1.1 Introduction
The multipurpose form of cooperative societies is gaining wide popularity among Nigerians because of a number of benefits which include reduced administrative costs, diversification of interests and services, economies of scale and linkage of economic activities (Agbo, 2010). Agricultural Cooperatives are the most prevalent type of cooperatives in Nigeria providing food-stuffs, financial services as well as services to consumers (ILO, 2005). Agriculture constitutes a significant sector of Nigeria’s economy. The sector is significant in terms of employment of labour, contribution to Gross Domestic Product (GDP) and until early 1970; agricultural exports were the main sources of foreign exchange earnings (Amaza, 2002).
As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitations of the Study and Definition of technical terms.
1.2 Background of Study
The need of Agricultural marketing arises with the production of excess, over and above consumption. This related to the concept of marketable surplus which is defined as the proportion of the total output that is available for sale after satisfying the producer. Consumption seed for next seasons planting. There is however, an exemption in this concept; as certain agricultural commodities are produced for meeting specific population need, this kolanut is widely grown in the Southern part of the country, transported and sold to the people of the Northern part of the country who relish the commodity. Marketing bridge the gap between production and consumption, it brings together the impersonal forces of supply and demand in respective of where the market is located. Therefore, one is involve in marketing whether one grows yam, sells the tubers or process to yam flour and sell it to the village or town market in the Southern part of the country or receives supplies of grains, onions from the North.
Marketing Cooperative are found in Nigeria to be performing unique functions towards the development of Nigeria economic activities cooperative marketing could be a dynamic forces in the process of economic development takes place, the marketing system is expected to extend some influence on the social, political and economic sphere of the society. This fact was supported by the World Bank report of 1954 that ‘the cooperative movement can provide a valuable organizational basis for agricultural development’ marketing cooperative also serves as auxiliary cooperative.
Today, marketing has assumed a very special position in cooperative movements this is because, for any cooperative to function effectively. All must satisfy the owners who have established it, the process of doing this by achieving the cooperative goals then the society is buying the owners want respectively. All together now brand types of cooperative societies have marketing function for its major operational guide.
Therefore, in National Archives Multipurpose Co-operative Society where the research was carried out, the activities that was conducted is to know the Impact of Agricultural Marketing Co-operatives on sales promotion.
1.3 Statement of Problems
Cooperative Society serves as very strong tool which provides a favourable atmosphere for the marketing of an agricultural product on sales promotion. The marketing that cooperative society provides to their members include searching for a favourable market for the farm produced of the farmers fixing to enable farmers has optimum profit. However, the study will look into problem on how to distribute work among members who consider themselves as equal. Furthermore, the problem of how to maintain discipline, how to motivate member to work for the society and how to achieve efficient management is to be insiders or outsider, the problem especially is do the society hire outside person or do members who will most likely not have the required training to manage the society anyhow.
1.4 Aim and Objectives of Study
The aim of the study is to examine the Impact of Agricultural Marketing Co-operatives on sales promotion using the National Archives Multipurpose Co-operative Society as a case study. In achieving this aim, the following specific objectives were laid out as follows:
- To examine the impact of agricultural marketing cooperatives on sales promotion.
- To determine the role of agricultural cooperative in improving the intensive at farming activities.
- To find out how capital hinder agricultural cooperative development in the society.
1.5 Research Questions
The study came up with research questions so as to be able to ascertain the above stated objectives. The specific research questions for the study are stated below as follows:
- What are the impacts of agricultural marketing cooperatives on sales promotion?
- What are the roles of agricultural cooperative in improving the intensives of farming activities?
- How does low capital hinder agricultural cooperative development in the society?
1.6 Research Hypothesis
In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.
- H0: There is no significant impact of agricultural marketing cooperatives on sales promotion in National Archives Multipurpose Co-operative Society
- H1: There is a significant impact of agricultural marketing cooperatives on sales promotion in National Archives Multipurpose Co-operative Society
1.7 Significance of Study
This study is designed to help marketing cooperative societies over the problems related on how to distribute work among members, and how to maintain discipline and how to achieve efficient management.
The research also intended to find possible solutions to the above mentioned problems by giving recommendations on how to prevent the future occurrence. The research aimed at finding the relevant contribution of cooperative society toward the development of marketing in Nigeria. It will be used to ascertain all basis fact needed.
At the end of this research, the management of national achieves multi-purpose cooperative society can consider the present problems facing the society. Scholars, researchers and incoming student will benefit from this research work because it will serve as a material to them with a view towards enhancing their knowledge.
1.8 Scope of Study
The study focuses on the Impact of Agricultural Marketing Co-operatives on sales promotion using the National Archives Multipurpose Co-operative Society as a case study.
1.9 Limitations of the Study
During the course of this study, many things militated against its completion, some of which are:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Research material: availability of research material is a major setback to the scope of the study.
- Frequent power failure: This made the researcher append more money on fuel to ensure sustainable power.
- Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
1.10 Definition of Terms
Cooperative Society: This refers to coming together of people sharing the same interest to establish a business for their personal satisfaction.
Efficiency: This means the ability to do something well or achieve a desired result without wasted energy, time or effort.
Members: These are the personal individuals that come together as one in an association or an organization.
