This paper empirically examines the causal relationship between public policy and its impact on business organisation. Data collections are mainly secondary over the period of 1980 to 2010. The study hypothesized negative relationship between inflation rate; value added tax; exchange rate and economic growth. Collected data were regressed using OLS technique and Augmented Dickey Fuller to test for the stationarity of the variables. Findings indicate a negative relationship between Public Policy and Return on Assets (ROA) while that of value added and exchange rate conforms with the apriori expectation of positive relationship and inflation maintains a negative relation. Hence, it is therefore recommended that Nigeria government should be consistent with a policy framework that is creditably maintained (fiscal stance, exchange rate policy, interest rate policy, pricing policy, etc) and the policy makers should also create credibility including political will in order to spur investor confidence for both local and foreign investments.