Small Scale Enterprises and Job Creation in Bayelsa State, Nigeria: A Study of Commercial Motorcycle Business in Amassoma and Ogobiri Communities, Southern Ijaw Local Government Area.
- Atetedaye Timothy Olamiposi,
- 873-887
- Apr 13, 2025
- Education
Small Scale Enterprises and Job Creation in Bayelsa State, Nigeria: A Study of Commercial Motorcycle Business in Amassoma and Ogobiri Communities, Southern Ijaw Local Government Area.
Atetedaye Timothy Olamiposi
ACADEX Integrated Service, Research Department, Bayelsa State, Nigeria
DOI: https://doi.org/10.51244/IJRSI.2025.12030068
Received: 22 March 2025; Accepted: 26 March 2025; Published: 13 April 2025
ABSTRACT
The study empirically evaluated Small Scale Enterprises (Commercial Motorcycle Business) and Job Creation in Bayelsa State, Nigeria. The study used primary data collected from 134 commercial motorcyclists randomly selected from a population of 401 commercial motorcyclists in the study areas. Descriptive statistics and Chi-square test were used in analyzing and testing the hypotheses. The study revealed that commercial motorcycle business has a significant impact on the social and economic lives of the operators thereby improving the communities’ standard of living. The study also revealed that as a result of high rate of unemployment in the communities, commercial motorcycle business has been able to serve as a refuge for those who are not able to find employments in the formal sector. The study also find out that most of the operators earn far more than a monthly minimum wage of #70,000.00 ($45) being paid to government workers. Having known the important of commercial motorcycle business, as a refuge to those who could not find employments in the formal sector, a major means of alleviating poverty and sustaining food security in the communities, government is therefore, advise to encourage commercial motorcycle business in the communities by rehabilitating bad roads, training of motorcycle operators must be emphasized and proper enforcement measures should be undertaken at all times to avoid the rate of motorcycle accident in the communities.
Keywords: Small Scale Enterprises, Commercial Motorcycle, Job Creation
INTRODUCTION
As of 2023, the total unemployed population in Nigeria was estimated at around 2.3 million. This is a decrease from the preceding year, when the number of unemployed people was around 2.9 million. It is also estimated by (ILO, 2023) that 12.6% of youths in the global labour force are unemployed amounting to about 53.40% of youths are unemployed according to youth unemployment rates released by the National Bureau of Statistics in 2022. In 2011, an analysis on the unemployment situation in Nigeria shows that of the total number of unemployed individuals, 43.7% were university graduates, 23.8% were polytechnic graduates and 15.5% were college undergraduates (CBN, 2012).
Though, Nigeria is not the only nation facing the problem of unemployment; but its rising levels shows that the phenomenon has become precarious. Nigeria has implemented several policies to address unemployment including: National Directorate of Employment (NDE), Subsidy Reinvestment and Empowerment Programme (SURE-P), University Entrepreneurship Development Programs (UNEDEP), Government Enterprise Empowerment Programme (GEEP), Graduate Internship Scheme (GIS), N-Power, Youth Enterprise with Innovation in Nigeria (YOUWIN), National Social Investment Program (NSIP), National Development Plan (NDP 2021-2025) and currently we have 3 Million Technical Talents (3MTT) – This program equips millions of Nigerians especially youths with digital skills to create jobs and foster a culture of innovation. In spite of all the aforementioned policies, the continuous rise in the unemployment rate in Nigeria is disturbing.
Thus, urgent attention on policies designed to tackle unemployment in Nigeria need to be properly reviewed. Actually, the deteriorating employment crisis in the nation is partly an indication of government’s inability to formulate viable and feasible policies that will reduce the rate of unemployment to its barest minimum. One of the most promising ways to tackle unemployment in the nation is by promoting entrepreneurship and small businesses. Empowering individuals to start their own ventures can create job opportunities not only for themselves but also for others.
This study therefore examined Small Scale Enterprises & Job creation in Amassoma and Ogobiri communities, Southern Ijaw Local Government, Bayelsa State with a major focus on Commercial Motorcycle Business, known as Okada Business.
STATEMENT OF THE PROBLEM
Over the years, the Nigerian government has initiated various policies aimed at reducing the rate of unemployment in the economy. These policies include the Structural Adjustment Programme (SAP), welfare to work scheme, tax reduction, the National Directorate for Employment (NDE) in 1986, the Directorate for Food, Roads and Rural Infrastructure (DFRRI) in 1987, Family Economic Advancement Program (FEAP) in 1998, National Economic Empowerment and development strategy (NEEDS) in 2004, the National Poverty Eradication Programme (NAPEP) in 2001, 3 Million Technical Talents (3MTT) etc.. In spite of these policies introduced by the Nigerian government-, Nigerians specifically the youths are still experiencing great hardship in securing employment.
In spite of the Nigerian government efforts and measures at reducing unemployment rate in the country, the rate of unemployment is still very high. National Bureau of Statistics in 2016 affirmed a yearly rise in unemployment rate in Nigeria. It is against the background that this study intends to examine Small Scale Enterprises and its impact on job creation in Amassoma and Ogobiri communities in Bayelsa State. In Nigeria, attempts have been made to conduct empirical studies on the link between Small Scale Enterprises and job creation (Kadiri, 2012; Safiriyu and Njogo, 2012; Bello, Jikan-Jatum and Nasiru, 2017; Magaji and Temitope, 2022; Mohammed and Abdurrauf, 2022). However, the impact of the medium of transportation on job creation has never been discussed in Bayelsa State while a very scanty of such research has been done in Nigeria. This study intends to fill this gap.
OBJECTIVES OF THE STUDY
The broad objective of this empirical study is to examine Small Scale Enterprises and Job Creation in Amassoma and Ogobiri Communities, Southern Ijaw Local Government, Bayelsa State, Nigeria. However, the specific are to:
- determine the socioeconomic effects of commercial motorcycle on the commercial motorcyclists in the communities.
- determine the impacts of commercial motorcycle on the economic activities of the communities.
- identify the factors militating against the smooth operations of commercial motorcycle in the communities.
SIGNIFICANCE OF THE STUDY
This study is significant and justified on many counts. First, given the inability of successive governments in Nigeria to create jobs thereby alleviating poverty incidence using the conventional tool of agriculture, there is an urgent need therefore to seek for other non-agricultural measures of job creation. Accordingly, commercial motorcycle business is considered relevant in addressing these economic challenges and this study would be of immense benefit to policy makers in this regard.
CONCEPTUAL FRAMEWORK
The Concept of Small Scale Enterprises
Small Scale Enterprises are usually small own or family managed business with its goods and services being basic. SSEs also tend to lack the organization and management structure, which characterize large-scale entrepreneur. Although, there exists no consensus among policy makers and scholars concerning the point at which a business firm is deemed to be small or medium. Small-Scale industries are also characterized by simple management structure, which generally combines ownership and management in one person; hence, they revolve around the single owner/manager rather than separating the ownership from management (Ayeni-Agbaje and Osho, 2015; Umogbai, Diaka and Ekeh, 2016).
Small Scale Enterprises and Job Creation
Small Scale Enterprises have been recognized as driving force for economic growth in any nation. Empirical evidences have shown that they contribute to employment, alleviate poverty and increase productivity level in a nation (Oke and Aluko, 2015). According to the statistics, in industrialized countries, Small Scale Enterprises are major contributors to private sector employment (Mukole, 2010).
Small Scale Enterprises are the starting point of development in the economies towards industrialization. Small Scale Enterprises have a propensity to employ more labour-intensive production processes than large enterprises. Consequently, they contribute significantly to the provision of productive employment opportunities, the generation of income and, eventually, the reduction of poverty. According to the statistics, in industrialized countries, Small Scale Enterprises are major contributors to private sector employment (Bies, 2002; Fida, 2008; Mukole, 2010).
The Concept and Emergence of Commercial Motorcycle Business
In Nigeria, the use of motorcycles by private individuals had existed for a long time. Although many used it for private purposes, a few made use of it to transport farm produce and to hawk their goods like bread, medicines, newspapers etc. The commercial use of motorcycles began in Calabar, the capital of Cross River State of Nigeria in the early 1970s. Its use for commercial services grew after the nationwide retrenchment of civil servants in 1975/76 (Adesanya, 1998). Apart from Calabar, documentary evidence also shows that motorcycles were first introduced for public transport in the northern Nigerian town of Yola in 1970 (Ogunsanya and Galtima, 1993). In the year 1980, the use of motorcycles for public transportation had gradually spread to other parts of Nigeria.
A combination of factors can be identified as responsible for the use of motorcycles as means of intra-city transport in Nigeria. One major factor that contributed to the emergence of motorcycles for commercial transportation in Nigeria was the high rate of unemployment prevalent in the country in the 1980s. Another important factor that contributed to the growth of commercial motorcycle business in Nigeria was the relative lucrative nature of the business. Generally, the commercial motorcycle operators derive reasonable profit from their operations. Two among the motorcyclists interviewed claimed that they make an average of about #5, 000.00 to #10,000 on a daily basis after satisfying all expenses (Mr Thompson and Mr Okechuku, Motorcyclists, on 3rd April and 21st June, 2024 respectively). The lucrative nature of the business had made motorcycle transport business to grow into a big industry in the country.
THEORETICAL FRAMEWORK
The relevant theories to this research are Human Capital Theory and Lewis Labour Surplus Theory. However, the research work was anchored on Lewis Labour Surplus Theory.
Lewis Labour Surplus Theory
The main theory of small scale theory development is often traced to the seminal work by Lewis (1955), which is commonly referred to as the Labour Surplus Theory. According to this theory the emergence and development of the subsistence sector (small scale enterprises) is driven by the excess labour supply, which cannot be absorbed by either the public sector or the large private enterprises (the capitalist sector). The capitalist sector is that part of the economy which uses reproducible capital and pays capitalists for the use thereof. The use of capital is controlled by capitalist sector which hires the services of the labourer. It may be either private or public. The average wages are quite high. The people are generally advanced, literate, sophisticated and skilled in the capitalist sector. They employ labourers for wages in mines, factories and plantations etc. for earning profits. The output per head is high. On the other hand, the subsistence is that part of the economy which does not use reproducible capital. In this sector, the output per head is quite low as compared to the capitalist sector. The average productivity of labour is low and people are generally backward, illiterate, and unskilled. Thus, there are less similarities between the two sectors and the development is lopsided.
In line with this theory, it can be argued that unemployment is a lubricant for small scale enterprises growth and development. When there is high rate of unemployment, small scale enterprises provide a refuge for those who are not able to find employment in the formal sector. Green, Kirpatrick, and Murinde (2006) posit that SSEs are expected to grow in periods of economic crisis, when formal sector contracts or grows too slowly to absorb the labour force. However, when formal employment grows, the SSE sector is assumed to contract again and thus developed an anti-cyclical relationship with the formal economy.
For the purpose of this study, both human capital theory and Lewis labour supply theory were reviewed based on the facts that; firstly, a commercial motorcyclist needs to go through apprenticeship training as it was suggested by human capital theory simply to acquire knowledge, some form of skills, abilities, ideas and training to operate a as professional commercial motorcyclist thereby becoming a self-employed. Secondly, in the case of Lewis labour supply theory, the theory argues that commercial motorcycle business as a small scale business is a refuge for the people who are unable to find means of livelihood in the formal sector thereby reducing poverty incidence.
Human Capital Theory
The Human Capital Theory (HCT) is where Becker (1964) and Mincer (1974) view education and training as the major source of human capital accumulation that, in turn, have direct and positive effect on individual’s life time earnings. The human capital theory serves as the theoretical framework for analyzing earnings. Resources such as education, training and experience can increase a worker’s productivity and earnings (Berker 1964; Mincer 1974). Berker (1964) further contends that physical capital and labour market experience plays the strongest role in the income generating process for self- employed. Human Capital is described further by Mincer, 1974, to mean productive investments embodied in human persons. These include skills; abilities; ideas; resulting from expenditure on education and on-the-job training. In this connection, to operate in the informal sector some form of skills, abilities, ideas and training are needed in order to enhance productivity that will in turn guarantee employment and earnings. This is reflected in some informal sector activities like tire repair business; motor/motorcycle mechanic; and hairdressing where one need to undergo apprenticeship training to become self-employed. However, the commercial motorcycle business requires skills, ideas; and abilities to operate in order to generate employment and income.
Empirical Literature
The study investigated the effect of the informal sector on poverty alleviation among commercial motorcycle riders in Minna Metropolis of Niger state Nigeria. The research used primary data collected from 379 respondents randomly selected from a population of 7273 registered motorcycle operators in Minna Metropolis. Descriptive statistics and regression analysis were used in analyzing the data. Employing ordinary least squares (OLS) technique, three econometric models were estimated and tested using income, Consumption expenditure and wealth accumulation as dependent variables while experience, age, level of education, marital status, number of dependents, mode of operation, number of hours worked per day and daily turnover of the respondents as explanatory variables. The study revealed that 93% of the operators earn above the international poverty line of one dollar a day. Furthermore, experience, mode of operation, number of hours worked and turnover were the major determinants of poverty alleviation of the commercial motorcycle riders in Minna Metropolitan area. The implication of these findings points to the need for serious attention to the sector through rigorous regulation and funding so that it will help in solving unemployment and poverty problems in Minna metropolis, Niger state and the country at large (Mohammed and Abdurrauf, 2022).
Bello, Jikan-Jatum and Nasiru (2017) applied a simple percentage and Chi-square to examine the socio-economic impacts of commercial motorcycles in Gombe State, Nigeria. The study was carried out in Gombe Metropolis with using a simple random sampling technique to select 500 motorcyclists sample size. The study finds that commercial motorcycle business is a youth dominated business, majority of who are in the age bracket of 21-30 years and mostly rely on it to sustain their families. The results also reveal that commercial motorcycle business betters the livelihood of the respondents. Similarly, the results indicate that the respondents make enough money to sustain their families. The study recommends that ministry of youth should partner with their unions and other relevant agencies to provide motorcycles on hire purchase basis so that they can own their motorcycles. This is because most of them (74%) rely on the business to sustain their families. Also, the study finds that most of the respondents learnt to ride motorcycles in an informal way, the study therefore recommends that all motorcyclists must pass through riding school and obtain valid riding/driving license. This can be achieved through decentralizing driving and testing centers across the state.
Research Gaps
In spite of the numerous empirical studies on Small Scale Enterprises and Job Creation in Bayelsa State, including the ones reviewed above, no empirical study known to the author of this study has examined the role of commercial motorcycle as an important enterprise that could create jobs in the State. This study is therefore a pioneer empirical attempt in Bayelsa State to fill this gap in the literature and provide the foundation for evidence-based policies for tackling the economic challenge of unemployment facing low income countries like Nigeria.
Besides, most of the previous studies focused on the determinants of earnings among commercial motorcyclists across the rural-urban divide in Kwara State, Nigeria (Taruwere, 2012), the socioeconomic challenges of road accidents among motorcyclists in Ile-Ife, Osun State, Nigeria (Olabode, Adeigbe, Hilary, Owonibi, Adepoju and Akinlaja, 2013), the trends of motorcycle accidents in Lokoja, Kogi State, Nigeria for the period 2000-2009 (Aderamo and Olatujoye, 2013) and so on, thus ignoring it’s very important role in job creation.
RESEARCH METHODOLOGY
Cooper and Schindler (2001) refer to research design simply as the plan and structure of investigation so conceived as to obtain answers to research questions. The research design is the conceptual structure within which the research is conducted. It constitutes the blue print for the collection, measurement and analysis of data (Kothari 2004). The research design that was used in this study was a survey design. The design was used because it incorporates questionnaire, field observation and key informant interview in the study area.
Amassoma is situated at 4.970 North latitude, 6.110 East longitude and 79 meters elevation above the sea level (Maps-StreetView.com, 2018). It is bounded to the North by River Nun, West by Otuan and Wilberforce Island, East by Toru- Ebeni and the South by Ogobiri. Amassoma has a diameter of about 6 km East to West and approximately 2 km North to South (Audu, 2011). The population of the two communities is heterogeneous, consisting of the native Ogboins, students, petty traders and businessmen from other parts of the state and country. The reason for this location is the population of the commercial motorcyclists as well as the popularity of the business in the areas.
Creswell (2005) describes a population as any group of individuals that has one or more characteristics in common and that are of interest to the researcher. Thus the population of this study is four hundred and one (401) commercial motorcyclists in the two communities (Okada Rider’s Association, on 25th June, 2024)
A sample size is a small group of elements or subjects drawn through a definite procedure from a specified population (Onyeizugbe, 2013). The researcher adopted simple random sampling procedure which is the method that gives each commercial motorcyclist in the town equal chance of been selected (Anyawu, 2000). The study focused on 401 commercial motorcyclists in the communities. Using Taro Yamane’s sample determination method as given below, a total of 200 commercial motorcyclists were selected as
Where; n = the sample size, N = the finite population, e = level of significance, 1 = unity
Both primary and secondary sources of data were analyzed using both qualitative and quantitative methods. The statistical package for social sciences (SPSS) version 20 was used for processing and analyzing the data obtained from questionnaires. Descriptive statistics like frequencies, percentage and figure was applied to facilitate meaningful analysis and interpretation of research findings.
The chi-square (X2) test was used in testing the relevant hypothesis. This statistical tool of analysis was used because of the non-parametric nature of data. Moreover, the chi-square statistic is easy to compute and interpret.
Where:
O = Observed Frequency
E = Expected Frequency
X2 = Chi-Square
Ʃ = Summation
PRESENTATION OF FINDINGS, INTERPRETATION AND ANALYSIS
This chapter covered the analysis and interpretation of the various data collected through the use of questionnaires. 200 commercial motorcycle operators were taken and two hundred (200) questionnaires were printed and distributed to respondents for the purpose of data collecting.
Findings And Data Analysis
Instruments return rate
Number | Frequency | Percentage (%) |
Number Returned | 134 | 67 |
Number not Returned | 66 | 33 |
Total Number Shared | 200 | 100 |
Source: Field Survey
Out of 200 questionnaires distributed to those selected respondents in Amaaoma and Ogobiri communities, 134 were returned by the respondents, which showed that 66 representing 33 per cent of the instruments were not returned.
Age of the Respondents
Age | Frequency | Percentage |
10 – 19 | 12 | 8.9 |
20 – 29 | 29 | 21.6 |
30 – 39 | 46 | 34.3 |
40 – 49 | 39 | 29.1 |
50 — Above | 08 | 5.9 |
Total | 134 | 100 |
Source: Field Survey
34.3% of the respondents are of the ages 30-49 years. They are captured within the productive age bracket of the international labour organization. The age group captured stands to affirm Ali Maszrui assertion that in times of economic biting jobs that are classified as inferior are taking up as the main job and redefined. The age bracket was the highest because they were within the age where every man naturally should be independent and able to take responsibility. At this age, life adventure is usually pronounced.
Marital Status of the Respondents
Marital Status | Frequency | Percentage |
Single | 75 | 55.9 |
Marital | 119 | 44.0 |
Total | 134 | 100 |
Source: Field Survey
For the marital status, the table shows that 55.9% of our respondents were single, while 44.0% of them were married. The personal communication Mr. Thompson, Mr.Okechukwu and Mr. Romeo (motorcyclists), shows that their engagement in the business most was as a result of the need to take care of their families.
Educational Attainment of the Respondents
Educational Attainment | Frequency | Percentage |
No formal education | 27 | 20.1 |
Primary school | 32 | 23.8 |
Secondary school | 62 | 46.3 |
Tertiary education | 13 | 9.7 |
Total | 134 | 100 |
Source: Field Survey
27 constituting 20.1% of the respondents have not acquired formal education, 32 constituting 23.8% of the operators were first school leaving certificate holders, the high percentage of the operators 62(46.3%) were secondary school leavers while the remaining 13 respondents constituting 9.7% were graduates.
Monthly Income of the Respondents
Income (N) | Frequency | Percentage |
N30, 000 – N39, 000 | 9 | 6.7 |
N40, 000 – N49, 000 | 12 | 8.9 |
N50, 000 – N59, 000 | 26 | 19.4 |
N60, 000 – N69, 000 | 49 | 36.6 |
N70, 000 — Above | 38 | 28.4 |
Total | 134 | 100 |
Source: Field Survey
The above table portrays the information on income generation by the commercial motorcyclists. 87% of the respondents are earning between N60,000 to N70, 000 above monthly. With this monthly income, the trade is par with other economic activities. It has surpassed N70,000 minimum wage set for the government establishments. This implies that to the motorcyclists the business is booming especially when Niger Delta University (NDU) is in session. It is a trade worthy venturing especially for the teeming Nigeria youth.
Reasons for operating commercial motorcycle
Reasons for operating | Frequency | Percentage |
To improve self -standard of living | 24 | 17.9 |
To provide self-employment | 81 | 60.5 |
To assist in solving rural mobility problems | 16 | 11.9 |
For leisure | 13 | 9.7 |
Total | 134 | 100 |
Source: Field Survey
The table above shows that 78.4% of the respondents ventured into the business for the purposes of improving their standard of living through gainful employment. The information gathered indicates that some of the respondent entered the business to solve rural mobility problems. There are also population that in the trade for leisure, they are mostly seen in the evening hours.
Hypotheses Testing
The hypotheses were tested using chi-square statistical method. Two hypotheses were tested as follows:
Research Hypothesis 1
H0: Commercial motorcycle business has no significant impact on the socioeconomic activities of the operators.
Using question 1 from the research questionnaire, the frequencies and test statistic is presented below
Research Question 1: Did you have any tangible work that you were doing before you engaged in commercial motorcycle business?
Socioeconomic impacts of commercial motorcycle business on the operator in the communities
Items | N | DF (v) | X²c | X²t | Significance |
---|---|---|---|---|---|
YES | 45 | 1 | 45.000 | 3.84 | Significance |
NO | 135 | ||||
P < 0.05180 |
Source: SPSS Software Version 20
From the table above, the X2c calculated is 42.000 and X2t tabulated is 3.84 therefore, since the calculated value is greater than the tabulated value, we agree with H1, which says commercial motorcycle business has a significant impact on the motorcyclists. In order words, the above statistic shows that the operators were unemployed/jobless owing to the fact that they did not have any tangible works they were before engaging in the business. The same stand was taken by Oluranti (2011), Ayanwuyi (2013) and Oyedepo, Fadugba and Odesanya (2016. All were of the opinion that there is a positive significant relationship between the operators and the business. They argued that commercial motorcycle is one of the major employers of young especially the young school leavers, the operation of commercial motorcycles contributes to the living standard of the operators and the nation in developing countries like Nigeria and that rural dwellers’ are of opinion that impact of Okada services was a gradual development of the rural economy leading to poverty alleviation and food security.
Research Question 4: Before you joined the business, was there any moment when you searched/looked for jobs in any organizations and you did not get it?
Socioeconomic impacts of commercial motorcycle business on the operator in the communities
Items | N | DF (v) | X²c | X²t | Significance |
---|---|---|---|---|---|
Yes | 109 | 1 | 8.022 | 3.84 | Significance |
No | 71 | ||||
P < 0.05180 |
Source: SPSS Software Version 20
From the table above, the X2c calculated is 8.022 and X2t tabulated is 3.84 therefore, since the calculated value is greater than the tabulated value, we agree with H1, which says commercial motorcycle business has a significant impact on the motorcyclists. The above result affirmed to Lewis Labour Surplus Theory by Lewis (1955). The theory argued that unemployment is a lubricant for small scale enterprises growth and development. When there is high rate of unemployment, small scale enterprises provide a refuge for those who are not able to find employment in the formal sector. The result above revealed that most of the respondents ventured into the business because they could not find jobs in the formal sector.
Research Question 7: Do you make enough money from the business to sustain your family?
Socioeconomic impacts of commercial motorcycle business on the operator in the communities
Items | N | DF (v) | X²c | X²t | Significance |
---|---|---|---|---|---|
Yes | 147 | 1 | 72.000 | 3.84 | Significance |
No | 33 | ||||
P < 0.05180 |
Source: SPSS Software Version 20
From the table above, the X2c calculated is 72.000 and X2t tabulated is 3.84 therefore, since the calculated value is greater than the tabulated value, we agree with H1, which says commercial motorcycle business has a significant impact on the motorcyclists. According to Oluranti (2011) argued that most of the commercial motorcyclist earn above the new minimum wage which made it possible for them to sustain their families. Based on the information gathered via the questionnaire and personal interview with Mr Thompson and Mr Okechuku, Motorcyclists, on 3rd April and 21st June, 2018 , they said they make an average of about #3, 000.00 to #4,000 on a daily basis after satisfying all expenses.
They were of the opinion that daily income of commercial motorcycle operators varies depending on individual efficiency. The highest average daily income made by the Okada operators ranges from N5,000 and N10,000.Thus, the Okada operators get more than a monthly minimum wage of N60,000 to N70,000 ($47) being paid to government workers. This further justifies why some people both learned and unlearned join the business to earn a living. This study also agrees with Oyedepo, Fadugba and Odesanya (2016) that commercial motorcycle operations have the ability to improve the standard of living in the country.
Research Hypothesis 2
H0: There are no factors militating against the smooth operations of commercial motorcycle in the communities.
Using question 24 from the research questionnaire, the frequencies and percentage is presented below
Research Question 24: What are the factors militating against the smooth operations of commercial motorcycle in the communities?
Factors militating against the smooth operations of commercial motorcycle in the communities
S/N | Problem Identified | F | % |
---|---|---|---|
a. | Police harassment and extortion | 17 | 12.68 |
b. | Bad roads | 8 | 5.97 |
c. | Customers’ attitude towards commercial motorcyclists | 12 | 8.96 |
d. | High price of petrol | 32 | 23.88 |
e. | High price of spare parts | 22 | 16.42 |
f. | Bad weather conditions | 6 | 4.48 |
g. | Low quality of spare parts | 4 | 2.99 |
h. | Lack of motorcycle sheds | 10 | 7.46 |
i. | Fuel scarcity | 16 | 11.94 |
j. | Absence of more qualified motorcycle mechanics | 5 | 3.73 |
From the above simple percentage, it is understood that there are challenges facing commercial motorcycle business in Bayelsa State ranging from police harassment, bad roads, customers’ attitude towards commercial motorcyclists, high price of petrol, high price of spare parts, bad weather conditions, low quality of spare parts, lack of motorcycle sheds, fuel scarcity, absence of more qualified motorcycle mechanics etc.
However, the study revealed that high price of petrol has been the major challenge of commercial motorcyclists in the area. From the above statistic, high price of petrol has 23.88% followed by high price of spare parts with 16.42%, followed fuel scarcity 11.94%, followed police harassment and extortion 12.68% and so on. Therefore, we agree with H1, which says there are factors militating against the smooth operations of commercial motorcycle in the communities.
CONCLUSION, SUMMARY AND RECOMMENDATION
Conclusion
In sum, commercial motorcycle business is about the most popular mode of public transportation in most of the communities in Bayelsa State especially in Amassoma and Ogobiri communities and this is as a result the state university in these areas. Aside from being a lucrative business, it has been making modest contribution in terms of employment, revenue generation and savings mobilization. Equally, it serves as an investment outlet.
The use of motorcycle as a commercial transport services (Okada) has come to stay in the communities. The study is different and unique in that it did not only show the factors affecting the smooth running of the business but also the impacts of commercial motorcycle in services in rural community development, like several previous studies and also revealed the perception of the operators rural on impacts and constraints of commercial motorcycles services in rural community. The study has demonstrated the perception of the operators on its impacts on them, their families and the communities.
The study concludes that commercial motorcycles contributes to the living standard of the operators and the nation in developing countries like Nigeria and that operators are of opinion that impact of Okada services was a gradual development of the rural economy leading to poverty alleviation and food security.
Based on the Lewis Labour Surplus Theory, this study concluded that unemployment is a lubricant for small scale enterprises growth and development. When there is high rate of unemployment, small scale enterprises provide a refuge for those who are not able to find employment in the formal sector. The study revealed that most of the respondent ventured into the business because they could not find jobs in the formal sector.
Summary of Research Findings
The overall objective of this empirical study was to examine Small Scale Enterprises and Job Creation in Amassoma and Ogobiri Communities, SouthernIjaw Local Governnment in Bayelsa State. The study sought to evaluate the socio-economic impacts of commercial motorcycle on the commercial motorcyclist in the communities and some factors militating against the smooth running of the business.
The study found out that commercial motorcycle business has a significant impact on the social and economic lives of the operators thereby improving the communities’ standard of living. The study also revealed that as a result of high rate of unemployment in the communities, commercial motorcycles have been able to serve a refuge for those who are not able to find employment in the formal sector. The study also find out that mostly the operators earn far more than a monthly minimum wage of #70,000.00 being paid to government workers.
Finally, it is obvious that the commercial motorcyclists in Amassoma and Ogobiri communities encounter some difficulties in the course of their business.
According to the information gathered from the operators, high fuel price, high price of spare parts, fuel scarcity etc. are major problems facing them in the communities.
Recommendations
Recommendations for policy makers
Having known the important of commercial motorcycle business, as a refuge to those who could not find employment in the formal sector, a major means of alleviating poverty and sustaining food security in the communities, government is therefore, advise to encourage commercial motorcycle business in the communities by rehabilitating bad roads, training of motorcycle operators must be emphasized and proper enforcement measures should be undertaken at all times to avoid the rate of motorcycle accident in the communities.
To ascertain the level of experience in riding, motorcyclists should be made to undertake tests and licences issued before they can be permitted to operate on roads.
Regulation on compulsory use of safety materials, such as protective head helmets, goggles, and hand gloves should be enforced and users of commercial motorcycle should be sensitized and educated on the benefit of the usage of protective head helmets. Government should formalize and regulate the activities of commercial motorcycle operators to strengthen the business.
There is a need to strengthen legal enforcement of helmet wearing and ensuring the availability and accessibility of quality helmet to the majority of commercial motorcyclists. There is also need for regular education campaigns to foster positive attitude towards helmet use.
Recommendations for commercial motorcyclists
In the course of the research work, two behaviours were identified as being particularly essential to operators’ safety. The first behaviour was the necessity of being able to handle the motorcycle proficiently and skilfully. The second behaviour was related to the need for operators to maintain a high level of concentration when riding and to be aware of the changing road environment.
Recommendations for further research
There has been no research work on the role of commercial motorcycle as an important enterprise that could create jobs in the State. This is an important gap which needs to be filled.
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QUESTIONNAIRE
Dear Respondent,
This questionnaire is designed to collect data to produce a research thesis on; The Impact of Small Scale Enterprises, Job Creation in Amassoma and Ogobiri Communities, Southern Ijaw Local Governnment in Bayelsa State, Nigeria: with a focus on commercial motorcycle. The purpose of this questionnaire is to obtain information about your perceptions, opinions, experiences and particular knowledge about contributions and economic significance of commercial motorcycle.
You have been selected as a source of data for this study. The information you supply in this questionnaire will be treated with utmost confidentiality and will be used strictly for research purpose only.
Thank you.
Researcher Name
Part 1: Generation Information of the Respondents
Please write and tick appropriately in the space provided to indicate your response.
- Ages of respondents (a) 10-19 ( ) (b) 20-29 ( ) (c) 30-39 ( ) (d) 40-49 ( ) (e) 50 and above ( )
- Marital Status (a) Single (b) Married
- Educational attainment (a) No formal education ( ) (b) Primary School ( ) (c) Secondary School ( ) (d) Tertiary education ( ) (e) Professionals ( )
- Years of experience in commercial motorcycle business (a) 1-3 ( ) (b) 4-6 ( ) (c) 7-9 ( ) (d) 10 and above ( )
- Monthly income (a) #30, 000 – #39, 000 (b) #40, 000 – #49, 000
(c) #50, 000 – #59, 000 (d)#60, 000 – #69, 000
(e) #70,000 – above.
6) Reasons for operating motorcycle business for public
(a) To improve self -standard of living
(b)To provide self-employment
(c) To assist in solving urban mobility problems
(d) For leisure
Part 2: The Socio-Economic Impacts of Commercial Motorcycle Business in the Communities
- Have you any tangible work that you were doing before engaging in commercial motorcycle business?
Yes _______ No__________
- Did you have a sustainable source of income before engaging in the business?
Yes __________ No ___________
- Before you joined the business, was there any moment when you searched/looked for jobs in any organizations and you did not get it?
Yes ______ No ________
- Is your monthly income from the business enough to sustain your family?
Yes ___ No ________
- Is your monthly income from the business sufficient to support your living condition? Yes _____ No ____
Part 3: The Socioeconomic Impacts of Commercial Motorcycle Business on the Economic Activities of the Communities.
- Is commercial motorcycle business a source of revenue to the people in the communities?
Yes_______ No _________
- Does commercial motorcycle business solve the problem of unemployment in the communities?
Yes_______ No _________
- Does commercial motorcycle facilitate business/trade between Amassoma, Ogobiri and the nearest communities?
Yes_______ No _________
Part 2: Factors/Militating Against Commercial Motorcycle Business
Below are the following constraints and problems facing the commercial motorcycle business both at start up and operational level? (Make a tick mark parallel to the question)
Factors militating against Commercial Motorcycle Business Yes No
- Police harassment and extortion
- Bad roads
- Customers’ attitude towards commercial motorcyclists
- High price of petrol
- High price of spare parts
- Bad weather conditions
- Low quality of spare parts
- Lack of motorcycle sheds
- Fuel scarcity
- Absence of more qualified motorcycle mechanics