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Full Project – The effect of low membership participation in cooperative societies in Nigeria

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CHAPTER ONE

1.0 INTRODUCTION

GENERAL OVERVIEW OF THE STUDY

Cooperative was derived from the word “cooperate” which simply means “work together” cooperative is essentially an economic system with a social outlook; its operations are based on self-help, mutual help, solidarity and democracy. It attempts to instill and propagate ideas of self reliance and social responsibilities as part of a new ideal human society.

Cooperation has been a foundational for cultural phenomenon for self help in Nigeria before the coming of the Europeans and the introduction of Rochdale types of cooperation into Nigeria in 1935 (okechukwu 2001, 12).

Cooperation touches no men’s fortune, it seeks to plunder, causes no disturbance in the society, gives no trouble to statement, enters into no secret associations, subverts no order and contemplates no violence (nwobi:2006,1).

Cooperative organization are found in every part of the world. It helps the economy to grow better and makes its members grow economically.

Cooperative societies are institutions within whose framework cooperation or joint activities by people take place in a formalized long term, deliberate and to a great extent, specific form in the social and especially economic spheres of human Endeavour.

Most cooperative societies conduct and control their own business without interference from the government, those organizations are created in many fields including services, productions and consumption area. This means that a cooperate society can be found in finance,insurance, health, burial and funeral services, farming and trading among others. In fact, it can be in any field of human Endeavour.

According to calvert (1926), cooperative is defined as an association of human being wherein persons invariably by limited or moderate means, voluntarily associate as human beings on a basic of equality for the promotion of their common economic, social and moral interest by honest means and distribute their profits of surplus among themselves in proportion to their contribution for easing that surplus or services.

Bon-Igwe (1993:11) states that ‘‘cooperative is defense weapon against the exploitative evils of capitalism.

Membership of a cooperative society is usually voluntary and without artificial restriction or any social, political or religious discrimination to all persons who can make use of its services and are willing to accept the rules and responsibilities of membership.

According to Ogujiofor (2001:91) an individual must have attained the age of sixteen years to qualify as a member of a cooperative society and also be resident of been in occupation of land within the registered society’s area of operations as described by the laws except in the case of a credit society, Cooperative society can be registered as primary, secondary and tertiary society.

In cooperative societies, there are business related problems which include: Lack of relevant professional management, and government interference.

The failure of many cooperatives in developing countries like Nigeria can be partly explained by the marked differences between their origin and that of agricultural cooperative movements in the industrialized countries.

The general overview of the study centers on the effect of low membership at participation on cooperative organization and it is aimed at seeking a lasting solution to liquidation of societies.

STATEMENT OF THE PROBLEMS

Cooperative societies have contributed and uplifting the socio-economic level of their members in particular and the entire society at large.

Despite these contributions, cooperative gospels have not been fairly preached in Nigeria.

The problem militating against the promotion of the cooperative are:

Firstly, the cooperative believe that they have nothing to offer, therefore no need for promoting and the cooperative see themselves as cost oriented and not profit oriented organization.

Consequent upon the above problems, this research is poised to finding sustainable solution as it appreciates the need for effective promotion in the enhancement of the cooperative societies with reference to selected cooperative societies in Njikoka Local Government Area of Anambra State.

OBJECTIVE OF THE STUDY

The general objective of the study is to find out the effect of low membership participation in cooperative organizations.

Other specific objective are:

To increase the participation of members in various cooperatives societies especially in Njikoka Local Government Area of Anambra State.
To identify the level of poor membership participation and to make the members understand the concepts of cooperatives, its benefit, and also create employment opportunities through participation.
To organize seminars, workshops to change the orientations of the members and to non-members to participates fully in cooperative society.
To suggest possible ways to enhance full and active participation on the members, communities, supervisors and directors of cooperative societies.

SCOPE OF THE STUDY

This study of the effects of low membership participation in cooperative societies will be limited to some selected primary cooperative societies in six (6) autonomous communities in Njikoka L.G.A.

These communities are listed below, they are:

Abba
Abagana
Enugu-Ukwu
Enugu-Agide
Nimo
Nwafia

RESEARCH HYPOTHESIS

For the purpose of this study the following hypothesis were tested and come up with the following results.

H0 The low membership participation does not affect the strength of cooperatives in these selected communities in Njikoka Local Government Area of Anambra State.

H1 The low membership participation affect the strength of cooperatives in these selected communities in Njikoka Local Government Area of Anambra State.

H0 This selected cooperative societies in Njikoka Local Government of Anambra State does not contribute towards encouraging adequate education of their members.

H1 This selected cooperative societies in Njikoka Local Government Area of Anambra State has contributed towards encouraging adequate education of their members.

H0 The cooperative organization in Njikoka Local Government Area does not organize seminars and workshops for their members.

H1 The cooperative organization in Njikoka Local Government Area of Anambra State organize seminars and workshopsfor their members.

H0 it does not help to enhance the low participation of members cooperative societies in Njikoka Local Government Area of Anambra State.

H1 it help to enhance the low participation of members cooperative societies in Njikoka Local Government Area of Anambra State.

SIGNIFICANCE OF THE STUDY

Various research works studied on cooperative education; management of cooperative, agricultural cooperatives; marketing cooperative; cooperative thrift and credit among others. This research work specifically covers the effects of low membership participation in cooperative organization. It significance are:

It will increase the participation of members in some selected communities in Njikoka Local Government Area of Anambra State.
It will provide adequate and useful information to the members and to the general public on the concepts of cooperatives and its benefits.
It will change the orientation of the members through organizing seminars and workshops and thereby making the members participate actively in the cooperative society.

It will provide useful information to the cooperation of the cooperative department and also as a reference literature in other areas.

LIMITATION OF THE STUDY

The study emphasizes on the effects of low membership participation in Njikoka Local Government Area of Anambra State.

They are as follows:

LACK OF FINANCE:

One major factor that will affect this research work is finance. Large sum of money is required, that would enable the researcher travel far and wide in search for valuable material and data to work.

INADEQUATE RESEARCH MATERIAL

The material concerning this project topic ie. Books are scare and not easily researched.

However the materials available would be effectively utilized.

BARRIERS TO BE ENCOUNTERED DURING DATA COLLECTION

Some obstructions are to be encountered from the people to be interviewed. Some of the people would think that the information would implicate them and as result of this, they are likely going to board some useful information in order to free themselves from the interview.

TIME KFACTOR

This is supposed to be completed with a very short period and for a comprehensive study to be done on this topic, the researchers need more time.

DEFINITION OF TERMS

DEMOCRACY: Government by the people through elected representative; political, social, or legal equality.

SUBJECT: To Ruin Utterly

PLUNDER: To steal goods by force;i.e to loot.

SOCIETY: The social relationship between human beings or animals organized collectively.

ORIENTATION: To adjust oneself to a particular situation.

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