| Content | Abstract
This project is based on Sales promotion as an effective marketing strategy for selling consumer product, it indicate the sales promotion does not have any effective on marketing strategy for selling consumer product whether it can enhance the performance of the organization. The review of the literature indicated the survey method administered through questionnaire to explicit information from the respondent and chi-square method will adopted to test the relevant hypotheses. It will also discovered that the relevant hypothesis. It was also discovered that the peculiarities of the products available to the potential buyer at the appropriate time. Lastly, it was recommended that the organization should focus on customer satisfaction and retention strategy and improve the quality of the product always and also from all this view of the topic is emphasize and available of contribution of the marketing strategy for selling consumer product are also needed between the point of moving goods from the manufacturer to the consumer. | MARKETING OF BANKING SERVICES IN NIGERIA A STUDY OF FIRST BANK PLC
CHAPTER ONE
1.0 INTRODUCTION
1.1 BACKGROUND OF THE STUDY
This project is on Marketing of banking services in Nigeria a study of first bank plc. A bank is a financial institution licensed by a government. Its primary activities include borrowing and lending money. Banks no longer restricted themselves to traditional banking activities, but explored newer avenues to increase business and capture new market. Grönroos., (1990)
- In the 1990s, greater emphasis being placed on technology and innovation.
- New concept like personal banking, retail banking, total branch automation, etc. were introduced
Banks’ activities can be divided into retail banking, dealing directly with individuals and small businesses: business banking, providing services to mid-market business; corporate banking, directed at large business entities; private banking, providing wealth management services to high network individuals and families: and investment banking, relating to activities on the financial markets. Most banks are profit-making, private enterprises. However, some are owned by government, or are non-profit organizations.
Marketing approach in banking sector had taken significance after 1950 in western countries and then after 1980 in Turkey. New banking perceptiveness oriented toward market had influenced banks to create new market. Banks had started to perform marketing and planning techniques in banking in order to be able to offer their new services efficiently. Marketing scope in banking sector should be considered under the service marketing framework, Performed marketing strategy is the case which is determination of the place of financial institutions on customers’ mind. Bank marketing does not only include service selling of the bank but also is the function which gets personality and image for bank on its customers’ mind. On the other hand, financial marketing is the function which relates uncongenitalies, differences and non similar applications between financial institutions and judgement standards of their customers.
The reasons for marketing scope to have importance in banking and for banks to interest in marketing subject can be arranged as:
Change in demographic structure: Differentiation of population in the number and composition affect quality and attribute of customer who benefits from banking services. Intense competition in financial service sector: The competition became intense due to the growing international banking perceptiveness and recently being non limiting for new enterprises in the sector. Increase in liberalization of interest rates has intensified the competition.
Bank’s wish for increasing profit: Banks have to increase their profits to create new markets, to protect and develop their market shares and to survive on the basis of intense competition and demographic chance levels.
1.2 HISTORICAL BACKGROUND OF FIRST BANK NIG. PLC.
First Bank is one of the oldest financial institutions in Nigeria and was the first bank to be established in West Africa. The bank was incorporated as a limited liability company in March 1894 and was listed on The Nigerian Stock Exchange in March 1971. Following the Central Bank of Nigeria’s (“CBN”). induced industry-wide consolidation in 2005, the bank acquired its merchant banking subsidiary. FBN (Merchant Bankers) Limited and MBC International Bank Plc. The bank offers a wide array of financial services to a diverse customer base through its local and offshore offices, including 465 branch offices country wide and 532 ATM’s. In addition to growing organically through new products and branch development, other viable domestic acquisitions are being explored. The intention is to extend the branch network to 600 by the end of 2008.
1.3 STATEMENT OF THE PROBLEM
Primarily, Banks are regarded as only interested in loan and saving and other related transaction but it is quite certain that beyond that, banks do engages themselves in marketing activities. To this effect, the problem of this research work is to know the extents and ways in which the banks carry out their marketing serving such as making use of E-banking, Core - Banking, corporate banking, Mobile banking, Plastic money. NRI banking etc in carrying out their marketing services.
1.4 OBJECTIVES OF THE STUDY
The aim of this research work is to analyze the marketing of banking services and the means in which the services are rendered by the banks. It will go a long way to unveil the new innovative method of marketing services used by banking sector such as E-banking, Core - Banking, corporate banking, Mobile banking. Plastic money. NRI banking etc., it will also investigate into the use of Marketing mix of banking sector in marketing services which involve the analysis of the Banks Products, Price, Pricing, Place, Promotion, Process, Physical evidence. To examine the level of market service delivery in First Bank plc. Owerri in relation to Information Technology (IT) innovations To examine the employees’ perception of the effects of IT innovations on market service delivery in First Bank plc. Owerri
1.5 SIGNIFICANCE OF THE STUDY
This work though will be carried out in reference First Bank PLC, the findings can be significantly applied to the banking industries at large. The essence of investigating into the role of marketing of banking services is to objectively unveil to improvement it has made in the banking industries in regard to the banking services delivery.
1.6 RESEARCH QUESTION
In order to achieve it aims, these project will try to offer answers to the following questions:
- Has the marketing of banking services in the banking industries improved the banking Industries?
- To what extent have the E-banking helped in marketing of banking services
- Is the use of Core - Banking still in existence?
- Is corporate banking necessary in service delivery’?
These and more are the questions this research work has set out to solve.
1.7 RESEARCH HYPOTHESES
For a clearer understanding of the research work and validation of information gotten for the purpose of this research, some hypothetical statement was formulated which will be tested later in chapter four (4). The hypotheses comprise of two: Null hypothesis (H0) and Alternate hypothesis (Hi). the null hypothesis is bound for rejection if the calculated value is greater than the observed value.
Hypothesis I
Ho: The use of New innovative method of marketing services in the marketing of banking has not contributed to the improvement of the services delivery in first bank plc.
Hi: The use of New innovative method of marketing services in the marketing of banking has contributed to the improvement of the services delivery in first bank plc.
Hypothesis II
H0: The application of marketing Mix strategies has not enhanced the quality of service delivery and customer satisfaction in first bank Nigeria plc.
Hi: The application of marketing Mix strategies has enhanced the quality of service delivery and customer satisfaction in first bank Nigeria plc.
1.8 SCOPE OF THE STUDY
This study concentrated on First Bank PLC and it does not in totality analyzed the functionality of the bank but limits it self on the marketing of banking services. This study therefore examines the role the marketing of banking services ,a enhancing the marketing of banking services. Considering these factor the data and response to the questionnaire were limited to staff and customers of First Bank PLC Owerri.
1.9 DEFINITION OF TERMS MARKETING
According to the Oxford Advanced Learner’s dictionary, marketing is the activity of presenting, advertising and selling an organizational products or services in the best possible way.
BANKING SERVICES: Banking services can be seen as those business transactions and services the banks carries out among them and their customers to generate income for the banks and to serve the bank’s need.
E-BANKING: The remote deliver of new and traditional banking products and services through electronic delivery channels. (FFIECJ).
E-banking is an abbreviation for electronic banking. E-banking allows you to conduct bank transactions online, instead of finding a bank and interacting with a teller. Most U.S. banks offer E-banking, though the extent of the services may vary. For instance, some banks may offer unlimited bill pay options while others restrict online activity.
CORE BANKING: Core Banking is normally defined as the business conducted by a banking institution with its retail and small business customers. Many banks treat the retail customers as their core banking customers, and have a separate line of business to manage small businesses. Larger businesses are managed via the corporate banking division of the institution. Core banking basically is depositing and lending of money.
COOPERATE AND INVESTMENT BANKING: Corporate & Investment banking is a term used to describe a range of banking and investment products and services delivered to corporate clients, financial institutions, governments, agencies and, in some cases, to wealthy or ‘high-net-worth’ individuals and families,
MOBILE BANKING: Mobile banking (also known as M-Banking, SMS Banking etc.) is a term used for performing balance checks, account transactions, payments etc. via a mobile device such as a mobile phone or Personal Digital Assistant (PDA).
PLASTIC MONEY: Generic term for all types of bank cards, credit cards, debit cards, smart cards, etc. | ABSTRACT The study which anchored on political marketing x-rayed various IEC strategies which Nigerian politicians use in promoting or marketing themselves and/or achieving their political interest. In Political Marketing, Social Marketing, publicity and public enlightenment campaign, the IEC strategy is understood as three salient parts making a whole. Each of these parts must be properly or systematically planned before the three are integrated to achieve any publicity public enlightenment and other campaign objectives. The IEC strategy sees information dissemination to the targets audience or market (Voters) as very important but it teaches also that we must go beyond information or awareness creation to the education stage which involves more vigorous explanation, instruction (e.g. how to get the best performance from a political leader) directions and other cognitive guides that will help the target audience to have better understanding of a politician or deeper knowledge about a politician or person being publicized promoted or marketed. The main problem the study focuses on is how Nigerian politicians use IEC strategies in marketing themselves, obtaining their elections goals and securing the approval of voters and the citizenry. Research objectives were framed to reflect this problem and others. Both primary and secondary sources of data were used. Survey research was used in obtaining relevant information from the respondents which include educated voters residing in the Southeast States of Nigeria and citizens of the Southeast residing elsewhere in Nigeria. A total of 370 respondents were sampled while descriptive statistics was used in the analysis and presentation of data. Based on the analysis of data it was found that the content of the various 1EC strategies used by Southeast Governor/politicians in marketing themselves to their target audience are ethical and persuasive. Again, the 1EC strategies used among the Southeast Governors/politicians strengthened the opinion and belief of the recipients about them or their target government to a more positive position. Speeches, new stories and posters are among the IEC materials Nigerian politicians use much more in reaching out to the people or their supporters. Conclusion and recommendations were made based on the preceding-findings. | CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
According to the definition provided by the American Marketing Association (2008), marketing refers to “an organizational function and a set of processes for creating, communicating, and delivering value to customers and for managing customer relationships in ways that benefit the organization and its stakeholders. In essence, marketing is a consumer-oriented philosophy or way of doing business; companies that are consumer oriented will put consumers’ needs and wants on their top priority. From this perspective, the ultimate goal of marketing is therefore to create and retain profitable customers by satisfying their demands. It is worth noting that the goal of retaining profitable customers is particularly challenging in Asia including Hong Kong. This is because people in this region tend to be more group oriented and the word-of-mouth effects are especially strong.
Hospitality marketing is unique because it deals with the tangible product, like a bed in the hotel or food in the restaurant, but it also deals with the intangible aspects of the hospitality and tourism industry. It is about the experience in a trip and social status it brings eating in a fine-dining restaurant. Hospitality marketing is very critical in the success of any hospitality and tourism product, organization and tourist destination. Proper marketing effort promotes a product or service that fills the needs and wants of the consumers and at the same time, bring profits to the organization or country that features it.
E-marketing is any marketing done online via websites or other online tools and resources. E-marketing can include paid services while other methods are virtually free. A wide variety of E-marketing methods are at your disposal, including: direct email, SMS/text messaging, blogs, webpages, banners, videos, images, ads, social media, search engines, and much, much more.
1.2 STATEMENT OF THE PROBLEM
It has been emphasized that the immense contribution of internet towards the development of the hospitality industry and the country as a whole is enormous and that organizations from all over the world now depend almost on the use of internet (ICT) to manage and market their services. Therefore those who have not as yet adopted ICT in their operations to take a critical look at it.
The contribution of the hospitality industry to the overall growth of the economy of Nigeria cannot be overemphasized. For the hospitality industry to succeed, the need for efficient and responsive hotel subsector which incorporates modern trend of business and customer service cannot be ignored. The efficiency and smart services provided attributable to e-business present a bigger opportunity to firms, industry and the country as a whole necessitating the availability of knowledge through research.
Skepticism about e-marketing has always been a barrier to reaping the benefits inherent in its adoption especially in the developing countries where information and communication technology (ICT) is yet to see its best days.
To many businesses, the use of its existing structures, systems and methods help managers and operators remain in their comfort zone without many challenges. E- Business however presents a more contrasting option and its adoption brings more benefits and provides global competitiveness for modern business.
1.3 OBJECTIVES OF THE STUDY
The objectives of the study are to find out the following:
- To examine if there is a significant relationship between E-marketing and hospitality
- To identify the benefits of e-business to the hospitality industry in Nigeria.
- To discover the factors that contributes to the effectiveness of E-marketing
- To determine the whether e-marketing bring challenges to customers’ of the hospitality and tourism industry.
- To find out whether there is possible ways of correcting the electronic threats.
1.4 RESEARCH QUESTIONS
The following research questions were stated to guide this study:
(a) Are there any significant relationship between e-marketing and hospitality?
(b) Are there the benefits of e-business to the hospitality industry in Nigeria?
(c) What factors contributes to the effectiveness of E-marketing?
d) Does e-marketing bring challenges to customers’ of the hospitality and tourism industry?
(e) Are there possible ways of correcting the electronic threats?
1.5 SIGNIFICANCE OF THE STUDY
The significance of this study can be seen in the fact that the outcome can be applied in the development of national policy framework as a guide for e-marketing (i.e. e-business) adoption. The study will improve our understanding of the following issues as they apply in the Nigerian situation. It shows the relevance of e-business in hospitality for a developing country like Nigeria. It reveals the benefits derived from adopting e- marketing.
It addresses the challenges that prevent firms from taking advantage of e-business. It provides the basis of future research into the adoption of e-business in other sectors of the Nigeria economy.
1.6 SCOPE OF THE STUDY
The study concerns about prospects and problems of e- marketing in the hospitality industry using the prestigious Premier Hotel, Ibadan as a case study. The study will focus on the concept of e- marketing, hotel industry e-marketing as well as benefits of e-marketing and services to customer services.
1.7 LIMITATION OF THE STUDY
- a) Financial constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
- b) Time constraint: The researcher will simultaneously engage in this study with other academic work. This consequently will cut down on the time devoted for the research work.
| Discussing relational and formal contracts in China, Zhou et al (2003) hold that countries with legal systems have courts to enforce contractual provision but interestingly in emerging economies such as China, in which the legal system is weak, the use of contracts is still prevalent. Also conventional institutional analysis suggests that emerging economies will translate from personal connections to rule-based institutions that support impersonal market exchanges. Similarly, the efficiency logic of transaction cost economics indicates that in market exchanges, contracts mitigate some of the inefficiencies that arise from exchange hazard, namely asset specificity and uncertainty (Williamson, 1996). | CHAPTER ONE
BACKGROUND OF THE STUDY
1.0 INTRODUCTION
All over the world Nigeria inclusive, the issue of business merger and acquisition has been taken into awareness with the recent on-going development where central bank of Nigeria advised bank during the 269th Bankers Committee Forum (2004) to seriously consider merger and acquisition as options to building competitive edge needed to play in globalizing financial market.
When the Central bank of Nigeria (CBN) announced what is now known as the N25billion recapitalization or consolidation of the banking industry, there have been strands of merger and acquisition before 2004.
Existence of infant industries constitutes an essential ingredient in the lubrication and development of large firms of an economy. This gives adverse to merger. A merger occurs when a firms assumes all the assets and all the liabilities of another firm, the acquiring firm retaining its identity while the shareholder is generally required to prove a merger. A merger is just one type acquisition. An acquisition company is several other ways, which includes purchasing some or all of the outstanding shares of stock.
Nigeria has since 2004 develop strands for merger and acquisition with the hopes of realizing an economic gain for such a transaction to be justified. This has shown increased interest by larger firms acquiring smaller ones in order to promote and finance its economic of scale, complement resources, garnering tax advantage and eliminating inefficiencies.
In general, mergers and acquisitions are performed in the hopes of realizing an economic gain for such a transaction to be justified. The two firms involved must be worth more together than they were apart. Some of the potential advantages of, mergers and acquisitions include achieving economic of scale, combining, complementing resources, garnering tax advantages and eliminating inefficiencies. Other reasons for considering growth through mergers and acquisitions include obtaining proprietary rights to products or services, increasing market power by purchasing competitions, shoring up weaknesses in key business area, penetrating new geographic regions or providing managers with new opportunities for career growth and advancement.
1.1 STATEMENT OF THE PROBLEM
The recent outbreak of firm merger and acquisitions in Nigeria is attracting much attention; partly because of heightened interest which motivates firm to merge and how merger and acquisition affect performance or efficiency.
The performance of merger and acquisition is unsatisfactory and majority of these merger and acquisition have failed woefully in the accomplishment of predetermined objectives for their establishment.
Merger was the opportune to provide a research on development organization fit for 21st century and increase the number of licensing agreement. It also expand more and aid sales during geographical explanation which has become one major problem with very strong competition in this industry from Phizer, Zeneca which was making good environment availability of existing substitute product in the pharmaceutical industry, government policies was one of the majority problems faced by GlaxoSmithKline after merge, several studies have thus the merger and acquisition failed in Nigeria as a result of gross mismanagement and misappropriate of funds, excessive corruption and unfavorable government policies, bribery and embezzlement among others,
These are the problems are which the research is centered:
? If merging of an organization is perfectly monitored, it could lead to large scale of production.
? Merger will allow new companies to dominate all the rights and power of combine cooperation.
1.2 OBJECTIVES OF THE STUDY
The general objective of the study is to examine the effect of merger and acquisition on organization?s effectiveness and profitability while specific objectives are stated below:
i. To examine whether the practice of merger in our country is affected by the economic growth.
ii. To have a clear understanding on how merger can be used to increase our standard of living.
iii. To determine whether merger can be used as a yardstick for measuring corporate goals and growth.
iv. To examine the financial and legal aspect of merger and acquisition.
v. To examine whether merger and acquisition is a means of improving management competency.
RESEARCH QUESTIONS
The following research questions will serve as a guide to find solutions to the problems being identified.
i. Is merger an essential tool for the growth of an economy?
ii. Does merger and acquisition contribute to individual standard of living?
iii. Is merger a tool for growth and survival of an organization?
iv. Can merger efficiently measure the financial and legal aspect of a company?
v. That merger and acquisition is a means of achieving management competency?
RESEARCH HYPOTHESIS
The purpose of this study is to inspire the effect of larger acquisition on companies and to get speculations; the following hypothesis is formulated accordingly. The hypothesis should be tested and determined in two ways.
Null Hypothesis (Ho),
Alternative Hypothesis (Hi),
Ho: There is no significant effect that employees tend to perform supportively during their pre- and post-merger acquisition period?
Hi: There is significant effect that employees tend to perform supportively during their pre- and post-merger acquisition period?
Ho: There is no significant effect of merger and acquisition on the economy?
H2i: There is significant effect of merger and acquisition on the economy?
Ho: There is no significant effect that merger and acquisition bring individual employee prestige and ego?
H3i: There is significant effect that merger and acquisition bring individual employee prestige and ego?
SIGNIFICANCE OF THE STUDY
This research exercise will be of benefits to companies already merged and those who wish to merge.
It will also be of benefit to the policy makers, shareholders and customers; when the merger is consistent with their corporate growth and increases profitability.
1.4 SCOPE OF THE STUDY
This research will revolve around the concept of merger and acquisition on organization effectiveness and profitability and would be limited to GlaxoSmithKline Nigeria Plc.
The research work will elaborate on the present knowledge of the various leaders of the organization and model involved. It will also give due on the type of merger to be adopted.
LIMITATIONS TO THE STUDY
Actually the research work would have been extended to many business enterprises possible within and outside the country but the researcher could not do as a result of the following:
? The restriction to this research are time factor to complete this project of this nature, therefore the study will be limited to Oyo state and Lagos state respectively.
? To cover as many business organizations in this project require a lot of finance instead the researcher chooses Glaxo Smith Kline Nigeria Plc.
DEFINITIONS OF TERMS
A number of concepts that are very crucial to the current study are discussed below.
I. ACQUISITION: Usually refers to the purchase of a smaller firm by a larger one or is the purchase of one business or company by another company of other business entity.
II. COMMUNICATION: This is a process in which a thought is being initiated by a person (sender/encoder), transform into a set symbol (message), send through a medium to another person (receiver/decoder) in which the receiver will decode the message, interpret it and send a respond which will serve as a feedback to the sender.
III. MANAGEMENT: It can be defined as a concept of planning, organizing, staffing, directing, controlling, communicating, budgeting, decision making, problem solving and human relations control and other available resources of the organization.
IV. MANAGERS: Managers are those who undertake the task and functions of managing at any level of enterprise.
V. MERGER: Merger can be defined as the amalgamation between two or more companies. Merger can also be defined as a combination of two or more corporation where in the dominate unit absorbs the passive ones, the former continuing operation usually under the same name.
VI. ORGANIZATION: Max-Weber sees organization as a specific goal which is either closed or limits the admission of outsider by the ruler and order which is enforced by specific people authorized to do so
VII. PROFITABILITY: It simply means that makes or which is likely to make money.
VIII. PRODUCTIVITY: This is efficiency in industry measures by companying the product produced with the time taken.
IX. SYNERGY: The extent of growth that arises in firm or organization as a result of increased in assets and capital.
1.5 HISTORICAL BACKGROUND OF SEVEN- UP BOTTLING COMPANY PLC
Seven-up bottling company started business in Nigeria in 1960 as a limited liability company. The seven-up bottling company Plc is one of the largest independent manufacturer and distributor of well-known and widely consumed brands of soft drinks in Nigeria from nine manufacturing plants.
A Lebanese Mohammed El-KHALIL who came to Nigeria n 1962 founded the company. Mohammed is the father of the company?s current chairman FAYSAL EL-KHALIL. The company metamorphosed from a very successful transport business (EL-KHALIL Transport) in a bid to diversify the then largest transport company in West-Africa. On October 1st 1960, the exact day out great country Nigeria won her imdependents, Nigerians |
Reviews
There are no reviews yet.