A great deal of concern has been sparked off about the growth and expansion of
the small scale industries in this country.
Industry as the main stay of the country’s economy. It is shown from the
neglect experienced from the advert of oil boom after the civil war. This came
in with numerous problems which includes high cost of imported goods that would
have been manufactured by our home based industries.
This situation really called for adequate care and attention of the masses to
have interest in establishing small scale industries in Nigeria in order to
achieve self sufficiency in the production of local goods.
As a researcher, I undertake an investigation into the role of small scale
industries in the economic development of Nigeria (A case study of Enugu State)
and the problems being encountered by small scale industries together with
This study contain four chapters; chapter one deal with introductions, chapter
two deal on literature review, chapter three deal on research methodology and
chapter four deal on data, analysis and presentation, findings, conclusions and
TABLE OF CONTENTS
CHAPTER ONE: INTRODUCTION
Statement of Problems
Background/Purpose of the
Significance of the
Scope of the
CHAPTER TWO: LITERATURE REVIEW
Review of Related
Definition of Small Scale
Problems of Small Scale
Achievements of Small Scale
CHAPTER THREE: RESEARCH METHODOLOGY
CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS
Data Analysis and
The attainment of advanced and
developed stage in industrial and economic development by many countries of the
world started with the small scale business (industries) particularly in the
In developing country, like
Nigeria, the process of industrial and economic development is joint
responsible of the fiscal and monetary policies of the government, the private
and the public business enterprises and the individuals. However, the Nigeria
economy is predominately characterized by economic lackage which causes
structural imbalance always.
It appeared that during the colonial era, mot of small scale industries mostly
manufacturing industries were mainly subsidiary of foreign companies, implication
of this is that most profit if not all profit made by these industries are
transferred to their mother countries rather than using it in developing
Nigeria. At worst, the 1973/74 oil book era shifted the business sector as well
as individuals from production to the importation of mostly everything. Enugu
state is not left in this quest. It should be mentioned that since 1970, Enugu
state has not fashioned well in the industrial growth compared with states like
Lagos, Kaduna and Kano but with the decline of foreign exchange earning which
ahs reduced the crazy for the importation. Enugu state businessmen are now
funding it necessary to industrialize by diversifying into productive sectors.
Also considering the present economic situation in the country, the
entrepreneurs in Enugu state now more than ever, need to branch out into some
other areas outside buying and selling. This request is necessary because in
Enugu State, most small scale business are buying and selling enterprises.
However, one would appreciate
the fact that one may make quicker and more money by engaging in buying and
selling but the process is characterized by numerous battle necks. Firstly, it
is only for a short term investment in the production of physical goods though
it has longer gestation and payback period thereby ensures a more lasting
profit. Apart from being a safe investment for the entrepreneur in the long run
but it is a sure way of providing employment opportunities for our secondary
school holders even university graduates and undergraduates.
Furthermore, it is with
mentioning that before the oil boom ear, the Nigeria economy was grossly
characterized by low per capital income, low savings rates, low investments,
low capital formation, employment problem and perennial balance of payment
disequilibrium. All the above economic and social ills were increased
when the price of oil started deteriorating in the world market for instance
this sorry state of affairs resulted in many able bodied Nigerians being under
utilized and therefore cannot contribute positively to the production process
with the accompanying danger of anti-social activities. The such
down turn of the Nigeria economy in the past years made it difficult for most
small scale business enterprises to prosper.
Based on this fact, it is no
doubt that the immediate waking up of small scale industrial businesses
especially in the manufacturing sector is the surest way of providing solution
to the Nigerians present economic problems. Hence to reverse the trend of Nigerian’s
erring economic possible available avenues of engaging our abundant human and
material resources should be seriously sought and it could be easily sought
through small scale industries.
In recognition of the role of
small scale industries in the restricting and reconstruction of the Nigeria
economy, both the government and the private sector of the economy are
increasingly directing their effort and attention towards providing efficient
services, infrastructural facilities and above all a conducive atmosphere for
the existence of small scale business enterprises in Nigeria.
1.1 STATEMENT OF PROBLEM
The problems being faced by small scale
industries in Enugu State are definitely contributing to show pace towards
Enugu state is in eastern part of Nigeria and depends largely on its revenue
from Agricultural establishment and small scale industries on the base that the
contributions from the sectors towards the revenue of the state are so small,
the people of Enugu state are complaining about the insignificant
contribution. Most people in the area feel that they have not performed
to expectation when compare with their counter parts elsewhere. This ugly
situation has raised my interest to look into and investigate on the operations
of small scale industries with view of suggesting some means of solving and
minimizing their problems.
1.2 PURPOSE OF THE STUDY
The purpose of the study is;
To identify the contributions of small scale industries to the economic
development of Enugu State,
To investigate the problem that militates against small scale industries
towards their effective contributions.
To offer solutions to identified problems and make necessary recommendations.
To motivate and encourage buying and selling enterprises to see that small
scale (manufacturing) industries ensures more lasting profit and that is also a
safe investment in long run.
1.3 SIGNIFICANCE OF THE STUDY
This investigation into the role of small
scale industries in the economic development will be of use in the following
It will expose the impact the small scale industries make towards the economic
development to the government and researchers.
It will be of great importance to students and economist who will like to
carryout further research on small scale industries.
1.4 SCOPE OF THE STUDY
This investigation is to cover all small
scale industries in Enugu State but the relatively short time for the study and
the inaccessibility of some of the business has limited it to some selected
Booko food and packaging industry, 128. Agbani Road, Enugu.
Winners block industry, plot 10 Port Harcourt express way.