WHY THE POOR WILL REMAIN POOR

Seminar Recap On The TREASURED ENTREPRENEURS ASSOCIATION Hall Of Wealth General Active Group Page Held On Monday 15th Of April 2019

👉🏼Theme:

❤ Why the poor will remain poor???

💚 The way out of poverty in Nigeria:-Entrepreneurship

🎤 Speaker/Facilitator/Discussant

🗣Mr Ibrahim Tijanni

What is poverty?

1. the state of being extremely poor.
2. the state of being inferior in quality or insufficient in amount
   Poverty is about not having enough money to meet basic needs including food, clothing and shelter. However, poverty is more, much more than just not having enough money.
   The World Bank Organization describes poverty in this way:
   ****“Poverty is hunger. Poverty is lack of shelter. Poverty is being sick and not being able to see a doctor. Poverty is not having access to school and not knowing how to read. Poverty is not having a job, is fear for the future, living one day at a time.
   Poverty has many faces, changing from place to place and across time, and has been described in many ways. Most often, poverty is a situation people want to escape. So poverty is a call to action — for the poor and the wealthy alike — a call to change the world so that many more may have enough to eat, adequate shelter, access to education and health, protection from violence, and a voice in what happens in their communities.”
   ****Several types of poverty may be distinguished depending on such factors as time or duration (long- or short-term or cyclical) and distribution (widespread, concentrated, individual).
   Cyclical Poverty
   Cyclical poverty refers to poverty that may be widespread throughout a population, but the occurrence itself is of limited duration. In nonindustrial societies (present and past), this sort of inability to provide for one’s basic needs rests mainly upon temporary food shortages caused by natural phenomena or poor agricultural planning. Prices would rise because of scarcities of food, which brought widespread, albeit temporary, misery.
   Collective Poverty
   In contrast to cyclical poverty, which is temporary, widespread or “ collective” poverty involves a relatively permanent insufficiency of means to secure basic needs—a condition that may be so general as to describe the average level of life in a society or that may be concentrated in relatively large groups in an otherwise prosperous society. Both generalized and concentrated collective poverty may be transmitted from generation to generation, parents passing their poverty on to their children.

*Poverty or this case of lack is not limited to the level of individuals but also reaches the national level. It is caused by a variety of factors which include but are not limited to: Poor saving culture, poor knowledge of investment strategies, unemployment, corruption, violence, laziness, underutilization of resources, inequality, absence of economy diversification, education system.

1. Poor saving culture: Many Nigerians lack the discipline to put aside a percentage of their income as savings, spend less than they earn. Instead they prefer to spend as soon as they get paid, some even owe debts beyond their expected income.
   The urge to ‘keep up with the Joneses’ makes them indulge in compulsive buying of expensive items so as to impress their peers.
2. Poor Knowledge of investment strategies: A way to keep above the poverty line is investment. However, most people are unaware of legal and profitable investment options; as such they experience great loss, are duped or purchase liabilities in place of assets.
3. Unemployment :Not being engaged at a paying job, or an under paying job which does not cover even half of basic needs, less talk about luxuries or emergencies such as sudden ill health drains and leaves one in a ln almost perpetual state of poverty.
4. Corruption: This is evident in the diversion of resources allocated for beneficial projects into private pockets. The continuous tasks of the people to the government is not poured back to the society, but to select individual(s) private purses.
   As a result, salaries are either not completely paid or not paid at all; amenities that should have aided economic growth and development are not provided. The rich end up getting richer and the poor get poorer.
5. Violence: Riots, States of emergencies, Wars, Embargoes etc these destroy lives and properties, bring all of one’s efforts to naught, limit the flow of trade and consequently low finance in the society.
6. Laziness: Many Nigerians are unwilling to put in the effort required for successful business. They prefer being spoon fed or do things only when it is convenient. This laziness also prevents them from going in search of jobs, or proper utilization and conversion of brain power to financial resources.
7. Underutilization of resources: Resources can be classified into human and natural resources, Nigeria possesses both in abundance. However, not maximizing these resources limits the wealth reach of the nation. Agricultural specialists may be found working in a bank, a case of placing square pegs in round holes.
8. Inequality: This menace segregates the populace into sections either by race or colour or maybe even gender. Those who happen to fall on the wrong side of the coin find difficulty in making ends meet as they would get sidelined.
9. Absence of economy diversification: Economic diversification involves utilizing and maximizing resources in the various sectors of the economy. Nigeria’s overdependence on the oil sector, has resulted in diminishing returns of that sector and neglect of other sectors. As such, Nigeria is at a stand still until it revives the dying ,neglected sectors.
10. Education system: The education system in Nigeria is one in which students are taught majorly theories, and knowledge forcefully shoved down the throats. Grades are awarded on the basis of how much the student is able to cram or replicate the lecturer’s words and actions and no room given to exercise new routes and other creative channels.
    This leads to a regurgitation of previous experiments and failures. If students, who are regarded as the leaders of tomorrow, are not encouraged to tow the line of wealth creation but are constrained to ‘ la cram, la pour’ that is, cramming and writing what is crammed, Nigeria will continue to teeter on the poverty line.
11. Lack of Access to Education: Education is a tunnel that opens doors of opportunities, and makes one eligible to apply for a number of well paying jobs as well as get a license to indulge in certain businesses. However, due to a lack of access to education, these doors of opportunities to step up the ladder of financial freedom is closed.
12. Mental Illness: A person who is healthy with functioning thinking faculties is the person who can reason ways to escape poverty. Due to a lack of proper psychiatric care, many have become loony and mad, making reasoning and wealth creation impossible.
13. Over Population: The population of the country outweighs its available resources and with the constant and rapid climb in numbers as shown by population censuses, comes increase in difficulty to cater for everybody.
14. Sicknesses: When a person or a nation is plagued by sicknesses or epidemics, the primary focus would be to purchase drugs and medical attention. Sicknesses, hunger, and its attendants limits the mind’s concentration and weakens the body.
15. Political instability: Political instability in the country keeps the nation in a persistent state change. The economic policies of one government is hardly put in place before it is overthrown by another. A democratic government leaves ample room for growth unlike a military government which is stricter and chortles ideas.
    *What are the Ways to Eradicate Poverty in Nigeria?
    It is very important we deal with poverty to reduce vices like armed robbery, drug abuse and prostitution. Individuals can eradicate poverty in Nigeria by getting education and learning a trade or vocation.
    A little more explanation of how you can achieve this feat will do. Here are the ways of eradreating roverty in Nigeria.
16. Getting Education
    I wish to state that having access to education is a way of escaping poverty.
    How is this possible? When you are educated you get particular skills and potential power for earning money. But if you specialize in a particular field, it will increase your ability to earn money.
    Education also influences how you think and behave. It enables you to:
    get a skill with which you can serve people
    serve a purpose by solving problems in a particular line of work
    serve more people so that you will earn more money
    improve your ability by experience at work
    develop your skill and get extra qualification to advance your career
    plan your life, have a vision, pursue and achieve it.
    plan your family and have the number of children you can train
    get a good job to improve your standard of living
    From these points you can see how education potentially wipes out poverty.
    Next, we will discuss how learning a trade makes it possible for you to eradicate poverty as well.
17. Learning a Trade
    If you learn a trade and develop expertise, it can help you earn a good living. You can learn various skills from knowledgeable people which will position you to beat poverty.
    For example, you may be uneducated but you can learn to work as a motor mechanic, bricklayer, web designer, graphic designer, furniture making, laying tiles, and roofing a house and electrical repairs.
    All these vocations are always in hot demand, so you can never be hungry if you get the necessary training or apprenticeship.
    ****The World Poverty Clock shows Nigeria has overtaken India as the country with the most extreme poor people in the world. India has a population seven times larger than Nigeria’s. The struggle to lift more citizens out of extreme poverty is an indictment on successive Nigerian governments which have mismanaged the country’s vast oil riches through incompetence and corruption.
    The 86.9 million Nigerians now living in extreme poverty represents nearly 50% of its estimated 180 million population. As Nigeria faces a major population boom — it will become the world’s third largest country by 2050
    *** why the poor will remain poor
18. SPENDING TIME WITH THE WRONG PEOPLE
19. PLAYING THE RELIGION GAME: Money and power obviously does not belong to any religion, Its a universal principle. Trying to play religion and ignoring key details that leads to financial freedom is an error.
20. DRESSING FOR A CHEER
21. CIRCLE OF LIKE-MINDS (SUPPORTIVE NETWORK): Your network determines your net worth, no joke, it’s very true. You can’t be mingling with lions as a cat and not get to confront hyenas. But, if you choose to mingle with dogs; eating excreta becomes a norm.
22. SPEND MORE THAN YOU EARN (THE 80–20 ILLUSION)
23. BLAMING SYNDROME: No matter how bad it gets, never blame anyone; just move on!
    “If you are born poor, It’s not your mistake” “But if you are poor, it is your fault”
24. LEAVE BEFORE THE PARTY STARTS (GIVE UP IN DIFFICULT TIMES)
25. NO FINANCIAL DISCIPLINE: You want to own everything, to buy everything even those you don’t need or even imitate the high and mighty with your little income. Keep it investment integrated. “Don’t invest after you spend, but spend what is left after investing” — Warren Buffet.
26. LACK OF FOCUS: You can’t be everywhere doing everything. Stick to one field and don’t stop until it is a success.

The way out of poverty (entrepreneurship)
“Give a person a fish, and you feed them for a day. Teach a person how to fish, and you feed them for a lifetime.”
One of the questions I keep asking is, what skills do we need to survive or thrive in our new world? It’s a world where you can’t count on a corporation for your job. It’s a world where change happens faster than ever before. It’s a world of global competition, where somebody, somewhere, with a lower cost of living can do your job for a fraction of the cost. What kind of skills do we need to adapt and respond? What skills do we need to teach our children?
There is a pattern and a way out. It’s entrepreneurship. If you look to the people that consistently bounce back, and if you look to the people that find a way out of poverty, and if you look to the people that get laid off, but then create a prosperous business, a common pattern is entrepreneurship.