CHAPTER ONE

INTRODUCTION

1.0    BACKGROUND OF THE STUDY

Advertising is one of major ways in which sellers use in order to stimulate demand for goods and services; therefore, it is a communication function which likes customers with the producer.

Kotler (1990:450) “Advertising is undertaking to increase campaign on sales, and this can be done only if the public have full knowledge of the product or service is aimed at customers”

Advertising can also be any paid form of non-personnel presentation and promotion of ideas, good and services by an identified sponsor or an art of creating awareness of a specific goods and services available in the market (economy). One of the major objectives of advertisement is to facilitate the work of the salesman by stimulating the demand for the project or services.

Advertisement is carried out through Radio, Television, Magazines, Journals, Directory, Newspapers, Poster, Film show etc. whatever from the advertising takes, the fundamental principle is to deliver the message to the right audience at the right time and at the lowest possible cost, so as to achieve positive result (goals).

In early stage of industrialization the general public has no real sense of discrimination. The deciding factor in the purchase of an item or the others was containing price and not quality and the function of the goods or services, its ability, durability and suitability it was whatever cash they ever had in their pockets. The reason for this lack of discrimination was lack of the right kind of education. Producers also find it difficult to make their known; they only display it in shops or by showing it in the market place. People don’t really know that service is a form of product even though it is not tangible, that is it is not something that they can touch.

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