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Student name: Abdullajon Ibrokhimov
Student ID: 202050421
Research Proposal
Research Title: The Development of the Payment System for
B2B Companies in Uzbekistan
Abstract
In developing countries, B2B payment systems are still in their early stages
of development.
Also In Uzbekistan, the B2B payment system often presents
problems, such as Payment delays, risks, low speed, high cost and etc. B2B payment
systems have already been a matter of discussion in Uzbekistan for several years.
Irrespective of some positive
movements in the past years, the state of payment
discipline in Uzbekistan is not at a satisfactory level. In this area, Uzbekistan could
be classified among the less successful countries when compared to other developed
countries. So it is important to identify and take forward structural improvements in
payment systems among B2B entities for international trade.
This paper determines current situation of B2B
payment system in the
country and how to eventually find the solutions for current problems for long term
and short term. For instance, B2B companies
have longer payment delays, they
should take an action to make it short. Moreover, the contractual payment periods
are usually short-term based, parties cannot be able to make payments in this short
period. So, contractual periods are worth to be taken into consideration. The paper
provides policy recommendations and solutions to such problems.
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Introduction
In developing countries, B2B trade companies are still in their early stages of
development in terms of payment. There are several clear causes which effect
negatively to this development. Since payment-related issues are a central part of
international trade, Uzbekistan also has to provide easy and cheap alternatives to
trade payments. Companies from different countries cannot do spot-on decisions to
sign trade contracts concerning future money transaction problems. So, incompetent
payment systems might lead a main part of the country’s economy to high risk. In
order to prevent the companies from failure and economic recession, we should do
immediate changes and Improvements in this sphere. This paper starts with studying
related literature and the current situation in Uzbekistan and other foreign countries
and moves to explore problems after which the solutions are given.
Objectives
The objective of this paper is to explore how industrial companies use B2B
payment system and what issues are faced by them. The paper also provides some
analysis which enables payment services advantageous.
In addition, it provides
guidance for government and managers as well as gives them an outlook on how
payment system can be improved by B2B companies.
To achieve the
abovementioned objectives we use certain methodologies which are provided below.
Methodology
In this paper, empirical analysis, qualitative and quantitative methods will be
used. Precisely,
by using these methods, a questionnaire will be drafted and
forwarded to a number of B2B companies and organizations. In addition,
government and bank officials are going to be interviewed
to be aware of real
situation. Having analyzed the results of the questionnaire and surveys the common
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problems and issues will be argued. Furthermore, surveys and comparative analysis
will be conducted for the best results.
Expected Results
Results deriving from analysis in this research consist of recommendations
and implications, in other words, implications for government and bank structure
which are the main actors for money transactions, and recommendations for direct
B2B companies. Implementing the given solutions to real situations will make the
current payment system simpler and increases productivity,
and whole business
sentiment as well.
It is vital to mention that research outcomes will lead:
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A country’s economy increases GDP by attracting foreign companies
to sign contracts which rises the amount of imported and exported commodities.
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Companies to find more international markets to buy and sell their
products because many foreign companies are concerned about trust to companies
in Uzbekistan in terms of payment.
Results are recommended to be implemented short and long-term based.
Mostly government implications are to take place in
long-term based since they
cover large objectives.
Recommendations for companies are possible to be realized in short periods
because they can be implemented individually.
