Question 3
- Differentiate between a trade association and a chamber of commerce.
- State four functions of a chamber of commerce.
- State four functions of an employers association.
Observation
Most candidates who attempted this question did well in part (a). However, some candidates could not differentiate between the two terms. Some candidates stated the functions of chamber of commerce in part (b) while in part (c), most candidate could not state the functions of employer’s association. They stated the functions of labour unions.
The expected responses are.
(a) Differences between a trade association and a chamber of commerce
A trade association is an organization formed by people who engage in the similar trade, vocation or profession to protect members’ interest while a chamber of commerce is an organization formed by businesses engaged in commerce, manufacturing and agriculture in the same geographical area.
(b) Functions of a chamber of commerce
- It regulates the entry into a trade, profession or vocation.
- It ensures that the quality of services rendered by members is of acceptable standards.
- It draws and imposes codes and ethics on members and sanction defaulters.
- It provides advisory services to members.
- It educates and informs members about latest developments in the trade, vocation or profession.
- It settles disputes among members.
- It serves as guarantors/referees to members.
- It organizes trade fairs and exhibitions and encourage members to attend.
(c) Functions of an employer’s association
- It acts as a medium of communication between members and government as well as groups.
- It cooperates with other organizations for the regulation of relations among employers.
- It helps in harmonizing relations between employers and employees at the request of members.
- It provides advisory services to members.
- It obtains statistics and other data and provide such data to members when required.
- It protects members from unfavorable government policies and legislation. / Serves as pressure group.
- It takes active part in collective bargaining.