Vol 8 No 1 - March 2016

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Vol. 8, No. 1
March 2016
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International
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Humanities &
Social Sciences
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e-ISSN: 1694-2639
p-ISSN: 1694-2620
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Vol 8, No 1 March 2016
Table of Contents
Persuasive Advertising in E-commerce and Effective of it on Electronic 1
Trading in Iran
Ehsan Nezafati
Performing a task in the presence of others versus alone: An exploration 14

of the social facilitation theory according to cognitive and behavioural
perspectives
Dr George Varvatsoulias
Setting the Strategic Direction and its Influence on Church Growth in 32

Kenya
Peter Mutua Mutia, Dr. George O. KAol and Dr. Paul Katuse
The multiplier effects of rural public investment and poverty alleviation 42

implications: the case of federal university Ndufu Alike Ikwo (FUNAI)
Paul C. Obidike and Kalu E. Uma
International Journal of Humanities and Social Sciences
p-ISSN: 1694-2620
e-ISSN: 1694-2639
Vol. 8 No. 1, pp. 1-13, IJHSS
Persuasive Advertising in E-commerce and Effective of it

on Electronic Trading in Iran
Ehsan Nezafati
Master Student of MBA (Master of Business Administration),
Istanbul Aydin University, Istanbul, Turkey.
Abstract
The intention of this survey is to understand the effectiveness of Location, Type, Addresses and
Temptation on Online Advertising and effect of Message on Electronic Trading.
Persuasive Advertising in e-commerce, is the subject of this research which tried to test and
understand it to push customer forward with advertising in cyberspace to purchasing. In this
century, competition among big companies is so high and they follow policies to provoke
customer to buy only their products. This policies may not be successful, unless in cyberspace
advertising is not used as an instrument for persuading customers to buy since this century is
century of information communication technology (ICT). All companies and people deal with
internet. In this situation, no company would neglect this reality. All companies must recognize
and pay attention for implementation of these instruments to raise their electronic trade volume.
Internet offers much more opportunities for advertising than classical advertising styles.
Nowadays with diminish the size of gadget like cell phone and popularity of social network, any
companies must be optimistic about it. We reach these questions that, is it reasonable to believe
that informational advertising is acceptable, however, that persuasive advertising is not
acceptable in Iran.
In this research, the main aim is to find our main factors of persuasion in advertising for
electronic trading like, location, type, addresses, message, temptation and diversity of online
advertising. All the factors, has explicit effect on persuasion and advertising, generally. However,
in this research, field analysis has been made to evaluate the effects of these persuasive
advertising factors on purchasing decision of persons who are active users of internet and
electronic trade web sites in Iran. Although, there is large literature on advertising and the
relationship between the advertising and electronic trade, this study will be the first studying on
the relationship between the main determinants of persuasive advertising and its effect on
electronic trade. Mainly, at the end of the research made, this result showed that all of these
factors have positive effect of advertising persuasion and customer satisfied them to purchase in
Iran as well as the countries around the world.
Keywords: e-commerce, internet advertising, persuasive advertising in e-commerce, advertising,

online advertising
Introduction
In this research, the main aim is to find our main factors of persuasion in advertising for
electronic trading like, location, type, addresses, message, temptation and diversity of online
advertising. All these factors, has positive effect on advertising and persuasion, in general.
1 http://aajhss.org/index.php/ijhss
However, in this research, field analysis has been made to measure the effects of these persuasive
advertising factors on the purchasing decision of the people who are active users of internet and
electronic trade web sites in Iran. Although, there is large literature on advertising and the
relationship between the advertising and electronic trade, this study will be the first studying on
the relationship between the main determinants of persuasive advertising and its effect on
electronic trade. In the competitive and changing environment of business in which retailers
power and customers demand is increasing constantly, it is very critical and essential for the
success of manufacturers to make long term relations with their customers. The studies of
persuasiveness shown that price is a very essential variable for retailers when choosing their
suppliers, other variables like the quality and product of services play a main role when
customers decide to buy (Giovanis et al, 2013). Personal effect has also expanded in cyberspace in the
form of online interpersonal effect or electronic word of mouth (Khammash & Havard, 2011).
In other definition advertising is effectiveness technique on human behavior by

manipulating the appearance of things which may be in audio, written, video or music form. A
general concept of advertising is delivering message to others through making relationship with
the aim of changing knowledge, viewpoint and behavior of addressees (Sourin & Tankard, 2006).
Advertisement is a tool for influence and change. According to websites with online
advertisements have considerable impacts on customers aware, motive, and behavioral reactions
(Dailey 2004) (Eroglu et al, 2001). Advertisers expectation to build brand consciousness and
produce favorable and accepted attitudes by way of cyberspace advertisements (Wu et al, 2014).
Recent empirical evidence about internet and services, shows that around 80% of users of
internet are appealed to personalized services (Kobsa, 2007). Personalized service is a mutual
acting procedure in which a salesman supplies related adaptation content established upon
customers precedence (Miceli et al, 2007). Among the many features of retail which are online,
the mainly apparent one is the inaccessibility of close touch between customer and goods, which
is available in tangible shop; thus the decision of consumers purchase depends merely on
information of online product (Agatza et al, 2008). Therefore electronic-tailers search for
supplying customers with mainly product information which is available, so as to dominate on
the restriction and make able the customers to save time of shopping and the cost of
transportation. Whereas, meanwhile, corporeal retailers even now get pleasure from great
number of faithful customers who have hardship to buy online products, or just reluctant to do
cyber shopping (Cai, 2010). Most of people in online shopping inclined to say their personal
experience sensitive for specific products on the internet. A lot of proofs indicate that this
opinion-rich data produced by customers extremely effects on the purchase purpose of others
(Lin et al, 2011). Another reason of persuasive advertising is changing behavior and attitude of
customer to purchasing. So that, try to change behavior and attitude of customer is another aim
of persuasive advertising. Sponsoring of advertising by retailers is stimulated by the literature on
cooperative advertising, searching to describe why manufacturers repay retailers to advertise and
why they emphasis on it and spend huge money for it. For instance, IBM and Apple spend huge
amount of money per year on reducing their franchisees to advance the products (Xie & Wei,
2009). Entire spending on cooperative advertising in U.S. companies indicate a tendency of swift
development over the late years (Nagler, 2006) (Yan, 2010). There is now a general agreement
among the examiners that the appeal cooperative advertising is owing to the various among
domestic and national advertising (Bergen & John, 1997) (Karray & Zaccour, 2006). In general,
persuasive advertising rises the customers tending to pay for the product and therefore transfers
the curve of demand product.
Literature Review
In the literature, in many models, advertising is a tool which rises either the intensity of demand
(all level of price) or the amount customers are subject to pay for a product. According to this
representation of advertising, many models predict a positive association between advertising
and prices (Soberman, 2004). In their studies Lewis and Reiley (2008) found out that online
advertising has positive and significant effects on offline and online sales.
Lewis (2010) in his doctoral thesis investigated the effect of online advertising on offline
and online sales. The results of the research showed that online advertising has positive and
significant effect on online and offline sales. Its so clear that this path has great future and we
can be hopeful about it and we can focusing on it with lower risk and higher benefit.
Gochani and Eghbal (2013) in their paper investigated the effect of different types of
media advertisement as a marketing strategy on auto buyers behavior. The type of the research
was descriptive- survey and findings were of applied type. The method of data collection and
recording was library based and the subjects were chosen from among Tehran citizens.
Jalilian, Ebrahimi and Mahmoudian (2012), among university students, investigated the
impact of electronic word of mouth advertising on consumers buying intention through brand
equity based on customer. The findings revealed that electronic word of mouth advertising
affects aspects of brand equity, brand equity except brand awareness and buying intention.
Electronic word of mouth advertising through brand equity affects buying intention.
Sayyar Rezvan (2007) in his paper discussed the role of advertisement development on
Irans electronic trading. The researcher tried to explain the effect of advertising in Iran on
improvement and quality of business activities in electronic form. Also by focusing on electronic
trading in different online stores, b2b and online discount stores, each one of them is explained.
Fallahi and Dehghani (2011) investigated the mutual relation between advertising, market
concentration and profitability in industries of Iran. The results showed that advertising
influence on profitability.
Rabiee, Mohammadian and Baradaran Jamili (2011) investigated the efficiency of Parsian
Bank advertising activities in Tehran and recognizing the most important factors in improving
the efficiency. The findings of the study, which was a descriptive-survey study and data were
collected using questioner, revealed that the banks commercials on TV newspaper not only
successfully passed stages of AIDA model, but also had efficiency. Comparative investigation of
efficiency rate of media advertisement shows that in customers opinion television has been the
most effective media in customer acquisition. Newspaper takes the next place. Furthermore,
customers think that the most effective factor in improving efficiency of bank ad is being
truthful and real in advertisements. They also believe that employees good manner and respect is
the most important factor in customer acquisition. They mention to TV and then newspaper as
the most available media for advertising because they spend most of their time with these media.
They believe that TV and radio have high quality standards, and for the banks coming ad
suggested respectively TV and newspaper.
Hejazi, Heydar Poor and Hasan Zadeh (2010) investigated advertisement cost and
market value. The Regression Analysis was used in the paper so may the rate of advertisement
effect as an independent variable on market value as a dependent variable, becomes clear. For
testing the study hypotheses the information of financial statements of accepted companies in
Tehran Stock Exchange from the year 2002 to 2006, were used. The findings showed that
increasing ad cost, escalate market value of the company.
Mira and Herisi (2012) studied the effect of media and non-media advertising on specific
value of brand equity. According to the results of analysis, the effect of brand awareness on the
mentioned industry was rejected. Sales promotion without transfer pricing, sales promotion with
transfer pricing and business advertisement were respectively the most effective on specific value
of brand. Business advertisement is the most efficient in loyalty to brand, and the non-media
advertising on sales promotion with transfer pricing and without transfer pricing, are both very
effective on brand quality perceive.
Roger Leroy Miller (1975) notes that, "The first category (of advertising) is informative
advertising, which presumably is always good, and the second is competitive (persuasive) which
presumably is always bad".
Siavashi and Abedin (2009) studied the view and reaction of people about receiving
advertising messages in the age of information technology and communications. The results
showed that cell phone users view was relatively positive. This finding, which is in contrary with
the results of many other studies in other parts of the world, is considerable. The researchers of
the study believe that this is maybe because of novelty of this media in Iran.
In the cyberspace, Eroglu, Machleit and Davis (2001, 2003) conceptualized and check the
interactions among atmospheric keys of online shopping and aware and motivated reactions in
addition to behavior of customers.
Method
Materials
Data has been gathered through an organized questionnaire advanced on a five-point scale. For
testing the hypothesis of the research, managed a questionnaire (Appendix A).
Hypothesis
In order to the studys test of hypothesis,
Hypothesis 1: internet advertising has positive and significant effect on electronic
trading in Iran
Hypothesis 2: The place of advertisement has significant effect on electronic trading
Hypothesis 3: The type of advertisement has significant effect on electronic trading
Hypothesis 4: The addressees of advertisement have significant effect on electronic
trading
Hypothesis 5: The temptation of advertisement has significant effect on electronic
trading
Hypothesis 6: The message has significant effect on electronic trading
Methodology
The present research is an applied research, because it is looking for performing a scientific
method and using it in real world to solve problems. Regarding method it is a descriptive-survey
research. In the present research by using library resources and review of the literature a
theoretical framework about advertising and electronic trading, was proposed. In this framework,
confirmatory factor analysis will be used to investigate structure validity and in the end path
analysis will be used to test research hypotheses. The researcher has constructed a questionnaire
according to the hypothesis dimensions.
In gathering information, main sources have been considered as population sample. The
questionnaire embraced and united from different researches, used to gather call for information
hypotheses in order to accept or deny it (table 1). Questions reliability which tested by
Cronbach's Alpha and outcome indicated that each one of them were above 0.9 suggesting
pleasant questionnaires reliability which guided by exploring earlier experts and researches'
recommendation. Each one of the questions were classified on a five-point scale of Likert from
''very low'' (1) to ''very high'' (5).
Table 1
Source Variable Question No.
IAB, 2012 Location 1 to 5
Tutaj&Van Reijmersdal, 2014 Type 6 to 10
McCambley, 2013 Message 11 to 15
Jansen & Mullen, 2008 Addresses 16 to 20
Braun, 2011 Temptation 21 to 25
Conceptual Model
Here, in this research, the model proposed by Ray Funkhouser and Richard Parker have been
applied. They published their model in the articles called An Action Based Theory of Persuasion in
Marketing at the Journal of Theory and Practice (Funkhouser & Parker, 1999).
Online Advertising Electronic Trading
Location (Message)
Type
Addresses
Temptation
Figure 1
The procedure of the present survey in terms of intention is an applied research and in terms of
data collection is a case study. Other secondary sources such as books, papers, theses, internet
and databases are used for collecting data and information. Questioner is used for collecting the
needed information and data to investigate the research hypotheses.
Data Collection
In the present research library and field methods were used to collect data. Library resources
were used as base to write the theoretical framework of research and field method was used to
collect information from population by questionnaire. Therefore data collection tool of the
research is questionnaire.
The questionnaire which determines effective factors on technology transition, consists

of 25 questions of answer package type, and is written in 5 parts based on Likert five-option
scale (very low to very high). The questionnaire is available in attachment of research.
Finally 534 questionnaires were usable to asses. The people who answered were 50.2%
male and 49.8% female (Table 2). This survey began in 2014 and it takes time about more than 8
month.
Table 2
Variable Frequency Percentage
Age
19-24 101 18.91
25-36 296 55.43
37-53 137 25.66
Gender
Men 268 50.2
Women 266 49.8
Education
Lower than High School Diploma 10 1.9
Diploma and Associate degree 62 11.6
Bachelors degree 228 42.7
Masters degree 215 40.3
Doctoral degree 19 3.5
The statistical population of the present research includes all Iranian social network
users, who are daily involved with internet and internet purchases. To collect data questionnaire
in electronic format will be used. The questionnaire after validity and reliability confirmation will
be multiplied to the chosen sample size using Morgan table and will be completed by the
investigated statistical sample. Sampling method of the present research is convenience random
sampling. Because population size is considered unlimited therefore sample size is 384
individuals.
In this survey, the questionnaire have been asked to 384 person that they were chosen
randomly, and tried to choose people who covered all part of age spectrum for this research and
indicated this way is much better and help to rise the result of survey and increase the accuracy
of outcomes, therefore asked all across range for age and education. Fortunately, all of them
answered and could save time in this case, they are the sample of all part of society. Furthermore,
in this thesis added 150 people of Iranian who lives in Istanbul by electronic questionnaire to
gather more information.
In this survey tried to gathering people with different education and age to covering all
parts, most of them selecting from Razi University in Iran and Aydin university in Turkey. In
Iran the people who selected covering all part of education from under diploma to doctoral, but
in Turkey the people who selected belonging to bachelor and master and doctoral education.
Questionnaire send by email to people in Iran and using survey monkey and sending the link of
it to the people in Turkey.
Data Analysis and Result
In this survey to understand this data is appropriate for analysiss factor, analysis of principal
component has been guided. According to the KMO sample adequacy statistics (0,942) all of the
25 variables are suitable for factor analysis, and for the Bartletts Sphericity test Chi Square
statistics (t=44493, df=300, p=0,000<0.05), null hypothesis correlation matrix of variables are
identify matrix is rejected.
Table 3
Kaiser-Meyer-Olkin Measure of Sampling ,942
Adequacy.
Bartlett's Test of Approx. Chi-Square 44493,099
Sphericity df 300
Sig. ,000
According to this Table all factors have a significance number smaller than 0.05 Null
hypothesis is rejected (3) and hypothesis 1 (3<) is confirmed. If both high level and low level
are positive, this means that intended factor is in good condition, such as factor of place
related to advertising location, type related to advertisement type, address related to
advertisement addresses, message related to advertisement message and temptation related
to temptation power of advertisement.
Table 4
Test Value = 3
95% Confidence
Interval of the
Mean Difference
t df Sig. (2-tailed) Difference Lower Upper
place 43.394 528 .000 1.512 1.44 1.58
type 44.622 522 .000 1.522 1.45 1.59
address 37.626 533 .000 1.406 1.33 1.48
message 41.406 522 .000 1.457 1.39 1.53
temptation 37.860 532 .000 1.441 1.37 1.52
The regression analysis with stepwise method has been conducted with message is as dependent
variable and place, type, address and temptation are as independent variables. The following
tables has been shown as results of the analysis of regression.
Table 5
Adjusted R Std. Error of
Model R R Square Square the Estimate
2 .985a .969 .969 .130
Table 6
Model Sum of Squares df Mean Square F Sig.
1 Regression 276.254 4 69.063 4107.301 .000b
Residual 8.710 518 .017
Total 284.964 522
a. Dependent Variable: message

b. Predictors: (Constant), temptation, address, type, place
According to these Tables, the model and R2 of regression model is significant (F=4107,301;
p=0.000<0.005) and is equal to 0,969 which is quite high (approximate to the 1). And the
independent variables can explain the %98.5 of variability of dependent variable.
Table 7
Standardized
Unstandardized Coefficients Coefficients
B Std. Error Beta
Model t Sig.
1 (Constant) .283 .038 7.500 .000
place .760 .037 .773 20.478 .000
type .139 .032 .136 4.383 .000
temptation .320 .031 .349 10.395 .000
According to this Table, all of independent variable except address place, type, temptation are
significant to explain the dependent variable. Address is not fit in this model, therefore stepwise
method has removed it from coefficients table.
The coefficient of place (0.760), type (0.139) and temptation (0.320) are significantly different
from 0 (p=0.000<0.05). It means, these coefficients are significant and can be used to explain
the dependent variable, message.
The coefficient for address (0.044) is not significantly different from 0 (p=0.069>0.05).
The model can be expressed as following;
= 0.760. + 0.139. + 0.320. + 0.283 +
According to the standardized coefficients, place (b=0.773) has more importance than others, in
explaining the message variable.
Secondary questions:
Does the message of advertisement have significant effect on electronic trading?
According to results obtained from analyses, advertisement message has significant effect on
electronic trading through newness of advertisement message, explicitness of advertisement,
relatedness of advertisement message and shortness of advertisement message. It has substituted
to the electronic trading. It means that, the message has been used as the score of electronic
trading.
Does advertisement placement have significant and positive effect on electronic trading?
According to results obtained from analyses, place of advertisement has positive and significant
effect on electronic trading through indices such as popular advertising websites, placing
advertisements on first pages of search engines, placing advertisements in websites having topics
related with advertisement topic, and placing advertisement in a suitable place of site. And its
effect is much more powerful than the others on explaining the electronic trading.
Does the type of advertisement have significant and positive effect on electronic trading?
According to results obtained from analyses, type of advertisement has positive and significant
effect on electronic trading through written advertisement, graphic advertisement, audio
advertisement, click advertisement and email advertisement.
Does the temptation power of advertisement have significant effect on electronic trading?
According to results obtained from analyses, advertisement temptation has positive and
significant effect on electronic trading through advertisement message satisfaction power,
understandability of advertisement, motivation power of advertisement message and
effectiveness of advertisement message.
Do the addressees of advertisement have significant and positive effect on electronic trading?
According to results obtained from analyses, addresses of advertisement have positive and
significant effect on electronic trading through target addresses, public addresses, potential
addresses and actual addresses. However, its effect is not as much as the others, and it has been
discarded from the regression model.
According to these results obtained from all analyses, internet advertisement has positive and
significant effect on electronic trading through place of advertisement, temptation of
advertisement, advertisement addresses, advertisement message and advertisement type.
Discussion
This research has limitation which are:
1) There are a lot of causes, influencing on online advertising and electronic trading.
Except, because of time compels, and couldnt examine all factors impacting on
electronic trading and online advertising.
2) Due to questionnaire using as data collecting means, the respondents cannot answering
these questions of questionnaire precisely as their view and want.
3) Problem of distance. Some of people who randomly selected was not near use to asking
them more and more about some defecate, so that, it would be obligatory to accepting
their view about questionnaire and respondent of it as they wants.
4) Failure to access all respondents at the same time and at designated time.
Applicable Recommendations
In order to improve electronic trading though internet advertisement, specialists must give
attention to advertisement place, temptation, addresses, message, and type of advertisement to
make it much more effective and influence.
Advertisement placement has positive and significant effect on electronic trading,

therefore experts must investigate aspects of this issue and identify suitable places; and pay
attention to indices such as popular advertising websites, placing advertisements on first pages of
search engines, placing advertisements in websites having topics related with advertisement
topic, and placing advertisement in a suitable place of site.
Advertisement type has positive and significant effect on electronic trading therefore
experts must investigate aspects of this issue and identify conditions of advertisement type and
consider indices such as written advertisement, graphic advertisement, audio advertisement, click
advertisement and email advertisement.
Advertisement addresses have positive and significant effect on electronic trading
therefore experts must investigate aspects of this issue and identify advertisement addresses and
consider indices such as target addresses, public addresses, potential addresses and actual
addresses.
Advertisement message has positive and significant effect on electronic trading,
therefore, experts must investigate aspects of this issue and identify advertisement message and
consider indices newness of advertisement message, explicitness of advertisement, relatedness of
advertisement and shortness of advertisement message.
Temptation power of advertisement has positive and significant effect on electronic

trading therefore experts must investigate aspects of this issue and identify advertisement
temptation and consider indices such as advertisement message satisfaction power,
understandability of advertisement, motivation power of advertisement message and
effectiveness of advertisement message.
Recommendations to Further Researches

Redoing this research in other countries, to understand similarity and differentiation of it with
this research and can increase accuracy of it to make it much useful.
Redoing this research to another situation if it be possible or with another portion of

people with different categorization to increase accuracy of it.
Identifying other components and aspects in order to investigate the effect of internet
advertisement on electronic trading to show that what component is more effective and much
influence about advertising in electronic trading.
Conclusion
When questionnaires are distributed, data are collected for model test and examining factors and
sub-factors. Then first effectiveness of each one of sub-factors is investigated and then the
effects of model components on each other are recognized. Result shows that all factors which
considered have positive effects and indicated close relationship between internet advertising and
electronic trading, and is advertisement creators wants to create the best advertisement on
cyberspace must considering these factors to have efficiency and effectively advertisement on the
internet to make the best electronic trading. The results emphasis on the reality of this
hypothesis and its true, and importance of it and also show that in this research obtained the
result which wanted. If it does as vice versa about hypothesis, the relationship between internet
advertisement and electronic trading getting negative and doesnt have a good expectation to rise
it up.
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on Audience Reactions. Taylor & Francis Online.
Wu, P. F., Zhang, P., & Tang, J. (2014). Categorizing Consumer Behavioral Responses and
Artifact Design Features: The Case of Online Advertising. Information Systems Frontiers,
513-532.
Xie, J., & Wei, J. C. (2009). Coordinating Advertising and Pricing in a Manufacturer Retailer
Channel. European Journal of Operational Research, 785791.
Yan, R. (2010). Cooperative Advertising, Pricing Strategy and Firm Performance in the E-
marketing Age. Journal of the Academy of Marketing Science, 510519.
Appendix A
Questionnaire
Part 1: Demography
What is your gender?
Male O Female O
How old are you?
What is your literature degree?

Under Diploma O Diploma O Associate O Bachelor O Master O Doctoral O
Part 2: Scale of Persuasive Internet Advertising on E-Commerce
Very Low (1), Low (2), Average (3), High (4), Very High (5)
1 2 3 4 5
1. Using advertisements in massive traffic advertising sites
influences on electronic trading
2. Advertising on the first page of the motor search has positive
effect on electronic trading
3. Advertising in the sites relevant to the subject of
advertisement and variety of it has positive effect on electronic
trading
4. The place of advertisement and variety of it in the site has
positive effect on the electronic trading
5. Advertising on the internet and variety of it has positive
effect on the electronic trading
6. Text advertisement and variety of it has positive effect on
electronic trading
7. Graphic advertisement and variety of it has positive effect on
electronic trading
8. Sonic advertisement and variety of it has positive effect on
electronic trading
9. Click advertisement has positive effect on electronic trading
10. Email advertisement and variety of it has positive effect on
electronic trading
11. Special audience /target of advertisement have positive
effect on electronic trading
12. General audience / target of advertisement and variety of it
have positive effect on electronic trading
13. Potential audience of advertisements and variety of it have
positive effect on electronic trading
14. Active audience of advertisement have positive effect on
electronic trading
15. Persuasiveness of the message in advertisements and variety
of it have positive effect on the electronic trading
16. Frankness of the message in advertisements have positive
17. Relevancy of the message in advertisements have positive
18. Shortness of the message in advertisements and variety of it
have positive effect on the electronic trading
19. Persuasiveness of the graphic in advertisements and variety

of it have positive effect on the electronic trading
20. Understandability of the message in advertisements and

variety of it have positive effect on the electronic trading
21. Motivations of the message in advertisements and variety of

it have positive effect on the electronic trading
22. Impressiveness of the message in advertisements have

23. Size of the message in advertisements and variety of it have

24. Frequency of the message in advertisements and variety of it

25. Repetition of the message in advertisements and variety of it

p-ISSN: 1694-2620
e-ISSN: 1694-2639
Performing a task in the presence of others versus alone:

An exploration of the social facilitation theory according to
cognitive and behavioural perspectives
Dr George Varvatsoulias
QTS FHEA PGCertHE CPsychol
CSci AFBPsS CBT Practitioner
RAPPS RoPSiP Expert Witness
High Intensity CBT Therapist
Merton IAPT/South London UK
Abstract
This empirical study deals with the theory of social facilitation. It presents and discusses the idea
of performing a task in an audience versus a non-audience condition. To understand the
hypothesis of the theory, there was conducted a within-participants study. Participants were
asked to complete a star-drawing task by using their non-dominant hand. Half of participants
completed the task in the observed condition and half of them in the non-observed one. Then,
conditions were counter-performed, in order participants to complete the task in both ways.
Through this task has been questioned the prediction how people perform in both conditions in
terms of a cognitive-behavioural framework, i.e. how and whether the task performed was
subject to cognitive elements of choice (decision-making) and vice versa. People in the observed
condition were more motivated to complete the task thereby, the element of choice as a
behaviour affecting decision-making-, than in the non-observed. The error ratings, participants
had scored in both conditions, distinguish that people tend to achieve more error scores when
performing a task in the presence of others, i.e. when observed by others and what effect that
has on decision-making; while they score lower in the non-presence condition, meaning that
decision-making as a cognitive element of choice is an important aspect before a particular action
to be performed. Also, participants perform better if that is a known task decision-making as an
element one to make a stable cognitive choice-, instead of a novel or complex one where
cognitive choice could be affected by performance observation.
Keywords: social facilitation theory, performance of a task, cognitive-behavioural therapy (CBT)
Introduction
The social facilitation theory is a theory of many aspects. Each one contributes to the same
hypothesis, even examining it from a different point of view. As an indication are mentioned the
social facilitation aspects of Triplett (1898), Allport (1920), Dashiell (1930), James & Gilbert
(1955), Zajonc (1965, 1980), Wheeler & Davis (1967), Henchy & Glass (1968), Zajonc et al.
(1969), Cottrell (1972), Zentall & Levine (1972), Borden (1975), Laughlin & Wong-McCarthy
(1975), Baumeister (1982), Bond (1982), Carven & Scheier (1978, 1981, 1982), Bond & Titus
(1983), Baron (1986), Guerin (1993), Blascovich et al. (1999), Aiello & Douthitt (2001) and
many others. Although, not all of the above refer to social facilitation directly, they do explain
aspects relating to that. Such aspects include understandings about facilitation effects and
impairment levels, emotions as performance impediments, interpretations about audience
observations, pressure under the competition with co-actors, exercises regarding the potential
value of individual perception, discussions concerning dominant responses, when a task is
performed versus possible inhibitions during that performance, and so on. In this introduction,
there will be presented three approaches, for they are considered to be as more referential in the
field. These will be, the Tripletts one (1898), the one by Zajonc (1965) and the other by Aiello
and Douthitt (2001)1.
The social facilitation theory has a history of almost 120 years and was first induced by
Norman Triplett (1898) in his article: The dynamogenic factors in pacemaking and
competition. In that article, Triplett attempted to explain the topic of Pacemaking and
Competition. In order to discuss that subject and relate it to the aspect of social facilitation, he
conducted two experiments. The first was about bicycle racers and the second about children
turning a fishing reel. In the first experiment, he presented a chart with three curves: the lower
represented the record of distances given in the non-paced efforts against time; the middle curve
represented the paced race against time and the upper curve the best time in competition races
(Appendix 1)2. The second one constituted of six trials, each of which had been practiced prior
to conducting the main experiment. There were 20 subjects (children) taken part in the following
order: first, there was a trial alone, then, a trial by competition and finally, the six efforts, three in
the alone condition and three in the competition condition. After both experiments, he
concluded that cyclists were performing their task faster, when with others versus cycling alone,
whilst children were reeled faster when fishing with others, than otherwise. He also concluded
that during both experiments the presence of others as co-actors, in relation to the individuals
performing both tasks, was enhancing the performance of the rivals participating, thereby
summarizing that, performance is different to a person, when it is acted with others instead
being performed alone (Appendix 2: letter a stands for alone; letter c stands for competition).
The other presentation of social facilitation theory comes from Robert B. Zajonc (1965)
through his article: Social Facilitation: A solution is suggested for an old unresolved social
psychological problem. Zajonc in his paper discusses the aspect of individual influences
between actors and he looks to interpret the impact coming out of social relationships. He
believes that the forms ensuing from relationships are very difficult to be explored, for they
depend on inter-individual effects of each others behaviour, as well as on aspects of competition
and conformity to same or different group norms. Social facilitation theory, for him, refers to
attempts made towards explaining inter-individual effects. He discusses the performance of
people under various kinds of social norms and adaptability. Audience effects and co-action
effects is the understanding of social facilitation, according to his respect. The social facilitation
theory is related for him to the observation of behaviour taking place before passive presents.
On the other, it refers to an active involvement of both the individual and others when
performing the same terminus. For Zajonc, people engaged on a task in the presence of others
are likely more adept towards performing a task than otherwise.
1 References to the theory of social facilitation complete around 1990s. Explanation to this is this theory is not
continued to be studied or researched simply because the understanding of it refers to behavioural aspects of
observation and not cognitive ones. In the present paper, my aim is to show that cognitive elements to observation
are important too, for they explain how behaviours in performing tasks take place.
2
All appendices (apart from No. 4) refer to the tables used by the named authors of the papers. The reason is
readers to have a look to the variables of the studies as well as the inferential results authors came across.
The final article, written by John R. Aiello and Elizabeth A. Douthitt (2001) is titled:
Social facilitation from Triplett to electronic performance monitoring. It discusses what up
today has been said and proposed on that theory, as well their personal understanding and
suggestions on the issue involved. The understanding of social facilitation in that paper refers to
the personal performance skills, when others are absent compared to be present. Social
facilitation hypothesis for them challenges a persons adjustment with or without others, when
performing a task. Social facilitation deals also with performance impairments, when the task
needed to be worked out can be considered as difficult as well-cognitively organized in order to
be completed. For this theory to be accurately understood, it is taken into account a persons
apprehension and evaluation of the task, as well as a number of potential mediators towards that
objective. Such mediators are drives and cognitive processes, as well as trait factors that
challenge the stability or not of a personality. Aiello and Douthitt consider that the aspect of
social facilitation is currently impaired in itself, for it is limited to elaborate its understandings,
because of the many and different parts of the theory in this field. In their article, they present a
brief history of the theory. They describe many of its relative aspects, so to discuss where the
theory in itself stands today. They also criticize the theory and describe its problems. On the
other hand, they provide an account of its framework for future research and conclude their
presentation by discussing the idea of electronic performance monitoring which extends social
facilitation theory to contemporary human workplace (Appendix 3).
In cognitive-behavioural therapy, decision-making explains cognitive elements of choice

related to particular actions. Decision-making processes differ when choices on tasks are
performed in the presence of others versus alone (Yechiam et al., 2008). When individuals
perform tasks on their own, thinking is triggering decision-making processes that are susceptible
to choices of minimized success (Ariel, 2014). When individuals perform a task in the presence
of others, thinking is triggering decision-making choices that enhance achievement and success
(Mihyeon, 2011). In the first case, decision-making influences the outcome of the task; in the
second, decision-making is influenced by performance anxiety, the outcome of which relies in
the likeness or not of others (Newell & Shanks, 2014). Decision-making in a cognitive-
behavioural perspective refers also to the idea of core beliefs individuals find themselves subject
to. By core beliefs, it is meant ones understanding of oneself subject to personal schemas and
early experiences which continue to influence an individual in the here-and-now, such as Im a
failure, I am not good enough, I am unlovable, etc. Core beliefs also explain ones
understanding how others see him/her, such as others think I am stupid, as well as ones
relationship to ones current environment the environment one lives-, such as the world is
against me, etc. The context of me, me and others, me and the environment is the framework
where decision-making takes place and whether problem-solving is believed to be effective or
not (Wills & Sanders, 2013).
In this research, what will be attempted would be to investigate whether decision-making

and choice have an impact on the performance of a task with or without the presence of social
facilitation. For this reason, the hypothesis to be tested will question whether social facilitation
theory refers to the aspect of performing a task with and/or without the presence of others. It
will therefore be proposed that, people performing a task are likely more capable of doing that in
the presence of others than carrying it all out by themselves. In this consideration, it is predicted
that once the individual is familiar with the task, the inhibitions arousing by performing it before
others will be less or none, and not the opposite. In line with the former, an individual
performing before others succeeds in more error scores versus alone. Also, by experiencing
none or less inhibitions by efficiently performing the task, one is likely more vulnerable in
stepping back from success, when the task is unfamiliar to oneself, thereby the concept of
impairment and its connection to the theory of social facilitation (Uziel, 2007).
Method
Participants
Participants were students recruited from the UEL (University of East London), as well as
personal contacts. Their mean age is 31 years. The number of males taking part was 8, whilst the
number of females 24. There were more female participants compared to males the reason being
the random sampling process followed. If it was a categorical sample, equal gender numbers
would had been recruited. During random sampling, more females came to be recruited, for, on
one hand, in this kind of sampling process equal numbers in gender is not the case, whilst on the
other determination in recruiting same number of males and females might not always
proportionately allocated (Hoffmeyer-Zlotnik & Krebs, 1996).
Design
There will be conducted a within-participants or a repeated measures/related design
experiment. That means each participant will perform both tasks separately. The within-
participants experiment, although more advantaged for the experimenter, it is nevertheless
difficult sometimes to avoid order effects that are related to participants and the experiment
itself. Order effects that could be pinpointed are familiarity with the task, or practice and
boredom effects. In order for any confounding variable to be avoided, if possible, there will be
introduced counterbalancing. Half of participants will try the observed condition and half the
non-observed. To complete the experiment, participants will change turns. The second half will
try the observed condition and the first half the non-observed. Through counterbalancing any
effect will be spread across both conditions of the independent variable. Thus, it will not
constitute confounding variable. The independent variable will be the experimental condition
observed-not observed and the dependent variable the errors scored.
Material
The material to be used for this experiment will be a star drawing see Appendix 4- (two copies
for each participant: one for the audience section and another for the non-audience).
Procedure
Participants were informed that the objective of the experiment is to question the effects of a
specific task performance in an audience and non-audience condition. The task will be
performed by drawing a star with a hand other than the dominant one. Participants will attempt
to draw a line towards sketching the star as straight as possible. They will also be asked to do it
as much as quickly as they can, attempting also to avoid errors of inaccuracy. Participants will
perform the task both in the observed and the non-observed condition. Turns will change so
to complete the task in both conditions. In the first condition, participants need to draw the star
in a quick matter of time and then the experimenter will leave from their sight, so to repeat it all
alone. Participants in the second condition will follow the other way around. When the task has
been performed, the experimenter will thank participants for their participation and cooperation
in the experiment. After the task has been accomplished, the experimenter will make a note of
the gender of each participant, so to include it to the data analysis, as well as a note overleaf for
each of both star drawings: one named as observed and other as non-observed. Upon
completion of the experiment, the experimenter will count the error scores of both the
audience-non audience conditions, in order to mark two error scores for each participant that
will be used for the results and presentation of data through the SPSS.
Results
Table 1: Descriptive Statistics
Mean and standard deviation of age, gender, audience/error scores and no audience/error scores
of participants
M SD
AGE 31 9.42
GENDER 1.75 .43

AUDIENCE/ERROR 31.12 12.25
SCORES
NO AUDIENCE/ERROR 12.40 5.72
SCORES
The observation of both conditions (audienceno audience) leads to a further

investigation of the relationship between data, in order conclusions to be drawn inferring to
them. The second table presents statistics needed to be taken into account. The fact that
participants have shown that performing in the audience condition, they score higher error rates
versus otherwise outlines that observation is the parameter, or the predictor, as we will term it in
the discussion section, influencing performance during both audience/no-audience conditions.
The latter is evident by looking at the respective error scores achieved: 31.12 and 12.40.
Table 2: Inferential Statistics

Paired Samples t-test
95% Confidence Interval t df Sig. (1-tailed)

of the Difference
Lower Upper
14.8 22.5 9.9 31 .000
Through the descriptive and inferential statistics there has been made clear that:
2.1.1 The mean related to the age of participants is 31 and the standard deviation is 9.42.
2.1.2 The mean related to both genders is 1.75, whilst the standard deviation .43.
2.1.3 The mean error score for the audience condition is 31.12 and the standard deviation
12.25
2.1.4 The mean error for the non-audience condition is 12.40, whereas the standard deviation
5.72
2.1.5 It is stated that the 95% confidence interval for the estimated population mean
difference will fall somewhere between 14.8 and 22.5.
2.1.6 The t-value (9.9) shows that the difference between the two conditions is not a result of
sampling error.
2.1.7 In order to receive an exact probability of the obtained p-value (.000) it is needed to
change the last figure (0) to 1. Once this has been changed it is appeared that the p-value
is less than 0.001. That means that, there can be found only one chance in a thousand
that this result is due to sampling error. The p-value, according to the results obtained, is
less than 0.05. In other words, the likelihood of 0.001 is <0.05. The p-value refers to the
probability of the obtained t-value, meaning that the result is an outcome of a sampling
variation. It is also stated that, although SPSS is giving the significance level as two-tailed,
by default, the results in relation to both conditions speak of a one-tailed hypothesis.
That means, the experiment conducted, refers to a directional hypothesis (Dansey &
Reidy, 2011) which defines the prediction of a relationship between two conditions, in
relation to ratings of error scores arousing under both of them.
2.1.8 The degree of freedom is 31 and implies that the error scores can vary without altering
the sample size (32), thereby almost in equation. In other words, for a within-participants
design, degrees of freedom will appear one figure less than the number of participants.
2.1.9 The presentation of the results obtained, according to an APA format, looks as follows:
t(31)=9.9, p=0.001
0.001=1 p0.001
0.05 p0.05
0.01 p0.01
It is important to note in this instance that participants the way they have performed the
task, and were found to support similar findings in earlier social facilitation studies, that it is not
the task that affects performance in the presence or not the presence of others, but their
observation when this task is carried out. In thinking of this instance differently, if in an audience
condition, participants were performing a task, but without directly observed by others, i.e. if
others were present while one was performing a task but indirectly observing the actor, scores
during the presence of others would probably demonstrate low error rates as in the non-
presence of an audience (Qu et al., 2015). An explanation to that could be that the presence of
others, versus not, is not the condition that influences actors performance, but whether their
presence or non-presence is active in view to the degree of observation spent during watching
the task performed.
Discussion
Though the hypothesis of the study it is supported, and the understanding drawn could lead to
the conclusion that results obtained do not provide a better interpretation compared to original
study-ies, what I would like to stress is that the new element incorporated in this study is the fact
that cognitive and behavioural perspectives have been taken into account; an element that hasnt
been explored by previous researchers with regards to social facilitation theory.
The latter explanation on one hand raises new considerations about social facilitation theory as
to the reasoning individuals decide upon concerning performing a task in the presence and/or
not of others; whereas on the other that the degree of performance may well be triggered by the
predictor of observation, both if the audience is passive or active when watching actors
performing tasks.
Such new consideration for social facilitation theory, though does not come with new
evidence as to the support of hypotheses since, so far all major studies on this topic have
concluded the support of the initial hypothesis- it nevertheless provides a better cognitive
elaboration in the explication of reasoning from a cognitive point of view in terms of decision
making as well as behavioural integration i.e. how performance of a task could relate to actions
that are engaging individuals performing tasks in the presence or not of others.
The former explains that competitors, or performers, of tasks approach tasks having
considered of possible outcomes of own performance, thereby the choice to endeavour and
complete it. In other words, what is new in this study, and supports previous hypotheses on
social facilitation theory, is that cognitive elements which integrate participants competition on
given tasks, such as observation during passive or active participation with or without the
presence of others, predispose how competitors are going to perform before carrying out the
task.
This new consideration refers to what this paper, on one hand, offers to a modern
understanding on social facilitation theory: that of predisposing cognitions that relate to a
perceived outcome of an action, which if successful competitors are likely to compete, whereas
unlikely to compete if opposite case would be them to fail.
To support this idea is through the findings collected in this study, i.e. the fact that
participants performed lesser in the presence of others, rather than performing the task
otherwise, means that what makes participants to attempt a better effort when performing in the
presence of others is analogous to the predisposing cognition that success will the case for their
effort if they were to be minimally observed by an audience an understanding about performing
well so that decision-making to be predisposing the outcome to be constructive as to the
behaviour undertaken so a task to be completed.
On the other hand, once the task has been decided to be performed, the focus of
individuals to the behavioural integration of it, could mean an expectation of outcome to prove
engaging against the effort to be spent. In keeping that in mind, individuals who commit to a
performance, observed by others, could assist performers in struggling more efficaciously in
completing the task with less possible losses.
In taking the above discussion into consideration, the fact that the number of
participants is small does not need to explain gender sensitive results, first because the aim of the
study conducted did not include this idea as part of its rationale, and second because its objective
was to regard how cognitive changes with respect to choices people make can prove positive, or
not, to the effort put forward in terms of a behavioural activation following decision-taking.
Also, the fact that female participants were more compared to their male counterparts, is
also an evidence relevant to the rationale of the study which concerned the understanding of
cognitive predisposing factors towards behavioural activation through implementation of a social
facilitation performance.
The mean age for the total number of participants (31) describes a normal spreading out
of the overall sample used. Their age range is from 18 to 54 which connotes that their percentage
rate is something about 70%. In other words, the sample age of those taken part in that
experiment is more or less normally distributed.
The gender distribution, on the other hand, seems to be skewed, leaning towards
females. Females are more than males, which means, there is a percentage of about 75%
counting against the male participants.
The mean error scores, in relation to both conditions, support the social facilitation
theory. People, in performing a task in the audience condition, tend to score more errors, than
fewer in the non-audience one. An explanation to more error scores compared to less, lies with
the cognitive hypothesis that individuals when observed from others during cognitive tasks they
put much pressure unto themselves to perform better for the reason observation is regarded an
obstacle towards clear decision-making as to the performance of a task. Added explanation to
the latter, is higher levels of anxiety followed by low levels of self-esteem, particularly by the fact
if observation of others during tasks other perform is more intellectual or complicated, as in the
case of the star-drawing task.
On the contrary, the opposite is true, for it eliminates observation anxiety. One by
performing a task alone, even if such a task could be difficult, there are low levels of anxiety
scored because observation is not the case. The way, cognitions operate during performance of a
task during observation from others can lead to avoidant behaviours as to the accomplishment
of a successful task performance, thereby the failure in completing it with minimal error scores.
By that it is meant that observation operates as a predictor in performance fluctuating levels of
anxiety and self-esteem when participants perform a task in the presence of others versus not.
To use a diagram to illustrate the previous paragraph as to the error scores participants
could perform, this would be as follows:
High levels of anxiety
Presence of others High error scores
Low self-esteem
Observation
Low levels of anxiety
No presence of others Low error scores
High levels of self-esteem
The rationale and the hypothesis of this theory support the prediction and maintain that
social facilitation understanding is in favour to performing a task when observed, versus non-
observed. In considering the error scores in both conditions, the prediction underlined is true. It
is also argued that through the related t-test ninety-five out of hundred people will be found
between higher rates of error scores as obtained in the audience condition. On the other hand,
the likelihood accomplished has not been obtained due to sampling error. In line with the latter,
only a chance out of a thousand could support the likelihood between the two conditions, due to
sampling error. In other words, according to the results, error ratings participants had scored
occurred due to manipulation and not due to chance. The confidence interval has almost
doubled from the lower to the upper bound which means the range between them is more or
less large.
Also, there are no zeros in the confidence interval figures, implying that if there was a
different sample of participants to perform the task in the audience condition, there would be
unlikely to obtain lower error scores. The hypothesis stated, is not a two-tailed one, but one-
tailed instead. This supports the prediction of obtaining more error scores, when in the presence
of others, than in the non-presence one. The directional hypothesis relates to the aspect of error
scores in either condition. The experiment conducted followed within or related-participants
design. One-tailed hypothesis in this experiment refers to the inter-related dependent variable,
which is the error scores obtained under the same performed task (star drawing).
The report of findings supports the theory of social facilitation. However, by considering
more carefully that theory, it is maintained that an understanding coming out only from the error
scores rated, or the idea of performing a task, is not as much accurate to accept. In other words,
the present hypothesis would need to be distinguished under other factors which will explore
this theory in depth (Steinbach, 2014). These factors can be underlined as co-actors with
regards to performing a task in the presence of others. That could imply that, in the audience
condition alienated factors may inhibit the subject by drawing his/her attention to sounds,
smells, or voices, for instance, co-occurring (co-actors) at the same time, and obstructing the
participants attempt to perform the task effectively (Ryan & Deci, 2008; Tedescoe & Patterson,
2015). In such an event, what a participant is cognitively obstructed by is the ruminative thinking
deriving from his/her concentration on something, other than the one he or she has focused on
at the time of performing that particular task. In this way, one demonstrates lack in the
facilitation of self-help interventions, such as concentrating on a specific task, which decreases
also ones mood from the performance perspective of it (Watkins, 2009; Watkins et al., 2011).
Another aspect is observation. If the subject is observed, while in the audience condition, and
that means, if others were to pay considerable attention in what one would perform, that would
also indicate an increase to error ratings, regarding the task performance (OBrien, 2003). By
considering factors like the ones above, the outcome obtained from both conditions refers to the
aspect of confounding variables which work towards the arousal of inhibitions and impairments
on the side of an individual. The more the audiences presence, the greater the error scores are
likely to incur; whereas the less the audiences appearance, the less the error scores accumulated,
when a task is performed (Steinbach, 2014).
Those factors would also implicate a cognitive obsession against the effort participants
had to focus on. By cognitive obsession it is implied a cognitive and behavioural impediment to
the task itself, which doesnt assist to managing and completing it fully (Newman, 1994; Zoellner
et al., 2008). In cognitive-behavioural therapy, such impediment has an important understanding
for the operation of human mind under a stressful situation. It is a stressful situation, because it
indicates the presence of an event within an already existing other, such as riding a bike to a
particular direction in the presence of others and getting obsessively concentrated ruminative
thinking- on another event, such as sounds, smells, voices, which could remind a participant of a
particular experience one has had in the past. In a cognitive-behavioural perspective what could
help an individual against rumination, is a cognitive distraction from over-thinking, such as
focusing more on the task in hand via alternatives ways to achieving it (Deary et al., 2007;
Teismann et al., 2012). In such a cognitive appraisal, a participant may lower down his pace of
riding, or not pay attention to the presence of an audience watching him/her performing a task.
Such a co-actor of an event may slow down the operation of cognitive abilities that associate to
attention, perception, and/or memory, for the performer has behaviourally chosen (Taatgen,
2013) change of focus and concentration from task- a different task to think of that of sounds,
smells, or voices, to refer to the previous example.
By performing a task before others, it increases the impairment levels of the subject
towards completing the task. A participant is inhibited to score more errors with an audience,
than in the opposite condition. An inhibition coming out from such an experiment is the idea of
the demand effect (Dansey & Reidy, 2011). The demand effect is concurrent to both conditions
because of the relationship between experimenter and participant. It refers to the confounding
indication that participants comply to follow the instructions laid down by the experimenter, in
order to perform in accordance with what they were told, rather than with what they would
normally do, in case there wasnt such an experiment in place. That could mean, results may not
address the purpose of the experiment, but the underlying prediction instead (Zajonc, 1965). In
order for the prediction to clearly follow the rationale expressed, the conduct of the experiment
should attempt to avoid the demand effect. One could conduct an experiment by trying people
to perform an already known task, and then a task they know absolutely nothing about (Zajonc,
1965). In the first case, the experimenter will be able to discuss the results of that under the
understanding of skills participants possess; in the second, the experimenter should examine
participants under a task not of their general knowledge: in other words, under a novel or
complex task. In both cases, the experimenter will be able to understand how participants
perform, so to draw conclusions from his findings more applicable to the prediction supported.
The demand effect in both cases will be weakened because participants will score different error
ratings, in relation to their different performing abilities.
In line with the last two paragraphs, the aspect of performance is of crucial importance in
the case of acting/co-acting of a particular task. Cognitively speaking, performance refers to the
understanding how a task should be exercised, i.e. which aspects of cognitive checking should be
there so performance to operate. Examples could be comprehension of the task; comprehension
of the order a task to be accomplished; comprehension of the avenues to be followed so that a
task to meet a fruitful culmination. Behaviourally speaking, performance means that a
participant chooses in which ways to try the task; also, that he or she develops a plan his or her
choices to be in conjunction to the task to be performed; also, that he or she by practicing it
would be able to see alternatives to the performance towards a successful implementation of it.
In line with the above, Zajonc (1965) explores it further by suggesting a combination of
both the performing-a-task conditions: a person in order to understand how his behaviour on
anxiety level, as well as his errors could be less accomplished, if the task were to be known,
should study it all alone and then come and perform it before others. This means that, the more
someone is well acquainted with the topic, the less the anxiety arousal will be in performing his
skill. On the other, he also underlines the fact that, that kind of understanding has never been
put under the microscope in other words, under experimental procedure. It is also likely that, in
the presence of others, an individual feels more comfortable to increase his capacity through
performing a task. In some ways, however, the dealings are not referring to simply engaging an
individual to perform a task, whether effectively or ineffectively, than imitating the process of
doing so. Then, what it is meant to be accounted for in a more considerable way, are the
consequences which should be further investigated, in order to explore more parameters
working underneath that discuss the latter (consequences) with the former (presence of others),
so to be thereof scrutinized and thereby integrated.
In elaborating this understanding by Zajonc (1965) in cognitive-behavioural terms, we

have a skill in the practice of cognitive-behavioural therapy that is called application of change
methods in which a consideration of for-and-against alternatives can provide consolidation or
change of appraisals being decided by the client to be thought of. Application of change
methods is a conceptual comprehension about what has been decided and whether decisions
made could lead to problem-solving (Blackburn et al., 2001). According to Zajoncs
understanding (1965), coming to perform an action is a complex procedure. There is needed
quite a good knowledge of the task to be performed, such as identifying about its constituent
parts and how these can assist a comprehensive performance (cognitive organization of the
human mind in CBT terms); also, consequences of such a performance of a task might have to
be individually integrated (functional organization of the human mind in CBT terms), so to be
meeting ones needs and expectations concerning such a task; and finally, whether the outcome
of such performance could help the individual learn what he or she did and what improvements
one has made in ones own life, so such a particular performance to be selected for in the here-
and-now so the individual to further develop his/her cognitive and behavioural capabilities when
employing it (Knapp & Beck, 2008).
The social facilitation theory deals with the effects of social presence on individual performance.
However, different cultures elaborate different frameworks for social facilitation. Even the term
social should be questioned to facilitate or impair the theory among different aspects about life
and the communication with others. Different cultural understandings develop and deepen the
social facilitation theory. In this way, social facilitation theory becomes more flexible and
employs different languages as well as traditions. On the other hand, it becomes also more
flexible to different cultural understandings and personality characteristics that may vary from
between traditions. Social facilitation theory should follow the various understandings and
changes of societies, including differing cognitive and behavioural choices when facilitation of a
performance is in place, so to track different social constructs. In this way, a broader approach
and application of the social facilitation consensus could refer to individual cognitive and
behavioural cultural differences, as well as to different cognitive and behavioural frameworks of
perception to the social apprehension, exercised in relation to cognitive factors and traits of
personality.
Strengths and limitations to this study could be identified as well. First, the fact that the
main hypothesis to social facilitation theory is being supported after more than 100 years is a
practical evidence that this theory is still in effect in human interrelationships. Second, the
number of participants who took part in this study could be better to be more, the reason being
in this way, the element of observation could be regarded better in terms of gender-differing
performance during observation of an audience; an element that could demonstrate whether
males as well as females by following different decision-making in the accomplishment of a task
could rate more scores versus otherwise. Also, as to the hypothesis this study was based, could
be better enhanced if observation was to be seen as a predictor with conditions, such as direct
observation, and indirect observation, the reason being to explain whether in the presence and
non-presence of audience high or low error scores could be achieved during the performance of
a task. In a future replication of this study, the element of observation as a predictor when
participants perform in the presence or not of others, could provide further evidence to the
understanding of anxiety and self-esteem with relevance to high and/or low errors scores
collected.
Conclusion
In this study, there has been replicated the hypothesis that individuals perform better in the
presence of others versus not. The fact the good performance has been found to be associated
with more error scores versus less, when in the presence of others, points to the direction that
even the mere presence of others affects decision-making in the performance of an action. That
element was discussed in the final section of the paper by considering that the element of
observation plays a very important role in the performance of a task. It was suggested that if
observation was to be explained under this perspective, cognitive and behavioural aspects of
anxiety and self-esteem could also be explored, following scores collected from participants
having been observed from others performing a task versus not.
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Appendix 1
Appendix 2
Appendix 3
Appendix 4
p-ISSN: 1694-2620
e-ISSN: 1694-2639
Setting the Strategic Direction and its Influence on

Church Growth in Kenya
Peter Mutua Mutia, Dr. George O. KAol and Dr. Paul Katuse
United States International University Africa
P.O. Box, 14634 00800
Nairobi, Kenya
Email: petermutia@yahoo.co.uk, gkaol@usiu.ac.ke, pkatuse@usiu.ac.ke
Abstract
According to conventional textbook wisdom, the setting of an organizations strategic direction
is done by leaders at the strategic level of the organization, then cascaded down to the rest of the
organization. The setting of an organizations strategic direction entails mapping out the
organizations overall growth strategy and laying out the road map for its implementation. The
purpose of this study was to determine how the setting of the churchs strategic direction
influences its infrastructural growth in Kenya, and used a descriptive correlational research
design. The one hundred and twenty six (126) Bishops and four thousand, six hundred and sixty
seven (4667) study population was randomly selected from the five major Christian
denominations in Kenya. The data collection tool used was a self-administered structured
questionnaire. The collected data was analyzed with the use of Statistical Package for Social
Sciences (SPSS) software.
The findings indicated that the setting of the churchs strategic direction influences its
infrastructural growth. A Chi-square test to determine whether there was a significant difference
between the different church denominations and the strategic plan for the growth and expansion
of the church programs established that the strategic plan influenced the growth and expansion
of the different church programs at x2 (1) = 18, p <0.01. There was a strong correlation between
having a strategic plan and accomplishment of the church goals at r (240) =.65, p=.000. On
doing a regression between the determination of the strategic direction and the churchs
infrastructural growth, the findings indicated that F(4,297) = 61.468, p<.000. With an R 2 of .673,
which indicated that the determination of strategic direction causes a 67 percent variation in the
infrastructural growth of the church. The study concluded that the determination of the churchs
strategic direction positively influences its infrastructural growth and recommends further studies
to determine the different leadership styles that are key in ensuring sustainable growth of the
church and faith-based organizations in general.
Keywords: Strategy, Strategic Direction, Infrastructural Growth, Church Leadership
Introduction
According to Ireland,Hoskisson and Hitt (2009), the determination of a churchs strategic
direction involves the specification of what the organization hopes to become in the future and
is influenced by the perceived contextual opportunities and threats. As Hayes, Pisano, Upton and
Wheelwright (2005) explain, the setting up of a churchs strategic direction entails three key
elements, which are: the churchs mission, vision and values. Hough, Thompson, Jr., Strickland
III, & Gamble (2011) define the churchs mission as a statement that describes its very reason
for existence, its activities, strategies, acceptable outcomes and its fundamental calling (also called
raison dtre). On the other hand, Kouzes and Posner (2012) define a churchs vision as the
ideal and unique image of the churchs future. According to Huff, Floyd, Sherman and
Terjessen (2009), an organizations values are the guiding principles that the firm live by, which
also influences both who and what fits within the organization.
According to Clayton (2015), the determination of a churchs strategic direction is a five-step
process, and entails goal setting, formulation of the guiding strategy, implementation of the
same, evaluation and control of the implementation process. On the other hand, Johnson,
Scholes and Whittington (2008) explain that goal setting is done to clarify the vision for the
churchs business and consists of definition of both the short and long-term objective,
identification of the process of how to accomplish the churchs objectives and a customization
of the process for the churchs staff, by assigning individual tasks for each.
Problem Statement
In the contemporary and highly competitive society, organizational success is not a matter of
luck, but rather a phenomenon largely determined by the actions of the organizational leaders.
As Olk, Rainsford and Chung (2015) explain, in not-for-profit organizations, especially the
church, the realization of organizational goals is complicated by both the leadership structure and
the leaders actions, which can be explained by the fact that, here, more than anywhere else, a
strong conceptual framework, which is a framework for action, is necessary (Manene, 2011), yet
this framework cannot be static, but must be reshaped as the needs and the governance of the
church and the environment around it change (Kagema, 2012). One of the key actions that can
influence the success or failure of the church is the setting of its strategic direction. According to
pierce and Newman (2008), the setting of the churchs strategic direction is one management
tool that can help an organization in focussing and periodically refocussing its vision and
priorities, and also helps the organization in the establishment of choices about how best to
accomplish its missions, goals and objectives. On the other hand, Vaughn (2005) explains that
without a pre-set direction, an organization stands the risk of drifting away from its values and
lose the ability to understand whether it is successful in delivering its services or products to its
clients or not.
Purpose of the Study

The purpose of this study was to determine how the setting of the churchs strategic direction
influences its infrastructural growth in Kenya.
Literature Review
According to Volberda et al (2011), the setting of an organizations strategic direction entails the
definition of the organizations strategy and making decisions on the allocation of resources to
facilitate its implementation. Fulmer (2009), on the other hand, defines infrastructure as the
physical components in any given organization, which are established to guide, support, provide
essential services to enable, sustain, or enhance proper functioning of the organization.
According to Serven (2010), an organizations infrastructure consists of the different operations,
mission and goals, the people who do the work and the way the work is done in the
organization. DeCastro (2015) however observes that, although church growth is a major
concern for many churches and their leaders in the world today, it is only when the church is
built in accordance with the laid out biblical patterns that true qualitative and quantitative growth
become evident. Sullivan and Sheffrin (2003) point out that infrastructure is a key ingredient for
organizational productivity and growth and affects the aggregate output by entering production
as an additional input and raising the total factors of production by reducing transaction and
other costs thus allowing a more efficient use of conventional productive inputs.
According to Labotis (2007), the determination of the churchs strategic direction influences
infrastructural growth by first, helping in ensuring customer-focused growth strategies, which
entails the identification of profitable growth opportunities specifically geared towards the
generation of maximum proportion of revenue and profits (Calderon & Servn, 2010).
According to Serven (2010), all these elements work in ensuring increased and sustained
profitability and ultimately increased demand for service, leading to the need for the expansion
of the existing infrastructure due to expanded capacities, which also help the church to serve
larger audiences. Fulmer (2009) on the other hand explains that the determination of the
churchs strategic direction helps in the assessment of its operations by analyzing the direction
the church is headed and why, identifying the core customers and their needs. He explains
further that it is important to know the churchs key competitive advantage, how this can be
strengthened, define the existing market platforms, eliminate products and markets that do not
fit on to these platforms and strengthen its market coverage. According to Feliciano (2014), the
setting of an organizations strategic direction is essentially strategic planning, a process which
entails the setting of the organizational mission, vision and objectives, environmental scanning,
strategy formulation, strategy implementation, and strategy evaluation and control, which all
work together in ensuring that the organizational goals and objectives are achieved. Gartenstein
(2014) observes that strategic planning provides a sense of direction and outlines measurable
goals for the organization, and is a useful tool for guiding the organizations day-to-day
operations and for evaluating progress and changing approaches when moving forward.
He further argues that in order to make the most of strategic planning, the organization should
give careful thought to the strategic objectives it outlines, and then back up these goals with
realistic, thoroughly researched, quantifiable benchmarks for evaluating results.
According to Day (2012), the direction to be followed in any given organization is set by
answering the questions: what are the growth objectives? What portion of future growth and
profits should come from new products and or new markets? What purposes should new
products and other growth options play in supporting the business strategy? What is the best
growth path? Where should the business team be looking to find opportunities that satisfy the
objectives and purposes of the strategy without exposing the business to excessive risks? And
should the business participate in the new growth direction by relying on internal development
or external means such as alliances, licenses or acquisitions? As Wasyluk (2007) explains, a
church leader must have a well planned strategy and clear direction if they are to succeed in
bringing growth to their organization. To achieve this, Stahl (2007) explains that, church leaders
should seek to create an exciting picture of a successful future for their organization and their
followers mainly because followers want a sense of what they are striving for and where they are
going in order to commit the necessary resources (time and energy) to achieve the desired
results. He argues further that without a clear sense of direction the followers become either
unproductive or underproductive, which results in a wastage of organizational resources.
According to Dubrin (2007), the churchs strategic direction involves the articulation of its
mission and vision, development of the strategies, which encompasses the churchs goals, and
specific objectives. According to Hitt, Ireland and Hoskisson (2005), this vision provides the
motivational impetus necessary for the followers to act up and gives the leaders the ability to
engage in the motivation and empowerment of their followers to create effective organization
designs, which all work together to foster organizational growth.
Research Methodology
Participants
The study population comprised of church leaders in the five major churches in Kenya, with the
target population being Bishops and clergy from the five largest church denominations in
Kenya., namely, the Roman Catholic Church (R.C.C), the Anglican Church of Kenya (ACK), the
Presbyterian Church of East Africa (PCEA), the African Inland Church and the Methodist
Church in Kenya (MCK), from which, using a stratified random sampling technique, a sample
size of 95 bishops and 387 pastors was drawn.
Design
The present study was a descriptive correlational study which sought to determine the influence
of setting the churchs strategic on its infrastructural growth Kenya. The study examined this
variable among church leaders and collected data through self-administered questionnaires and
consequently came up with recommendations to church leaders in Kenya which sought to
improve performance by church leaders in the country. The data collected was analyzed using
both descriptive and inferential statistics and presented in the form of frequency distributions,
means, charts for descriptive statistics and tables and figures for inferential statistics. The data
was analyzed using the statistical program for social sciences (SPSS) as a tool.
Results
Of the respondents interviewed, only 9% were females in leadership positions. The res (91%)
were males.
Descriptive Statistics
Figure 1: Gender of the Respondents
On the other hand, many of the church leaders interviewed for this study were above 50 years of
age while a minority were aged between 40-49 years of age.
Table 1: Age of the Respondents
Distribution
Age Frequency Percentage
30-39 yrs 93 28
40-49 yrs 79 24
50 yrs + 143 43
Non-response 16 5
Total 331 100
Inferential statistics
Chi-Square Test
The technique was used to determine whether there was a significant difference between the
church denominations and the strategic plan for the growth and expansion of the church
programs. From the Chi-square tests, it was established that, the strategic plan influenced the
growth and expansion of the different church programs at x2 (1) = 18, p < 0.01.
Table 2: Chi-Square Tests Leadership and the Church Strategic Plan for Growth
Value df Asymp. Sig. (2-sided)
Pearson Chi-Square 332.116a 18 .000
Likelihood Ratio 208.809 18 .000
Linear-by-Linear Association 10.305 1 .001
N of Valid Cases 260
a. 21 cells (75.0%) have expected count less than 5. The minimum expected count is .29.
Analysis of Variance
A one-way ANOVA was conducted to evaluate the null hypotheses that there is no significance
difference between the church strategic direction and infrastructural growth. The tests revealed
significant pair wise differences between the mean scores of the church strategic direction and
the infrastructural growth, p<.05. F (6,255) = 13.5, p=.000, F (6,255) = 18.5, p=.000, F (6,255)
= 7.5, p=.000 and F (6,255) = 18.3. This shows that there was a significant difference between
the church strategic direction and the infrastructural growth.
Table 3: One -Way ANOVA on Church Strategic Direction and Churchs Infrastructural
Growth
Sum of Mean
Squares df Square F Sig.
The churchs mission is realistic Between
12.990 6 2.165 13.453 .000
in light of its resources Groups
Within Groups 41.040 255 .161
Total 54.030 261
There are clearly defined Between
34.851 6 5.809 18.516 .000
strategies that support the Groups
mission, vision and ultimately
the growth of the church Within Groups 79.992 255 .314
Total 114.843 261
The churchs programs, Between
11.211 6 1.868 7.545 .000
services, and general activities Groups
are consistent with its mission
statement. Within Groups 63.144 255 .248
Total 74.355 261
The churchs planning and Between
41.356 6 6.893 18.296 .000
budgetary priorities are Groups
consistent with and supportive
of the mission Within Groups 96.068 255 .377
Total 137.424 261
The churchs actions and Between
36.717 6 6.119 10.133 .000
decisions demonstrate an Groups
understanding that it serves the
public and has obligations to it Within Groups 139.502 231 .604
Total 176.219 237
Regression
The regression between determination of the strategic direction and the churchs infrastructural
growth had a strong regression. The regression analysis findings were F (4, 297) = 61.468,
p<.000. With an R2 of .673, which indicates that the setting of the churchs strategic direction
causes 67 percent variation in the infrastructural growth of the church, while the remaining 33
percent are attributable to other factors not considered in the study and one error term.
Table 4: Regression of Strategic Direction and the Churchs Infrastructural Growth
Model R R Square Adjusted R Square Std. Error of the Estimate
1 .673a .453 .446 .305
a. Predictors: (Constant), Number of programs currently, Number of
congregations/parishes/branches 5 years ago, Number of programs 5 years ago, Number of
congregations/parishes/branches currently
Coefficients
The coefficient table indicates the degree of relationship between each variable that represents
the infrastructural growth of the church. The constant is 1.980 while the variables which are
statistically significant for the equation are: increase in the number of
congregations/parishes/branches 5 years ago (p=.000) and the number of
congregations/parishes/branches that the church has currently (p=.000).
Table 5: Coefficients of Strategic Direction and the Infrastructural Growth of the Church
Unstandardized Standardized t Sig.
Coefficients Coefficients
B Std. Error Beta
(Constant) 1.980 .081 24.452 .000
Number of
congregations/parishes/branches .558 .059 .874 9.439 .000
5 years ago
Number of
congregations/parishes/branches .281 .054 .429 5.173 .000
currently
Number of programs 5 years ago .021 .053 .032 .401 .689
Number of programs currently .031 .040 .055 .778 .437
a. Dependent Variable: Church having a clear strategic plan
Regression Equation:
Y= a+ bx1+bx2+bx3+bx4
Y= 1.980+b (0.558) +b (0.281)
Setting the Strategic Direction=1.980+ number of congregations/parishes/branches 5 years

ago 0.558 + number of congregations/parishes/branches currently 0.281
Discussion
This study sought to establish how the setting of the churchs strategic direction influences its
infrastructural growth, and sought to get information on the churchs strategic vision and
mission, the churchs strategic goals, the major challenges to the implementation of the churchs
strategic plans, an analysis of how the strategic plan influenced the churchs infrastructural
growth, and establish the coefficient between the churchs strategic direction and its
infrastructural growth and also sought to regress the churchs strategic direction against its
infrastructural growth. When asked what they felt about the churchs vision and mission, 98% of
the respondents agreed or strongly agreed that their churchs mission was realistic in light of its
resources, while 2% of the respondent disagreed with the statement. On the other hand, 77% of
the respondents felt that the church had clearly defined strategies that supported the mission,
vision and ultimately the infrastructural growth of the church, while 10% of the respondent
disagreed with the statement. Also, 90% of the respondents either agreed or strongly agreed that
the churchs programs, services, and general activities were consistent with its mission statement,
while 10% disagreed with the statement. When asked about the major challenges to the
achievement of the churchs infrastructural growth, 19% of the respondents cited poor
leadership, 17% cited inadequate personnel, while 16% cited lack of sufficient funds to carry out
the expansion of the infrastructure. However, other challenges cited included lack of plans
(14%), resource constraints (14%), corruption (11%), competition, discrimination and
unreligious members, all with 3% respectively. This question sought to determine whether the
churchs strategic plan influenced its infrastructural growth from the respondents who
participated in the study, but first analyzed how the leadership had influenced the infrastructural
growth. When asked whether the churchs strategic plan had influenced its infrastructural
growth, 76% of the respondents agreed or strongly agreed with this statement while 24% either
disagreed or strongly disagreed with the statement. Next, this study analyzed the coefficients of
setting of the strategic direction against the churchs infrastructural growth. The coefficient table
indicates the degree of relationship between each variable that represents the infrastructural
growth of the church. The constant is 1.980 while the variables which are statistically significant
for the equation are: increase in the number of congregations/parishes/branches 5 years ago
(p=.000) and the number of congregations/parishes/branches that the church has currently
(p=.000). The study also did an ANOVA of the churchs strategic direction and infrastructural
growth, and the output shows that the regression is significant at F (4, 297) = 61.5 p=.01 which
proves that the determination of the churchs strategic direction has a significant influence on the
infrastructural growth of the church. Lastly, this study sought to do a regression of setting the
churchs strategic direction against its infrastructural growth. Here, the regression analysis
technique was done to explore the relationship between the continuous dependent outcomes
(infrastructural growth) against the independent variable (setting the churchs strategic direction).
The regression analysis findings were F (4, 297) = 61.468, p<.000. With an R 2 of .673, which
indicates that the setting of the churchs strategic direction causes a 67% variation in the
infrastructural growth of the church, while the remaining 33 % is attributable to other factors not
considered in the study and one error term.
Conclusion
The present study focused on the setting of the churchs strategic direction and its influence on
its infrastructural growth. From the study, it is clear that the setting of the churchs strategic
direction requires a clear vision, mission, goals and the necessary resources to ensure a successful
implementation of the same. It also requires a clear analysis and reflection by the churchs top
managers as well as a clear communication and feedback from the churchs employees and
stakeholders. It is clear from the study that the process of setting the churchs strategic direction
requires striking a balance between developing a vision that is not inspiring or unattainable or
one that is the personal passion of top management but is not shared by others. Lastly, the
setting of the churchs strategic direction helps the church to build a systematic framework
composed of three key elements, which are: the sharpening the competitive focus, defining the
models and priorities and ensuring customer-focused growth strategies.
Recommendations for Improvement

As one scholar so rightly observes, the setting up of the churchs strategic direction is not a wish-
list, a marketing tool, but rather, a tool which helps the church by shedding light on its unique
strengths and relevant weaknesses, enabling it to pinpoint new opportunities or the causes of
current or projected problems. It is with this in mind that this study suggests that church leaders
at all levels should be involved in the strategic planning process, the church mission should be
realistic in light of its resources and that the church should have clearly defined strategies that
support the mission, vision and ultimately the growth of the church.
Recommendation for Further Research

This study has established that the setting of the churchs strategic direction helps in the
infrastructural growth of the church. There is however a need for an empirical study to identify
the effect of the leadership style on the churchs growth in general. Also, while the setting of the
churchs strategic direction has been established in this study as a key variable in the
infrastructural growth of the church, it is not clear how the mediating variables like the political
and geographic climates influence the same. Consequently, there is a need for an empirical study
to determine how these variables influence other aspects of the church growth.
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p-ISSN: 1694-2620
e-ISSN: 1694-2639
The multiplier effects of rural public investment and

poverty alleviation implications: the case of federal
university Ndufu Alike Ikwo (FUNAI)
Paul C. Obidike
Department of Accountancy/Business Management/Entrepreneurial Studies,
Federal University Ndufu Alike Ikwo,
email:pcobidike@gmail.com
Kalu E. Uma
Department of Economics & Development Studies,
Federal University Ndufu Alike Ikwo, Ebonyi State, Nigeria,
email: kaluskyebng@yahoo.com
Abstract: The study examined the rural multiplier effect and poverty alleviation implications of
the existence of Federal University Ndufu Alike Ikwo (FUNAI), Ebonyi State, Nigeria. This
expository paper reviewed and unraveled the desirable benefit to the rural people when the
government establishes an institution or learning centre in the rural area considering the
domestic and foreign investors unwillingness and reluctance in investing in such area. The chain
effects of the existence of FUNAI have both direct and indirect effects which are seen to raise
the living standard of the people. The authors realised that there is a positive impact that lead to
increase in employment of local resources and income generation which have contributed to
poverty reduction in the area to an extent. On the basis of the observed positive effect, the
authors made some suggestions which include the following among others: the government has
to reposition the rural areas of the country by establishing capital overheads and relevant
infrastructure such as good road network, regular power and water supply in order to attract and
encourage domestic and foreign investors. More efforts are needed to encourage local
entrepreneurs to settle and invest in the area instead of migrating to the urban areas with their
skill, capital and trade thereby raising unemployment and poverty in the area, and annihilating the
development intention of the government.
Keywords: multiplier, investment, poverty alleviation , public, rural
1.0 Introduction
Pataki (2005) points that among the most powerful tools employed in regional economic
analysis is the multiplier. OFarrell(2012) asserts that there is a direct benefit of investment
stimulus to an economy because of employment creation and increased aggregate economic
activity among others. The Keynesian multiplier effect has it that private or public investment
has a chain reaction that helps to increase employment, output production and income
generation. Ono (2009) have the conviction that public works spending may completely crowd
out private consumption notwithstanding the standard Keynesian setting. But European
Commission (2014) posits that an increase in public infrastructure investment could make
available the needed demand and a policy option required to support growth. The rural sector in
Nigeria is confronted with scarcity of all it takes to operate some businesses, specifically due to
infrastructural deficiency, lack of efficient banking system, poor road network, epileptic power
supply, migration of inhabitants among others. Nevertheless, a large proportion of Nigerians live
in the rural areas of the country. The poverty nature in Nigeria presupposes a greater focus to
the rural area. Scholars have remarked that attacking poverty involves understanding the
location, the degree and features. Obviously, in Nigeria, poverty is dominant in the rural areas.
Studies have revealed that in Africa and Asia, 75 80% of the poor are resident in the rural areas
and 70% in Latin America (Todaro, 1977: Chenery and Eckstein, 1970).
However, more attention on the urban areas by the various leaders in Nigeria have created
imbalance with respect to development in the economy. This situation has hindered even
development. The rural poverty has gone up over the years because of serious fall in economic
activity due to poor environment. This gave rise to incessant rural-urban migration, which
brought in backwash effect in the area. The migrants usually go with skills, capital and other
asserts, thereby, bringing about negative cumulative causation that retard development. When
local entrepreneurs migrate out of an area, their workers are left without a job and all their
productive inputs are taken away which brings a situation that impacts adversely on the general
welfare of the society. Conversely, the influx of investors or entrepreneurs in the rural area
brings with it spread effect, which is a positive impact that will raise idle resources use and
employment, thereby, leading to income generation.
Unfortunately, the exodus of people from the rural to urban areas far outweighs the extent
at which investors trickle into the village. Consequently, idle resources abound that is associated
with chains of economic quagmire, hence, it climax to poor living standard. The Earth-trends
(2003) states that the proportion of Nigerians living on less than a United States dollar per day
is 70.2% whereas the proportion living on less than $2 per day is 90.8%. On this note, Uma et
al (2014) remarked that many citizen of Nigeria cannot afford decent meals a day. Consequently,
the level of hunger, malnutrition and poor health condition which pervade are not advantageous
to the required level of mental development.
In its estimation the Index Mundi (2013) states that the total population of Nigeria is
174.5million. Total dependency ratio is 89% which implies that a large proportion of the
population is unproductive but dependent on the proportion of the work force. Nigeria has high
birth rate 38.8%, high population growth rate which is 2.54% whereas population growth rate in
many other countries is falling.
Besides, over the years, due to the situation of more people leaving the rural places than
they are replaced owing to poor environment for economic activity, the degeneration of rural
sector have never dwindled and so poverty in the area keep on rising. For instance National
Bureau of Statistics (2005) points out that in 1980, the urban poverty was 17.2% while it stood at
28.3% in the rural areas. It rose to 37.8% in 1985 in the urban area and 51.4% in the rural area.
By 1992, poverty stood respectively at 37.5% and 46.0% in urban and rural areas, but rose again
in 1996 respectively in urban and rural areas to 58.2% and 69.8%.In addition, Kale (2012) points
out that in 2004, 51.6% of Nigerians were living below US $1 per day and it rose to 61.25% in
2010. Changes that have taken place over the years since democratic dispensation have not
remarkably brought down poverty since over 70% of Nigerians is estimated to be poor.
Consequently, the federal government has instituted various fiscal incentives, programmes
and strategies aimed at promoting industrial establishment in the country in general and in the
rural areas in particular. Nevertheless, there is unwillingness of investors to opt for medium and
long term investment in the rural areas of the country due to non-feasibility of breaking even not
to talk of making profit, since the prospective investors have to provide virtually everything
needed to function. But development economists have stressed on the need for increased
infrastructure and capital facilities to enhance economic activity in the rural area so as to
accelerate the utilisation of idle resources in order to generate income, reduce unemployment,
lessen poverty and improve living standard. Over the years government has made frantic efforts
to change the ugly trend of poverty in the country yet much remains to be done. This is because
the absence of relevant capital overheads that do lessen initial start-up costs are completely
lacking, hence investors do prefer where relative capital overheads exist, which is in the urban
area.
Given the reluctance of private investors in the choice of investment in the rural areas, the
federal government has taken the bull by the horn and decided to lead the path of social and
economic revival in many rural areas with some kinds of investment such as tertiary institutions
and other relevant establishment. The establishment of Federal University Ndufu Alike Ikwo
(FUNAI) is a typical example of the government positive intention to increase economic activity
in the rural areas, in addition to manpower development, which is a welcome development that
is seriously on course to achieve not only the expectations of the existence of industries but to
alleviate poverty in the region.
In view of the aforementioned, the broad objective of this study is to unravel the multiplier
effect of the establishment of FUNAI in Ikwo and the role it has played in poverty alleviation of
the area. In this regard, the paper is streamlined thus: section two is theoretical issue; the
concept of the multiplier is section three; section four is socio-economic effect of FUNAI in
Ikwo; poverty reduction implications of FUNAI in Ikwo is section five; way forward and
conclusion is the last section.
2.0 Theoretical issues

Scholars have stressed on the importance of physical and human capital in the acceleration
of economic development and growth of an area. This is because essential equipments, plants,
machinery on one hand and relevant infrastructure and social overheads and qualified manpower
availability on the other hand are the necessary condition for any entrepreneur to function with
respect to production. Domar (1937) posits that capital requirement is the real factor militating
against development and growth rather than labour in less developed countries which is
supported by many other development economists such as Arthur Lewis, Rostow and others .
Actually, the inputs of production cannot add values to themselves; skilled, able and
competent people have to assist in combining inputs of production in order to realise goals. The
unavailability of efficient and capable human beings who can assist in adding values to raw
materials will deter efficiency in the use of societal resources. Consequently, there is
underutilization of various resources endowment with some defections which metamorphosed
to low production, low income, low saving, low capital formation, low investment so leading to
low production. This is the vicious circle of poverty, which is in line with Nurkse (1957) insight
who articulated that a country is poor because it is poor. In a similar vein, Ozoh (2010)
enunciated the problem of growthlessness in under-developed economies on the foundation of
defective and socio-political institutional setup, poor attitude to work, crude technology, low
quality human capital, insufficient infrastructure, epileptic power and water supply, financial
instability, indiscipline amongst others which reacted in different ways to perpetuate the vicious
circle of poverty.
Rosenstein-Rodan (1947) in his Big Push thesis asserted that there is a minimum level of
resources investment that must be devoted to developmental activity if a country is really
interested in development and growth. Such quantum of investments include among others the
establishment of physical capital inform of factories that are interdependent in such a way that
the output of a sector forms input of another sector with associated benefits derivable from such
investments.
The classical economists have the conviction that education equips an individual to perform. To
Alfred Marshall the investment in human being is one of the most valued capitals because of
what human being can do after knowledge acquisition. Federal University Ndufu Alike Ikwo
(FUNAI) is aimed at equipping undergraduates including those from Ikwo on the ability and
capability to function.
The neoclassical stressed on population growth and rate of technical progress as essentials
for growth and development. This gives rise to a good number of labour forces who can
contribute to production and income generation. The gradual upsurge of students, workers and
business people in and around FUNAI is a welcome development. As a result, there is increase
in the population of Ikwo owing to the establishment of FUNAI which has given room for
increased economic activity in the area. Specifically, Solow-Swan model (neoclassicists) do not
stress on human capital development but on increased capital, technological progress and the
effectiveness of labour. However, the exact meaning of labour in economic growth determinant
is not specified. To them the economy combines capital, labour and knowledge to produce
output. Tertiary institution is the foundation for equipping human capital with new and modern
technology required to harness environmental resources and transformation of a society.
The endogenous growth models valued human capital development as imperative for growth
and development of an economy. Their finding denoted the existence of a variety of endogenous
mechanisms that foster economic growth and opined the need for public policy makers to
incorporate it. These endogenous perspectives can be seen in the works of Arrow (1962), Romer
(1986), Lucas (1988), Mankiw et al (1992). Actually, there is a ripple effect of the advancement of
human capital in an area. The wind effect of enlightened individuals in an area impacts positively
in the advancement of a society.
Mankiw et al (1992) have the conviction that a proportional slight alteration in the
resources dedicated to physical and human capital buildup may give rise to huge changes in the
product per worker. This presupposes that investment in both human and physical capital either
in the rural or urban area, other things being equal have the tendency to revive and transform the
economy from its stationary state to dynamic progressive one. Apart from human and physical
capital is the role of the government in catering for the people with relevant policies and
programmes capable of promoting, sustaining and revitalizing the system.
2.1 The concept of the multiplier

Undoubtedly, scholars have pointed out the multiplier effect of investment or increase in
investment in an area. Investment whether in the form of private profit oriented or public sector
investment in non-commercialised institution have the inclination to exhibit the multiplier effect.
Dwivedi (1997) sees the multipliers as the ratio of the change in national income to change in
investment which gives rise to income change. The concept of national income effect can be
related to the effect in a local or regional area. Investment helps to put in place required physical
capital for production which has expansionary effect. In other words, the multiplier concept has
it that investment will increase national income by an amount of income greater than the original
level of investment expenditure. Clark (2010) points out that the multiplier is the cumulative
effect of an injection that is larger than the initial impact. This implies that a new investment
gradually brings about various effects that eventually show greater value than what was invested
at the on-set.
This implies that an investment in an area ceteris paribus has the ability to increase
employment, income and output, thereby boosting the societal economic activity. This effect is
obvious in a developing economy like Nigeria that has serious unemployment problem. This is in
line with the findings of Abiad et al (2015) that an increase in public investment impact positively
on output by raising it both in the short and long term, crowds in private investment and lessen
unemployment situation. Public investment was found to reduce unemployment rate by 0.11
percent in the short term and about 0.35 percent in the medium term. Public investment
expansionary effect is visible with respect to productive capacity of the economy and it equally
supplements physical infrastructure stock.
The stimulus of investment is highly beneficial. OFarrell (2012) in his remarks on Irlend
Department of Finance figure showed that a million pound investment spending in construction
creates between 8,000 and 12, 000 jobs. It can be inferred that beside job creation is also income
generation and other positive externalities. The Keynesian effect of multipliers reveals two
impacts of investment which is viewed as short-term effect with respect to raising demand;
employment of labour does empower the purchasing and spending ability of the people in the
wider society. Secondly is the long-term effect is with respect to supply effect (Abiad et al, 2015,
OFarell, 2012). Raising the stock of capital, which is investment in physical capital, will increase
productivity of workers and output volume of the economy. In a similar view, Auerbach and
Gorodnichenko (2013) points out that raising public infrastructure has the capability of boosting
aggregate demand via short term fiscal multiplier and the size of the impact may vary with the
state of the economy. Intuitively, a developing economy may have higher effect because of
abundant idle and unemployed resources. The effects are needed so much in Nigerian rural areas
that have high level of unemployment if and only if there will be increased public and private
investments.
The establishment of FUNAI gave rise to series of employment of workers: from other
universities, unemployed workers in the locality and outside; induced some people not in the
labour force to opt for job. Unused land became in use for erecting of buildings and roads. The
new establishment obtained other direct factors of production locally and outside the locality.
The effect of the new establishment is also seen in the purchase and consumption of locally
produced goods and services due to income realised by employees. The increased demand from
local dealers compelled them to demand for more labour and other inputs of production with
the intention of meeting up rising demand for their products. The chain reaction in the locality is
stimulated by the existence of FUNAI. This activity has been beneficial to the locality with
respect to improving living standard because of more income circulating in the area, and it goes
on and on generating more income and more capital investment which eventually the cumulative
effect exceeds the initial investment.
2.2 EFFECTS OF INVESTMENT MULTIPLIER IN RURAL AREAS
Clark (2010) pointed some of the effects of investment multiplier thus:

(i)the direct effect which is increased output or income generation by the local people engaged in
production and increased local employment of resources that has the advantages of stimulating
production, reduction of unemployment and crime reduction. A good number of idle persons
took decision and make good use of the opportunity and started petty business with the motive
of earning income.
(ii) the indirect effect is noted by the employees of the new university demanding for the
products of the locality such as food, accommodation, transport, patronise cobblers among
other services available. This in turn brings about more demand for input of production by
seller/producer in order to meet effective demand. In actual fact, the staff of the university is
induced to make some purchases in the local market which means increase sales unlike before
the university establishment.
(\iii) the feedback effect is the attitude and reactions of farmers, producers and services
providers who have the need to employ more workers and other input of production aimed at
satisfying the rising demand.
From the foregoing, public or private spending goes beyond the policy expectation by
generating increased aggregate economic activity leading to more resources that have aggregate
positive impact in the locality in particular and the wider society in general which is more than
proportionate initial investment. So, on the basis of the multiplier concept, it can be inferred that
the final impact of the establishment of FUNAI (public investment) is greatly influencing socially
and economically on its environment which has gone beyond the direct policy intention of
manpower development but also tremendously reviving and revitalising the operation and
consciousness of the inhabitants.
2.2 .1 Socio-economic effect of FUNAI in Ikwo

The Federal University Ndufu Alike Ikwo (FUNAI) emerged in 2011 but commenced
academic activity in November 2012. At the onset of its construction till date, it has generated
some socio-economic effects in Ikwo and environs. Idle resources such as land and labour have
been put to use which is a welcome development, cherished by the inhabitants and other
stakeholders. Various activities which were not in existence have emerged. However, we are
going to examine the socio-economic effects of the establishment of FUNAI on the basis of the
following: employment, commerce and trade, effective demand, skill and knowledge acquisition.
2.2.2 Employment, commerce and trade: It is worthy to note that virtually all input of
production have become greatly in use in Ikwo since the inception of FUNAI unlike before. The
local people participated actively during the construction of building in the school premises.
Many artisans within and outside the area were hired to do some works. When the school took
off, many indigenes of Ikwo were permanently employed ranging from cleaners, messengers,
security men, drivers, administrative and academic staff. A good proportion of the earned
income is spent to buy food and other needs from the inhabitants of Ikwo. This increased
consumption of the local goods creates market for farmers, food vendors and retailers of goods.
Hence, there is increased employment of idle resources of the area. This would not have
happened if such public investment was sited at urban part of Ebonyi state.
The employment, commerce and trade issues can equally be seen in the emergence of hair
dressing and barbing saloons, hawkers and petty traders, canteens, business centres among
others which supply goods and services to both workers and students. Each operator earns a
living from such venture. It is also worthy to mention that those idle minds who now are pre-
occupied with economic activity due to one form of employment or another have somehow
exonerated from criminal acts. This is on the basis or assumption that an idle is a devil
workshop. Relative calmness is obvious in a community when the unemployed is engaged in
income yielding activity. Changed thought pattern from criminality to doing business or gaining
employment brings creativity and organised life style that is favourable to the individual in
particular and to the society in general.
Employment of resources can equally be viewed with respect to private individuals erecting
buildings for accommodation around FUNAI and also hotels are gradually springing up.
Workers, students parents, guests and others patronise the hotel owners and landlords.
There is also increase in transport business in the area due to increased population of students
and workers hence there is increased demand for transport. A motor park has also sprang up
opposite the university gate for travelers. Workers, students, visitors and contractors do
patronise the motorists. These chains of economic activities are attributed to the public
investment in form of university at Ikwo. Some able bodied young men have now gone into the
hire purchase agreement to take motor bike for 'okada' ridding business.
The aforementioned, although focused in rural locality conforms with the views of Wang
and Wen (2013) who pointed out that government spending have remarkable trade-off since it
may considerably enhance aggregate output in the developing economy that has massive market
failures and also during recession period. It may bring about adverse economic effect such as
inflation. However, in Nigeria, economic revival opportunity for rural area is very possible with
government investment inconsideration of the status of most rural areas of the country. Actually,
resources allocation in rural setting in Nigeria with respect to market allocative process is
debilitated by a lot of factors and there is high ineffective demand in most rural areas of the
country due to little or no income by a large proportion of the inhabitants. And also lack of
facilities for effective business operation. Besides, there exists bad roads and poor road network
for conveyance of local outputs to points of needs. The cost is so enormous for rural producers.
2.2.3 Effective demand: A corollary to increased employment is effective demand in the area.
Producers or sellers of economic goods flourish under effective demand which is experienced in
Ikwo and the neighbouring villages. Petty traders around and occasional Nwapu market has
witnessed increased sales, which has repositioned production in the area. The increased
population of the area due to workers and students presence has raised the demand of virtually
all commodities on sale. The effect of demand has given rise to more employment of inputs of
production by the local entrepreneurs and business dealers. Many people have now engaged in
one form of economic activity or the other which means income generation and reduction of
poverty level. Income generation helps the dweller to finance the education of their children,
health and consumption which benefits the locality in particular and impact positively in the
region.
These effects agree with Auerbach and Gorodnichenko (2013); Clark (2010); Pataki (2005)
who pointed out that the three main effects of investment directs, indirect and induce effects
do cause ripple effects. The direct effect shows immediate employment which its effects is
associated with positive change in the demand for the industrys product on the one hand and
the indirect and induce effect brings chains of effective demand from businesses that emerged
and operated because of the main investment. So, the various jobs creation resulting from direct,
indirect and induce effects have greatly empowered inhabitants within and other people, thereby
showing positive effect on the aggregate income of the country.
Any action of the government directed to promoting effective demand has a way of
inducing producers to work for the supply of output in order to meet demand. Alexiou (00)
notes that policies designed to enhance effective demand can significantly work to accelerate
employment and thereby improve economic performance. Effective demand can be through
public investment in infrastructure or establishment of institutions, irrigation amongst others.
2.2.4 Skill and knowledge acquisition

The university is a centre for learning and excellence. The existence of FUNAI is aimed at
raising skill acquisition and the quality labour of both the people of the locality, its environs and
others who desire educational knowledge acquisition at FUNAI. Knowledge is said to be power
and requires a huge capital to establish centre of learning. Poverty alleviation and rural
development is positively related to the existence of training institution. This role of
enlightenment, skill acquisition and human capital empowerment has the ability and capability to
revive a poor rural area. This is in line with the endogenous growth model which stressed on
human capital development is a major prerequisite for advancement and progress of a region.
This is because of what human capital can do when empowered through education. So, the
socio-economic implication of FUNAI cannot be overemphasized.
The emergence of faculties in FUNAI such as science and technology, basic sciences, social
sciences which is housing courses like entrepreneurial studies, economics and development
studies amongst others is geared toward training future developers and experts whose roles
within the area and outside is expected to impact considerably in the country.
Ignorance which is among the basis for disagreement, acrimony, disharmony, conflicts,
uproars and wars are considerably wiped away with education which FUNAI stands for, for the
Ikwo community in particular and the entire country in general.
Various professional required in making life easy and meaningful are the products of
universities. Omole (2009) in his remarks pointed out that where if not in tertiary institutions we
train the bankers, the lawyers, the engineers, the doctors, the agriculturists, the architects, the
accountants, the teachers, the administrators and so on. Many undergraduate are undergoing
training in professionals courses in FUNAI and their products are hoped to be agents of positive
change.
Adequately trained and skilled manpower cum physical capital are essential for economic
development of any economy. The instruments of production and material resources cannot
operate or add values to itself. They must be used by skilled, able and competent people trained
in institutions of learning. Where there are no well trained people who are capable and able to
help add values to raw materials, the area will experience inefficiency in the utilisation of
resources of the society. Consequently, the society will witness under-utilisation of various
endowed resources which means low production, idleness and above all unemployment.
Eboh and Uma (2010) and Ogbonna (1984) pointed out that the talents of the people are
awakened through manpower transformation due to training which increases skills, creative
ability and productivity leading to better income that will culminates to desirable per capita
income and economic development. When the pool of knowledge and skills of the people of a
locality increase; the existing abundant resources can be used more productively, and better
decision on how to progress is the outcome. Inadequate skill and knowledge due to lack of
training centres retard productivity and affects adversely economic development. So, education
and human development is one of the major keys required for development. In other words,
manpower deficiency leads to lack of efficient and talented entrepreneurs which is associated
with unfavorable economic, social, political and institutional set up thereby preventing the
development of efficient and talented entrepreneurs. Consequently, giving rise to the existence
of low managerial and operational efficiency, lack of enterprise, innovations and specialisation.
Other things being equal, FUNAI will help to a great extent remedy most of the predicaments of
the poor.
3.0 Poverty reduction implications of FUNAI in Ikwo
As rightly mentioned human and physical capital are required in a right mix to aid the
development and growth of an area. One of the major concerns of the poor is how to get
employment so as to earn income which will enable them satisfy their physiological needs and
also possibly embark on training for skill acquisition in order to escape from poverty. FUNAI is
a capital intensive establishment by the federal government of Nigeria and has created varieties
of jobs, thereby empowering Ikwo people and its environs and even beyond. Impressively, the
direct effect of the institution which gave rise to appreciable employment; the indirect and
induced effects which generated jobs and income; in our perspectives it has assisted in different
ways to positively impact on poverty reduction.
Calory intakes, adequate health care, decent living accommodation and other needs depend
on income level of a person. One who earns something is better disposed to help self and others
more than one who is idle and earns nothing. Various means of earning income resulting from
FUNAI existence in Ikwo is seen to play a significant role in poverty reduction. Given the
multifaceted and multi-dimensional nature of poverty in Nigeria, any form of investment either
private or public is a welcome development because of the role it plays in empowering the
people, thereby restructuring and repositioning their ways of live from pauper to prince.
The income earners can now participate actively in local development intention of the Town
Development Union. Increase in the union financial members implies the ability of the area to
embark on self-development projects which is favourable to the community. The aged who have
no means of sustenance due to lack of government policy for the non-productive elderly people,
especially the retired self-employed can now see who to depend on owing to employment
generation that have absorbed the children and wards of the aged resulting from the effects of
FUNAI existence.
In his concern for educational ability Agenor (2000) states that educational accomplishment
is a very important factor that influences a persons earnings ability and of raising countrys stock
of human capital. Poverty ridden families are usually gripped in low level of education, low-skill,
and low-income trap; they really cannot have enough money to sacrifice their menial present
income and pay for educational training. FUNAI at the door steps of the poor is a welcome
development aimed at empowering the poor and also helps them to walk away from poverty
situation.
4.0 Way forward and conclusion

In view of all discussed and enumerated, it is our sincere conviction that the degree of
poverty in the rural areas of Nigeria can practically be tackled gradually if efforts have been
focused toward the establishment of public investments in the rural area. The multiplier effect
would have tremendously helped to revive the endemic poverty situation in Nigeria. The recent
establishment of eleven federal universities of which some were cited in the rural areas is a right
step toward poverty alleviation.
Apart from investment in universities and tertiary institutions, public investment in irrigation
and integrated agriculture in a rural part of each of the 774 local government areas in Nigeria will
equally impact desirably in repositioning the poor in the areas.
It is utmost important for the government to reform the rural environment in such a way as
to encourage domestic and foreign investors to opt for investing in the area. This calls for
provision of capital overheads, good road net work, regular power supply, pipe borne water and
adequate security of life.
Provision of more mouth-watering incentives in form of fiscal and monetary policies should
be made by the government so as to enable private investors to willingly accept to invest in the
rural areas and also to encourage local entrepreneurs not to migrate to urban areas.
Conclusion
The paper has unraveled the fact that public investment in rural area has the ability to revive
a depressed economy through the multiplier effect. Employment creation and increased
indigenes participation in productive activity due to public investment helps them to earn income
needed to rise above poverty line. Visible and practical changes with respect to employment and
poverty alleviation are good evidence of the impact of the government establishment of non-
profit making institution like FUNAI in Ikwo. This action is regarded as a more practical way of
stimulating productive ventures in the rural area which crowds in private investment. The
positive socio-economic effects of public investment in a rural setting is enormous and should
be encouraged in order to enable the rural dwellers to gradually walk away from poverty ridden
consciousness.
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Performing a task in the presence of others versus alone: An exploration 14

Setting the Strategic Direction and its Influence on Church Growth in 32

The multiplier effects of rural public investment and poverty alleviation 42

Persuasive Advertising in E-commerce and Effective of it

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In other definition advertising is effectiveness technique on human behavior by

Online Advertising Electronic Trading

The questionnaire which determines effective factors on technology transition, consists

Residual 8.710 518 .017

Total 284.964 522

a. Dependent Variable: message

place .760 .037 .773 20.478 .000

type .139 .032 .136 4.383 .000

temptation .320 .031 .349 10.395 .000

Advertisement placement has positive and significant effect on electronic trading,

Temptation power of advertisement has positive and significant effect on electronic

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20. Understandability of the message in advertisements and

21. Motivations of the message in advertisements and variety of

22. Impressiveness of the message in advertisements have

23. Size of the message in advertisements and variety of it have

24. Frequency of the message in advertisements and variety of it

25. Repetition of the message in advertisements and variety of it

Performing a task in the presence of others versus alone:

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GENDER 1.75 .43

The observation of both conditions (audienceno audience) leads to a further

Table 2: Inferential Statistics

95% Confidence Interval t df Sig. (1-tailed)

High levels of anxiety

Presence of others High error scores

Low levels of anxiety

No presence of others Low error scores

High levels of self-esteem

In elaborating this understanding by Zajonc (1965) in cognitive-behavioural terms, we

Setting the Strategic Direction and its Influence on

Purpose of the Study

Setting the Strategic Direction=1.980+ number of congregations/parishes/branches 5 years

Recommendations for Improvement

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The multiplier effects of rural public investment and

2.0 Theoretical issues

2.1 The concept of the multiplier

2.2 EFFECTS OF INVESTMENT MULTIPLIER IN RURAL AREAS

Clark (2010) pointed some of the effects of investment multiplier thus:

2.2 .1 Socio-economic effect of FUNAI in Ikwo

2.2.4 Skill and knowledge acquisition

4.0 Way forward and conclusion

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