COOPERATIVE SOCIETY AS A TOOL FOR THE PROMOTION OF SMALL BUSINESS VENTURE IN ENUGU STATE
(A STUDY OF INVESTMENT OF CREDIT COOPERATIVE SOCIETY ENUGU STATE)
ABSTRACT
This research work examined Managing a cooperative society as a tool for the promotion of small business venture, A study of investment and credit cooperative society limited ESUT. The objectives of the study include to: find out the extent a cooperative society can be managed as a small business venture, ascertain the relationship between cooperative society and small business venture, determine the challenges militating against managing a cooperative society and examine the benefits of managing a cooperative society as a small business venture. The sources of data were the primary and secondary sources. The population of the study was 1,229 while the sample size of 302 was determined using the Taro Yamane’s formula. The data collected were presented in tables of frequencies, and percentages using the five point likert scale. The hypotheses were tested using the chi-square distribution formula. The findings included that cooperative society can be managed as a small business venture to a large extent, cooperative society has a significant relationship with small business venture, there are challenges militating against managing a cooperative society and there are benefits of managing a cooperative society as a small business venture. The researcher concluded that a cooperative society can be managed as a small business venture and it was recommended that Nigerians should endeavour to form cooperative societies as there are many gains inherent in forming such societies, government should encourage members of cooperative societies to manage such societies as small businesses, members of cooperative societies should adequately pull their resources together to overcome the challenges facing them and members of cooperative societies should improve on their day-to-day activities to enhance their success in such ventures.
TABLE OF CONTENTS
CHAPTER ONE: INTRODUCTION
1.1     Background of the Study                        
1.2     Statement of the Problem                        
1.3     Objectives of the Study                         
1.4     Research Questions                            
1.5     Statement of Hypotheses                         
1.6     Significance of the Study                        
1.7    Scope of the Study                             
1.8    Limitation of the study                        
1.9    Operational definition of terms                    
CHAPTER TWO: REVIEW OF RELATED LITERATURE
2.1    Conceptual Framework of the Study                
2.2     Theoretical Framework                        
2.3    Empirical Review                              
2.4    Summary of Review of Related Literature             
2.5    Gap in the Review of Related Literature            
CHAPTER THREE: METHODOLOGY
3.1    Research Design                            
3.2    Sources of Data                            
3.2.1    Primary Sources                            
3.2.2 Secondary Sources                            
3.3    Area of the Study                            
3.4     Population of the Study                        
3.5    Sample Size Determination                     
3.6     Instruments for Data Collection                
3.7    Validity of the Instrument                     
3.8    Reliability of the Instrument                    
3.9     Method of Data Presentation and Analysis        
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND DISCUSSION OF FINDINGS
4.1    Data Presentation and Analysis                 
4.2    Bio-Data                                    
4.3     Data Relating To Research Questions            
4.3.1 Research Question One                        
4.3.2 Research Question Two                        
4.3.3 Research Question Three                        
4.3.4     Research Question Four                        
4.4    Test of Hypotheses                            
4.4.1 Test of Hypothesis One                        
4.4.2 Test of Hypothesis Two                        
4.4.3 Test of Hypothesis Three                        
4.4.4 Test of Hypothesis Four                        
4.5    Discussion of Findings                         
4.5.1 Discussion Based on Hypothesis One            
4.5.2: Discussion Based on Hypothesis Two            
4.5.3: Discussion Based on Hypothesis Three            
4.5.4 Discussion Based on Hypothesis Four            
CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS
5.1    Summary of Findings                         
5.2     Conclusion                                 
5.3     Recommendations                             
5.4    Contribution to Knowledge                     
5.5     Suggestions for further Research                
List of References                               
Appendix                                    
Questionnaire                                
CHAPTER ONE
INTRODUCTION
1.1 Background of the Study
Cooperative movement in Nigeria started with the colonial masters, with the formulation and enactment of cooperative legislation in 1935. During this period, the cocoa farmers in Western Region formed marketing societies with the sole aim of checking the excesses of middlemen and ensuring the marketing of pure and unadulterated cocoa. The initiative was taken following the acceptance, by the Colonial Administration, of Mr. C.F. Strickland’s Report in 1934 on the prospects of cooperatives in Nigeria. Subsequently Mr. E.E.G. Haig was appointed the first Registrar of Cooperatives (Okone, 2014:76). In September of 1935, the Cooperative Department was inaugurated at Ibadan in Moore Plantation with total staff strength of one registrar, three cooperative inspectors, one clerk and one messenger. The following year, in 1936, the Cooperative Regulation was passed and the Cooperative Department was separated the Department of Agriculture. The inauguration of the first Nigerian cooperative finally took place in 1937 with the registration of Gbedun Cooperative Produce Marketing Society Ltd. Cooperatives represent a strong, vibrant and economic alternative. They are formed to meet people’s mutual needs. They are based on the powerful idea that together, a group of people can achieve goals that none of them could achieve alone (Owuala, 2016:87). For over 160 years, cooperatives have been an effective way for people to exert control over their economic livelihoods. They provide a unique tool for achieving one or more economic goals in an increasingly competitive global economy. As governments around the world cut services and withdraw from regulating markets, cooperatives are being considered useful mechanisms to manage risk for members in Agricultural or other similar cooperatives, help salary/wage earners save for the future through a soft –felt monthly contribution that is deducted from source, own what might be difficult for individuals to own by their efforts, strengthen the communities in which they operate through job provision and payment of local taxes. Cooperatives generally provide an economic boost to the community as well.
One promising type of small enterprise is the cooperative society. By pooling resources and functioning as a unit, a group of producers or consumers can operate at a more efficient scale and share the benefits. They may decide to buy in large quantity, or store and ship produce to more profitable markets,
Small business ventures have been considered as the engine of economic growth and for promoting equitable development. The major advantage of the sector is its employment potential at low capital cost. The labour intensity of the small scale sector is much higher than that of the large enterprises (Udenu, 2013:101). The sector is a nursery of entrepreneurship, often driven by individual creativity and innovation. Besides the growth potential of the sector and its critical role in manufacturing, value chains and the multiplier effects they have on the rest of the economy enable them to be the engine of economic progress. In all economies, but more in developing and transition economies, there is now a consensus among state policy markers, development partners that small business ventures are a potent driving force for their industrial growth and indeed overall economic development (Ahmed, 2014:56). Perhaps, no other development strategy has enjoyed as much prominence in Nigeria’s development plans as the small scale businesses. In recent  years, particularly since the adoption of the economic reform programme in Nigerian 1986, there has been a decisive switch of emphasis from the grandiose, capital intensive,  large scale industrial project based on the philosophy of import substitution to small scale businesses with immense potentials for developing domestic linkages for rapid, sustainable industrial development (Ile, 2015:67). Hence, this researcher examined cooperative society as a tool for the promotion of small business venture in Enugu State with investment of credit cooperative society Enugu State as a case study.
1.2 Statement of the Problem
The performance and effectiveness of cooperative societies as an instrument of economic growth and development in Nigeria has long been under scrutiny. This intense scrutiny has been against the backdrop of the low performance and inefficiency that characterized cooperative societies particularly in assisting members to improve their socio-economic status, generate employment and reduce poverty. Despite government institutional and policies support to enhancing the capacity of cooperative societies, they have fallen short of expectations.
The effect of not managing cooperative societies as small scale businesses has given rise to high mortality rate of cooperative society due to poor performance. Another effect is the inability to economically transform the lives of its members which could be as a result of not pulling their resources together.  
Finally, when cooperative societies are not managed as small scale businesses, it could lead to decline in socio-economic development of the people.  
1.3    Objectives of the Study
The broad objective of the study is to examine cooperative society as a tool for the promotion of small business venture. However, the specific objectives included to;
1.    find out the extent a cooperative society can be managed as a Stool for the promotion of small business venture in Enugu State.
2.    ascertain the relationship between cooperative society and small business venture in Enugu State.
3.    determine the challenges militating against managing a cooperative society.
4.    examine the benefits of managing a cooperative society as a tool for the promotion of small business venture in Enugu State.
1.4    Research Questions    
Based on the objectives off the study, the following research questions were raised.
1.    To what extent can a cooperative society be managed as a tool for the promotion of small business venture in Enugu State?
2.    What is the relationship between cooperative society and small business venture in Enugu?
3.    What are the challenges militating against managing a cooperative society?
4.    What are the benefits of managing a cooperative society as a tool for the promotion of small business venture in Enugu State?
1.5    Statement of Hypotheses
Based on the research questions, the following hypotheses were formulated.
Hypothesis One
H1:      Cooperative society can be managed as a tool for the promotion of small business venture in Enugu State to a large extent.
Hypothesis Two
H1:      Cooperative society has a significant relationship with small       business venture Enugu State.
Hypothesis Three
H1:      There are challenges militating against managing a cooperative        society
Hypothesis Four
H1:      There are benefits of managing a cooperative society as a tool for the promotion of small business venture in Enugu State.
1.6 Significance of the Study
Various cooperative societies in Nigeria will benefit from this study as they will be more enlightened on how to manage a cooperative society as a tool for the promotion of small business venture. The members of cooperatives will benefit as they will be empowered financially to pull their resources together.
The researcher will benefit as the research work is a partial requirement for the award of a Bachelor of Science (B.Sc) Degree in Business Administration. The university will benefit from this research because it will increase their data bank. The research also serves as a reference material for further research work on this topic.    
1.7    Scope of the Study     
This research work covered the Investment and Credit Cooperative Society Limited ESUT. Also covered were the extent a cooperative society can be managed as a small business venture, the relationship between cooperative society and small business venture, the challenges militating against managing a cooperative society as a small business venture and the benefits of managing a cooperative society as a small business venture. The time scope is between 2015-2017.
1.8    Limitations of the Study
The researcher encountered some problems while carrying out this research work, such as:
Lack of Research Material: The researcher had problem getting enough materials from the library.
Time:  The researcher, missed some lectures as a result of carrying out this work during lecture hours.
Finance: The researcher spent some money on transport, visiting ESUT Agbani to get information  concerning the cooperative society
I overcame this limitation through the help of one of their managers who educated and sensitized them by letting them know that this is just for the academic exercise.  
1.9 Operational Definition of Terms
Cooperative Society: A cooperative is a business enterprise in which the elements of ownership, control and use of service are united in one group of persons
Small Business Venture:  Any business whose investment capital or total costs of total assets not more than  N500.000 and employing not more than one hundred (100) employees.
Management: Management is the process of planning, organising, staffing, directing, co-ordinating and controlling the activities of business enterprises.