JEDDAH: ARAB NEWS
Published — Thursday 31 January 2013
Last update 31 January 2013 1:55 am
About 70 percent of small and medium enterprises in Makkah failed during the past three years as they were carried out without conducting proper feasibility studies, said Ehab Mushat, a member of the Makkah Chamber of Commerce and Industry’s board of directors said.
“There were many reasons for the worsening financial condition of those projects. As a result they were running in losses and had to leave the market,” Mushat said in Makkah.
He said the failed projects could have played an important role in strengthening Makkah’s economy.
“But due to lack of in-depth feasibility studies they could not continue in the market.”
Mushat said businessmen should conduct necessary studies related to market and consumer requirements before venturing into projects. “We should present products that can attract consumers,” he added.
He disclosed plans to set up an economic research center at MCCI. It would conduct a market survey to provide information required by businessmen and industrialists, Mushat said.
He said the center would contribute to encouraging new investments in economically viable projects.