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CHAPTER ONE

INTRODUCTION

1.1    BACKGROUND OF THE STUDY

The mineral water industry is slightly transforming into a buyers’ neither hitherto to a sellers’ market, which it had been for a very long time.  This draft may be attributed to the several new entrants into the industry.  This situation had made the several industries to strive to survive and hence what? The need for effective marketing tools for survival or for attainment is the watchword of every business organization, therefore organizations always work very hard towards the attainment of their objective of set of objectives.  In trying to do this, the organization has to imply some of the laid down scientific or modern techniques.  Business today should be formulated and demand that planned and defined systems and tools be formulated and adopted to meet organization’s requirements, and one of such tools in marketing research. 

Marketing research according to Philip Kottler in Journal of marketing is the systematic design, collection, analysis and reporting of data and findings relevant to a specific marketing situation facing the company.  Also American Marketing Association (2004:4) defined marketing researcher as the formation that links the consumer, customer and public to the marketer through information used to identify and define marketing opportunities research as the “use of scientific method, to collect information relevant to the marketing of goods and services marketing research concerns itself with co-coordinating responsibilities comparing actual sales volume with forecasted sales volume and acting upon result to achieve maximum profit.  The universal application of marketing organization and other fields of human endeavour cannot be over emphasized and the Nigerian Bottling Company is not an exception in this direction.

As already stated that in the Nigerian context, the sellers’ market rather than the buyers’ market had been obtainable, this is a situation where whatever sellers of products of goods and services offered to the market must be sold.  This situation emanated from the fact that the country is experiencing production crises which has led to crises of short supply and always satisfy their consumers adequately.

This situation has been worsened by the non-existence of consumerist activities in Nigeria which has made it impossible for the Nigerian consumers to influence governments’ legislation to protect their rights, the very few attempts which government had made to protect the consumers had been recklessly flouted by the business sector.  Consumerism is beneficial firstly to consumers and manufacturers alike because such association will provide a “go ahead” to manufactures which have what the consumers need and approves, and this can only be achieved through marketing research.

The Nigerian Bottling Company first came to Nigeria in 1953 and established its first bottling plant in Lagos.  This was to be the beginning of growth and development in 1956, two other plants were established in Kano, and Jos respectively.  The opening of the Ibadan plant followed in 1961, the next was that of 1970. The Enugu plant at 9th mile corner Ngwo was established in 1975.  in all, there are about 21 bottling plants in several parts of the country.  In some states where bottling plants are non existents, large depots are always maintained to serve the growing demand for the products by consumers in those areas.

The Nigerian Bottling company plc are sole markers of several brands of soft drinks in Nigeria.  Their products include cocoa-cola, fanta orange, fanta tonic water, fanta ginger Ale, fanta chapman, fanta lemon, five alive, fanta soda, Eva water sprite and krest bitter lemon. The Nigerian Bottling brought with it the development of number of allied establishments all contributing to the growth of the Nation.  Some of the establishments are the Delta Glass company at Ugheli, Delta State that supplies the Nigerian bottling company with the millions of bottles they used, the crown products factory at Ijebu-Ode, Ogun State and Kano state respectively, which manufacture the metal cork used in sealing the bottles, the Benin plastic company, which make the creates for carrying the products. The Nigeria Bottling Company as the leader in soft drink production in Nigeria employs more than 60,000 Nigerians in all fields of its operation.  The company has immensely helped in the development of sport and sporting activities mainly through sponsorships and promotions.

1.2    STATEMENT OF THE PROBLEM

A company may have good innovation well equipped plant and office facilities strategically located and good promotion activities but if it has no place for effective marketing research which will bring about customers satisfaction, then the whole effort used in putting the other factors in place has been wasted.  Some of these areas, the study will look into for improvement of this study are;

i.  The need to improve the product quality offered to the customers.

ii.  Effect of production and supply crises.

iii.  Low profitability on the side of the producer

iv.  Lack of interest in the customers satisfaction.

1.3    PURPOSE OF STUDY

i.  To determine to what extent marketing research can improve product quality.

ii.  To curb production and supply crises through marketing research programme.

iii.  To find out the extent to which marketing research can increase profitability.

iv.  To ascertain the extent to which marketing research can affect customers satisfaction.

1.5    RESEARCH QUESTIONS

To guide this project work, three research questions were formulated to ensure charity.

i.  To what extent has marketing research improved product quality.

ii.  To what extent has marketing research results been used to curb production and supply crises.

iii.  To what extent has marketing research affected customer satisfaction.

1.6    NULL HYPOTHESIS

H0:  There will be no significant difference between marketing research and profitability of an organisation.

Ho:  There will be no significance difference between a mean perception of senior and junior staff of Nigerian Bottling Company Enugu on how marketing research results is been used to curb production and supply crises.

Ho:  There will be no significance difference between a mean perception of senior and Junior staff of Nigerian Bottling Company Enugu on how marketing research increased profitability.

Ho:  There will be no significance between between a mean perception of senior and junior staff of Nigerian Bottling Company Enugu on how marketing research affected customers satisfaction.

1.7    SIGNIFICANCE OF THE STUDY

The benefits of this study are speeded to everybody including the company, competitors, readers and myself with the customers.  The significant of this study should not be left out because without marketing research the organization like the one mentioned in our introduction will not be moving forward. The company will be benefiting through the means of knowing where they are lacking and where they are to improve when we talk about the competitors, of course, they gain by knowing to challenge or compete, with the competitors, also about the readers of this particular project, the research will benefit the readers in the aspect of selecting or knowing the best mineral company they should go for and this will include the customers also because sometimes readers night be one of their customers.  So, the significant of this research to the researcher is a lot, although I went through a lot of stress but eventually I got what I wanted, so I benefited by knowing how they produce their products and how they’ve been talking with their competitors and have more understanding about the above company.

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