IMPACT OF MARKETING RESEARCH ON NEW PRODUCT DEVELOPMENT (A CASE STUDY OF TONIMAS NIGERIA LIMITED, ABA ABIA STATE)

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ABSTRACT

This work studied the impact of marketing research on new product development, a study of Tonimas Nigeria limited, Aba, Abia state. It’s objective were to determine the extent of which marketing research influence turnover, product market research contribute to customer satisfaction, assess the impact of dealers marketing research on profitability and determine the extent to which positioning market research influence product quality. A simple random technique was adopted and 22 questionnaires was administered to the respondent. Chi-square was used to analyze the data generated.It was discovered that consumer marketing research has some level of relationship and influence of company’s turnover. Also a certain level of relationship between product positioning marketing research and customer’s, product positioning and product quality. Hence , a proper mix of this marketing effort in an organization would maximize shareholders wealth.It is therefore pertinent for every organization to adopt marketing research as a tool for its market operations. Hence proper and adequate training of research personnel and motivation should be applied to get the best from this researcher.



TABLE OF CONTENTS

CHAPTER ONE 

INTRODUCTION

1.1 Background to the Study  ………………………………………… 1

  1.2 Statement of Problem  ……………………………………………. 2

  1.3 Objective of the Study  …………………………………………... 3

       1.4 Research Questions  ……………………………………………… 4

  1.5 Research hypothesis  …………………………………………….. 4

  1.6 Significance of the Study  ………………………………………... 5

  1.7 Scope of Study  …………………………………………………... 5

   1.8 Definition of Terms  …………………………………………….  5

CHAPTER TWO

LITERATURE REVIEW

    2.1  Conceptual framework  ………………………………………………………………… 7

    2.2 Determinant of Development Process for a New Tonimas Service. 10

    2.2.1 The Product Attribute  ……………………………………………………………… 11

    2.2.2 Individual Determinants  ………………………………………………………… 14

    2.2.3 Marketing Factors  …………………………………………………………………… 14

   2.3 Theoretical framework   ………………………………………………………………… 15

   2.4 Empirical Review  …………………………………………………………………………… 17

   2.5 Types of Marketing Research …………………………………………………………. 17

   2.6 History of Firm ………………………………………………………………………………. 19

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Research Design  …………………………………………………… 21

3.2 Source of Data  ……………………………………………………… 21

3.2.1 The primary Data  ………………………………………………… 21

3.2.2 Secondary Data   …………………………………………………… 21

3.3 Study Population  …………………………………………………… 22

3.4 Sampling Techniques Method  ……………………………………… 22

3.4.1 Sampling procedure  ……………………………………………… 23

3.4.2 Questionnaire Administration  …………………………………… 23

3.4.3 Instrument  ………………………………………………………… 23

3.5 Method of Data Analysis  …………………………………………… 23

3.6 Validity and reliability   …………………………………………….. 24

 CHAPTER FOUR

 DATA PRESENTATION AND ANALYSIS 

 4.1  Questionnaire Administration  ……………………………………… 26

  4.2  Data Analysis   ……………………………………………………... 27

  4.3  Hypotheses Testing   ……………………………………………….. 30

  4.3.1  Hypothesis I Testing  ………………………………………………30

  4.3.1  Hypothesis II Testing  ……………………………………………. 34

  4.3.3  Hypothesis III  Testing …………………………………………… 37

 4.3.4 Hypothesis IV  Testing  ……………………………………………. 40

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.1     Discussion on Findings  …………………………………………… 47

5.2     Summary of the Findings   ………………………………………… 48

5.3     Conclusion  ………………………………………………………. 48

5.4     Recommendations …………………………………………………. 49

5.5     Suggestion for Further Study  …………………………………… 50

   References

  Research Questionnaire

 

 

 

CHAPTER ONE

INTRODUCTION


        1.1 Background to the Study

Marketing is a social process by which an individual and group obtain what they need and through creating, offering and group freely exchanging products and services by value with others ( Kotler, 2003)

The definition above indicates that marketing in the first place is a managerial system that identifies and satisfies customers need on time and at a profit.

The entire system of business activities must be customers oriented. Customers want must be recognized and satisfied effectively. Therefore, the definition suggests that marketing is a dynamic business process (i.e) a total, integrated process or holistic rather than a fragmental assortment of institutions and functions, marketing is not any one activity, nor it is exactly the sum of several parts. Rather the result of the interaction of many activities. However, the marketing programme starts with the germ of producer ideas and does not end until the customer’s want are completely satisfied, which maybe some a times after the sale made.

 The definition implies that to be successful, marketing must maximize profitable sales over a long run. Thus customers must be satisfied in order for company to get repeat business, that ordinary is so vital to success.

Harpar (2001) opined that to manage a business well is to manage its future, and information. To this end marketing information provides the mechanism for identifying and satisfying customers’ requirement. The growing importance of marketing has been parallel by the emergence of marketing research, nor marketing information system eliminate all uncertainty and risk. Apart from the use of marketing  research in new product planning, for example, the failure rate of new product remain high, such as rate of failure and other like it might not have happened, had some people not decided to take a chance in the face of uncertainty and risk.

David Luke, Donald Jaylor, and Hage Wale (2000) marketing research is the application of scientific method in the solution of marketing problem.

For the American marketing Association (AMA), marketing research is systematic gathering, recording and analyzing of data about problem relating to the other hand is a wide fern comprising company’s product, price, promotion and distribution. It covers all investigation for the purpose of making decision more evaluating decision relating to markets, marketing methods new product and availability of product and services.

Due to problem associated with marketing research such as sanity statistic, costs and illiteracy, many organization including the focused company has not harnessed the gain of marketing research in the development of new product. This off course, with large information research on this topic which states the impact of marketing research in a new product development.

 

   1.2 Statement of Problem

Marketing Research is the analysis of market to determine potential opportunities and challenges. Tonimas industry like any other industry has something to offer. The extent of new product will determine the success or failure of a firm.

The similarities of new Tonimas services not only negate customer loyalty but they create incident cost in the marketing of entire services and thus culminate in decline in the company’s market share of market. This can become a real problem where the service evaluation of these companies is analyzed. Product factor consideration as well as consumer type and marketing effort are crucial in understanding the development process as well as whether the product/services is developed at all. It is important, therefore, that for an effective management of the industry in Nigeria and foreign visitors alike and for product development be understood. This is not about failed product but about product that has succeeded and about planning effort for their contribution of profit over their life cycle and the marketing effort necessary for development process.

Therefore, the following are the challenges facing new product development at  TONIMA NIG LTD Aba Abia State.

·      The problem of the research tends to investigate the extent of marketing research being done when new product are about to developed.

·      This research will also investigate whether TONIMAS firm conduct marketing research organization.

 

           1.3 Objective of the Study

 The general objective of this research is to investigate the impact of marketing research in a new product development. Specific objectives of this study are; To

·      determine if consumer marketing research significantly influence turnover.

·      ascertain if product marketing research significantly contribute to customer satisfaction.    

·      determine the impact of   dealers marketing research on profitability.

·      determine if product positioning marketing research influence the quality of the product


 1.4 Research Questions

The following major Questions are used in exploring the purpose of the study. The research questions are;

·      To what extent does consumer marketing research significantly influence turnover?

·      To what extent does product marketing research contribute to consumer satisfaction?

·      What is the impact of dealers marketing research on profitability?

·      To what extent does product positioning marketing research influence the quality of the product?


        1.5 Research hypothesis

The following research hypothesis stated in their null form would be tested in this research and at 0.05 level of significant

        Ho1: There is no significant relationship between consumer marketing research and turnover.

        Ho2: There is no significant relationship between product Marketing research and customer satisfaction.

        Ho3: Dealers marketing does not significantly influence profitability.

        Ho4: There is no significant relationship between product positioning marketing research and quality of the product.

 

         1.6 Significance of the Study

        This work will serve many purposes within the locality of this study (Aba town) as an academic work will be essential of identification of product that will succeed or failed along the product life cycle.

        In tertiary institution, this work will be highly significant for academic reference. This is in view of the fact that it will offer opportunities for transformation of theoretical knowledge into practical reality.

        It provides available data for research and other related institution for update of knowledge.

 

        1.7 Scope of Study

        The scope of this project has been determine by the project topic; the impact of marketing research on new product development in Tonimas Nigeria Limited at Aba Town.


        1.8 Definition of Terms

        Marketing: Is the management process which identifies, anticipates, and supplies the customer requirements efficiently and profitability.

        Product development: Is the process of fitting the proposed product to the requirement and opportunities of the market.

        New product development: New product development involves developing product concept into a physical product in order to ensure that the product idea can be turn into a workable product. It involves some steps:

·      New Product Strategy: The new product to be developed must be linked to marketing department objectives, this business units and the corporation objective.

·      Idea Generation: the development of new product begins with the search for new idea. However development of idea is very important in new product development.

·      Idea screening: in idea generation stage several ideas are generated either they are relevant and irrelevant or workable and unworkable. screening demonstrated how to eliminate new product idea that is not compatible with a company long run mission.

·      Business analysis: management must review the future sale cost and profit estimates as to know whether they satisfy the company objectives.

·      Product development: a product concept that scores high in a business analysis is now ready to be turned over to research and development stage.

·      Testing marketing: after management is satisfied with the product functional performance, the product move into further marketing testing. The essence is to know if the product is accepted or not.

·      Commercialization: when the product is accepted, the company will produce the product in a large quantity in different markets



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