – The reason I chose to become an early childhood professional is because I like to be part of the learning process and see how the children benefit from the program we provide. I believe that early education is very important for children and I take a great pride in the work I do every day. With my art education and ability to be very creative, I am able to use it in my classroom and create artistic wall displays, bulletin boards, interesting art projects, and colorful teaching tools for the ch ildren in our program. Every day we provide them with paint , paintbrushes ,crayons, scissors ,glues, colorful papers and many more craft supplies and they go to create their own very special piece of art. This is one of many activities in the classroom that helps them to develop variety of different skills they need for everyday life and I get to be part of it. I understand that as their teacher I am a big influence on them and every moment of the time they spend in the school and I provide them with loving and positive environment. Every day, while they are away from their families, they get to spend a day filled with learning carefully planned fun activities, and I am very happy to be a part of that. At the end of every school year I’m pleased to see all of our students to move on to the next level of their education and I’m proud that I was able to help them learn basic skills and prepare them socially and emotionally for next step in life. I am lucky I picked profession I truly love. CSVI b – The most important indicators of professionalism that I possess are the ability to continue to educate myself about the age appropriate way to teach children and be able to incorporate it to our program every day. The knowledge about child development and early childhood education keeps changing over the years and I believe all teachers have to continue to educate themselves about new ways to teach children in  our care. Over the past seven years I have been assisting a wonderful teacher who was older and had been using the early childhood education practices she has learned thirty years ago. Last year our pre-school went through big change and we started using the Creative Curriculum which was not familiar to us at all. We have been working very hard on the new of way using age-appropriate, early childhood practices. It has been great experience for me to learn the new techniques to teach children their basic skills every day, and I get very excited to come up with new and fun ways for them to learn. Every year in the summer I attend many different workshops and trainings that help my professional growth. Another important indicator of professionalism that I posses is to conduct myself in a professional manner. Every single day I arrive at work on time, with a positive attitude, smile on my face and dressed appropriately for the responsibilities I have. I have an understanding that I represent our s chool and I have to use good judgment when making decisions that affect children in our pre-schools.

Education For Woman Essay

Education is very essential for every one because it is the only education by which we can differentiate between human beings and animals. Education tells us that how can we live in a society that’s why education is important for every one, for both men and women. In past, women did not receive any education at all. They were not allowed to come out of the four walls of their houses. Domestic works were their only education. But now we are living in 21th centaury where there is no any difference between men and women. In this century women have the same respect as men have. They help each other in every sphere. So education should be given to both men and women. But instead of this there are so many people who do not want to educate their women because they think that women do not need education. They think that women are expected to take care of everyone except themselves. They have to take care of the children, stay home, clean up the house, and be the self-denying wife and mother. They think only that the life of a woman is all about getting married, having children, and being bombarded by unimportant details of domesticity. But they do not understand that the education is very important for women not only for them but for a whole family. Because women are the mothers of the future generation. If women are uneducated, the future generations will be uneducated. In day to day life, the real problems are faced first by women and then the same problems are conveyed to men for solution. If the women are educated, they can solve all the problems of their houses. It is said that when ever any men get education it is only useful for him but when ever any women get education it is useful for whole family. An educated woman gives an educated family and an educated family can makes society better. We can not imagine a god society without the education of women. If a woman will not get education how will she manage whole family? Man and woman are like the two sides of a coin. Without one, the other cannot exist. Education women can not only give an educated family but Education of women can also be helpful in eradicating many social evils such as dowry problem, unemployment problem, etc. Social peace can easily be established. A woman has to play three distinct parts in the course of her life in each of which certain duties are expected of her. The first duty of a woman is to  be a good daughter. The second is to be a good wife. And the third is to be a good mother. Education teaches a mother what she should be. It also teaches her how she would do it to be a good daughter, a good wife and a good mother. Only With the help of education women can know their rights .Woman belongs to a weaker section of the society because she suffers from many handicaps due to rigid, outdated social customs and religious practices. But an educated woman cannot be exploited easily. She is aware of her rights and will go any length to defend them. Also, one of a mother’s highest duties is the education of her children at the time when their mind is not amenable to instruction. A child’s whole future life, to a large extent, depends on the teaching it receives in early childhood and it is needless to say that this first foundation of education cannot be well laid by an ignorant mother. Thus education will enable women to make their children, husbands and parents truly happy. Consequently it is very important that women should be educated. On all these grounds female education is a vital necessity.

An Evaluation Of Funds To Businesses By Commercial Banks Finance Essay - Free Essay Example

Sample details Pages: 8 Words: 2537 Downloads: 7 Date added: 2017/06/26 Category Finance Essay Type Research paper Did you like this example? 1.0 Introduction The growth of businesses is noted to be one of the main factors behind economic development of many countries. The success of business sectors especially small and medium sized enterprises (SME) has positive impact on the economic development of most countries, more notably in the developing countries. Business sectors including SME do not only help economic growth through employment opportunities and revenue to governments in the form of taxes and but also promote poverty alleviation through their support in community projects in and around the communities in which they operate. Don’t waste time! Our writers will create an original "An Evaluation Of Funds To Businesses By Commercial Banks Finance Essay" essay for you Create order In 2005, United Nation Economic Commission of Africa annual report indicated that over 90% of businesses in many African countries are made up of SME and Informal sectors which account for 63% of low income employment and over 50% GDP. However, lack of adequate access to finance in most developing and emerging markets place huge obstacle to the survival and growth of businesses and thereby slow down economic development. Most of these businesses do not survive or are forced to cut back their operations due to lack of external finance. While big firms may be able to generate funds through stock markets and debt finance from most banks, access to funds by SME are very much limited, in many cases to owners and family members savings and small sized commercial banks. Contrary to the common perceptions, usually supported by academics and policy cycles, that many businesses especially small and medium size cannot have access to appropriate source of finance, many research works in de veloped economic countries indicate otherwise. Some of the works indicated that some financial institutions notably commercial banks have found lending to businesses including small and medium sized enterprises (SME) profitable. A recent research found that about 80% of the banks investigated were involved in most businesses including SME, with 60% of them having separate departments to deal SME (Berk et al, 2008). According to Schmuler et al, banks are changing their organizational set-up to approach and serve this segment efficiently (Schmuler et al; PricewaterhouseCoopers, 2003. De la Torre et al. (2008) also found in their work that most of the banks use different transactional technologies such as credit score and standardized risk rating tools that enhance arm-length lending to serve businesses, thus reducing their dependence on expensive methods such as relationship lending which involved gathering of soft information by the loan officer through continuous, personalized, d irect contacts with SMEs. However the transformation of banks perception towards businesses is not worldwide, as the situation in most developing such Pakistan remained much unchanged. United Nations Environment Programme Finance Initiative (UNEP FI) African Task Force (ATF) as part of its mandate to support sustainable financial practice in Africa, commissioned a research through discussions with experts and gathering of case-studies and research and reported that most banks in Africa perceived SME as risky, unprofitable and lack skills and capacity to run successful business. Entrepreneurs also perceived stake in their business as giving away to outsider and the cost of doing business with the banks as high. These factors contributed to business lending constrained in many African countries. Other empirical research carried out in on other countries also established many varying factors affecting accessibility of credit to businesses. An analysis of database of securitisatio n activities among many European banks by Altunbas et al concluded that the increased in securitisation had affected the banks ability to grant loans, though they were quick to emphasise that the recent credit crisis played part (Altunbas et al, 2009). Atanasova and Wilson, 2004) investigated the impact of monetary transmission mechanism on the availability of bank credit to SME in UK and concluded that a period of tighten monetary conditions negatively influenced the supply of bank loans to businesses and firms asset as collateral play important role in bank credits. This confirmed the work of (Kashyap et al, 1993) who suggested that tight monetary policy reduces the supply of bank credit and borrowers are forced to turn to the use of commercial paper. Collateral requirements (Berger and Udell,1990: Atanasova and Wilson,2004), borrowers relationship with the banks (Petersen and Rajan,1994:Berger and Udell ,1995) and banks size (Peek and Rosengren,1996: Bergeret el al,1998: Uc hida et al,2008) have all been found to impact on the accessibility and the cost of banks loans to businesses, especially SMEs. Evidence from Peek and Rosengren, Bergeret et al and Uchida et al suggested that large banks tend to reduce lending to smaller businesses or favour lending to larger firms because of lack of transparency of small business information. The Carter and MCnulty (2005) reported otherwise, that larger banks are making in-road in the market for SMEs loans due to increase in use of credit scoring facilities which . Eventhough the above mentioned factors have been identified to impact on supply of banks credit to businesses, macroeconomic condition of a country can be the key factor that impact on banks ability to meet the financial need of many businesses. Developed economies are known to have financial institutions that are well capitalised with better access to their supply of funds due to favourable economic conditions. Deposits and savings from individ uals and organisations are the main sources of funds to commercial banks. These individuals and organisations lodge excess of their net disposal incomes with banks with which the banks are able to carry out their services as intermediaries. These net disposable incomes are however affected by macroeconomic factors in the country. The better these factors are, the higher supply of funds to banks would be and hence high level of loanable funds. 1.1 Nature of problem to be investigated While many empirical research had been done to identify factors that influence banks credit to businesses and the banks lending behaviour, most of these works have been carried out in countries whose economy, political situations and social environment are different from those developing countries such as Pakistan. Many governments of Pakistan have undertaken different programmes in the country aimed to meeting the financial needs of business sectors. For instance, in 1988, the government of Pakistan initiated a programme called Financial Sector Adjustment programme (FINSAP). This was launched to address the deterioration in the financial sector which is had been characterised by years of mismanagement and government interference in the administration of credit, with most banks rendered technically insolvent. FINSAP, as a financial sector liberalization programme was to help restore fiscal and monetary discipline into the sector and also to remove government control and restr ictions so as to improve efficiency in the financial sector (Asamoah, 2008). The main aims of the programme were to restructure the financial industry to allow competition and improve the banks resource mobilisation that would increase credit availability in the country. Though the banking sector has since then seen some growth, yet their credits extension to businesses have not been as expected. Economic instability experience in the country is continuously blamed for this. It is for this reason that I find it necessary to research into how Pakistans macroeconomic variables affect business lending practices of commercial banks in Pakistan, with a focus on Pakistan Commercial banks. 1.2 Research Objectives This study is being carried out to identify factors that affect or influence Pakistan Commercial bank lending practices to businesses, including SME in Pakistan. The main objectives of this study are: To assess how Pakistans macroeconomic variables impact on Pakistan commercial banks lending to businesses. To ascertain other factors that banks take into account when they lend to businesses, with focus on Pakistan commercial bank. 1.3 Research Approach The approach I have adopted to this study involves collection and analysis of both primary and secondary data. I have used both quantitative and qualitative method of analysis to achieve my research objectives. Summary of Data Used: The primary data used in this study are responses to questionnaire completed by the appropriate loan Officers of Pakistan Commercial bank at different branches. The secondary data involve sample of Pakistan Commercial bank previous loans to various businesses in Pakistan together with some macroeconomic variables existed at the time of the loans. This economic variable used interest rates, inflations and exchange rates. 1.4 layout of written work This section is about a summary of the contents of this studys report. Chapter one shall focus on the overview of the research question, objectives of the report, and a design of the research work The next chapter of this study report is chapter two, LITERATURE REVIEW. This part of the report contains theoretical works covering how the above mentioned macroeconomic variables influence banks including Pakistan Commercial banks lending behaviour. The literature is extended to detail how non-economic factors such as the personal relationship between the banks staff and the owners or management of the banks business customers help in the banks lending decisions. It also laid out the impact of collateral on the loan terms. Most of the sections under this chapter also contain various empirical research findings relating to business lending by banks in many different countries. Chapter three is on METHODOLOGY. This chapter contains sections on methods of obtaining the various data used in this study, the sampling methods adopted in this study, the business models in the study and how I analysed the data obtained to arrive at my conclusion. Chapter Four is the RESULTS AND DISCUSSIONS. This part of the report contains the outcome of the regression equations estimated by the regression software and their respective interpretations. It also contains deductions made from responses to the questionnaire. Chapter Five is the CONCLUSION I drawn from the study and my recommendation for future improvement. 1.5 Literature review 1.5.1 Introduction and chapter overview The main objective of financial institutions and for that matter Pakistan Commercial Bank is to make profit and maximize the wealth of their investors and shareholders through reinvestment of the premiums, deposits or funds generated. These reinvestments take the form of tangible asset management such as land and buildings, stake in other organizations, purchase of government bonds and lending to individuals and businesses. 1.5.2 the ultimate lenders and ultimate borrowers Ultimate lenders are described as the agents whose excess of income over expenditure creates financial surplus which they are willing to lend and make returns. Ultimate borrowers are those whose excess expenditure over their income creates a financial deficit which they wish to meet by borrowing (Howell and Bain, 2000). Ultimate borrowers include individuals and businesses and governments. 1.5.2 financial institutions The financial needs of different organisations and individual vary widely. Financial institutions are the different types of firms that act as intermediaries in meeting the various financial needs of these different organisations and individuals (Miller and Vanhoose, 2001). Financial institutions are private and public organizations which act as channels between the savers and borrowers. They provide the mechanism for transferring funds from savers to borrowers. Financial institutions could be distinguished from each other in different ways. The common mode is by their products and services. The two main distinguishing are the deposit taking institutions (DTI) and non-deposit taking institutions (NDTI). NDTI are organizations such as insurance companies, pension funds Unit trusts and Investment trusts etc who create liabilities by the promises to pay funds to their savers on the occurrences of specified events. Until such specified events occur NDTI barely make payment on the supplied funds. Depository institutions (DTI) are dominants of all intermediaries. They accept deposits from ultimate lenders to provide credit to deficit units through loans and purchase of securities. Depository institutions open deposit accounts to accommodate the surplus units and repackage the funds received to borrowers in the form of loans and bonds. To compensate for the risk taken by DTIs in providing the loans, interest rates higher than the rates paid on the deposits are charged on the amount lent to the borrowers. Depository institution is made of two main categories, thrift institutions and commercial banks, which Pakistan Commercial bank, the subject of the research belongs to (Madura,2001). 1.5.3 Business lending by commercial Banks: Theoretical Framework Business lending or commercial loan as commonly known may be described as loan advanced to businesses rather than consumers by financial institutions such as commercial banks. Commercial banks in acting as intermediaries take deposits from those with excess income and lend it out to businesses to meet their financial needs. To guarantee to depositors the security of their money and any returns, banks issues their funds to borrowers in the form of loans to generate income so that they repay depositors with interest. Businesses that borrow from the banks use the loan to satisfy their varying needs and are expected to pay back the loan within the period agreed with the bank and as specified in the term and conditions of the loan. The agreed period could be short-term (up to one year), medium-term (1 year to 5 year) and long-term (over 5 years). In order for banks to attract more depositors, the banks pay interest on the deposits lodged with the banks. According to Rose (2000) , loans provide banks with largest portion their operating revenue and also constitute the highest yielding asset. This assessment was confirmed by the work of Lloyds B Thomas Jr, 1986, who put it as 70% and 67 of operating income and assets respectively, work based on 1984 data. In the past, commercial lending was solely undertaken by banks but the perceived high profitability and increased competition in the financial industry had attracted non-banks institutions into lending (Fraser et al,1995). With increased in competition in financial industry and high profit margin associated with loans, one would expect businesses to access to finance with less difficulties. This has not been the case for many businesses, mostly SMEs. Many theoretical and empirical works have suggested many varying factors that affect and influence the accessibility of banks credits by businesses. 1.5.4 Business lending and Associated Risks Any profit maximising business, such as banking involves risk. Credit risk or default risk has been identified as the main danger faced by banks in granting credit to borrowers. When extending credit to businesses, there is level of uncertain that the business might not pay back the credit taken. Credit risk is the risk that an asset or a loan may become irrecoverable in the case of outright default or delay in servicing the loan. Outright default and delays in servicing the loans reduce the present value to the asset/loan and consequently the solvency of the bank. High level of defaults by borrowers could result in liquidity problems for the banks. Customers deposit their money with the bank in the hope that they can withdraw the deposit when required (Herfferman, 2002). Failure on the part of the borrowers to pay back the loans could result in a situation where the banks will not have sufficient funds available for withdrawal when depositors need them. This could send wrong si gnal to depositors in respect to the security of their deposits and in a worse case, may result in bank run. 1.6 A Gantt chart of plan of work Appendix 1  A Gantt chart of tasks and time duration  Time duration 1 Reading and coining research ideas            2 Defining research objectives            3 Preparation of research proposal            4 Designing of research methodology and questionnaires            5 Issuing and collecting of questionnaires            6 Building up of literature review            7 preparing and Collection of secondary data.            8 summarizing of secondary data gathered            9 Analyzing primary and secondary information            10 Draft copy of research work            11 Adjusting draft copy noting valuable feedbacks from supervisor            12 Drawing up of final report            13 submission of dissertation           Â