CHAPTER ONE

INTRODUCTION

1. BACKGROUND OF THE STUDY

The current globalization market has made companies to see the internationalization of their activities as a way to remain competitive. Marketing strategy has become important tool globally for any organization to remain in competitive market environment and was stronger. Aremu and Lawal (2012) sees strategy as a pattern ofresource allocation decisions made throughout an organization.This encapsulates both desired goals and beliefs about what areacceptable and most critically unacceptable means for achievingthem. Aremu and Lawal, (2012) say that strategy implies that the analysis of the market and itsenvironment, customer buying behaviour, competitive activitiesand the need and capabilities of marketing intermediaries. Marketing strategy therefore, can be defined as a method by which a firm attempts to reach its target markets. Marketing strategy starts with market research, in which needs and attitudes and competitors' products are assessed and continuesthrough into advertising, promotion, distribution and where applicable, customer servicing, packaging, sales and distribution. Marketing strategy must focus on delivering greater value to customers and the firm at a lower cost (Chiliyaet al, 2009). Owomoyelaet al, (2013) also see marketing strategy as way of providing a quality product that satisfies customer needs, offering affordable price and engaging in wider distribution and back it up with effective promotion strategy. Marketing strategy is a vital prerequisite of Industry's ability to strengthen its market share and minimize the impact of the competition.

The recent globalization market has made companies to view the internationalization of their activities and events as a way to remain competitive in the market. Marketing strategy has become a relevant tool in the world for any organization to remain in the competitive market environment and become stronger. Marketing strategy can be defined as a plan by a company to differentiate the company to differentiate itself positively from its competitors, using its relative strength to better satisfy customer needs in a given environment (Jain, 2004). Marketing strategies entails the set of actions designed to achieve competitive advantage and achieve better than average results by intelligent and fact-based selection among alternative leading to such advantage (Shane, 2000). There are diverse definitions of marketing strategy and such definitions reflect numerous perspectives (Li and Calantone, 2000). However, the agreement is that marketing strategy provides the avenue for making useof the resources of an organization in order to ascertain its set goals and objectives. Marketing strategy is defined as a given market area, the proper distribution of resources to support enterprises to win competitive advantage. Goi (2005) defined marketing strategy as a set of marketing tools that firms utilize to pursue their marketing objectives in the target market; the view which was earlier expressed by (Gronroos, 1999 and Osuagwu, 2006). Therefore, the function of marketing strategy is to establish the nature, strength, direction, and interaction between the marketing mix- elements and the environmental factors in a specific situation. According to (Owomoyela, et al, 2013), the purpose of the development of an organization's marketing strategy development is to create, build, defend and maintain its competitive advantage. Managerial judgment is very important in keeping up with environmental ambiguity and uncertainty in strategic marketing.

Excellent companies are known not only by well-conceived marketing outlining where, when and how the companies will compete but also by their ability to execute the marketing strategy decision option selected (Chris, 2006). Appropriate and effective executed marketing strategies are required to productively guide the deployment of available resources where the company marketing strategy abilities in pursuit of desired goals and objectives (Michael, 2002; Chris, 2006; Frances & Stephen, 2006; Michael, 1997). The customers are now better educated and the global whole of business today is a very complex one. In order to satisfy the changing need of customers, companies must first know their needs and that is where marketing strategy begins. For a company to survive in today's competitive market, it has to strategize in satisfying customer's needs more effectively and efficiently through marketing strategies. It is in line with this that the study is carried out on the effect of marketing strategies (product, promotion, price and place) on organizational performance (profit, sales volume, and market share and customer loyalty) of Champion breweries Plc.

1. STATEMENT OF THE PROBLEM

In current business activities, the success or failure of any business organization hinge on how best such organization can fulfill its customers and this act places huge task and responsibility by way of marketing on any organization intending to excel at satisfying their customers and clients. The duty involves identifying the precise needs of their customers/clients and deciding on how best to handle their products and services so as to satisfy the wants of both prospective buyers and sellers (as represented by clients/customers).

Lin (1993) divides marketing strategy into four parts that is dual-oriented, rational, emotional and low involvement, different product types with different marketing strategy, so the manufacturer’s marketing strategy can be divided into five parts which is the choice of target market, product strategy, pricing strategy, channel strategy and marketing strategy. When the industry lack of competition, the business performance would be better even when companies are not entirely market-driven, the performance will have a more excellent performance (Kohliet al., 1993). Previous studies have established relationships between the marketing strategies and performance (Owomoyelaet al, 2013; Shoham, 2002; Theodosiou&Leonidou, 2003). Leonidou, Katsikeas and Samiee (2002) propose a study in which a meta-analysis was also conducted to evaluate the relationships between the marketing strategies and performance.

1. AIMS AND OBJECTIVES OF THE STUDY

The aim of this study is to investigate and evaluate the relationship between influence of marketing strategies and performance in Champion Breweries.

The specific objectives of the study will be:

1. To examine the effects of marketing strategies on sales in Champion breweries Plc Uyo
2. To examine the degree at which product strategy improves the level of profit of Champion breweries Plc Uyo.
3. To determine the extent at which promotional strategy influences the sales volume of Champion breweries Plc Uyo.
4. To provides adoptional measures of marketing strategies on sales performance of Champion breweries Plc Uyo.

1. RESEARCH QUESTIONS

Arising from the research objectives, the following research questions will be addressed in the study:

1. What are the effects of marketing strategies on sales in Champion breweries Plc Uyo
2. What is the degree at which product strategy improves the level of profit of Champion breweries Plc Uyo.
3. What determine the extent at which promotional strategy influences the sales volume of Champion breweries Plc Uyo.
4. How can we provide adoptional measures of marketing strategies on sales performance of Champion breweries Plc Uyo.

1. RESEARCH HYPOTHESIS

H0 there is no significant relationship between influence of marketing strategies and sales in Champion Breweries.

H1 there is significant relationship between influence of marketing strategies and sales in Champion Breweries.

1. SIGNIFICANCE OF THE STUDY

This study is of great essence as it will try to evaluate the influence marketing strategies on sales, not only in champion breweries company of Uyo, but to other business aside champion.

Consequently, Business Company aside from champion breweries will know the relationship effects of marketing strategies on sales. It will also enable business company know that promotional strategy influences sales volume.

1. SCOPE OF THE STUDY

This study is on the influence of marketing strategies on sales in champion breweries Plc Uyo. It concentrates on the evaluation effects of marketing has on the sales.

1.8 LIMITATION OF THE STUDY

TIME CONSTRAINTS: One the challenges experienced by the researcher is the issue of time; the research will simultaneously engage in departmental activities like seminars and attendance to lectures. But the researcher was able to meet up with the deadline for the submission of the project.

FINANCIAL CONSTRAINTS: Every research work needs funding; however lack of adequate funds might affect the speed of the researcher in getting materials for completion of the project.

1. DEFINITION OF TERMS