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CHAPTER ONE

1.1  Background To The Study

Small scale businesses are those businesses which are independently owned and operated requiring limited capital with few employee and non-sophisticated technology  and which is not dominant in its field of operation. Small businesses constitute those sole proprietorships,  privately owned corporations, partnershhips with  fewer employees and less annual revenue than a regular-sized business or corporation. Types of small business include those engaged in trade and commercial activities, services, and small scale manufacturing .Examples  include service or retail operations such as delicatessens, hairdressers or convenience stores, small grocery stores, bakeries tradepeople (eg. carpenters, electricians), very small-scale manufacturing and Internet-related businesses. Small business can be started with very minimal capital  and without any formality .many small business are operated as family business and can be combined with regular employment. The research therefore seek to investigate the  Management and operation on small scale business (A case study of Textile unit

1.2  Objectives of the Study

To determine the nature of small scale business

To determine the Management and operation of small scale business (A case study of Textile unit

Small business can be started with very minimal capital and without any formality .many small business are operated as family business and can be combined with regular employment.

1.3  Research Questions

What is small scale business

What is the level of impact of the management and operation of small scale business?

1.4  Significance of the Study

The study shall  appraise the nature , management and operation of small scale business which shall serve as a vital source of information to investors

1.5  Research Hypothesis

Ho The level of impact of the Management and operation of Textile unit small business is low

HI The level of impact of the Management and operation of Textile unit small business is high

1.6  Scope of the Study

The study focuses on the appraisal of  Management and operation of small scale business  with a case study Textile unit

1.7  Limitations of the Study

The study was confronted by some constraints including logistics and geographical factors.

1.8  Definition of Terms

SMALL BUSINESS DEFINED

Small scale businesses are those businesses which are independently owned and operated  requiring limited capital with few employee and non sophisticated technology  and which is not dominant in its field of operation. Small businesses constitute those sole proprietorships,  privately owned corporations, partnerships with  fewer employees and less annual revenue than a regular-sized business or corporation.

FRANCHISE  BUSINESS
Franchising is a way for small business owners to benefit from the economies of scale of the big corporation (franchiser). McDonald’s and subway are examples of a franchise. The small business owner can leverage a strong brand name and purchasing power of the larger company while keeping their own investment affordable

Retailers’ cooperative

A retailer’s cooperative is a type of cooperative which employs economies of scales on behalf of its retailer members. Retailers’ cooperatives use their purchasing power to acquire discounts from manufacturers and often share marketing expenses. It is common for locally owned grocery stores, hardware stores, and pharmacies to participate in retailers’ cooperatives. Ace Hardware, True Value and NAPA are examples of a retailers’ cooperative.

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