CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

The rate of graduate unemployment in Nigeria has persistently been on the

increase despite the enormous endowment of the country with human and natural

resources. However, graduate unemployment is not peculiar to Nigeria or

developing nations; it is indeed a long standing global phenomenon hence it has

been a common trend in many countries to find graduates of universities not able

to secure jobs several years after graduation (Twumasi, 2013). In tackling the

global crisis of graduate unemployment, policy makers and stakeholders in

developed countries such as England, USA, and Germany, advocated a refocus of

educational systems towards acquisition of vocational and technical skills to

enhance smooth transition into jobs for school leavers particularly graduates of

universities. This owes to the fact that education is important to the development of

any society particularly because the goals of wealth creation, poverty reduction and

value re-orientation can only be attained and sustained through an efficient

educational system which impacts relevant skills, knowledge, capacities, attitudes

and values into individuals (Agi & Yellowe, 2013).

1
 Business education is a widely given high scores on the agenda of many

governments. Such governments depend on the development of entrepreneurship

through business education as the major source for their economic prosperity,

growth and development. It is a kind of new concept which signifies not only

quality education but also pay attention to the development of an individual

practical ability and competency of students. It is also described as a new method

of teaching that promotes students innovative spirit, skills and attitudes which

consequently make them after graduation to suitable career and become

professional business creator, European Commission, (2003) concluded.

Many educationists have discussed entrepreneurial and employable skills

expected of business education graduates to acquire. Koch (2011) identified the

entrepreneurial skills as teachable, learnable and transferable which also include

proactively, achievement orientation and commitment to others, internal and

external Loci of control, creativity and innovation, time management, leadership

self-confidence, and positive attitudes. For Osisioma (2010) and Olarinoye (2014)

entrepreneurial skills are building vision, faith and commitment, being aware of

One’s strength, clearly defining one’s target group, planning and thorough

implementation of plans as sellable transferable entrepreneurial skills.

Business education is that aspect of educational programme designed to

provide an individual with the needed practical business and vocational attitudes,
2
understanding, knowledge, skills and values that will enable him or her function

effectively in the society (Ubulom, 2006). It is the intellectual and vocational

preparation of people for earning a living in the contemporary industrial and

business environment. From the foregoing, it is a clear indication that business

education students should be able to acquire the needed knowledge and skills that

will help them to find a job after schooling or create their own employment (Ogben

& Amahi, 2008). It is on this premise that Atakpa (2004) recognised that the

objectives of undergraduate business education programme is geared towards the

preparation of individuals who are skilled in the pedagogy in business education,

principles and practice in Accounting, Management, Marketing and Information

and Communication Technology ( ICT). For Dike (2009) business education

prepares individuals who are skilled in curriculum design and evaluation in

business education, provide orientation and basic skill with which to start a life

work for those who may not further educational training and to relate the

knowledge and skills acquired to national development.

Aquah (2014) stated that business education was brought to lime light and

made prominence in Nigeria by the current national policy on education launched

in 1977, which has been severally reviewed as years go by. Business education

programme is offered in the secondary and tertiary levels of the Nigerian

educational system. Aquah (1998) observed that the laudable programme of this

3
system of education as introduced by the Federal Republic of Nigeria aimed at

providing the knowledge, skills, understanding and attitude needed in the business

world has failed to curb youth unemployment. Those who are employed at all are

found to be incompetent in discharging their assigned duties. They lack practical

knowledge and manual skills.

Competency denotes one faculty of doing things appropriately based on one’s

inherent abilities, capabilities and capacities. Therefore, competencies present

certain clusters of skills abilities, and knowledge that are essential to perform

certain functions. For example, social workers must have competencies in a

number of areas to be effective professionals and to be licensed. Competency has

two dimensions: knowledge and skill. Knowledge may be seen as our

understanding of how our everyday world is constituted and how it work. Skills

involve the ability to pragmatically apply, consciously or unconsciously our

knowledge in practical settings (Spitzberg & Cupach, 1984). If such practical

setting includes business organizations, then as pointed out by Ezeana (1984) in

Ojukwu & Ojukwu (2002), competencies are the knowledge, skills and behaviours

that will enable an employee to meet established performance criteria. In the light

of the above statement, an employee possesses competency if he has the

combination of observable and measurable knowledge, skill, abilities and personal

4
attributes that contribute to enhanced employee performance and ultimately result

in organizational success

Business educators need to produce graduates who are well equipped with the

necessary skills and competencies that will enable them interact effectively with

their publics. However, it has continued to bother the minds of business educators

that in this 21st century, the society still witness a mismatch between the training

Business Education graduate receive and the activities employers expect them to

perform. It is no surprise too, that at the roof of a large number of organizational

problems is poor entrepreneurial and competencies. Against this backdrop, this

study seeks to determine the extent to which entrepreneurial skills and

competencies are necessary for business education graduate to secure employment

in modern organizations.

1.2 Statement of the Problem

Entrepreneurship play a vital role in creativity, innovation and job creation

which eventually serves as a means of achieving self-reliance as well as the federal

government’s policy of promoting private sector participation in economic

development. Thus, entrepreneurship is a very important means through which

graduates can exercise their talents and be able to convert their education into an

5
intellectually productive venture through establishing small and medium scale

enterprises.

Now, it seems that government alone cannot remain the sole provider of the

means of production and labour, necessitating increased agitation for competency

based education through which graduates can acquire skills necessary for

entrepreneurship. Acquisition of competent skills will sharpen the student’s ideas,

thoughts and capabilities thereby increasing their operational efficiencies,

motivation and preparedness to embrace entrepreneurship upon graduation and be

able to combat the rising unemployment and economic challenges.

Over the years various researchers have shown different views on the

performance of business education graduate and the consequences on there job

performance

While a school of thought believe that business education graduate

performance well in manipulating skills but lack sufficient skills in the area of

human relations, communication and accounting skills.

Another school of thought found out efficiencies in the area of computer

related activities, inter-personal relationship but strent in management operations.

6
 However, it is not setting from the various researches what actually constitute

acceptable competencies business education graduate are expected to exhibit to

satisfy entrepreneurial.

Consequently, this research aims at determining the extent at which business

competencies such as communication, enter-personal relationship, marketing and

accounting skills are required by business education graduate in job performance.

1.3 Objectives of the Study

The main objective of the study is to examine medium scale entreprenuer

assessment of Business competency requires of business education graduate for job

performance in Onitsha Urban. The following are the specific objectives of this

study:

i. To determine the extent to which medium scale entrepreneurs in Onitsha

Urban asses the communication competencies required of business

education graduate in job performance.

ii. To examine the adequacy to which medium scale entrepreneurs in Onitsha

Urban asses the human relationship competencies required of business

education graduate in job performance.

7
iii. To determine the extent to which medium scale entrepreneur in Onitsha

Urban asses the accounting competencies required of business education

graduate in job performance.

iv. To examine the adequate to which medium scale entrepreneur in Onitsha

Urban asses the inter-personal relationship competencies required of

business education graduate in job performance.

1.4 Research Question

The following research questions will formulated in other to guide the study:

i. To what extent do which medium scale entrepreneurs in Onitsha Urban asses

the communication competencies required of business education graduate in

job performance?

ii. To examine the adequacy to which medium scale entrepreneurs in Onitsha

Urban asses the human relationship competencies required of business

education graduate in job performance.

iii. To what extent do which medium scale entrepreneur in Onitsha Urban asses

the accounting competencies required of business education graduate in job

for performance.

8
iv. To examine the adequate of which medium scale entrepreneur in Onitsha

Urban assessed the inter-personal relationship competencies required of

business education graduate in job performance.

1.6 Significance of the Study

The study is very important because it is aimed at examining the entrepreneur

assessment of Business competency requires of business education graduate for job

performance in Onitsha Urban. Findings from this study will educate the general

public on the ability of business education in equipping students with

entrepreneurial competencies with a view of drawing the interest of many youths

towards studying business education to be future entrepreneurs.

This research will contribute to existing knowledge in entrepreneurship

education literature, by developing an intention model that will be useful for

researchers in undertaking further research on related areas of study

1.7 Definition of Terms

The following terms were defined to give proper understanding of this

research:

Business Enterprise: This is the activity of providing goods and services

involving financial and commercial and industrial aspect.

9
Business: This consists of activities, interactions, sentiments and performance

individual or groups.

Graduate: a person who has successfully completed a course of study or training,

especially a person who has been awarded an undergraduate or first academic

degree.

Credit Availability: The amount of credit to which a borrower has access at a

given time.

Economy Growth: It is an increase in the capacity of an economy to produce

goods and services compared to the period of time to another.

Economy: This is the relationship between production trade and supply of

money in a given economy.

Entrepreneur: He is an innovative individual who perceives business ideas and

put resources together to exploit these ideas profitably in business.

Financing: It implies money as a support for an undertaking to facilitate small

scale business.

10
Industries: There are different types of business units which vanes between

agricultural, construction and manufacturing.

11