CHAPTER ONE
INTRODUCTION
- Background Information of the Study
A home based business is any enterprise for which the principal administrative and managerial activities take place within an individual’s personal residence. (www.google .com 2015) Home Based Enterprise (HBEs) plays a meaningful role in uplifting the socio-economic condition of the operators. Over the years, Home Based Enterprise (HBEs) has being in operation representing a mode of economic enterprise that places high regard for democratic and human values in terms of job creation , due to inadequate provision of formal employment.
In most developing countries, there is an increase of using the spaces in dwelling to generate income in different types of Home Based Enterprise (HBEs). All these are carried out in the informal economy which actually contributes to strengthen the livelihood of the poor. In 1980’s Tanzania has experienced structural adjustment of formal sector job opportunities. Home based enterprise therefore contributes towards informal sector employments to bridge the gap of unemployment in the formal sector. According to Kellet (2002) the use of residential property for HBE is extremely common.
Also in Africa and particularly in Nigeria, development of cities has been relatively unprecedented and characterized by the growth of Home Based Enterprises. According to Goorho (2002) the spontaneous development of home based enterprise has been recognized to play an important role in provision of employment and income to unskilled and semi-skilled workers who otherwise would have been unemployed, and also to skilled worker who are yet to gain employment in their chosen profession.
Ajaokuta is made up of fifteen Estate of which Ondo Estate in Ajaokuta kogi state is one of them. Ondo Estate is been divided in to twelve zones, by the management in charge of the company “Akaokuta Iron and Steel Company Limited”.
Ajaokuta is an industrial area, due to the presence of the Iron and Steel situated there. It’s also known to be one of the largest companies in West Africa. With the industrial profile of the study area, Ajaokuta iron and steel industry has experienced mismanagement due to bad governance. The company has been faced with some challenges which have led to the stoppage of production for some years now.
This has therefore led to limitations in the area of job opportunities for the skilled and un-skilled workers in the company. Over 30% of the steel plant is not functioning which has made so many unemployed. Due to this the dwellers in various estate, including Ondo estate in Ajaokuta have resolved to seek for other means of economic sustenance through HBEs.
This has made the dwellers of Ondo estate to convert their dwelling units into enterprises of different types including the building of extensions for exclusive purpose, which have obstructed the layout plan of the estate. It has also gone a long way by changing the land use pattern in the estate. However Strassman, (1987) established that HBEs operators in low income settlements had better dwelling than those not operating such enterprise. This presupposes that the practices or otherwise of HBEs has affected not only land use, and the pattern but also quality of life of the people. This is because it has been recognized that HBEs is a major provider of employment opportunities and as a means of income generation.
1.2 Statement Of The Problem.
Home Based Enterprise (HBE) in the study area has risen to a very alarming rate due to inability of the responsible authorities to adequately address these issues. The land use activity in the Estate have been abused following the sprouting of business activities all over the Estate ranging from manufacturing, retailing, service production etc, it is in an attempt to solve this problem conceived this work. See figure 1.1 in the next page for pictures on Home Based Enterprises showing the impact on land use in Ondo Estate.
1.3 Aims And Objectives
The aim of this project is to assess the activities of Home Based Enterprises in Ondo Estate Ajaokuta in order to propose ways of integrating them into the society.
Objectives
1 To identify the various types of Home Based Enterprises in the estate.
- To evaluate the socio economic impact of Home Based Enterprise (HBE’s) on households.
- To assess the impact of Home Based Enterprises on land use pattern.
- To make a proposal on the effective planning of Home Based Enterprises within the estate and how it can be inculcated into the overall plan of the estate.
1.4 Limitation
This research work is centered on Home Based Enterprises (HBE’s) as it relates to planning perspectives in Ondo housing estate Ajaokuta Kogi State. Some of the limitations faced in this study on HBEs include difficulty in obtaining data such as maps related to the case study which includes bas maps, land use maps, from the town planning and real estate department in Ajaokuta steel company limited. Other Limitation include poor responds from staff in charge of vital documents through which data could be obtained.
1.5 Significant Of The Study
The advantage of Home Based Enterprises is that it allows flexible scheduling of activities, gives a productive outlet for household savings though multiple use of dwellings and their sites, save the expense and time of travelling to work, provide convenience assess to same markets. Home Based Enterprise have flexibility, convenience, security, sociability, and dignity. As we can see, many workers are content to be paid about half as much per day to work there.
- Historical Background of the Study Area
Ajaokuta Local Government area was created from Okene local Government Area on 27th August, 1991 and has its headquarters at Adogo. In the present Kogi State. See figure1.2 for the map of Nigeria showing Kogi State. The local government is in the central senatorial district of the state and covers a land mass of 1,088 squ kilometers.
Ajaokuta local government is bounded to the North east by Lokoja LGA, Bassa local government to the North west, Ofu local government in the East and South-West by Okene and Adavi local government area respectively.
Ajaokuta L.G.A. is located in the tropical zone, influenced by two climate conditions namely rain and dry seasons. The rainy seasons starts from April to November. The dominant vegetation of Ajaokuta local government area by virtue of lying on the foyers of the equators is interspaced with erect and numerous trunks of trees. See figure1.3 next page for Ajaokuta base mape. The 2006 projected population of the local government area is put at 97, 904.
The major occupation of the people of Ajaokuta local government area is the production of cash and food crops as area further provides positive environment to the major occupations of the people especially Sahel savannah which favors trees like locust beans, palm trees, iroko, mahogany etc. all of which are economically viable.
The area has enjoyed the development at the towns and villages under several administrations. The giant Iron and Steel Company of the Nation is located in Ajaokuta local government area.
Ajaokuta local government area has three districts namely:- Ajaokuta, Eganyi and Ebiya, Ajaokuta district has its headquarter at Ajaokuta native town. The traditional ruler in the area is the Onu Ajaokuta and it is the third class status.
This district has four wards namely:- Ajaokuta, Adogo-Ogodo, Geregu and Ukpake ward. Eganyi district has its headquarters at Adogo and has the Olu as the traditional ruler which is first class in status. It has eight wards namely: – Adogo, Achagana, Badoko, and Ogiri wards. The rest are Patesi/Abodu, Uwvsi/Owpho, Uchuwa/Upaja and Odonu/Ohuege wards.
Ebiya district with its headquarters at Ebiya has the Idu as the traditional ruler and third class status. The district consists of Ebiya North and South respectively.See next page for Map of Kogi State showing Ajaokuta, Layout plan of Ajaokuta showing Estate and major street, as well as Layout plan of Ondo Estate in Ajaokuta Kogi State.
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