Importance Of Marketing Research In Enhancing The Service Level Of Manufacturing Company

Project and Seminar Material for Marketing

Abstract

The research work examines the IMPORTANCE of marketing research in enhancing the service level of manufacturing firm and to achieve the purpose. Past contributions and the opinions at experts were reviewed. The research design adopted in carrying out this research work is quas – experimental design and the primary data was collected with the aid of questionnaire from ten (10) respondents draw from three small scale firm in Owerri. The data was subsequently analyzed using frequency table and percentages via analysis of variance solution software package (SPSS). After critically analyzing the data, the following were the findings that there is a significant relationship between marketing research and the service level of manufacturing firm and secondly moderating factors do interfere in the relationship between marketing COMPANY and recommendations were made, that firm should be enlightened on the IMPORTANCE of marketing research and how it attest marketing performance positively, adapt in order to have an edge over technological tools to suit current market situation. The IMPORTANCE of marketing research in enhancing the service level of manufacturing firm (A case study of some selected manufacturing firm in Owerri Metropolis).

Chapter One

1.0 Introduction

1.1 Background of the Study

The Nigerian economy for long has been characterized with little wonder, Nigeria is often known as a reseller market. The few manufacturing firm still operating are either muiti-national cooperation or government establishment. This scenario has adversely affected the Nigeria economy to an extend. It has become dumping ground for other countries.

Although a lot of economics reform programms were initiated in Nigeria to make the manufacturing industry vibrant and allow infant industries to grow, such programms were never sustained to the later due to political instability and mismanagement of funds by stakeholders. Nevertheless, the recent programmes of the federal government has given hope to the manufacturing COMPANY or industry as small and medium scale manufacturing firm are gradually emerging everywhere.

However, due to mildness and inexperience of the infant manufacturing firm, there has been a continuous cry of out consumers of low quality products and service. The major reason for this poor performance has been attributed to the lack of marketing research by large cooperation in Nigeria.

Marketing research plays a vital role in the success of every business entity. Expect believe that marketing research is the main pilot of commercialization.

Kotler (200) defined marketing research as the systematic and objective identification, collection and analysis and dissemination of information for the purpose of assisting management in decision making related to the identification and solution of problems and opportunities in marketing. Armstrong (2004) defined marketing research as the function that links the marketer to the consumer and the public through information. He further said that marketing research is used to define and identify marketing opportunities and problems to generate, refine, and evaluate marketing actions; to monitor marketing performance and to improve understanding of the marketing process from the above definition of marketing research, it is assumed that marketing research is a discipline approach to problem and prospect of ensuring efficiency and portability in any firm.

1.2 Statement of Problem

With the recent proliferation of small and medium scale enterprises in major cities Nigeria is sure to become an industrialized economy in the next decades. If these enterprise are given the necessary support (security, fund, expertise, conducive environment and industry protection) by the government.

Nevertheless, the manufacturing industry just as the financial sector has suffered enough economic crisis and the result is evident in the quality of service provided by COMPANY in this sector. In spite of the presence of regulatory such as Nigeria standard organization (NSO), National agency for food and drug administration and control (NAFDAC) and consumerist the quality of products and service rendered by manufacturers is on the decline. This decline is on the evidence of the negligence of COMPANY to properly determine and fill in the need and wants of consumers.

This shows that marketing research has not this been properly embraced in this industry or by manufactures despite valuable studies and write up of experts, all shows that the contribution/benefits of marketing research to the success of business organization is immense.

In fact, most managers and elite nurse are of the note that marketing research have no value in developing nation like Nigeria, and that has been one major reason for this negligence.

As a result, this study was embarked upon to investigate the extend of relationship between marketing research and the service level delivered by small and medium scale manufacturing firm in Imo State.

1.3 Objectives of the Study

The main objective of this study is to examine the importance of marketing research in enhancing the service level of manufacturing companies.

The following are the specific objectives of the study:

Highlighting and emphasizing the importance of marketing research on product development in manufacturing companies.
To examine the effect / extent of marketing research contribution to product development.
Examine circumstances under which marketing research is more likely to be used in the stage of product development.
Identify the factors that influence marketing research on product development.

1.4 Research Questions

What is the importance of marketing research on product development in manufacturing companies?
What is the effect / extent of marketing research contribution to product development?
What are the circumstances under which marketing research is more likely to be used in the stage of product development?
What are the factors that influence marketing research on product development?

1.5 Significance of the Study

The important area focused by the study is the impact of marketing research on product development; it is intended to achieve two aims; to contribute to both theory and practice of marketing in Nigeria.

One of the greatest and surest ways of achieving customer satisfaction is the planning and implementation of proper marketing research programme in any business organization.

Moreover, the new marketing concept emphasizes on customer satisfaction and integration in the organization towards achieving the single purpose. Therefore, to make these possible, marketers must research properly so as to know the changing need of their customers and the activities of their competitors.

Also the need to re-examined other tools which could be used to reduce the high rate of product failure instead of relying heavily on promotional activities with other tools in marketing to establish whether or not new product will be accepted in the market, it will also expose other areas that have inherent characteristics that make marketing research inevitable instrument for product development.

To contribute to the theory, there are several factors that affect product development like promotion, prices, distribution and marketing research but most organization are not interested in research as it is said to be too expensive not only looks outwards to existing and potential markets, the customers (or market place), the competitive environment but also inwards at the ways in which the organization respond to the demands of the market place.

Survival is the key objective of most organization; today’s world is characterized by major changes in market and economic conditions, coupled with rapid advances in technologies.

1.6 Scope of the Study

This study is analytical in nature to Product development found in production companies; the reason behind this delimitation is because the study intends to assess the impact of marketing research on Product development. This study is restricted to the manufacturing companies in Imo state.

The scope of this study is limited in four respects: the unit of measure for this research, the classification of the firm, the type of technology of the firm and identification of firms for the study.

1.7 Limitations of the Study

Some constraints were encountered, during this project. These limitations do not suggest that it is a unfulfilled activity, it only suggest that the activity was conducted with proper care and caution which will make the activity meaningful and result oriented;

Miscellaneous limitation problem developed due to changing environment.
Uncertainty of conclusions consumer is the focal point, buying motives are difficult to judge precisely and accurately which bring some sort of uncertainty.
Complexity of the subject it fails to give complete and correct guidance to the management on marketing issues.
Also cost expensive and time consuming activity it take longer period for completion and the finding when available may prove to be outdated due to fast changing market environment and cannot study all new marketing product.

1.8 Definition of Terms

The terms used in this study may carry slightly different meaning, we therefore consider it necessary to define item to suit the context to which they are used in this study.

Marketing Research:

Marketing research is the function that links the consumer, customer, and public to the marketer through information–information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process.

Marketing research specifies the information required to address these issues, designs the method for collecting information, manages and implements the data collection process, analyzes the results, and communicates the findings and their implications. (Approved October 2004) It’s very necessary in an industry as it provides the entrepreneurs the necessary information before any serious decisions are made.

Product:

Is a very important element of the marketing mix. Product is a bundle of utilities consisting of various product features and accompanying services which are made up of set of tangible and intangible attributes.

New Product:

Is item really innovation, truly unique in which there is a real need but for which there is no existing substitute is generally considered satisfaction. Replacement for existing product involving a significant differentiation from articles. Initiative product which are new to your company but not new to the market.

Want:

Are desires for specific satisfiers of need which are person culture and the way he is brought up.

Product Planning:

Is the ongoing process of identifying and articulating market requirements that define a product’s feature set. Product planning serves as the basis for decisions about price, distribution and promotion. Product planning includes developing a product concept and testing it.

Promotion:

Is any technique that persuasively communicates favorable information about a seller’s product to potential buyers either directly others who can influence purchase decisions.

Marketing:

Is the performance of business activities which direct the flow of goods from the producer to the consumer or user in order to satisfy customers and accomplish the company’s objective.

Price:

Is the amount of money which is needed to acquire and exchange some combined assortment of product and its accompanied services.

Distribution:

Is concerned with the activities involved in transferring the goods from the producer to the final buyers and users. These activities could be classified as physical, legal, promotional, and financial, all performed in the course of transferring ownership.

Packaging:

Is the general group of activities in product planning which involves designing and producing container paper for a product?

Chapter Five

Summary, Conclusion and Recommendation

5.1 Introduction

This chapter is made up of summary, conclusion and recommendation. In the summary is entails what each of the previous chapters contain, while the conclusion is the outcome of the overall research work and the recommendation is what the researcher finds out on the impact of marketing research on product development.

5.2 Summary

This study is carried out to examine the importance of marketing research in enhancing the service level of manufacturing company.

Chapter one introduced the study, it states how marketing has been an important tool for determining the success rate of a new product generating more revenue for the entire success of the organization. It also consists of the statement of the problems, significance of study, limitation of the study, scope of the study, limitation of the study and definition of terms. The objective of the study was to examine the contribution and the importance of marketing research on product development, and examine circumstances under which marketing research is more likely to be used in the stage of new products development and the impact of marketing research on the profitability.

The chapter two explains why the researcher has decided to go into the area of study. The literature consists of the area of product control, sales, targeting and sales forecasting, it states that although, marketing performance in the market, not much emphasized in most companies. Attempt has been made to look at some theories, research in marketing and the types of research that exist in the field of marketing such as product research, consumer marketing analysis, sales promotion, primary research, distribution research etc.

Chapter three explain the research design of study, techniques and sample size, methods of data collection, method of data analysis and research instruments used. In all, the chapters explain how the research came about, how the data was collected and how the data was analyze to help solve the problem at hand.

Chapter four dealt with the analysis of the relevant data collected for the research, the chapter also dealt with interpretation of the data.

Chapter five is just the summary of all that is contained in the first four chapters. It contains the summary, conclusion, recommendation and bibliography.

5.3 Conclusion

Despite the huge amount of money spent for the promotion activities in most companies, the products are not well recognized. This means that the planning and development stage of the company are the most important areas to consider before any other thing.

Organizations succeed more with uniqueness rather than uniformity. Uniqueness entails doing things completely different from the usual way adopted by competitors and other organizations. To have uniqueness in methods, procedures, processes and systems, organizations need to have the right caliber of people to bring about these changes to stimulate them and to live with them for the purpose of gaining a competitive edge and advantage over the competitors. To achieve these, organization must spend a lot on marketing research to achieve uniqueness and product delivery.

If sufficient research is undertaken, then the chances of failure are reduced. Indeed, the danger that many companies wish to avoid is the development of products without any consideration of the market.

Marketing research would lead to higher PD success, and that the integration of marketing research would be the most important of the factors contributing to success in PD organization. Companies which use marketing research intensively and understand consumer response in great depth are more likely to have higher success rates. The more extensive use of marketing research appears to be related to more experience in doing PD and a larger role for new products in the companies. Use of marketing research also allows companies to set quantitative goals for new products, and more carefully evaluate performance after launch.

Also most organizations can be regarded as pace setters or market leaders in their various markets, if only they take time in doing marketing research on Product development.

5.3 Recommendations

In order to undertake a systematic product planning and development, in marketing research, the researcher is making the following recommendations.

Most company should invest in promotional activities to enable the product sell in the market and to increase the profitability of the company.
Also companies should adopt the scientific method of product planning and development within the context of marketing research.
Another recommendation that can be put forward is that, more money should be invested in promotional activities to enable the product sell in the market
That they should also conduct gap analysis of the existing products by interviewing a representative of consumers to find out their views about the company’s existing products before thinking of producing another one.
They should also take note of the types of research approach used at the stage which includes monadic approach which is concern with comparing the concept with or against existing market after of the competitors. The Holistic approach of data about the marketing mix variable such as price, promotion package and distribution. Although the companies conduct testing, it may suggestion that the company studies very well the procedure of product testing which varies from company to company and product to product. It is also expensive since it involves raw materials, machinery, and accuracy of new skill production.
Like product testing, marketing test also involve some procedure of which I will suggest companies to adopt to ensure successful marketing test, and take note of the information required during the marketing test.

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