A dissertations submitted in the partial fulfillment of the requirements for the degree of bachelors of applied accounting, auditing and information systems. BAA-AIS MCA 2015 KA1129

Some statutory corporations are funded by the Government and every month they get funds from the government to finance their activities while others are of commercially oriented. They are fully or partially owned by government with the government having a significant level of controlling ownership on the organization. This would include University of Malawi, (UNIMA), MANEB, Mzuzu University, Malawi College of Health sciences, MBC, Nation herbarium, MPC, Air Malawi, ADMARC, ESCOM, MCA and CHAM. Three-quarters of these statutory corporations face financial difficulties due to a number of reasons. Some of these are capable of generating their own income to supplement with what they receive from the government but still depend on government on everything. This research was carried to find if these statutory corporations capable of generating income have survival strategies in the absence of government funding. The data in this study were generated through questionnaires and supplemented where possible by personal interviews. The research assesses that all the corporations under study have product/service quality is used as a competitive weapon to ensure their survival. The study finds out that all organizations studied had adopted strategies that sought to improve products or service quality.

The study further observes that for the corporations to survive they should have a budget for 'reserve' or in other words,have a ''contingency'' or ''miscellaneous'' accounts as a line item in their budget for unforeseen circumstances.