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ABSTRACT
The study was carried out to examine the impact of product quality on sales performance in the Nigeria bottling company Port-Harcourt. The case design was employed since the study was to ascertain the impact of product quality on sales performance. The study was designed to focus on Nigerian bottling company, Port Harcourt, Rivers State where primary data, via questionnaire were collected. The population of this study constitutes management and staff of Nigerian bottling company Port Harcourt which was unknown. The sample size of this study was a judgmental sample of 72 respondents which comprised of both the senior and junior staff of Nigerian bottling company, Port Harcourt. In this study both the primary and secondary data were used. A self-designed questionnaire on product quality and sales performance was used and administered for the collection of data from the respondents. The data collected were processed electronically using Statistical Packages for Social Sciences (SPSS). The statistical test used in the analysis of the data collected was Pearson Product Moment Correlation. Findings amongst others reveal that there is a significant relationship between product performance and sales performance in Nigeria Bottling Company Port-Harcourt and the study also revealed that product reliability associate with sales performance in Nigeria Bottling Company Port-Harcourt. Based on the findings of the study, we recommended that Nigeria Bottling Company Port-Harcourt and other brewery firms should ensure that their products are of good quality to gain competitive advantage. Production managers and the quality control department should ensure that products are reliable and should be able to satisfy the taste of the customer.
TABLE OF CONTENTS
Certification iii
Dedication iv
Acknowledgement v
Abstract vi
Chapter One 1
Introduction 1
1.1 Background of the Study 1
1.2 Statement of the Problem 2
1:3 Objectives of the Study 3
1:4 Research Questions 3
1:5 Research Hypotheses 4
1:6 Significance of The Study 4
1:7 Scope of Study 5
1:8 Limitations Of The Study 5
1:9 Definition of Key Terms 5
Chapter Two 7
Review Of Related Literature 7
2.1 Conceptual Framework 7
2.1.1 Meaning of Product Quality 8
2.1.2 Attributes of Product Quality 9
2.1.3 Product and Service Quality 11
2.1:4 Dimensions of Product Quality 12
2.1.5 Sales Performance 15
2.1.6 Measure of Sales Performance 16
2.1.7 Relationship between Product Quality and Sales Performance 18
2.2 Theoretical Framework 19
2.2.1 Expectation Confirmation Theory: 19
2.3 Review of Empirical Studies 20
2.4 Summary of Literature Review 21
Chapter Three 23
Research Methodology 23
3.1 Introduction 23
3.2 Research Design 23
3.3 Population of the Study 23
3.4 Sampling Techniques Used 24
3.5 Sample Size 24
3.6 Source of Data 24
3.6.1 Primary Source(s) of Data 24
3.6.2 Secondary Source of Data 24
3.7 Research Instrument for Data Collection 24
3.8 Validity and Reliability of Instrument 25
3.9 Techniques for Data Analysis 26
Chapter Four 27
Data Presentation And Analysis 27
4.1 Data Presentation and Analysis 27
4.2 Data Analysis 28
4.3 Hypotheses Testing 34
Chapter Five 38
Summary, Conclusion and Recommendations 38
5.1 Introduction 38
5.2 Summary 38
5.3 Conclusion 38
5.4 Recommendations 39
References 40
Appendix I 43
Appendix II 44
CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
Product quality refers to the perception of the degree to which the product or service meet the customers’ expectations. Quality has no specific meaning unless related to a specific function and/or objective.
Furthermore, product quality can as well be seen as a group of features and characteristics of a saleable goods which determine its desirability and which can be controlled by a manufacturer to meet certain basic requirements.
Performance refers to a product’s primary operating characteristics. This dimension of quality involves measurable attributes, so brands can usually be ranked objectively on individual aspects of performance. Overall performance rankings, however, are more difficult to develop, especially when they involve benefits that not every consumer needs. Performance is often a source of contention between customers and supplies, particularly when deliverable are not adequately defined within specifications. The performance of a product often influences the profitability or reputation of the end-user. As such, many contracts or specifications include damages related to inadequate performance. The question of whether performance difference is quality differences may depend on circumstantial preference but preferences based on functional requirements, not taste.
Sales performance is the measurement of the number of sales that an employee makes for a business. It helps more people hit quota more often by focusing on tools and processes to help the individual sales and channel personnel. Sales performance is also defined as the process of overseeing and training employees to advance their sales skills, processes and results. Making sure your sellers are motivated, trained and are in the right territories is critical to your success and every company should be focused on doing just that.
Effective sales management starts with clearly defined sales performances goals. Translating an organizations business objectives into daily activities and tasks is the process side of performance management without clearly defined performance goals, you cannot determine if it is the person or the process that must be coached or changed. In this context, you will define the results that you need from your sales people, and the activities they need to maintain, in order to create the most productive possible relationship with your associates.
Product quality management is a philosophy and a set of guiding principles that represent the foundation of an excellent organization and to ensure survival of individual organization in the competition economy of today (Bester field, 1999).
Product quality is a technique that underscores the continuous improvement of product and service sales quality to satisfy customers and enhance sales volume and increased productivity in manufacturing organizations.
This study therefore is to give a clearer view of how product quality (namely performance, features, reliability, conformance, durability, serviceability, aesthetics and perceived quality) plays very important roles in influencing customers satisfaction and as well
1.2 STATEMENT OF THE PROBLEM
Product quality practices have been shown to enhance sales performance in both product and service organization (Powell, 1995).
However, there is relatively little research on how product quality influence the sales performance in manufacturing organizations in view of what they do, how well they do it and its consequences. The growing body of research on product quality has focused on external customer perceptions of quality and satisfaction rather than organizational knowledge of quality practices.
Therefore, this study intends to empirically examine in specific terms, the impact of product quality on sales performance in Nigeria bottling company Port-Harcourt, Rivers State.
1:3 OBJECTIVES OF THE STUDY
The main objective of the study is to examine the impact of product quality on sales performance in the Nigeria bottling company Port-Harcourt. The specific objective include;
(i) To ascertain the impact of product performance on sales performance in Nigeria Bottling Company Port-Harcourt, Rivers State.
(ii) To ascertain the extent to which product reliability influence sales performance in Nigeria bottling Company Port-Harcourt Rivers State.
(iii) To ascertain the impact of product durability on sales performance in Nigeria bottling Company Port-Harcourt Rivers State.
1:4 RESEARCH QUESTIONS
This study is aimed at providing answers to the following research questions:
(i) Does product performance relate to sales performance in Nigeria bottling company Port-Harcourt?
(ii) Does product reliability relate to sales performance in Nigeria Bottling company Port-Harcourt?
(iii) Does product durability relate to sales performance in Nigeria Bottling company Port-Harcourt?
1:5 RESEARCH HYPOTHESES
For effective research of the topic, the following null hypotheses are formulated to guide the study;
Ho1: There is no significant relationship between product performance and sales performance in Nigeria Bottling Company Port-Harcourt.
Ho2: There is no significant relationship between product reliability and sales performance in Nigeria Bottling Company Port-Harcourt.
Ho3: There is no significant relationship between product durability and sales performance in Nigeria Bottling Company Port-Harcourt.
1:6 SIGNIFICANCE OF THE STUDY
The significance of every research study justifies the reasons for undertaking the study. The finding from this study is expected to be highly beneficial to all stakeholders in general, management and marketing practitioners of organization in particular.
Though the findings and recommendations from this study, management and marketing experts will be provided with information on how to improve on product quality and also enhance sales performance of their respective organizations. As quality of products of organizations improves and firms step up their respective sales performance, profitability, sales volume and market share of the organizations will be enhanced. Also, per capital income of citizens and the general health of the economy would be assured and guaranteed.
This study will also be of great benefits to students and researchers as it will serve as a reference material especially to those who will want to carry out research on a related topic.
Finally, this study will add to existing stock of literature on product quality and sales performance.
1:7 SCOPE OF STUDY
The scope of the study will cover three areas which include;
Geographical scope: The geographical scope of the study covers the Nigeria Bottling Company Port-Harcourt, Rivers State.
Content scope: the content scope of this study covers literature on product quality and its dimensions as well as sales performance and its measures.
Unit of Analysis: the unit of analysis will be organizational and will cover selected samples from the accessible population (Top, middle and lower managers) derived from the target population of the study (All Staff of Nigeria Bottling Company Port Harcourt).
1:8 LIMITATIONS OF THE STUDY
Respondents were evasive. Certain polices of the organization limited their willingness to offer information solicited.
Inadequate fund was another major challenge faced during the study
Time allocated to the research was not sufficient for an exhaustive research work as this. However, the work will meet required standard and quality.
1:9 DEFINITION OF KEY TERMS
Product: An article or substance that is manufactured or refined for sales to satisfy a need.
Quality: the standard of something as measured against other things of a similar kind, the degree of excellent of something
Sales performance: the quality or number of products sole or service provide by a company in a particular period of time, higher/lower/total sales performance boost/ increase sales
Organization: An organize body of people with a particular purpose especially a business society association.
Also an organization is a group of individuals working together to achieve one or more objectives. It involves hiring, training, culture structure and compensation.
Strategy: The methodology, communication, execution and process of achieving set objectives.
Optimization: Continues improvement of sales effectiveness and efficiency.
Metrics: The measurement of performance improvements
Technology: The next generation sales tools that enable higher sales productivity.
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