AN EVALUATION OF THE ETHICAL ISSUES IN SALES PROMOTION PRACTICES OF LA-CASERA COMPANY, IN ENUGU METROPOLIS, ENUGU STATE.

ABSTRACT

The Evaluation of the Ethical issues in sales promotion practices at La-casera company form where the illustrative case is drawn, the essence is to empirically investigate the degree of consciousness paid to ethics in sales promotion practices at La-casera company. One of the objectives has to do with determining whether effective ethical standard in sales promotion could lead to actualization of promotional objectives and marketing goals. On the light of this work, three hypotheses were generated in this study. The population of the study was 16 comprises the staff of La-casera company in Umuahia. The major instruments for data collections were questionnaire and oral interview. All the data were presented in common percentage distribution Tables. In view of the findings of this work, one of the Conclusions gotten is that marketing ethics play an important role in sales promotional techniques. The following recommendations were made that La-casera company should put earnest effort to ensure that its market share percentage is protected since its sales promotion programmes are much ethically standard. Secondly in order to increase and boost their sales volume so as to achieve customer retention, effort is also needed on its part. Finally, La-casera company must utilize marketing strategies in order to maintain its good will to the public’s in general.

TABLE OF CONTENTS

Title page                                                                                       i

Certification                                                                                  ii

Dedication                                                                                     iii

Acknowledgements                                                                       iv

Table of contents                                                                           v

List of tables                                                                                  vi

Abstract                                                                                         vii

CHAPTER ONE: INTRODUCTION

1.1          Background of the Study                                                    1

1.2                    Statement of the Problem                                                                            3

1.3     Objectives of the Study                                                       3  

1.4     Research Question                                                              4      

1.5     Significance of the Study                                                    5

1.6     Scope of the Study                                                                           6

1.7       Limitations of the Study                                                                 6

 CHAPTER TWO:  LITERATURE REVIEW

2.1     Meaning of Marketing                                                        7

2.2     Marketing Management Orientations                                 8

2.2.1  Production Concept                                                            8

2.2.2  Product Concept                                                                  8

2.2.3  Selling Concept                                                                   9

2.2.4  Marketing Concept                                                             10

2.2.5  Social Marketing Concept                                                  10

2.2.6  Marketing Mix                                                                    11

2.3     Meaning of Sales Promotion                                              13

2.4     Objectives of Sales Promotion                                            14

2.5     Sales Promotion Techniques                                               14

2.5.1  Consumer Promotion                                                          14     

2.5.2  Trade Promotion                                                                 15

2.6     Impact of Sales Promotion in Marketing Consumer

Product                                                                                16

2.7     Ethics                                                                                  17

2.8     Ethical Norms and Values for Marketing: Preamble           18

2.8.1  General Norms                                                                    18

2.8.2  Ethical Values                                                                     19

2.9     Business Ethics                                                                   21

2.10   Code of Ethics                                                                     21

2.11   Brief History of La- Casera Company Limited                  22

CHAPTER THREE: RESEARCH METHODOLOGY

3.1     Research Design                                                                 24

3.2     Area of the Study                                                                24

3.3     Population of the Study                                                      24

3.4     Sample size determination                                                  25

3.5     Sources of Data                                                                   25

3.6     Instruments for Data Collection                                         25

3.7     Data Analysis                                                                      26

CHAPTER FOUR: DATA PRESENTATION AND ANALYSIS

4.2: Psychographic Data                                                               31     

CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1 Summary of Findings                                                              44

5.2. Conclusion                                                                                                     45  

 5.3. Recommendations                                                                                                        46        

        References

LIST OF TABLES

Title                                                                                                   Page

Table 4.1:       Distribution and Return of Questionnaire.                                                                                     27

Table 4.2:      Sex Distribution of Respondents                                       28

 Table 4.3:    Age Distribution of Respondents                                        29

 Table 4.4:    Educational Qualifications of Respondents.                                                                                      30

 Table 4.5:     Income of Respondents Income                                                                                                31

 Table 4.6:   Respondent’s Knowledge of Marketing

                    Promotion / Sales Promotion                                              32

Table 4.7:  Forms of Sales Promotion Used By La-Casera Company                                                                                  33

Table 4.8: Respondents Complaint on The Degree Of Consciousness

and Paid To La-casera.                                                                   34

Table 4.9:  La Casera Behaviour on Sales Promotion                             34

Table 4.10:  Usefulness of Sale Promotion Programme in

Achieving Broad Based Marketing Goals.                          35

Table 4.11:  Goals Achievable By Sales Promotion in an Organization 36

Table 4.12: Roles of Marketing Ethics in Sales Promotion Techniques     37

Table 4.13: Responses to the Questions                                                  38

Table 4.14: Responses to the Question                                                    40

Table 4.15:  Responses to the Questions                                                 42

CHAPTER ONE

INTRODUCTION

1.1          BACKGROUND OF THE STUDY

A good ethics is a corner stone of sustainable marketing in the long – run unethical marketing practices do often harm customers and society as whole. It eventually damages a company’s reputation and effective survival. Thus, the sustainable marketing goals of long term consumer and business welfare can be achieved only through ethical marketing conduct.

Most marketing organizations are sometimes accused of deceptive practices that led consumers to believe they will get more value than they actually do. Defective fall into three groups: pricing, promotion and packaging. Deceptive pricing include practices such as misrepresenting the products features or performance in order to attract higher price. Deceptive packaging includes exaggerating package contents and design. These are all forms of unethical practices in marketing.

Oxford advanced learners dictionary (2015) defines ethics as a moral principles that control or influence a persons behaviors.

Kotler and Armstrong (2010) see ethics as broad guidelines that everybody in the organization must follow. These practices should cover distribution relationship, advertising standards, customer services, pricing, product development and general ethical standards from the foregoing definitions. It can be used that ethical standard is a system of moral principles or rules of behavior aimed of enhancing the position of the consumer.

The ethical practice cut across all areas of marketing activities with sales promotion being one of the most concerned areas in the recent time. Many from of sales promotion such as crouton, rebate and price off, sweepstakes have been leveled with a lot of criticism coming from the fact that most of them lack truth and objectivity.

A sales promotion according to Tockler and Keller (2007) is a collection of incentives, mostly short term, to encourage purchase of sales of a product as well as build trial from the trade members sales promotion tools are used by most organizations including manufacture. Several sales promotion tools exist for different reasons. Brassington and Pettitt (2003) have distinguished between three basic forms of sales promotion. Those targeted towards final buyers (consumer promotions) business consumer (business promotion) and members of the sales (force sales force promotion).

The operation and utilizations of sales promotion in the contemporary Nigeria environment lack proper code of ethic and rules of behavior. Most of the promotional techniques lack standard. This work would therefore evaluate the ethical issues in sales promotion practices in the Nigeria organization called La casera Company. This is to determine the level of ethical standard in the sales promotion activities of the firm.

1.2                   STATEMENT OF THE PROBLEM.

Ethics is concerned with the development of moral standard by which actions, situations and behavior can be judged. Ethics is the study of moral standards, the process of examining the moral standards of a person or society, to determine standards are reasonable or unreasonable in order to apply them to concrete situations and issues. The ultimate aim of ethics is to develop a body of moral standards that we feel are reasonable to hold standards that we have thought about carefully and have  decided are justified standards for us to accept and apply to the choices that our lives.

Hence, the need to evaluate the ethical practice of La-casara Company in using sales promotion in Enugu metropolis.  

1.3 OBJECTIVES OF THE STUDY  

The objectives of the study are broadly to evaluate the ethical issues in sales promotion practices in La-casera Company. To achieve this, the following specific objectives are hereby formulated

i.               To determine whether effective ethical standard in sales promotion could lead to actualization of promotional objective and marketing goals in La-casera Company.

ii.             To determine how the promotional tools adopted by La casera Company were used.

iii.           To find out if sales promotion pogramme of La casera Company are based on truth fairness and openness.

iv.           To determine whether sales promotions organized by La-casera Company are clearly understood by majority of the target audience.

1.4     RESEARCH QUESTION      

To achieve the objectives of this work the following research questions are raised.

i.               Can effective ethical standard in sales promotion lead to the achievement of promotion and marketing goals in la-casera Company?

ii.             Do you think that the sales promotion tools and techniques of la-casera Company apply standard of ethic and values toward the overall growth of the firm?

iii.           Is sales promotion programmes by la-casera Company based on truth fairness and openness?

iv.           How did consumers perceive sales promotions organized by la-casera Company in recent time?

v.             Is there any delay in the redemption of promotional items worn by customers?

RESEARCH HYPOTHESIS

Ho:₁   Effective ethical standard in sales promotion cannot lead to the actualization of promotional objectives of La-casera Company.

H_O:₂   La casera Company do not apply standard of ethics in the conduct of its sales promotion

Ho:₃   La-casera Company sales promotion programme lack truthfulness fairness and openness

1.5     SIGNIFICANCE OF THE STUDY

This study is aimed in contributing of the knowledge in the area of marketing communication. It would help in decision making customer relationship management marketing planning and control.

The management team of La-casera Company as well as other related companies would find this work useful and reliable. Since the work seeks to fill gap in the knowledge that occur in better utilization of marketing ethics and sales promotion. It will be a very useful to future researchers the academic world and the general public.  

The result of this study will be very vital to organizations in the issue of relating to marketing promotion and the ethical aspects of marketing.

1.6     SCOPE OF THE STUDY

This study is focused on the evaluation of the ethical issues in sales promotion practices. It will be limited to Enugu metropolis.

1.7       LIMITATIONS OF THE STUDY

Moreover, on the process of carrying out this research work, the following limitations or problems were encountered. Time was major constraints as a study of this kind needs substantial time for an objective study to be carried out. The work was also money consuming as the researcher had to visit many libraries and cybercafés to get the needed materials for the study.

Finally, inability of the entrepreneurs in the society to disclose relevant information concerning their business never helped issues at all. 

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