AN EVALUATION OF BUSINESS PROMOTIONAL STRATEGIC AND SMALL ENTERPRISE GROWTH
CHAPTER ONE
INTRODUCTION
1.1 background to the study
The establishment of business organization requires that the firms make key decisions. These decisions affect the total marketing programmes of t he firm, simply put the business promotional strategy. However, one of the vital area of such decision which demands proper attention is the promotional strategies must initiate promotional policies and programmes to inform, persuade and educate its target audience of the existence of the organization and their products. Although creation of demand for a firm product may be the ultimate objective of a company’s marketing promotion, this objectives is never achieved at one fell swoop.
The firm must put in place a set of activities aimed at stimulating demand for their product. This may involve determining the optional combination of the promotional mix, advertising, sales promotion, personal selling, publicity/public relation, direct marketing and packaging to achieve its promotional objectives. This optional blend is a function of the promotional resources, nature of the product, product just to mention but a few. Adirika, Ebue and Nnolim (2016) see promotion as the component used by the organization to inform, educate and persuade the market regarding the company’s offering, advertising, personal selling, sales promotion, publicity and public relations are the major variables of promotion. Promotion is a vital ingredient of survival and development, without adequate promotion product may not sell, adequate promotion product may not sell, where they sell, their continuity is in doubt.
The art and science of marketing promotion, which comprises advertising, personal selling, sales promotion, public relations and direct marketing is often associated with glamour and flamboyance. Infact, most of the budget of some companies is spent on promotion because of the need to survive in the competitive marketing enviornemnt. Edoga and Ani (2010) noted marketing success does not just depend in good product relations, publicity and direct marketing can be used to inform prospective buyers about the benefits of their products, persuade them to try it and remind them later about the benefits of their product, persuade them to try it and remind them later about the benefits they will desire by using the product.
Modern marketing companies are increasingly recognizing the value of an effective communication and promotion programme for their entire public, this Ebue noted that modern marketing does not stop at developing a good product, pricing it attractive and marketing it really available to target customers. The company must communicate to its target audience, tell good stories, and disseminate information about the products existence, features terms and benefits to the target market. Coppo. J. (2012) confirm that the promotional tools serve as supreme vehicles in competition and provides the only way a market richer can hope to penetrate an established market. He went further to state that for a company to excel above others in the competitive market such a company must value important of promotion.
Choki laboratory came into operation in 1985. It is a small manufacturing company, it is located at No. 3 first Avenue Independence layout Uyo, with Mr. M.I Onuiybo as the managing Director. The company’s product has stood the test of time, one of their product is well known. The company have staffs strength of forty-five (45) with six (6) headers as casual workers. Choki laboratory engage in promotional activities in order to increase sales. Choki laboratory which is one of the leading industry in Uyo Metropolis is facing a lot of competitions from other industry and open market this has seriously threatened their position in the market. With the proliferation of some small industries and attitude of most people in Uyo Metropolis in patronizing open market, there is the need to appraise the promotional strategies used by the company, which is becoming keener everyday. Manufacturers and producers of goods and services are now aware that promotional strategy does not only inform and persuade, but can strive towards profit making through increased sales to look at effective promotional strategies for some small industries in Uyo Metropolis with particular interest on Choki laboratory.
1.2 Statement of problem
Inadequate sales are often given by entrepreneur as major cause of their failure. A careful review of their circumstances often reveals abnormal ignorance of the need for promotional skill or deliberate neglect of the necessity for co-ordinated promotional strategies. Quite often marketers are very optimistic about sales (patronage) they conceive the wrong notion that their goals will sell themselves, forgetting that even the order to move out of the stores. Infact, the creation of business promotional strategies is an essential move towards creating small scale industry. The above statement applies equally to small industries in Uyo Local Government.
Despite the numerous advantages inherent in effective promotion, the availability of promotional facilities, the need to use promotion to fight competition in this industry, the use of co-ordinated effective promotions by most small scale industries is inadequate and has its negative impacts on their operation. It is in the light of the importance attached to promotion and with Asur investment company as the study focus that this research study seeks to evaluate the best promotional strategies used by small scale industries and their growth in Uyo.