Impact Of Foreign Goods On Nigerian Consumers

Impact Of Foreign Goods On Nigerian Consumers
Abstract
The main objective of this study is to investigate the impact of foreign goods on Nigeria consumers using consumers of two beer product (Heineken and Hero Lager Beer) in Lagos State as case study. The study adopted a survey research design and with the aid of convenient sampling techniques, 80 participants who are Lagos State consumers of two products (Heineken(foreign) and Hero Beer (Nigerain Made) was enrolled for the study. A well structured questionnaire was issued to the respondent of which a total of 77 responses were received and validated for the study. Data was analyzed using simple percentage as well as frequencies and table. Hypothesis test was conducted using Chi-Square statistical tool (SPSS v.23). Findings from the study also revealed that consumers preference of foreign good over local made good will have a significant impact on the economy such that it will discourage the growth of local manufacturing companies, lead to capital flight, reduction if Gross Domestic Product(GDP) and a loopsided economy. Consumer preference of imported good will also expose them to risk of health disease as most of this product were dumped in the country without due scrutiny from NAFDAC hence its originality cannot be traced since they are foreign. The study therfore recommends that Manufacturers within the shores of Nigeria should strives to improve on the quality of their products by using high quality raw materials, modern production techniques and technologies so as to meet with the standard of the foreign made goods which have become the major preference for consumers due to the high level of durability of such products. More so, Government should as a matter of urgency, give considerable attention to the manufacturing sector to enable it access the required potentials to compete with other industries in foreign countries and their products globally.
Chapter One
Introduction
1.1 Background of the Study
A major challenge in to the Nigerian economy is the development of successful domestic enterprises that provide its people with needed products and thus contributes significantly in economic development of the country. Nigeria has a geographical importance in Africa through the potential of growth and development, the abundant and everlasting natural resource, diversified culture and trade unity with other African countries, American, European, and Asian countries, that gives her an edge to float other countries’ market with its products, but charity they say begins at home; therefore, domestic products must valued and patronised in domestic market.
It has been observed that Nigerians have a negative attitude towards made in Nigeria products. The government in its efforts toward patronizing Nigerian made products made Central Bank of Nigeria (CBN) last year banned commercial banks from issuing dollar for the importation of selected products were to develop the local manufacturing sector, increase patronage of homemade goods and reduce pressure on the naira.
As the pressure on the naira continued to mount over the country’s excessive import bills and low forex receipts from exports, the federal government intensified efforts to encourage Nigerians to buy locally made goods. Individuals, organisations and politicians including Senator Ben Murray Bruce and Senator Enyinnaya Abaribe, stepped up the campaign on social media and exhibitions.
Government through monetary and fiscal policies tries to dissuade consumption of foreign products in Nigeria. These efforts make foreign goods more expensive than domestic ones. It is also on the note that, domestic products now have an improvement on the quality of goods that meets consumers’ needs in the country. The drive was given a boast with the influxes of foreign direct investments in the core production sector of the Nigerian economy. With these developments, one would be thinking that the consumers’ desire for foreign goods should be on the decrease. However, the trend seems remains on change. For instance, the consumption of foreign rice and textile products still remain high in Nigerian markets, despite the improvement in both quantities and qualities of domestic rice and textile products.
In a bid to encourage patronisation of Nigerian products, some of the products being produce have now increased in the standard and quality. The majority of cloth used now is produced with cotton or synthetics woven into fabric in large textile mills. Generally, consumers in Nigeria prefer foreign goods to made in Nigeria goods, the case of textile materials follow the same trend. The foreign textiles (Swiss-made, china made, Indian made, Korean made and Holland made) have dominated the Nigerian textile market. Imported textiles are of high quality and highly price. The majority of the middle and 12 upper class citizens use foreign textiles for their clothing. Nigerian made textiles is patronized by the lower class citizens only due to its lower cost and cannot afford the highly priced foreign textiles. Recently the Nigerian Government banned imports of all printed fabrics in order to protect its own ailing industry. The number of local textile factories in Nigeria fell to just 40, a quarter of the number in the mid 1980s. The government said it took the decision in order to protect the market against dumping when exported goods are sold below their normal value. This study therefore seeks to evaluate impact of foreign goods on Nigerian consumers.
1.2 Statement of the Problem
A major problem that has bedevilled Nigeria in her effort to develop her industrial sector is the apparent preference by Nigerians for foreign made goods. The most immediate manifestation of this problem is the seemingly intractable problem of smuggling in the face of various attempts by governments of Nigeria to curtail the indiscriminate importation of consumer goods. Some of the major attempts to check this discrimination against locally made goods include the ban on certain imports, the concerted promotional appeals to Nigerians to patronize Nigerian made goods in radios and televisions.
No amount of patriotic slogans about made in Nigeria goods has been able to correct this trait in Nigerian consumers. It has persisted to the extent that many retailers in Nigeria use the foreign tags or labels as a selling tool especially in justifying high product prices. Discrimination by Nigerian consumer is greatest in the textile industry. Nigerians, tend to ignore locally made materials in preference for imported materials. This negative attitude towards home made products contribute to the economic development of advanced countries and relegate cultural heritage of the country in various fields of arts to the background.
1.3 Research Questions
The following are some of the questions which this study intends to answer:
- What the reasons for high preferences for foreign goods by Nigerian consumers?
- What the problems being faced by consumers in choosing between foreign and locally made products?
- What are the impact of the preference for foreign goods by Nigerian consumers on Nigerian economy?
1.4 Objectives of the Study
The main objective of this study is to investigate the impact of foreign goods on Nigeria consumers. The specific objectives and are to:
- To identify the reasons for high preferences for foreign goods by Nigerian consumers
- To evaluate the problems being faced by consumers in choosing between foreign and locally made products
- To investigate the impact of the preference for foreign goods by Nigerian consumers on Nigerian economy.
1.5 Research Hypothesis
The research hypotheses to be tested include:
HO: Consumers do not show favorable behavior towards made in Nigeria goods
HO: Consumer’s perception of made-in-Nigeria goods influence their behaviour towards the products.
1.6 Significance of the Study
The study revealed that the rate of smuggling textile materials, into this country is alarming and the foreign reserve of the country is being siphoned to foreign countries and as result increasing their economic value and creating employment opportunities for these countries and in return, increase unemployment and poverty rate in our land. This research is necessary because it will serve as a good reference material for future research and even to Nigerian policy makers.
1.7 Scope of the Study
This study is limited to the impact of foreign good on Nigeria consumers. Efforts were made to determine the reasons for the preference in foreign goods other than the locally made goods in Nigeria. The research will cover policy markers, students, produces of locally made products in Nigeria.
1.8 Limitation of the Study
The research work faced a lot of challenges but two of the challenges were memorable. One of it is the time constraint which limited the areas covered by the researcher. Another one was that the researcher encountered a lot of difficulties in gathering information, from many consumers as they took the researcher to be a custom official or secret security intelligence agent.
1.9 Definition of Terms
The following terms were used in the course of this study:
Foreign goods:
A good brought into a juridiction especially across a national border from an external source.
Consumers:
A person who purchases goods and services for personal use.
Preference:
A greater liking for one alternative over another or others
Chapter Five
Summary, Conclusion and Recommendation
5.1 Summary
The main objective of this study is to investigate the impact of foreign goods on Nigeria consumers using consumers of two beer product (Heineken and Hero Lager Beer) in Lagos State as case study. Specifically the study identified the reasons for high preferences for foreign goods by Nigerian consumer. It evaluated the problems being faced by consumers in choosing between foreign and locally made products. It investigated the impact of the preference for foreign goods by Nigerian consumers on Nigerian economy.
The study adopted a survey research design and with the aid of convenient sampling techniques, 80 participants who are Lagos State consumers of two products (Heineken(foreign) and Hero Beer (Nigerain Made) was enrolled for the study. A well structured questionnaire was issued to the respondent of which a total of 77 responses were received and validated for the study. Data was analyzed using simple percentage as well as frequencies and table. Hypothesis test was conducted using Chi-Square statistical tool (SPSS v.23).
5.2 Conclusion
Consumer buying behaviour is very complex, since the purchasing process is conducted in a subjective and personal manner. There are several driving and inhibiting factors which have a dominant influence on buyers’ decisions to purchase any good(s) whether imported or locally made. The underlying factor of consumer preference for imported goods or made in Nigeria is trust, i.e. trust for the quality, durability, etc. of the good(s).More so is the the percieved value, and brand familiarity. Findings revealed that most of the challenges encountered by customers in making preference between Nigerian Made or Foreign made products is dependent on their past experience of the product, the brand image, availability, price discrepancies and superirority. Findings from the study also revealed that consumers preference of foreign good over local made good will have a significant impact on the economy such that it will discourage the growth of local manufacturing companies, lead to capital flight, reduction if Gross Domestic Product(GDP) and a loopsided economy. Consumer preference of imported good will also expose them to risk of health disease as most of this product were dumped in the country without due scrutiny from NAFDAC hence its originality cannot be traced since they are foreign.
5.3 Recommendation
From the findings of the study, the following recommendations are made:
Manufacturers within the shores of Nigeria should strives to improve on the quality of their products by using high quality raw materials, modern production techniques and technologies so as to meet with the standard of the foreign made goods which have become the major preference for consumers due to the high level of durability of such products.
Quality analysis personnel should be meaningfully engaged. Also quality control agencies such as National Agency for Food and Drug Administration and Control (NAFDAC) and the Standard Organization of Nigeria (SON), should double their efforts at ensuring that goods produced in Nigeria are in conformity with the prescribed and acceptable standards. The regulating agencies should, as a matter of urgency insist on best practice principles and at the same time emphasize zero tolerance for low quality with emphasis on quality and durable products.
It is also recommended that government owned and privately owned/ indigenous factories/industries should be supported with the needed finance and advanced technological implements to aid the production of standard goods. Government should as a matter of urgency, give considerable attention to the manufacturing sector to enable it access the required potentials to compete with other industries in foreign countries and their products globally.


The Complete Material Will Be Sent to You in Just 2 Steps
Quick & Simple…
![]()
Make Payment (Through Transfer) of ₦5,000 to the Account Below
![]() | Acc No: 0811003731 |
| Samphina Academy | |
| Current Account |
Or CLICK HERE To Pay With Debit Card
| FOR STUDENTS OUTSIDE NIGERIA | |
| CLICK HERE To Pay With Card ($15) | |
| FOR GHANA STUDENTS (GHS 100) | |
![]() | MTN MoMo |
| 0553978005 | |
| Douglas Osabutey | |
![]()
Send the Following Details on WhatsApp ( 07062590260 ) After Payment
- Payment Details
- TOPIC: Impact Of Foreign Goods On Nigerian Consumers
The Complete Material Will Be Sent To You On WhatsApp After Receiving Your Details
T & C Apply
Students Review
List of Related Works
Effect Of Sales Promotion On The Marketing Of Consumer Goods
Audit Committee Effectiveness And Financial Reporting Quality Of Consumer Goods Firms In Nigeria
Determinant Of Sustainability Disclosure Of Listed Consumer Goods Firm In Nigeria
Broadcast Media And Sales Performance Of Fast Moving Consumer Goods In Port Harcourt
Roles Of Sale Promotion Consumer Goods Marketing In Nigeria
Consumers Attitude Towards Nigeria Made Goods (Considering Local Rice As A Case Study)
Impact Of Value Added Tax On Consumer Goods Companies In Nigeria
The Effect Of High Cost Of Transportation On Nigeria Economy And Its Effect On Consumer Goods
Business Strategy And Performance Of Selected Consumer Goods Firms In Enugu State, Nigeria
Intellectual Capital Management And Enterprise Value Added Of Listed Consumer Goods Firm In Nigeria
Impact Of Promotional Activities On Fast Moving Consumer Goods
The Influence Of TV On The Sales Of Fast Moving Consumer Goods In Nigeria
Impact Of Dividend Policy On Financial Performance On Listed Consumer Goods Firms In Nigeria
The Impact Of Personal Selling On The Sales Of Durable Consumer Goods
Determining The Effect Of Advertising Strategy Adapted In The Sales Of Consumer Goods
The Significance Of Distribution In The Marketing Of Consumer Goods
The Impact Of Sales Promotion On Product Competitiveness Of Fast Moving Consumer Goods (FMCG)
The Impact Of Marketing Communication On Sale Of Consumer Goods
Consumer Goods (A Case Study Of Chi Retail Farms)
Attitude Of Consumers Towards Made In Nigerian Goods (A Case Study Of Women World Boutique, Enugu)
The Impact Of Packaging In The Marketing Of Consumer Goods In Nigeria (A Case Study Of PZ Plc, Aba)
Packaging As A Promotional Tools In The Marketing Of Consumer Goods
Impact Of Road Transportation Mode On The Marketing Of Consumer Goods In Nigeria
Problem Of Distribution Channel In Marketing Consumer Good In Food Specialties (Nigeria) Limited
Impact Of Nafdac On The Consumption Of Consumer Goods Beverage In Nigeria
The Influence Of Broadcast Media On The Sale Of Fast Moving Consumer Goods
An Evaluation Of The Contribution Of Salesmanship To Marketing Of Consumer Goods
Enhancing The Sales Of Consumer Goods Using Market Segmentation
Effect Of Price And Price Changes On The Sales Of Consumer Goods
The Effect Of Advertising On The Sales Of Consumer Goods (A Case Study Of Uniliver Nigeria Plc)
The Effect Of Advertising On Sales Performance Of Consumer Goods (A Case Study Of Unilever Nigeria)
The Effect Of Consumer Protection On Brand Loyalty In Fast Moving Consumable Goods
Attitude Of Consumers Towards Made In Nigerian Goods (A Case Study Of Women World Boutique, Enugu)
Impact Of Rapid Increasing Sales Promotion Activities On The Sale Of Consumer Goods In Nigeria


