Understanding the Market: Types and Features Business Studies JSS 2 First Term Lesson Notes Week 6
Subject: Business Studies Class: JSS 3 / Basic 9 Term: Third Term Week: Week 4 Topic: Market Sub-topic: Features of a Market, Types of Market (Capital and Money Market), and Commodity Market Institutions Duration: 60 minutes
Age: 13–15 years
Behavioural Objectives: By the end of the lesson, students should be able to:
-
Define a market in simple terms.
-
Identify and explain the key features of a market.
-
Distinguish between the Capital Market and Money Market.
-
Mention and explain at least three Commodity Market Institutions in Nigeria.
-
Relate real-life examples of markets in their community and Nigeria.
Keywords:
-
Market
-
Capital Market
-
Money Market
-
Commodity Market
-
NSE (Nigerian Stock Exchange)
-
CBN (Central Bank of Nigeria)
-
SEC (Securities and Exchange Commission)
-
Bonds
-
Treasury Bills
SET INDUCTION: The teacher tells this story to begin the lesson:
“On my way to school this morning, I passed through the Ojodu Berger bus stop, and I saw a woman selling yams while her son was beside her calculating money with a calculator. It reminded me that a market isn’t just where people shout and sell tomatoes—it includes huge institutions like the Nigerian Stock Exchange where people ‘buy and sell’ shares instead of rice and garri. Today, we’re going to explore that wide world of markets, from the ones on your street to the ones that operate in suits and skyscrapers.”
ENTRY BEHAVIOR: Students have been taught basic economic concepts such as trade, demand and supply, and the use of money in previous terms.
LEARNING MATERIALS:
-
Flashcards with key terms
-
Chart showing differences between Money and Capital Market
-
Newspaper clips of stock prices
-
Photos of a local market and a stock exchange floor
BUILDING BACKGROUND KNOWLEDGE: Students are already familiar with local markets. The teacher connects this with the idea that a market can be physical or virtual, and can involve goods, services, money, or securities.
EMBEDDED CORE SKILLS:
-
Critical Thinking
-
Economic Analysis
-
Civic Literacy
-
Financial Literacy
REFERENCE BOOKS:
-
Business Studies for Junior Secondary Schools – UBE Edition
-
Nigerian Secondary School Business Studies Curriculum
-
WAEC & BECE Past Questions
PRESENTATION:
Step 1 – Revision of Previous Topic: Teacher reviews the previous topic on Channels of Distribution and introduces a short activity where learners name examples of physical and virtual trading places.
Step 2 – Introduction of New Topic: Teacher writes “Market” on the board and asks: “Is Shoprite a market? Is the Central Bank a market? What about the Lagos Island Market? Why or why not?” Leads discussion into defining what a market is.
Step 3 – Teacher’s Explanation with Learner Contributions:
A. Meaning of a Market: A market is any arrangement (physical or virtual) that allows buyers and sellers to meet and exchange goods, services, or financial products.
Examples:
-
A tomato seller in Mile 12 Market.
-
Online sellers on Jumia or Konga.
-
Buyers and sellers of shares on the Nigerian Stock Exchange.
B. Features of a Market:
-
Buyers and sellers must be present.
-
There must be items or services for sale.
-
There must be a medium of exchange (usually money).
-
There is usually competition.
-
Prices are determined by demand and supply.
C. Types of Markets:
-
Capital Market: This is where long-term investments are made. People buy and sell financial instruments such as stocks, shares, bonds, etc.
Institutions involved include:
-
Nigerian Stock Exchange (NSE)
-
Securities and Exchange Commission (SEC)
-
Investment Banks
Example: If you buy shares in MTN or Dangote, you’re using the capital market.
-
Money Market: This deals with short-term borrowing and lending, usually less than one year.
Institutions involved include:
-
Central Bank of Nigeria (CBN)
-
Commercial Banks
-
Discount Houses
Products include:
-
Treasury bills
-
Commercial papers
-
Certificates of deposit
-
Commodity Market: This is a place where raw materials or primary products are exchanged.
Examples:
-
Cocoa board
-
Nigerian Commodity Exchange
-
Oil and Gas Market
-
Agricultural produce markets
These markets help determine the prices of food, oil, gas, etc.
TEACHER’S ACTIVITY:
-
Explains each type with examples
-
Shares visual aids (charts, flashcards)
-
Asks questions to clarify concepts
LEARNERS’ ACTIVITY:
-
Listen and respond to questions
-
Give examples of local markets and money institutions
-
Take part in group discussions comparing capital and money markets
EVALUATION (Classwork – Answer in full sentences):
-
Define a market.
-
List any three features of a market.
-
What is the difference between capital market and money market?
-
Mention two institutions in the Capital Market.
-
Mention two institutions in the Money Market.
-
What is traded in the Commodity Market?
-
State one function of the Nigerian Stock Exchange.
-
Give one example of a product in the Money Market.
-
What is the role of the Central Bank of Nigeria in the Money Market?
-
Can a market exist without a physical location? Explain.
CLASS ACTIVITY: Discussion and FAQs
-
Is a local street hawker part of a market? Yes. The moment there’s a buyer and a seller exchanging goods for money, that becomes a market—even if it’s under an umbrella on the street.
-
Can students participate in capital markets? Not directly, unless through their parents or guardians. But you can start by saving money and learning how stocks work.
-
Why do we need different types of markets? Because different people and institutions trade different things. Some deal in goods, others in money, and some in shares.
-
What makes the stock exchange a market? Even though it’s not selling food, it brings buyers and sellers of financial instruments together, just like any regular market.
-
What is the role of banks in markets? Banks help in the money market. They lend money to people and also help manage savings and investments.
-
Can the prices in the stock market go up and down like in Balogun Market? Yes! Prices in the stock exchange change every day based on demand and supply.
-
Is crypto a kind of market? Yes. It’s part of the financial market, but it’s a digital and newer form of trading that involves risk.
-
Are markets always legal? No. There are black markets or illegal markets. But in this lesson, we focus on legal, regulated markets.
-
Can we see real-time stock prices in Nigeria? Yes. Sites like nse.com.ng or Bloomberg show real-time prices.
-
How is a commodity market useful to farmers? It helps farmers sell their crops at better prices and access buyers beyond their villages or towns.
CONCLUSION: The teacher summarizes the lesson, re-emphasizing the three major types of markets and their institutions. Short notes are given and copied into notebooks.
Teacher walks around the class to mark notes and give corrections.