Explain FIVE factors that contribute to the growth of commerce in Nigeria. – NABTEB QUESTION

Factors that contributes to the growth of commerce in Nigeria are:

(i) Development of modern techniques of production: This gives rise to production of goods in large quantity and makes buying and selling possible thereby helping to promote the growth of commerce

(ii) Ware housing: Availability of ware housing makes it possible for goods produced ahead of time to be stored until they are needed, creates space for further production, helps to stabilize price of goods, etc. These go a long way in promoting commerce

(iii) Development of efficient means of transport and communication: Efficient transport system makes it possible for raw materials and workers to be carried to manufacturing centers, and goods produced to be distributed to areas where they are needed. Development of telecommunication system makes contacts in commercial centers easier.

(iv) Insurance: Insurance helps to reduce the risks associated with commercial activities like production, distribution and exchange of goods and services.

(v) Development of financial institutions: The world of commerce cannot develop without money. This money that is crucial for the development of commerce is made available by banks.

(vi) Advertising: The availability of goods and services are brought to the notice of members of the public through advertising to buy goods and services produced, thereby promoting sales.

(vii) Political stability: Commerce cannot develop in a political rowdy atmosphere, but in an atmosphere devoid of political bickering, rancor and squabble, which guarantee meaningful commercial activities