ABSTRACT
Although the Nigeria economy has been characterized; with importation of every thing ranging from machinery to private consumption commodities, the above idea of consuming imported goods has led the writer too question the effectiveness of the marketing of locally made products.
The objectives of the study are as follows:-
1. Investigating the marketing activities for locally made bags
2. consumer preference for these bags and their important counter part.
3. the government role in making sure that the growth of these locally made bag is achieved.
Both primary and secondary data were used, however the overall approach was purely empirical. Personal interviews and observation were used but played only a supplementary role the information secured from the producers/ traders/ consumers were helpful in developing a structured survey questionnaire.
Dichotomous s, oken, ended and multiple choice questions were used to cover a wide range of relevant areas in the questionnaire.
The questionnaire was pre-tested and administered among our respondents numbering 500. this the questionnaire represented our main instrument and yielded primary data.
The primary data yielded the following findings:-
- that locally made product suffer from shortages of raw materials.
- What funds are not sufficient for them
- That there is a lot of competition from goods imported from abroad.
- That the goods protected locally lack the high quality and durability inherent in those imported.
That the citizens of Nigeria have apathy to locally made products.
That due to low technological know how that the cost of production and trans partition is very high.
That locally made products are over price in relation to their quality.
In conclusion the weakness of marketing our locally made products should be strengthened so that the gains will be noticeable to the country.
TABLE OF CONTENTS
CHAPTER ONE
1.1 Introduction
1.2 Problem definition
1.3 Purpose of study
1.4 Hypothesis
1.5 Objective of the study
1.6 Significance of the study
1.7 Limitation of the study
CHAPTER TWO
2.0OVERVIEW OF MARKETING
2.1 MARKETING MIX VARIABLES
2.2 MARKETING STRATEGY FOR LOCALLY MADE HAND BADS
2.3 PROBLEMS OF MARKETING LOCAL MADE HAND BAGS
2.4 GOVERNMENT EFFORTS TOWARDS THE MARKETING OF LOCALLY MADE HANDS BAGS
2.5 SUMMARY OF THE OVERVIEW OF MARKETING.
CHAPTER THREE
3.0 RESEARCH METHODOLOGY
3.1 SCOPE
3.2 METHODOLOGY
3.3 STRUCTURING THE INSTRUMENT
3.4 POPULATION AND SAMPLE SIZE
CHAPTER FOUR
4.0 ANALYSIS OF DATA ND PRESENTATION OF FINDING
4.1 ANALYSIS OF DATA
4.2 HYPOTHESIS TESTING
CHAPTER FIVE
5.0 SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSION
5.1 SUMMARY OF FINDINGS
5.2 RECOMMENDATION
5.3 CONCLUSION.
CHAPTER ONE
The growing importance to satisfy perceived Nigerian sophisticated in demand for foreign goods has necessitated the application of imported restriction principles and policies by federal government in most of are economic decisions and policies.
This decision among other parts recognises the importance and supremacy of local industries, indigenous to the economic independence and growth of the country’s economic development.
Nobody talks about marketing without talking of the consumers whose demand patterns of has to be looked at before any marketing strategy will be effective in doing this a philosophy of marketing conceived with looking at the consumers a king was evolved. This philosophy is know as marketing concept.
Station (1982) says that marketing concept is a philosophy of business that the consumer want satisfaction is the economic and social justification for a firms existence. Consequently, all company activities must be developed to finding out what the customer wants and ten satisfying those wants, while still making a profit over the long run similarly, firmer (1976) observed that a customer is boss behind our boss. By serving him well, we serve ourselves as well. This is because when a customer wishes to satisfy his need, he expects value in what he buys. If he is not give the value in one place or product he will go elsewhere to find it or buy another product to have it.
The strategy is in keeping with the fact that a customer’s patronage cannot be bought or stole but can be freely gives in response to gifts of value from the between the locally made goods and tem counter part from the European counters his extended the requirements of this concepts to embrace the importance of high quality content of our locally manufactures goods.
If on the aggregate a country’s products are perceived as being satisfactory whenever use, it will means a great fortune for that country a demands for her product will be high resulting in a better economic position which ultimately leads to a higher standard of living for thhe citizens of that country is not well placed when the consumer’s particularly in that country view her product are lacking the basic satisfying elements.
In the presents Nigeria situation where the economy is declaiming and the consumer becoming more aware, it is vital to make sure he locally produced goods are of acceptable standards. There, this study will attempt to highlight the major factors, influencing the marketing of locally produced products, particularly Aba made bags. The prefer is further designed to empirically investigate consumer’s preference to importuned vis- a vis Aba made bags as well as any changes in the preference in response to the current recessionary period in Nigeria
Te result of the study is expected to help the consumers and Aba bag products achieve mutual satisfaction by bridging the communication gap between them.
Also kotter defined marketing as the set of human activates directed as facilitating and consummation exchange based on these definitions, there are important variables that need to be pointed out.
i) we are made too understand that marketing is located in the realm of human activities. This means that marketing requires the degrees of intelligence possessed only by human benefits.
ii) Marketing aims at facilitating consummation
exchanges. This means that satisfaction is of paramount importance in the continuation of marketing relationship. Therefore marketing has no meaning where there is no satisfaction. Since Aba producers offer services to consumers in order to satisfy their needs, this write up is based on how the producers in Aba apply their marketing concept in their satisfaction of their customers needs.
It is quite importance to note that Nigeria’s political and economic history has great influence on her marketing activities as well as the consumption behaviour of her citizenry. This fraud cannot be ignored I any meaning full study if the marketing of locally produced goods in Nigeria is to be achieved.
In the 1050 and 60%, Nigeria produced and exports mostly agricultural products as palms oil, cocoa and groundnut while the country in turn imported manufactured goods from the advances western countries the volume and value of these export of agricultural products gradually) increased in the 60 and 70 but with decaling percentage contrition t o the national income.
Teriba and kayoed (1977) observed that the agric sector contributed 67.5%, 53.8% and 41.80% of the national income in 1959, 1967 and 1972 respectively. They structure was such that private consumer product expenditures, dominated the import by constituting 84.4%, 85.3% and 72.9% of’ the total imports in 1959, 1965, and 1972 respectively.
However, despite the fact the percentage of the amount spent on consumer goods importation were high the monetary values, uninvolved were not such that could cause much concern considering the low level of the national income. Teriba and kayoed (1977) saw that the national income for Nigeria in 1967 store at N3,231.6 million only besides, the structure of the economy with many foreigners occupying key position in the economy went further to justify such spending. Also, most well placed Nigerians a re of the opportunity to consume foreign products regularly like, bag, clothing’s, canned beef, butter etc, while the rest Nigerian enjoyed them only on festive periods for then on regular basis but for their income.
Then the oil boom of the idle seventies gave them the opportunity to consume them on regular basis Ndu (1984) stated that huge oil money
Resulted in Nigeria recording impressive surpluses in her balance of payment from 1973 to 1975 and this created avenue for the importation and consumption of foreign goods.
Consequently, the corresponding result was for businessmen to rush into importation of foreign goods rather than marketing them locally in Nigeria. The Nigerian with virtually and foreign consumer products as bags, key holders, canned foods etc even imported said and refuse. Nigeria became used to foreign brand names for all product choosing between Taliban and chained bland names for bags, Amos and Hera wears, st, Michael and Gerizionmani wears, uncle bens and uncle Sam packaged rice and so on.
Ndu (1984) supported this observation when he contended that “Nigerians made affluent by the oil boom flooded the country with imported ready made goods of all classification and description commerce but frustrated industrialization in effect, the products of many local industries could not compete with imported good.
The effects of the declining oil revenue by 1978 and indiscriminate importation became pronounced and culminated in the balance of payment deficit fir that year. According to uke (1985) this them head of state, general coliseum the consumers preference for foreign products which result in the alarming one of the major social maladies of the Nigeria society especially in last 7 yrs.
(uke 1985) he therefore, urged Nigerians to “£ tighten their bets” while introducing the following measures to check the importation and consumption rates for foreign products in order to discourage the out flow of foreign exchange.
1. pre-shipment inspection for imports
2. form “m”
3. compulsory import despoil scheme (Nigerian to
additional, mar /Apr 1980) time was hardly enough to appraise the performance administration of these measure when on October 1st 1979. the new government relaxed the stringent import policy and also liberalised the importation increase in oil revenue for 1980 and 1981 budget years.
The new Nigerian foreign trade journal, (1986) recorded that the shagari government adopted a chain of reactions comprising penic foreign trade policy measures to deals with the self-fielded crisis .
The measures included.
1. economic stabilization measure of 1982 which imposed wide ranging restrictions on imported goods and foreign exchange expenditure.
2. removal of open general lances as residual list of imports.
3. introduction of new tariff structure simplify, streamline and rationalize the use of high tariff rates.
Despite the adoption of the above measures, the consumers, preference for imported goods persisted as the then heads of state major Gen-Mohammad Buhari, noted in his 1984 budget speech.
The seriousness of the country’s propensity of import is reflected in the fact that out of every N1 of the new naira crated; about 68k is spent on import . at N12 505 5m in 1982, imports of consumer goods were N5,471.8m an N3,489.9m higher than the levels in 1977 and 1980 .
Every increase in oil export receipts I a particular years was followed by liberalization leading to sudden jump in imports in subsequent years ( business time Monday, January, 1984) page 9 and 15. the buhari and idiagbon regime in pursuit of its admin. Goals took move stringent measures to check the patriotic attitude of the Nigerian consumer” by curtailing the importation availability consumption of foreign goods as stockfish, ay old chicks, ready made wears including bads.
IBB following sit by adopting the much talked a bout structural adjustment program which be lives in import substitution of almost all imported goods and placing ban on such products as barley, wheat, bags, shoes, cloths both fairly used and new ones most raw material etc.
These measure aimed at controlling consumers preference s gradually being effective and successful; anyway, the above cite instance claims that the average Nigeria has a negative preference towards locally made bags and prefer imported alternative to those made in Nigeria. Little wonder hen that the situation has continued to puzzle well meaning Nigerians when realize the effect of such preference if allowed to purist on the socio-economic independence of the country in the long run in the light of the above placement of he consumers the researcher was moved to investigate and e valuate the major factors influencing e marketing of locally made goods with emphasis on Aba made bags.
1.2 PROBLEM DEFINITION
As stated earlier, it has often been said that Nigerians prefer imported products to the locally made acquirement. The out come of such preference on some Nigerian; industries, technology, goods and services can be very devastating and will invariably have negative effects on Nigeria’s economy in both the short and long runs. Hence the preference has become a problem that require immediate solution.
This study therefore deems to identify the causes of such preference and to suggest some possible marketing solutions to them the specific problem to address include the following Question.
1. what are the preference of Nigerians towards imported and local made bags when price and quality for both types of bags are help constant?
2. can the locally made bags compete favourably with imported bags especially in quality?
3. is the locally made bags over-priced for the quality?
4. are he marketing strategies of the locally made bags encouraging?
5. how is he government helping the locally made bags industries?
1.3 PURPOSE OF STUDY
1. To empirically identify and examine the main Factors Influencing Nigeria preference for bags.
2. to compare preference towards locally made bags against imported ones.
3. to find out whether the locally made bags can compete favourably with the imported bags in the marketing.
4. to find out if the locally made bags are over-priced in relation to their quality.
5. to evaluated the adequacy and effect likeness of the meeting activities of the locally bags manufactures the locally made bags manufactures.
6. to know how the government is encouraging the bags manufactures in Nigeria.
1.4 HYPOTHESIS
(1) Most Nigerians Do Not prefer imported bags to locally made ones when he quality and price for both the classes of bags are perceived to be the same.
2. preference for locally made bag does no increase as rte price or the quality increases.
3. the locally made bags is not over-priced in relation to its quality
4. the marketing activities of the locally made bags manufactures are not adequate and effective.
5. the government is encouraging the locally made manufacturers.
1.5 OBJECTIIVE OF THE STUDY
in this content the researcher aimed at investigating the marketing activities for Aba locally made bags, consumer preference for their bags and their comported counterpart . the study tries to make inference as to hoe imported bags are being marketed and compare with the marketing activities of locally made bags on the sales volume, consumer preference, quality of the bags, market share and the economic and physical condition of bag industry in Abia state in particular and Nigeria in general.
1.6 SIGNIFICANCE OF THE STUDY
This study use a contribution to the recovery of the Nigeria economy.
It is expected to provide the basis upon which conclusive statement could be made in the purpose of study . such conclusions will invariable give some insight into the marketing of bags n Aba and helps the consumer and manufacturer of bags in Nigeria to achieve the much desired mutual satisfaction objective, which will further stimulate demand and supply of bags as well as other relevant resources thereby resulting in increased economic activities and ultimate paid economic recovery.