Effects of Interest Rates on Business Performance

4959 Words Apr 28th, 2013 20 Pages
EFFECTS OF INTEREST RATES ON BUSINESS PERFORMANCE
A CASE STUDY: MUKWANO INDUSTRIES (U) LTD

BY KATENDE EMMANUEL
REGISTRATION NO: 11/2/332/D/645

SUPERVISOR:
MR. AMPEREZA MILTON

A RESEARCH PROPOSAL SUBMITTED IN PARTIALFULFILLMENT OF THE REQUIREMENTS FOR THE AWARD OF A BACHELOR IN BANKING AND INSURANCE AT
NDEJJE UNIVERSITY KAMPALA CAMPUS

SEPTEMBER, 2012

CHAPTER ONE
1.0 Introduction
This study aims at establishing the effects of interest rates on Mukwano industries (U) ltd. This chapter presents background of the study, statement of the problem, purpose of the study, objectives of the study, research questions or hypothesis, scope of the study, significance or justifications to the study and Theoretical framework.
1.1
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1.3 Purpose of the study
The purpose of the study is to Identify and describe the effects of interest rates on business performance. 1.4 Objectives of the study
To identify the causes of increasing interest rates that affect business performance
To examine the effects of interest rates on business performance.
To identify the relationship between interest rates and business performance
1.5 Research questions
What are the causes of increasing interest rates that affect business performance?
To what extent does interest rates affects performance of a business?
What is the relationship between interest rate and business performance?

1.6 Significance of the study
This study is to contribute valuable knowledge about the interest rates and business performance. It is the study that has focused on the effects of interest rates on performance of the businesses.
The study is to influence the business organization on how to react with interest rates. In an attempt to deal with interest rates effects, the business organizations will focus on specific issues of how to control the negativity of interest rates. The use of such specific knowledge will help business organization to know how to deal with interest rates and its effects.
1.7 The scope of the study
1.7.1 Geographical scope
Due to constraints in terms of time and other resources, the study will dwell on Mukwano Industries (U) ltd located on Mukwano road in Kampala, Uganda’s capital city.
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