1.2 Statement of the Problem
Nigeria is a country with numerous business and investment potentials due to the abundant vibrant and dynamic human and natural resources it possesses. As good as the foregoing sounds, Nigeria continues to experience its share of social, economic and political upheavals which have often stunted its growth and development into the regional economic power that it strives to attain. Nigeria has a relative high rate of violent crimes (Onurubiko, 2009). The fact is that the Nigeria is becoming hostile to investment due especially to lack of steady and sustainable power supply/energy crises in spite of the various attempts are reviving this sector landing to firms depending on generators for their operation whose cost of buying, fueling and maintenance are high, thereby increasing the cost of operation in Nigeria.
Besides, high and multiple levies and taxations being paid by these companies, energy crises have combined to make the cost of doing business in Nigeria to be very exorbitant when the industries and factories closed shops or relocated to a friendlier economic environment, workers were laid off and prospects of recruiting new ones were dashed. All these exacerbated the crisis of youth unemployment in the labour market (Adeloye, 2010; Onifade, 2011). Therefore this research work intends to investigate the role of entrepreneurship development in unemployment reduction in Nigeria with particular reference to Awka, Anambra state.
1.3 Objectives of the Study
The study intends to achieve the following objectives:
- To determine the role of small scale industries in unemployment reduction in Nigeria.
- To determine if government has a key role to play in ensuring that small scale industries help in quelling unemployment.
1.4 Research Questions
The following research questions were formulated to guide the direction of this research work.
- Does small scale industries development help in unemployment reduction in Nigeria?
- Do government have a key role to play in ensuring that small scale industries development help in quelling unemployment.
1.5 Research Hypothesis
The hypothesis formulated for this research study include hypothesis one
H0: There is no significant relationship between small scale industries and unemployment reduction in Nigeria.
Hi: There is significant relationship between small scale industries and unemployment reduction in Nigeria.
H0: Government has no key role to play in ensuring that small scale industries help in quelling unemployment.
Hi: Government has a key role to play in ensuring that small scale industries help in quelling unemployment.
1.6 Scope and Limitations of the Study
The study focuses on entrepreneurship development as a panacea for unemployment reduction in Nigeria. The economic potentials of entrepreneurship shall also be explained as well as the benefit explained with particular reference to residence of Onitsha metropolis.
The limitations the researcher encountered during the survey are time constraint, lack of finance, respondent’s attitudes andtransportation constraints.
Time Constraints: Research of this nature requires sufficient time for the execution. But in the case of this project, the allotted time was quite insufficient. In this regard, the researcher was under pressure throughout the while work in order to meet the deadline.
Respondents Attitude: Some of the respondents appeared to be biased in their response and the greater percentage of the bias is during peak sales periods when the respondents had little or no time for non business discussion.
Finance: Finance has always been the pilot around which the success of any research revolves. In this case, the researcher was constrained financially because the researcher had a little stipend from the guardian.
Transportation: Due to the bad roads the researcher find it difficult to access the respondents.
Bureaucracy: This is one of the impediments of this research when the researcher visited the enterprise under study to make certain investigations; the authorities involved never gave him a free hand to make such investigations.
Finally, it is worthy to note that in spite of all these limitations, the researcher was able to cover meaningful the scope of the study.
1.7 Significance of the Study
It is worthwhile to lay great emphasis on the significance of this study target groups and potential recipients showing how it will add knowledge, contribute to knowledge or aid practice. Hence, this study will be indispensable to many. To the entire Nigerian populace, this study will broadly enlighten them on the concept of entrepreneurship and how small industries development brings about unemployment reduction in Nigeria scale.
Also, the Nigerian government is not left out. This promising research piece will clearly show the public authorities and government officials how to effectively develop small scale industries as they have been identified as engine of economic growth and development hereby providing employment for the teeming unemployed youth. The study will help the policy makers to recognize the importance of small scale industries in the provision of employment to the labour force for economic development. This shall further guide them to make trade policies to enhance the performance of small scale industries as regards their activities to accommodate mushrooming population that is attributed to high birth and fertility rates as well as rural urban migration within the country.
Also, to students and other scholars where intend to widen their knowledge in the study of the small scale industries development as a panacea for unemployment reduction, this study shall be a basis of reference since it focuses on the cause of the establishments, how the unique characteristics of the industries have facilitated their role in the provision of employment undertaken to harness their activities and how their activities contributes to economic growth and development.
1.8 Definition of Terms
Unemployment: Unemployment refers to a situation where people who are willing and capable of working are unable to find suitable paid employment.
Entrepreneurship: This is the willingness and ability of an individual to identify and successfully carry out investment opportunities in and environment.
Development: This means new stage or event, new product or invention. It is when a country is able to provide initially.
Economic Growth: This is a term that is generally refers to the sustained, concerted efforts of policy makers and living and economic health of a specific area or is a phenomenon of marked productivity and increase in gross domestic product (GDP).