The Influence Of Transportation On Prices Of Consumable Commodities (A Case Study Of Selected Commodities Market In Benin City Edo State)

The Influence Of Transportation On Prices Of Consumable Commodities (A Case Study Of Selected Commodities Market In Benin City Edo State)

Chapter One

Preface

Background Of The Study

The present day condition of the nonstop rise in prices of consumable product each over the country are well known to the crowd and therefore, price increases has affected the individualities in several ways. The factors, which affect these price escalations of consumables products, are both mortal and natural factors. In the first place, the prices of the consumables products ca be largely due to the influences of mortal geste . For illustration, the price of consumables products will be high if may middle men partake in the process of distribution of the commodity. Also, it has been proved that product cost is a direct precious an the price of goods after every patron, has a duty of not only to recover investments but also to maximize profit.

Secondly, the prices of goods can also be attributed to natural reasons, which are beyond the control of man. For case, a period of unwelcome rainfall of heavy downfall will surely affect to low product affair. Thereby leading to a reduction in the force of consumable product and accordingly affects their prices. It’s clear thus that price of goods is an inverse proportion of the request force.

piecemeal from the factors mentioned over, other factors similar as transportation cost labour and in fact all the factors of palladium account for the high increase in the prices of consumables products. The cost of all these are added to the real cost of the product to inflate or increase the prices.

Hence, it implies that when the prices of these factors increase, laterally the prices of the product will surely increase andvice-versa.

In the course of this exploration, the main concern is transportation. The goods of transportation on prices, how does bad transportation system affect the prices of consumable goods? Also what relationship has distance with these goods that are transported, have on the relative prices of each products? Does good transportation system reduces the prices of consumables products in anyway? These questions above form the background of this study.

Statement Of The Problem

There are relatively, a lot of benefactions that this study will make. In the first case the study will easily show how transportation cost affect the prices of consumables precuts. It’ll also show the colorful means of transportation set up in OredoL.G.A. and the problems associated with them.

The government on their part has been asleep about the problems of transportation in utmost original government areas and this has redounded in poor transportation, system. Thereby performing in the increase of relative price of the consumable products.

In conclusion, thus, a critical study of all the points mentioned will help the government to look at these problems of shy and hamstrung transportation, system especially in the pastoral areas and find possible result to meliorate the situation.

Points Of The Study

The ideal of t his study is to anatomized the goods of transportation on relative prices of some named products in OredoL.G.A. of Edo State.

This study will also punctuate on the relationship between transportation and the price of consumables products in this original government area.

Also, this study will also try to show the goods of this high prices on those that are involved in consuming the gods( the consumer).

Eventually, to punctuate and suggest result or remedy to combat similar price increase.

thesis

High transportation cost affects the prices of goods in OredoL.G.A. of Edo State

High transportation cost don’t have important effect on the prices of goods in OredoL.G.A. of Edo State

Scope Of The Study

The compass of this study embraces the presents situation of the relationship between prices and transportation cost.

The ways in which goods are conveyed from the product centers to the colorful requests will be confined, to OredoL.G.A. of Edo State. With particular reference to the headquarter( Benin City) and the girding communities similar as Iguosa, Egor, Ekiadoloretc.

At least, five food crops would be considered and they’re yam, rice, plantain, cassava and tomatoes. The study will cover the goods of transportation and the goods of these prices on the consumers as well as chancing possible result or remedy to this problem.

Methodology

The system to be used in carrying out this exploration comprises both questionnaire and a visit to the request. Detail of the transport chow from the neighboring communities to the main request at Benin would be considered.

Available handbooks and published accoutrements ( both economics) applicable to this study would be used