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The effect of sales promotion on company’s operational performance – case study of Nigerian Bottling Company

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Abstract

The effect of sales promotion on company’s operational performance – case study of Nigerian Bottling Company. The growing managerial importance of sales promotion has generated a great deal of research on how sales promotion affects organizational growth. In Nigeria, sales promotion expenditures by various companies are estimated to be in millions of Naira and the emphasis on sales promotion activities by the various industry players continues to increase year on year. Although several sales promotions are conducted each year by Nigerian Bottling Company, promotion managers are frequently confronted with the challenge of defending the question of the impact of sales promotion activities on the firm’s profitability. This study generally sought to examine the impact of sales promotion on organizational operational performance. The specific objectives include identifying the significance of communication channels to the performance of Nigeria Bottling Company to examine how poor timing of promotional activities affect the performance of Nigerian Bottling Company to find out how insufficient stocks in the store affect the performance of Nigerian Bottling Company. In order to obtain the best results, the research methodology adopted was a case study involving the Nigerian Bottling Company under study, The population of the study was estimated at 300 respondents out of which a sample of 200 was used. Questionnaires were used to obtain information from Nigerian Bottling Company. Questionnaires were used to collect primary data while secondary data was taken from internet, journals etc. Chi-square was used for the analyses. The study found a positive result and it shows that sales promotion has a positive effect on organizational operational performance. The study recommends that the management of Nigerian Bottling Company should choose a special means of communicating their products to the consumers both those in urban and rural areas..

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