Obstacles of Capital Formation in the Industrial Sector in Tulkarm Governorate

Abstract

This research aimed to identify the obstacles that face capital formation

in the industrial sector in TulkarmGovernorate, and to determine the relative

importance of such obstacles. In order to achieve this aim, a sample of 193

industrial enterpriseshas been questioned. A descriptive statistical model

was conducted in testing the hypotheses of the research. Many results were

concluded and the most important ones are: there are 32 important obstacles

face capital formation in the industrial enterprises in TulkarmGovernorate.

Among these obstacles, there are 25 in which there is a strong statistical

evidence. The results showed that these obstacles are different in terms of

their importance from the industrial enterprises point of view. The industrial

enterprises do not face all the obstacles identified by the study with the same

degree of importance. The main recommendations of the research were: the

need for industrial establishments to follow modern management methods

and to leave the traditional administrative methods, the need to review

procedures followed by the Palestinian Technical Regulationsfrom the point

of quality and standards of the industrial product, and the need for more

attention to the Palestinian tax law and its role in encouraging investment

and capital formation in Palestine.