RESEARCH METHODOLOGY
The
area of interest in this work (research) centers on the problems and prospects
of financing small-scale enterprises in Nigeria, a case study Bida local
Government Area of Niger state.
In carrying out this research, the
researcher selected three small-scale enterprises in Bida Local Government Area
of Niger state, they are good health pharmaceutical company Ltd, Lady Flora
beauty salon and Ennack computer business centre.
The purpose of selecting them is to
sample diverse ideas and views about the topic.
The class of personnel of this study
runs through different levels of management, mainly from the top management
staff to the middle level of management.
The dimension of the study will not
exceed the use of questionnaire and personal interview, though the researcher
will also request for other relevant and available documents from the different
establishments as the case may be.
3.1
DATA REQUIREMENT AND SOURCES.
For
the purpose of this study the researcher deemed it fit to make use of data from
both primary and secondary sources.
a.
PRIMARY SOURCE:
primary source are collected for specific purpose, owing to the fact by
obtaining such data, the exact information wanted is obtained. Data were
gathered through questionnaire and personal interviews of staff of the selected
small-scale enterprises.
b.
SECONDARY SOURCE: these are mainly in the form of written, documented and already
published and unpublished information relating to the subject of this study.
For this research, extensive use was-made of libraries.
Since a lot of material write-ups have been written on
this topic, the researcher therefore availed herself the opportunity of
cross-checking (examining) the contribution made by other authors.
Also the techniques used in this research are
preferred because, it enabled the researcher to satisfy all the demands of this
study by providing a wide range of information in the topic, they include;
i QUESTIONNAIRE:
The questionnaire were presented so as to collect information specifically
for the study. It is considered as the most satisfactory method for data
collection.
ii PERSONAL
INTERVIEWS: The researcher also had face to face interview with the
managers and some staff involved in the management of the enterprises. Also,
personal interview was also conducted on the working of the three selected
enterprises.
The researcher also engage in some
kind of brief discussion and in each case, question that border particularly on
the topic of the study were asked. The aim of this, however, was to supplement
this information obtained from questionnaires in order to satisfy properly all demands
of the study.
3.2
POPULATION OF STUDY
The population of study encompasses all the staff that
is conversant with in the business premises. The number of staff the
questionnaire was distributed to was 50 both from the class of top managerial
staff to the middle level management from the three selected enterprises.
3.3 DESIGN AND ADMINISTRATION OF QUESTIONNAIRE
The questionnaire was constructed and presented in
such a way and pattern as to provide answers of specific question and then
receive the attention of the respondents. It is because of this vital
consideration that all the questions that touch the state hypothesis are
carefully designed to allow for broad response on the research question.
Also, it is divided into two parts namely section
A&B, section A- has to do with the respondents’ personal data while B has
to do with or encompasses question of all kind and manner on the study.
The
questionnaire comprises of twenty-one items and forty-four(44) copies were
distributed.
The essence of having the questionnaire
forms containing all the items is to ensure the continued understanding and
response to the questions by the respondents’ as the test hypothesis are
adequately represented in the questionnaire form.
Also, the forty-four copies of this
questionnaire were distributes to make room for wide coverage of study area as
well as to make up for the short falls that might result from mistakes and
defaults in the return of these form by respondents.
A specimen of the questionnaire form
is attached at the end of the work as one of the appendix.
3.4 SAMPLE
SIZE DETERMINATION
To obtain a representative sample,
each unit must be selected from the total population. However, the researcher
tried to sample his population over different sectors of the firm. To facilitate
his empirical objective of arriving at some purposeful research findings, the
researcher restricted the research to mainly selected workers of the
enterprises. This is due to the fact that the topic “problems and prospects of
financing small-scale enterprises in Nigeria” is a serious problem that need to
be solved, and the solution will only come from those who are fully engaged in
small-scale business because there would be able to give relevant information
needed for the research work.
3.5 SAMPLE
SIZE
The sample size for the study was
systematically determined using Yaro Yamani formula
Yamani: (1964:p.280)
The formula is stated
thus:
n = N
1+N
(e)2
Where n – overall sample size
N – total population size.
I – constant
e – margin of error.
We chose 5 per cent as the margin
error. Therefore, since the population is 50 using an error margin of 5 per
cent.
n
= N
1+N (e)2
n = 50
1+50
(0.05)2
n = 50
1+50(0.0025)
n =
50
1.125
n = 44.44 i .e sample size = 44
3.6
ANALYTICAL TECHNIQUES
This is the technique used in processing data
collected into information required for the research, the research or used
simple percentage method (in analyzing the responses), the simple percentage
used is to enable the researcher explain the data in the questionnaire.
For
the purpose of convenience and clear understanding of the study, numerical
description and tabular presentation were adopted to analyze the different data
collected.
The use of percentage method is also
necessary to explain changes between the statistical data obtained and to put
qualitative characteristics into numerical form theory reducing the problem of
comparison.
(a)
Factor Analysis:
Factor analysis and grouping were use top reduce the number o factors discussed
and this allowed efforts to be concentrated on discussing and recommending on
major factors, since respondents to the survey were sealed to “Yes” or “No” or “Don’t
know.
In view of the nature of the research, a
population estimated, which is greater than 5o percent, confirmed each
hypothesis. The point being that more than 50 percent of the population can be
generalized as having possessed the required characteristics of the population.
The therefore warrant the use gross tabulation analysis by the researcher and
which makes use of percentage based on the identified dominant characteristics
of the population. It is on this basis that each hypothesis tested is either
confirmed and accepted or rejected.
(b)
Statistical Test
for significance: To further confirm and validate the acceptance or rejection
of the hypothesis, all the hypotheses identified already in chapter one and
which have been already established were tested using the chi-square
distribution test (x2).
The chi-square (x2) is defined as “the
different between a set of observed frequencies”. (Osuala 1987). “it is aimed
at meansuring the extent of agreement between the observed and expected
frequencies”. (Ezejelue 1990). It is a sample statistic and it is compound as
follows:
X2 =å (0-e)2
E
i =1
Where x2 = chi-square
O
=observed frequency
E =
Expected frequency
å = Summation size
n = number of observation of sample size studied.
1 = Each number of n.
c. test
for goodness of fit: the chi-square test can be used to determine whether a set
of theoretical or expected frequencies such as frequencies obtained from normal
or abnormal distributions from ideal methods, fit corresponding set of observed
frequencies of a sample. The number of degree of freedom from this type can
of test can be observed as follows: df =
g- n
where d.f = Degree of freedom.
g
= Number of component of the
observed or expected frequencies in a sample
m = the number of known constant values
which are used as constraint for finding the expected frequencies of the
sample.
d. Decision
Rules: the decision rule is based on the level of significance, either for
two-tailed test or for a one –tailed test. If the calculated chi-square is less
than the chi-square from the table you accept the null hypothesis and if
calculated chi-square is more than the chi-square from the table you accept the
alternative hypothesis.
Thus, If calculated x2< x2 from table = accept Ho.
If
calculated x2> x2 from table = accept H1.