AKSU Journal of Agricultural Economics, Extension and Rural Development

ANALYSIS OF ENTERPRISE COMBINATION AND NET PROFIT OF GARRI MARKETERS IN IKWUANO LOCAL GOVERNMENT AREA, ABIA STATE, NIGERIA

Author:  Onwukwe, F. O and Udokure, U. J

Abstract
The study analyzed enterprise combination and net profit of garri marketers in Ikwuano Local Government Area, Abia State. Multistage sampling procedures were used in the selection of 120 respondents, Data for the study were obtained from primary sources through the use of structured questionnaires that were distributed to garri marketers in the study area. Descriptive statistics like means, frequencies, and percentages, as well as inferential tools like the market budgetary approach and OLS multiple regression model, were used to realize the objectives. Results showed that the respondents were middle-aged, married, educated, experienced, and cooperative members and maintained an average household size of 5 persons. The majority (88.33%) of the respondents practiced mixed enterprise combination with Garri + Pepper + Rice + onion + palm oil + fish combination recording the highest net profit (N2,952,275). The net income of the marketers was determined by age (P<001), education (P<0.01), access to credit (P<0.01), and cooperative membership (P<0.01). The study recommended that garri marketers should join cooperatives in order to benefit from collective bargaining, which can reduce operating costs, and enhance their profitability.