Small Economic Activity in Rural Area

Background of the demandEconomic activity refers to the consumption of goods and services and activities in which money is exchanged for product or services (Hendricks, 2017). It was performed for the purpose of qualification money, gaining wealth, creating and producing items that can be offered to the public for sale. Pavlov (2000) too argued that frugal activity specify as any activity consisting in offering goods and services on a given market. The outcome of economic activities is measured monetarily (Hendricks, 2017).According to pekan (1933), economic activities classified into three chief(prenominal) welkins which ar primary sphere (consisting of agriculture), secondary sector (formed by industry) and lastly is the tertiary sector which ar incorporating tout ensemble other activities that did not fit in the first deuce sectors. Cari data statistic economi Malaysia?In concern scope?There ar some(prenominal) types of economic activities including business, profess ions and employment.Restaurants, large retailers and compensate small businesses engage in economic activities every day. Business is one of the economic activity. Whether it is a formal business, an entrepreneurial venture or a small lemonade stand in the bird-sc arer of yard, the economic activity of business is any activity where goods and services are exchanged for the earning of money. High cost living?Rural area refers to nonmetropolitan areas (United States section of Agriculture, 2003).According to Office of Management and Budget United States (2013), nonmetropolitan areas are outback(a) the boundaries of metropolitan areas and have no cities with 50,000 residents or more. Department of Statistic Malaysia (2010) stated that Lawas, Sarawak solo had the total population of 38,385 in 2010. It can be categorized as the rural area because the total population less than 50,000 populations. In the close 10 years, the total of population in Lawas, Sarawak expected will be incr ease in 2020 (Population and Housing Census of Malaysia, 2010).According to Malaysia Labour twinge stick to Report (200217), rural area defined as all the gazetted areas consisting of less than 10,000 people and all of the areas that are not gazetted. It excessively argued by the Ministry of Rural and Regional Development which simply defined rural as an area with population of less than 10,000 people. In 2002, out of nine main economic activities in rural areas, agriculture-related activities including hunting, forestry and fishing contributed 38.5% of the employment as compared to 18.2% in manufacturing and 9.8% in wholesale and retail trade (Malaysia Labour Force Survey Report, 2002).Problem statementBusiness growths in Lawas town lead to raise the economic learning in rural area. However, there are some issues that are a great deal said. The topical anesthetic authority gives less attention to small-scaled business e particular(a)ly retail business. This has been a challe nge to small business owners to develop their businesses because of competition from big business. Additionally, the lack of special sites for traders, particularly in stall business and rental business, has resulted in irregularities.It causes the huge problems for the urban environment such as creating a less attractive, hygiene problems and congestion, especially in Lawas town. These problems occur due to the helplessness of local authorities in implementing the regulatory, guidelines planning, standards of planning, control activities, employee attitude and lack of financial. The local authorities mostly give attention to the issues of getting the appropriate site, the size of the building site, the provision of the perfect garbage disposal facility, the absence of special units or sections to implement the rules thoroughly in the context of actual planning. lax businesses operating not only in town areas but also occurred in the village area. There are several issues that viewed from the informal sector businesses such as horse barn and hawkers. It found that several stalls and hawkers had physically dilapidated conditions, built in unsafe business area and the absence of adequate public facilities have affected the unpleasant scenery. Several stalls or hawkers were too close to the road reserve.The selection of a location informal business has to take seriously. It is because, informal sector mostly break found on parking lot area, roadside and in sidewalk of the stores. To improve this situation, the Lawas District Council will take enforcement action such as seizing business equipment, revoke licenses or impose fines. Occasionally, the Lawas District Council also handed over enforcement notice to close business or move stalls and hawker centers temporarily in a more nonionized and secure area.Research questionsResearch objectives The purpose of this study is aimed to analyst and evaluates the problems and growth of small-scale business in Lawa s. Thus, consideration should be given to this aspect when discussing and evaluating the challenges of outgrowth.The objectives of the study are as followTo identify the need of small-scale business in an economyTo determine the various problems faced by the local communities in the study areas from the perspective of the small-scale businessTo suggest more appropriate and useful shipway to overcome this problem.The findings of this study will help the policy makers in identifying problems relating to the institutional arrangements of rural development agencies.Consequently, it will help in introducing more effective institutional arrangements in delivering or implementing rural development programmes in wander to tackle rural development problems.Significance of studyThere are three factors that have impelled the researcher to engage in the research. Firstly, there is a need for balance wheel in development between rural and urban areas.Secondly, rural development is particul arly important for the political stability of a nation, and thirdly, rural communities that typically form the majority of population in most developing countries are mostly poor. Therefore, rural development is part and parcel of the nations development. It cannot be sidelined even though it possesses diverse and complex problems.