Full Project – Consumer cooperative societies as a tool for improving development in rural areas

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CHAPTER ONE

• INTRODUCTION

Consumer co-operative, a type of co-operative society has been a vital tool for rural development. Citing example from community, the people of the area were languishing in poverty until the advent of co-operative society. consumer co-operative has provided an avenue for investment and some of the people could not solve their problem by their selves that consumer co-operative create an avenue where people’s of the same problem mutual help.

Most people in Owerri municipal who handle retail shops are looking of revenue to control price liking by middle men until the consumer co-operative was established. Now the society has eliminated the activities of middlemen ensuring that it member gets their product at a reasonable price. Among other things creating of employment is on of the achievement of the society. And until date the activities of consumer co-operative has improved the Socio-economic condition of Owerri Municipal people.

1.1 BACKGROUND OF THE STUDY

This study falls within the area of consume co-operative as a tool for improving the activities of the rural areas. The main interest of the researcher will be to investigate those things that will promote people in forming co-operative society consumer co-operative as a tool.

The activities of the rural areas began in Great Britain during the middle of the 18^th century as a reaction of the growing exploration of the workers by the business moguls in the world example (very important people). Goods were not only expensive, but were adultrated and have incorrect weight and measurement, the board objective of the consumer co-operative as a tool for improving the consumer from unscrupulous business man and women.

They do these by carrying out various functions such as.

–      Making goods available to consumer

–      Charging fair or reasonable price

–      Selling pure and unadulterated goods with correct weight and measurement.

These functions, if properly and adequately carried out till improve the purchasing power and consumer, reduce the cost of things and arise and standard of living of the consumer.

However, consumer co-operative as a tool for improving activities of the rural areas is globally acknowledge as an important instrument for enduring economic growth and development especially when it comes to organizing dweller in the countries like Nigeria that have been trying to improve the lives of the rural area.

To some policy decision maker consumer co-operative society as a tool for improving the activities of rural area is the key to make rural dweller participate in the economic development of the country, a process which for long time has been weighed down to bureaucratic procedure to any meaningful and function programmed that with help to improve the lots of the rural areas. To these policy makers consumer co-operative formation in rural areas is been by then as the engine of growth and pace setters of the Nigeria economy.

1.2 STATEMENT OF PROBLEMS

There are always assumptions among policy decision makers that once rural dwellers are organized on consumer co-operative basis that such as move all serve as a measure for improving the activities of the rural areas hence combined effort or co-operative effect.

The problem definition of this will be top investigate and adopt strategies that will ensure organizing the dweller in their problem are;

–      Lack of finance for their daily needs

–      Essential goods are not distributed through the consumer societies

–      Credit to consumer of member are hardly paid

–      Corruption by the workers/seller

1.3 OBJECTIVES OF THE STUDY

The main objectives of this study are to view consumer co-operatives as a tool for improving development in rural area. Other objectives are stated as thus;

• To carefully examine the problems rural development
• To evaluate how rural development the rural areas can be improved
• To trace the effect of consumer co-operative on rural area.

1.4 RESEARCH QUESTION

• What is the consumer co-operative a tool for improving development in rural area
• What are the problem affecting rural areas?
• How can rural area be improved
• What are the effects of co-operative on rural area?

1.5 SIGNIFICANCE OF THE STUDY

This research work is of vital importance in various ways. It is of significance to the entire co-operative societies at large.

This research work will also be of benefit to the academic world especially to co-researcher who may be working or related topic.

It can also be of benefit to the student mainly the student in co-operative and management department, lastly it is benefit to the general public.

1.6 SCOPE OF THE STUDY

Proper improving and organization of rural area into forming consumer co-operatives as a tool for mobilization of economics resources for the rural area have also always come to the mind of our policy decision makers and non government organization yet nothing has been done to effect that is relevant to improving a lot of rural areas.

However among different type of co-operative societies which have been chosen a simplest one. The study will cover when the concerned consumer co-operative took off and at that with be used in this study will be those obtained from the consumer concerned. To consumer has been chosen on the basis of its longevity and it could be easily reached within the time allowed for study.

A major constrain in a researcher of this nature is the non availability of any published data of many consumer co-operative societies information on the nature and composition of co-operative plans are for the most part shown in secrecy. The matter is not informative boots on the subject from enterprising consumer co-operative.

1.7 LIMITATION OF STUDY

There are lots of setbacks or obstacle that tries to hinder the success of this research, among them are;

–      Finance

–      Time

–      Unwillingness of member to respond

Finance: There was insufficient fund in running this project, such as printing of questionnaires, transporting to the location of the manufacturing company.

TIME: The researcher found it very difficult to combine the research work with his studies.

Also the respondent found it very difficult to listen because his very busy with the processing of the produce.

UNWILLINGNESS TO RESPOND: Some of the respondents were unwilling to respond both interview and questionnaire given to them for the reason best known to them.

1.8 DEFINITION OF TERMS

POLICE: is an action taken by the government

PLANNING: Is the process of establishing goals, procedure, methods, rules and regulation which are necessary to guide the use of resources to active goals.

CO-OPERATIVE SOCIETY: Is a voluntary association of individuals who came together to carry out a business with the aim of making profit.

CONSUMER: Are the users of products for his/her satisfaction.

CONSUMER CO-OPERATIVE: Is a non profit making organization which ensures the welfares of the members fair prices, quality product and availability of standard weight and measures from the manufactures and middle men.

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Full Project – Consumer cooperative societies as a tool for improving development in rural areas