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MARKETING
SKILL AND PROMOTION OF SMALL AND MEDIUM SCALE ENTERPRISE
CHAPTER ONE
1.1 Background to the Study
Small scale
businesses are those businesses which are independently owned and operated
requiring limited capital with few employee and non-sophisticated technology
and which is not dominant in its field of operation. Small businesses are small
in operations. Types of small business include those engaged in trade and
commercial activities, services, and small scale manufacturing .Examples
include service or retail operations such as delicatessens, hairdressers or
convenience stores, small grocery stores, bakeries tradespeople (e.g.,
carpenters, electricians), very small-scale manufacturing, and Internet-related
businesses. Small business can be started with very minimal capital and without
any formality .many small business are operated as family business and can be
combined with regular employment. The promotion of small and medium scale
enterprise requires essential marketing skills. Due to the nature of small and
medium scale enterprise, Personal selling is an aspect of salesmanship, which
involves person to person interaction between a seller and the buyer to effect
exchange of facts for making buying decision.. The salesperson has to
communicate to the buyer by persuading and creating awareness for the product
to be desired. The product so advertised has all the potential to satisfy the
need of the customer more than the competing brand in the market. Personal
selling has the advantage of communicating personally with potential customer
about the unique feature of the product which provides the customer the option
to inspect the product before buying to meet his expectation for the product.
It is through personal selling therefore that this products and services are
communicate and sold to the customers at an agreed price and terms of sales.
Personal selling is a face-to-face communication, which has the potential to
convince the buyer and demonstrate the workability of the product. Personal
selling enables marketers to make their presentation to fit the needs, wants,
motives and behavior of individual customer. Personal selling is an effective
tool used by organizations to receive the desired response from its customers
and prospects. Effective personal selling includes effective communication,
education of customers on product usage, problem solving stimulating and
motivating and ultimately soliciting for favorable response. Most SMES must
adopt personal selling as its number one promotional tool. due to its
traditional nature and cost effectiveness. Håkan Håkansson & IMP Group. (1982).The
research therefore seeks to investigate Marketing skill and promotion of small
and medium scale enterprise in Ilorin South local government area
1.2 Statement of the Problem
The
management and operations of small business is confronted with some challenges
which include effective marketing skills and promotion thereby limiting
the growth of small business in
Nigeria. Small business can be started with very minimal capital and without
any formality .many small business are operated as family business and can be
combined with regular employment. Some of that problem includes lack of huge
capital to expand or take advantage of business opportunities .This also affect
the salary of the salesmen who may not be motivated to perform ultimately. Also
the lack of managerial skill also affects the smooth and successful operation
of small businesses. Lack of planning skill, communication skills and
salesmanship often leads many small businesses into failure. Poor decision
making and improper accounting also constitute the problem confronted by Small businesses among her things. This
combined together impedes on the performance of the salemen. Many SMEs lack
both the finance and the promotional strategy to implement for the development
of SMEs. The problem confronting the research is to proffer an appraisal of the
Marketing skill and promotion of small and medium scale enterprise in Ilorin
South local government area
1.3 Objectives of the Study
To determine
the impact of Marketing skill on the
promotion of small and medium scale enterprise in ilorin South local
government area
1.4 Research Questions
What
constitute marketing skill?
What is the
role of marketing skill in the promotion of small and medium?
What is the
role of marketing skill in the promotion of small and medium scale enterprise
in Ilorin South local government area?
1.5 Significance of the Study
The study
shall proffer an appraisal of the role of marketing skill in the promotion of
small and medium scale enterprise in Ilorin South local government area
1.6 Research Hypothesis
Ho The
impact of marketing skill in the promotion of small and medium scale enterprise
in Ilorin South local government area is low
Hi The
impact of marketing skill in the promotion of small and medium scale enterprise
in Ilorin South local government area is high
1.7 Scope of the Study
The study
focuses on the appraisal of the impact of
Marketing skill in the promotion of small and medium scale enterprise in
ilorin South local government area
1.8 Limitations of the Study
The study
was confronted by some constraints including logistics and geographical factor.
1.9
Definition of Terms
MARKETING
DEFINED
Marketing is
defined as the process of facilitating exchanges through products and services.
It involves carrying out plans and implementing them from product conception to ultimate sale of the product
or service.
SALESMANSHIP
DEFINED
Personal
selling is an aspect of salesmanship, which utilizes a direct face to face
interaction between a seller and the buyer to effect exchange of facts for
making buying decision.
SME DEFINED
Small scale
businesses are those businesses which are independently owned and operated
requiring limited capital with few employee and non-sophisticated technology
and which is not dominant in its field of operation.
PERSONAL
SELLING DEFINED
Personal
selling is an aspect of salesmanship, which involves person to person
interaction between a seller and the buyer to effect exchange of facts for
making buying decision.
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