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In  recent work, Stephen Anderson and I found that subsidizing small firms in Nigeria to use HR consultants to hire a marketing or accounting worker, or outsourcing these services to a professional accounting or marketing company were both more effective than spending this money on trying to train the entrepreneur. The natural question that then arises is Why don’t more small firms simply purchase these services for themselves? That is, why are government subsidies needed to get firms to start using these services? In a new working paper, we report on a series of follow-on activities designed to better understand how the marketplace for professional business services works in Nigeria, and on an experiment to test the effects of providing small firms with information and quality ratings on the business service providers.

Abuja federal capital territoryStephen andersonBetter business bureauBusiness services marketplaceRatings aloneNot enoughGet firmsPurchase theseQuality ratingsகூட்டாட்சியின் மூலதனம் பிரதேசம்ஸ்டீபன் ஆண்டர்சன்சிறந்தது வணிக பணியகம்வணிக சேவைகள் சந்தைரேடிஂக்ஸ் தனியாகஇல்லை போதும்பெறு நிறுவனங்கள்