IMPACT OF ADVERTISING ON THE SERVICES OF FAST FOOD INDUSTRY (A CASE STUDY OF MR. BIGGS ENUGU)

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ABSTRACT

This is a research work carried out to evaluate the impact of advertising on the services of fast food industries in Nigeria with particular reference to Mr. Biggs, Enugu State. Data for the research were collected through primary and secondary sources.

The collected data were analyzed using percentages and tables. The findings  of the study revealed  that:

  1. Advertising has improved consumer preference for Mr. Biggs services over other fast-food services
  2. There has been a significant increase in sales of Mr. Biggs services as a result of advertising
  3. Biggs, Enugu State has been able to overcome competitors through advertising

 

CHAPTER ONE

GENERAL INTRODUCTION

    1.1 DEFINITION OF ADVERTISING

The word advertising comes form the latin word “advertere meaning” to turn the minds of towards”. Some of the definitions given by various authors are:

According to William J. Stanton, “Advertising consists of all the activities involved in presenting to an audience a non-personal, sponsor-identified, paid-for message about a product or organization.”

According to American Marketing Association “advertising is any paid form of non-personal presentation and promotion of ideas, goods and services by an identified sponsor”.

Advertising is used for communicating business information to the present and prospective customers. It usually provides information about the advertising firm, its product qualities, place of availability of its products, etc. Advertisement is indispensable for both the sellers and the buyers. However, it is more important for the sellers. In the modern age of large scale production, producers cannot think of pushing sale of their products without advertising them. Advertisement supplements personal selling to a great extent. Advertising has acquired great importance in the modern world where tough competition in the market and fast changes in technology, we find fashion and taste in the customers.

1.2 STATEMENT OF THE PROBLEM

It is an established fact that advertising plays a very significant role in creating product or service awareness in the market place. David and James (2002) argued that advertising is one easy way to educate existing and prospective consumers about a product or service. Although it is common for people to relate the performance of a company with the priority it gives to advertising, people tend to forget that advertising budgets are a huge source of costs for the organization. In fact, the amount of resources committed by firms to advertising has steadily grown over the years because of the increased awareness and sophistication of consumers (Kotler, 2009).

Mr. Biggs Enugu should consider advertising as an inevitable tool for survival in the highly competitive market like fast food. Empirical evidence has proven that most products in Nigeria have close substitutes that are either locally produced or imported. This implies that Mr. Biggs Enugu would have to rely heavily on advertising to create a brand and distinguish it from other fast food organizations in the minds of consumers. Thus, advertising in Enugu has become the gateway to survival and the acquisition of market share. However, the need for survival, the desire to control larger market share and the dream of creating brand loyalty in the minds of consumers have made successful organizations to pay much attention to advertising programmes without recourse to the extent to which advertising has been able to commensurately improve their services.

1.3 SIGNIFICANCE OF THE STUDY

The study is expected to yield a number of desirable benefits, the most essential of which is contribution to existing knowledge. Specifically, the findings of the study would provide direction as to the effect of advertising costs or expenditures on the services, sales revenue and profit of Mr. Biggs Enugu. Thus, the study is expected to contribute as well to other organizations as it reveals the importance and effects of adverting to their products and services.

1.4    RESEARCH OBJECTIVES

The aim and objective of this study is to measure the impact of advertising on the services  of fast food industry (A case study of Mr.Biggs Enugu). The following are the aims and objectives of the study.

  1. To examine the service offered by fast food business operators.
  2. To know the promotional tools or techniques adopted by the sector under study.
  3. The effect of advertising on the consumption of fast food.

1.5    RESEARCH QUESTIONS

In order to provide a direction for this study, the following research questions have been formulated.

  1. What service do fast food operators offer?
  2. What promotional tools element do fast food firms use?

iii.         What is the effect of advertising on the consumption of fast food?

At the end of this work, possible answer must have been found for this. This is the essence of this research work.

1.6    RESEARCH HYPOTHESIS

For the purpose of this study, the following hypothesis has been formulated. Hence these sets of null and alternative hypothesis have been put up by the researcher in order to lest their validity or otherwise.

Ho:    Advertising does not helps in informing and persuading customers to purchase fast food product.

Hi:     Advertising helps in informing and persuading customers to purchase fast food product.

Hypothesis Two

Ho:    Advertising does not help to increase sales volume and profitability of fast food product.

Hi:     Advertising helps to increase sales volume and profitability of fast food product.

1.7 SCOPE OF THE STUDY

The scope of this study is limited to the impact of advertising on the services  of fast food industry (A case study of Mr.Biggs Enugu).

1.8  HISTORICAL BACKGROUND OF MR. BIGGS

Mr. Biggs first operated in the 1960s as Kings Way mall lost competition to local market. Nigeria’s fast chain of fast food entertainment, which is owned by conglomerate United African Company of Nigeria Plc (UAC). There are currently about around one hundred and thirty (130) locations in Nigeria, including the first drive through restaurant in Nigeria, and four locations in Czhoma. The restaurant is styled after McDonald’s and is known for us red & white – colored restaurants meat pies. The chain charged its name from “Kings Way” to “Mr. Biggs” in 1986 and expanded quickly after becoming one of the first Nigerian companies to sell tranches to investors.

Mr. Biggs specialty food is the meat pie. A common lunch might also include scoteh eggs, sugared doughnut, chicken and soft drink. While western fare such as hamburgers are served, Nigeria delicious such as Jollof rice and moi-moi are more popular. Birthday cakes are also popular product and Mr. Biggs bakery is often one of the few places to buy them in some areas.

Attached Files

IMPACT OF ADVERTISING ON THE SERVICES OF FAST FOOD INDUSTRY (A CASE STUDY OF MR. BIGGS ENUGU).docx

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