Surviving liberalization in a sector dominated by a state monopoly: experience of Tanzanian and italian petroleum refining company (TIPER) limited

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Date
2004
Journal Title
Journal ISSN
Volume Title
Publisher
University of Dar es Salaam
Abstract
The objective of this study was to identify the critical factors for survival and success for former monopolies in a liberalized environment. The study used a qualitative approach with the Tanzanian and Italian Petroleum Refining Company (TIPER) Ltd as a case study. The study established that some of critical survival and success factors for former state -monopolies emanate from their nature. They include non-commercially .viable locations, which is disadvantageous and existence of strong entry barriers which is advantageous to the former giant monopolistic firms. Other factors result from the way the government implements the liberalization processes. These include unrecoverable debts owed by government institutions, limited access to credit having disposed off “non-core” but potential collateral assets and unsupportive government fiscal policies. Other factors are a result of the internal weaknesses emerging as a carry-over from the monopolistic set-ups like; ineffective control and monitoring systems, ineffective leadership, employees not being well prepared for liberalization, and ineffective marketing and management’ information systems. Former monopolies should take advantage of the natural advantages and try to address the disadvantages and weaknesses identified. Government should be careful to properly prepare employees and ensure outstanding public debts are settled and former monopolies are not stripped of their ability to raise working capital.
Description
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF HD9567.A4T34N2)
Keywords
Dominated, Monopoly
Citation
Nchwali, G (2004) Surviving liberalization in a sector dominated by a state monopoly: experience of Tanzanian and italian petroleum refining company (TIPER) limited, Master dissertation, University of Dar es Salaam. Dar es Salaam.