Transportation Cost and Prices of Goods and Services in Nigeria
Chapter One
OBJECTIVES OF THE STUDY
The objectives of the study are;
- To determine the effects of transportation cost on the prices of consumer goods.
- To ascertain, if it is the desire for excessive gains that influence retailers infixing prices of goods.
- To Find out what can be done to alleviate the problems of increase prices of consumer goods in the market.
CHAPTER TWO
REVIEW OF RELATED LITERATURE
Transportation and Accessibility
According to Makri and Folkesson (2007), accessibility is a slippery notion and one of those common terms that everyone uses until faced with problem of defining and measuring it. The import of this statement is that accessibility is a daily use amongst people of various backgrounds and inclinations giving way to many definitions. In transportation, accessibility refers to ease of reaching destinations. People in places that are highly accessible would reach many other activities or destinations quickly and people in inaccessible places can reach many fewer places in the same amount of time, so that nearer or less expensive places are weighted more than farther or more expensive places. Accessibility, in general terms, describes degree to which a system is usable by as many people as possible. It is the degree of ease with which to reach certain locations from other locations and viewed as the ability to access functionality and possible benefit. In transportation, accessibility refers to ease of reaching destinations with people in places that are highly accessible reaching many other activities or destinations quickly, while people in inaccessible places can reach fewer places in the same amount of time (Wikipedia contributors, 2008). Accessibility as a property of location and may be grouped into general and special accessibility. According to Harvey (1999), general accessibility refers to nearness to rail termini, bus stations and motorways transport facilities, labour, customers and service facilities such as banks and post office, and special accessibility exists when complimentary uses are in close proximity to each other. In this case, the net economic cost of movement will be lower in terms of distance, time and convenience in addition to greater comparative advantages given greater accessibility of a location (Balchin et al, 2000). Handy and Niemeier (1997) identified “place accessibility” which is derived from patterns of land use. Place accessibility implies spatial distribution of potential destinations, magnitude, quality and character of activities found there. It is derived from transportation system in terms of distance, time taken, and cost of reaching each destination by different modes of transport. According to Kwan (1998), measures of place accessibility normally consist of two elements: a transportation (or resistance or impedance) element and an activity (or motivation or attraction or utility) element. The transportation element comprises the travel distance, time, or cost for one or more modes of transport, while the activity element comprises the amount and location of various activities. A number of studies have been carried out on the significance of accessibility. Banister and Berechman (2005) stated that possible explanation for small and variable impact of urban rail investment is “ubiquitous” accessibility found in urban areas with little impact on overall accessibility and additional infrastructure where network is already well developed. However, Cervero (1998), and Cervero and Wu (1998) concluded that accessibility increasingly shapes metropolitan location decisions and it is people’s desire for location advantages and real estate developers’ awareness of those desires that give rise to urban form. They state further that under conditions of ubiquitous accessibility, monumental transport improvements have little effect on location (Wegner, 1995:159). It has generally been agreed in earlier studies (Haig, 1926; Alonso, 1960; McQuaid and Grieg, 2003) that accessibility has important roles to play in the determination of property values but the studies failed to recognize the part played by road network that primarily delivers the accessibility. Few of the studies established the relationship that exists between property value and pattern of road network.
CHAPTER THREE
RESEARCH METHODOLOGY
Research design
The researcher used descriptive research survey design in building up this project work the choice of this research design was considered appropriate because of its advantages of identifying attributes of a large population from a group of individuals. The design was suitable for the study as the study sought transportation cost and prices of goods and services in Nigeria
Sources of data collection
Data were collected from two main sources namely:
(i)Primary source and
(ii)Secondary source
Primary source:
These are materials of statistical investigation which were collected by the research for a particular purpose. They can be obtained through a survey, observation questionnaire or as experiment; the researcher has adopted the questionnaire method for this study.
Secondary source:
These are data from textbook Journal handset etc. they arise as byproducts of the same other purposes. Example administration, various other unpublished works and write ups were also used.
Population of the study
Population of a study is a group of persons or aggregate items, things the researcher is interested in getting information transportation cost and prices of goods and services in Nigeria. 200 retailers in Uyo were selected randomly by the researcher as the population of the study.
CHAPTER FOUR
PRESENTATION ANALYSIS INTERPRETATION OF DATA
Introduction
Efforts will be made at this stage to present, analyze and interpret the data collected during the field survey. This presentation will be based on the responses from the completed questionnaires. The result of this exercise will be summarized in tabular forms for easy references and analysis. It will also show answers to questions relating to the research questions for this research study. The researcher employed simple percentage in the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to ascertain transportation cost and prices of goods and services in Nigeria. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing the challenges of transportation cost and prices of goods and services in Nigeria
Summary
This study was on transportation cost and prices of goods and services in Nigeria. Three objectives were raised which included: To determine the effects of transportation cost on the prices of consumer goods, to ascertain, if it is the desire for excessive gains that influence retailers infixing prices of goods and to Find out what can be done to alleviate the problems of increase prices of consumer goods in the market.. In line with these objectives, two research hypotheses were formulated and two null hypotheses were posited. The total population for the study is 200 retailers, uyo main market. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made men, women, buyers and drivers were used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies
Conclusion
This study aims at distinguishing between trade and non-trade cost, the impact of non-trade cost on demand of goods in global markets, determining the sensitivity of the demand of the goods with change in price of the goods, and suggesting a pricing framework based on these factors for goods sold in global markets. Road infrastructure plays a crucial role in the socio-economic development of every country in that it ensures smooth movement from one point to another. However despite this crucial role, road transport infrastructures has been inadequate and poorly maintained especially in most cities of developing countries like Nigeria. It is obvious that this study have established similar condition in uyo. The study revealed uneven distribution across the zones in the provision of the various types of road transport infrastructures in Akwa Ibom state which was the most disadvantaged. There is therefore the need for proper planning and provision of road infrastructure development in Akwa Ibom State.
Recommendation
Efforts should be made by the government of Akwa Ibom state to quantify the number of existing road transport infrastructures while also establishing state maintenance board to rehabilitate them urgently.
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