MARKETING PROMOTION IN A DEPRESSED ECONOMY, PROBLEMS AND PROSPECTS (A CASE STUDY OF CHOKIL LABORATORIES ENUGU)
The purpose of the study on marketing promotion in a depressed economy is to find out whether marketing promotions have a positive effect on the profit of industries inspite of the depressive state of the economy and also to find out whether marketing promotion increases consumerâ€™s demand of a product in a depressed promotion perform the same function to consumers.
To guide this study three research questions were formulated. A review of literature was done to ensure sound researcher to what has already been done to ensure sound understanding to 80 members of staff in Choki Laboratories (30 executive members and 50 Junior Staff).
Fourteen (14) items questionnaire was used and the data collected were analysed using cluster variable hypothesis was also tested findings were made and recommendations based on the findings were also made.
TABLE OF CONTENTS
1.1 Background of the Study
1.2 Statement of Problems
1.3 The Purpose or Objective of the Study
1.4 Scope or Delimitation of the Study
1.5 Research Questions
1.6 Hypothesis where Applicable
1.7 Significance or Rational of the Study
2.0 Review of Literature
2.1 Effects of Depressed Economy
2.2 How a Depressed Economy can be Revamped
2.3 Historical Excursus of CHOKI Laboratories
2.4 Explanation of Marketing Promotion
2.5 An overview on each Promotional Tools (their Problems and Prospects)
2.5.2 Sales Promotion
2.5.3 Public Relation
2.5.4 Personal Selling
2.6 Summary of Related Literature Reviewed
3.1 Research Design
3.2 Area of the Study
3.3 Population for the Study
3.4 Sample and Sampling Procedure
3.5 Instrument for Data Collection
3.6 Validity of the Instrument
3.7 Rehability of the Instrument
3.8 Method of Data Collection
3.9 Method of Data Analysis
4.1 Data Presentation and Results
4.2 Summary of Results
5.0 Discussion, Implication and Recommendations
5.1 Discussion of Results
5.3 Implication of the Results
5.5 Suggestions for the Further Study
5.6 Limitation of the Study
LIST OF TABLES
Table 4.1: Responses on the Perception of Junior and Senior Staff of Choki Laboratories Enugu on a Positive Effect on the Profit of Industries in Spite of the Depressive State of the Economy
Table 4.2: Responses on Junior and Senior Staff of Choki Laboratories Enugu on the Extent to which Marketing Promotion Increases the Consumer Demand of a Product in a Depressed Economy
Table 4.3: Responses of Junior and Senior Staff of Choki Laboratories Enugu with Regard to Extent of Marketing Promotion can Increase Consumer Demand of a Product in a Depressed Economy
Table 4.4: Perception of Junior and Senior Staff of Choki Laboratories Enugu on the Extent which Marketing Promotion Perform the Same Function to Consumer
Table 4.5: Responses of Junior and Senior Staff of Choki Laboratories Enugu on the Mean Perception to which Extent Marketing Promotion can Perform the same Function to the Consumer in a Depressed Economy
1.1 BACKGROUND TO THE STUDY
Marketing promotions which most items is raftered to as marketing communications is one of the marketing mix variables. Marketing communication may be defined as the efforts by a company to design and disseminate information about its product existence, features and items and the benefits to the target market, using different medium. Promotion as marketing activity is persuasive communication Stanto described it as an excessive information persuasion and influence.
Marketing promotions is made up of four promotional tools, which include various forms of advertising personal sellings, sales promotion and publicity programmes. They are called the promotion tool or the promotional mix variables or the communication mix. Broadly, promotion means, to push forward; to advance an idea in such a way as to again acceptance and approval for it.
As goods and services preliterate in the economy competition for the customers disenctionary income become pronounced and marketing promotions become a handy weapon to sell goods or service or score acceptance of idea. In every economy of plenty, marketing promotions has always played key challenging roles to reconcile buyers and sellers of goods and services together, for purposeful business opportunities.
However, the situation becomes different in an economy of scarcity and economy raftered to as depressed.
Depressed economy by the UNO is the lowest point of a business cycle can reach. In a depression the gross national product also falls to its lowest point. Business state is poor, people cannot find work to earn money people cannot sell enough products to pay their costs, business may be faced to close. And because businesses close, additional people lost their jobs.
Another definition of depressed economy is the one that is economically depressed, characterized by high unemployment, low consumption of consumer goods and services and a declining number of retail outlets. While another definition of the word depressed economy is that geographical area or region within a nation as a whole. The index of depressedness most frequently used is the rate of unemployment. However, other indices of growth rate and income per head. While persistence out migration is also regarded as a characteristic of depressed economy.
1.2 STATEMENT OF PROBLEMS
Marketing promotion in depressed economy is facing a lot of problems.
1. Marketing promotions do not have a positive effect on the profit of industries in spite of the depressive state of the economy.
2. Marketing promotions do not increases consumerâ€™s demand of a product in a depressed economy.
3. All marketing promotions do not perform the same functions to consumers.
1.3 PURPOSE OF THE STUDY
1. To find out whether industries are making profits through marketing promotion.
2. To find out whether the consumerâ€™s demand has been increased through marketing promotion.
3. To find out whether marketing promotion are performing the same functions to consumers.
1.4 RESEARCH QUESTION
To guide this study below are the research question.
1. Dose marketing promotion have a positive effect on the profit of industries despite the depressive state of the economy?
2. To what extent does marketing promotions increase the consumerâ€™s demand of product in a depressed economy?
3. To what extent do marketing promotions perform same function to consumers?
1.5 SCOPE OF THE STUDY
The scope of this project borders on the industrial profit, increase on consumerâ€™s demand and marketing promotion.
1.6 NULL HYPOTHESES (HO)
For further clarification on the research, 3 three hypotheses were formulated.
H01: There is no significance relationship (P > 05) in the perception of senior and junior staff of Choki Laboratories as to the extent to which marketing promotion have positive effect on the profits of depressed economy.
H02: Given a series of items, there is no significant relationship (P < .05) as to the extent of how marketing promotion can increase consumers demand of a product in a depressed economy.
H03: There is no significant relationship (P < .05) as to determine the mean perception to which extent marketing promotion can perform the same function to the consumer in a depressed economy.
1.7 SIGNIFICANCE OF THE STUDY
The significance of this study lies on itâ€™s attempt to unravel the problems confronting the marketing promotions under the present economy which is very depressed. It will seek to estimate the impact of the economy buckle on all the facet of industries with a view of suggesting applicable measure in line with the marketing promotion that will help prolong the life span of industries under the present economic situation. In a depressed economy marketing promotion plays an important role. This is because of itâ€™s flexibility. It can be tailored to the individual needs and behaviour of each customer. Marketing promotion are not without problems in Nigerian economy which is depressed. Many industries are unable to practice it because of score resource thereby depriving themselves of the benefits and expose themselves to, more dangers, our economy is changed and depressive. To this effect, some people in business recognized the importance of coping with environmental shocks that can influence individual, institution and society as a whole. There is also proliferation of goods belonging to the same product lines and class of goods and also enhanced goods substitution which geared up competition among the manufactures and subsequently stirred up consumer choice of preference. Within the products in various firms, there exists unhealthy competition which is not in the interest of the consumers. Therefore we should all put aside profit maximization during depressed economy to the detriment of the consumers and with this the depressed economy will be gradually revamped. It will be wise to say that since the objective of most organization is satisfying the needs of the consumer to maximize profit in exchange. And with integrating marketing effect such as appropriate use of promotional tools, company can produce what can be sold of easily reach break even point have the continuity and embark upon expansion and diversification of business thereby creating more employment opportunities, raising the general standard of live of the society as well as helping immensely to revamp the depressed economy.