Nigeria is one of the countries in West Africa with vast population of both human and natural resources for her full development. One of the ways developing countries like Nigeria starts high level development is through the establishment of different types of business organisation that will help the country to channel her resources into productive areas. This means that business organisation can play a major role in the process of transforming an underdeveloped economy like Nigeria into a developed one.
Business organisations form the most important aspect of the economy of every developed nation. There are different kinds of organisations such as governmental, religious, charity, trade unions and associations but none of the above mention appears to be as important to the economy as the business organisations, this is because they are closely and generally identified as economic institutions. In most parts of the world, the high value of small scale enterprises in the process of socio-economic development has been well documented, particularly in developing countries. It is now realised that large scale enterprise cannot be alone be expected to play a dynamic role, that they are suppose to play in the rapid growth and development of the economy. (Nwoye, 1994).
Business organisations can therefore be described as an organised effort or activity by a person or a group of persons employing the resources of the environment to produce and distribute goods and services with objective of maximising profit. (Barach, 1977).