WHY ENTREPRENEURSHIP WILL REDUCE UNEMPLOYMENT RATE IN NIGERIA ?

 

In Nigeria today, it takes 4-5 years to get real and fulfilled job in the giant of Africa. Job hunting trauma is really high out there. Blood pressure rises everyday due stress from job interviews and selection process in most cities. Learning a vocational skill is preferable and a great choice. Academic pursuits by average Nigerians is seen as an illusion and a benefit to few.

Entrepreneurship generates growth because it serves as a vehicle for innovation, change, and a conduit for knowledge spillovers. Thus, in a regime of increased globalization, the comparative advantages of modern economies are shifting towards knowledge based economic activity, not only do entrepreneurship play a more important role, but also a recommendation for economic growth.

THE UNEMPLOYMENT REALITY

Unemployment Rate in Nigeria increased to 18.80 percent in the third quarter of 2017 from 16.20 percent in the second quarter of 2017. Unemployment Rate in Nigeria averaged 10.63 percent from 2006 until 2017, reaching an all time high of 19.70 percent in the fourth quarter of 2009 and a record low of 5.10 percent in the fourth quarter of 2010.

In Nigeria, the unemployment rate measures the number of people actively looking for a job as a percentage of the labour force. This page provides the latest reported value for – Nigeria Unemployment Rate – plus previous releases, historical high and low, short-term forecast and long-term prediction, economic calendar, survey consensus and news.

Nigeria Unemployment Rate – actual data, historical chart and calendar of releases – was last updated on September of 2018 Becoming self-sufficient is the desire of every Nigerian, but only an insignificant number actually find a way to make it happen. Too many people do give up on their dreams too soon, when education and guidance could show them the way to success.

THE VACCUUM 

The dearth of entrepreneurs or people with entrepreneurial mentality has been one of the major inhibitors to the development of a virile indigenous private sector in Nigeria. Nigeria has vast human and material resources but people are still leaving below the poverty level.

Unemployment especially among the youths has been the major problem. This problem was attributed to the fact that most of the graduates do not acquire the needed skills and competence that will make them be self-employed. Youths of these days want everything fast and free; they lack the patience and the willingness to learn.

There is a great need to provide the appropriate counseling, economic and social conditions to encourage the emergence of individuals with required entrepreneurial skills. The problem this study addressed therefore was the determination of whether entrepreneurship education enhances acquisition of the necessary skills for gainful self-employment in Nigeria and to identify challenges that hinder imparting sound entrepreneurship education in our schools.

The firm of the innovative entrepreneur will consequently grow through the dual process of taking market shares from existing suppliers and increasing overall demand for the products offered in the market.

Finding new combinations of factors of production is a process of entrepreneurial discovery that will become the engine that drives economic development. These new combinations constitute better ways to meet existing demand or create new products which often make current technologies and products obsolete (in a process of creative destruction).

ENTREPRENEURSHIP: A WAY OUT

Entrepreneurship encourages creativity. Creativity denotes generation of new technology, new ideas and innovations as the translation of new ideas into a new company, new technology, and new products, or new service. The consequences of the association between entrepreneurship and environmental change are the role that entrepreneurs play in promoting innovative technologies, products and services.

The firm of the innovative entrepreneur will consequently grow through the dual process of taking market shares from existing suppliers and increasing overall demand for the products offered in the market.

Finally, an effective strategy to develop the indigenous private sector is through entrepreneurship education and programmers which will reduce unemployment rates, that may arouse the entrepreneurial consciousness required to undertake the formation and acquisition of small scale business enterprises in Nigeria.

Read more:

* Bertram, O.A et al (2016). Entrepreneurship education: a panacea for unemployment in Nigeria. NG-Journal of Social Development, VOL. 5, No. 2, January 2016 available (Online) at :www.arabianjbmr.com/NGJSD_index.php

* Trading Economics. Nigeria Unemployment Rate 2006-2018 . Available (Online) at : https://tradingeconomics.com/nigeria/unemployment-rate

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