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1.1 BACKGROUND TO THE STUDY
Cooperative societies are a unit of business organization. In recent times, the importances of cooperatives have come into focus in West Africa countries. Cooperatives society origin is traced to the Rochadale Pioneers of 1844. It is believed that cooperative societies were in cooperative before 1844, but is the Rockdale Pioneers of 1844 who popularized the modern day cooperatives movement. The Rockdale consisted of 28 members who were mostly wavers. Their sole aim of farming cooperative was to raise their standard of living during this time (1844) people were experiencing economic hardship. This was mostly pronounced among the law income earners. The Rockdale pioneers started by contributing or subscribing a few pence a wee, they managed to obtained 28 with which they vented a store in Toad Lane, Rockdale. They started tracing with small stocks of fairs out meal and candles. Profits were distributed to members in the proportion of their purchases. The Rockdale cooperative was a consumer cooperative society. In Nigeria, the formation of age group societies for team work and group financial assistance among members in respect of farm work, road construction, house erection and social festivities marked the beginning of cooperative society’s movement. The idea of cooperative societies was first conceived in 1934 and in February 1936. The legislative council passed the cooperative bill before the movement was officially launched in the country, in the beginning of cooperative societies in Nigeria; the running of registration was at the regional levels. The word “Cooperative” could be used in two different ways; a. Working together or “ready to help”. b. An organized kind of business organization.
Cooperative is an old as mankind, for each other. Thus, this is particularly important in all rural areas of the world. The herding of all livestock’s is often carried out in turns by the herdsmen. The gathering in and the thrashing of each farmers harvest area often carried out by all neighbors joining together to help one another iun a manner, which though voluntary, is morally compulsory by tradition of certain countries. This same method is used for skinning well, building irrigation reservoirs and ditches putting up houses and even burying the dead. Also cooperative is known as a type of business organization. Its introduction to industrial and business lives in West Africa generally and the rural areas of Nigeria in particular, are however new. Cooperative in his modern world is varied and it covers the work in all its business entities. The importance of cooperative societies in Nigeria cannot be over emphasized. The cooperative development in any place must be conditionally by its economic pattern Nigeria has an agricultural economy and cooperative was first developed in Nigeria.
At present, many types of cooperative societies are existing in Nigeria. They are as follows./ agricultural products marketing societies, consumers, cooperative thrift and loan societies, cooperative craftsman’s societies and multi-purpose cooperative societies. Some of these societies exist in Oredo Local Government Area of Edo State. Cooperative society played a vital role by establishing a cooperative school where auditors and inspectors are being retained to audit and inspectors the activities of various cooperative societies to avoid fraud, misappropriation and mal-administration. In conclusion, even though cooperative society has not and cannot cover all facets of economic activities, it has covered the salient parts of the activities of the common man, particularly the area under which they have been suffering.
1.2 STATEMENT OF THE PROBLEMS
The major problems of cooperative societies include among others; 1. Inadequate financing
2. Mismanagement of resources by the management committee (board of directors)
3. Unqualified/inexperienced management committee
4. Uncommitted membership
5. Lack of clear policy guideline on cooperatives
6. Outdated/inherited colonial cooperatives law that determinates cooperative autonomy and officialized and existing cooperatives
7. Government attitudes towards cooperatives development 8. Lack of infrastructural facilities like regular and stable electricity, accessible roads, pipe-borne water etc.
1.3 OBJECTIVES OF STUDY
The objectives of this study as follow;
1. To identify the principles and economic importance of cooperative societies in Oredo Local Government Area of Edo State. 2. To defined and trace the origin of cooperative societies in Oredo Local Government Area of Edo State.
3. To recognize the different types of cooperative societies in Oredo Local Government Area of Edo State.
4. To recognize the constraints and the possible solutions of cooperative societies in Oredo Local Government Area of Edo State.
1.4 RESEARCH QUESTIONS
1. The cooperative movement is spreading its tentacles into various economic activities in Oredo Local Government Area of Edo State.
2. Lack of education has made people to neglect the importance of cooperative societies in Oredo Local Government Area of Edo State.
3. Cooperative societies are now used as a dumping ground for partisan politics.
1.4 RESEARCH HYPOTHESIS
H0: Lack of proper education has no significant on co-operative societies in Nigeria.
H1: Lack of proper education has significant on co-operative societies in Nigeria.
H0: Co-operatives societies have no significant effect on the economic development of Nigeria
H1: Co-operatives societies have significant effect on the economic development of Nigeria
1.5 SCOPE OF STUDY
This study is limited to Oredo Local Government Area of Edo State. it examines the cooperative societies in Oredo Local Government Area and how cooperative societies have been able to render help to the people around Oredo Local Government Area. This study will cover producers cooperative societies, consumer thrift cooperatives.
1.6 SIGNIFICANCE OF THE STUDY
The study is important because cooperative society is important in our country and it is important to know the role which cooperative society plays in Oredo Local Government Area and the important cooer5pative societies plays to the people in Oredo Local Government Area.
1.7 DEFINITION OF TERMS
Society: what is society: A society or a human society is a group of people related to each other through persistent relations or a large social grouping sharing the some geographical or virtual territory, subject to the same political authority and dominant cultural expectations human societies are characterized by patterns of relationship (social relations) between individuals who share a distinctive “culture” and institutions or given society may be described as the sum total of such relationship among its constituent members. In the “social sciences” a larger society often evinces stratification and or dominance patterns in sub-group. Cooperative: A cooperative is a group of people acting together to meet the common needs and aspirations of its members, sharing ownership and making decisions democratically. Cooperative are not about making big profits for shareholders but creating value for customers. This is what gives cooperative a unique character and influence. There are many cooperative businesses around the world, of which the cooperative group is one of the largest. Economy: An economy consists of the economic systems of a country or other area, the labour, capital, and land resources and the manufacturing, production, trade, distribution and consumption of goods and services of that area. A given economy is the result of a process that involves its technological evolution, history and social organization as well as its geography, natural resources endowment and ecology, as main factors, these factors give context, content, and set the conditions and parameters in which an economy functions. Role: A role or (social role) is a set of connected behaviours, rights, and obligations as conceptualized by actors in social situations. It is an expected or free or continuously changing behaviour and may have a given individuals social status or social position. It is vital to both functionalist and interactions understanding of society –
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