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ABSTRACT
This study is aimed at examining the effect of harmful advertising on consumer purchase behaviour (a case study of PZ Nigeria PLC, Rivers State). The objective of this study is to determine the relationship between news paper/magazine advertising and culture, and the influence that radio advertisement has on sub-culture. The population of the study is unknown. The researcher adopted the Pearson product moment correction coefficient in analyzing the Data. The frequency of the option in every questionnaire was determined and percentage calculated based on the total number and discussion of findings. The following recommendation among other were made. PZ Nigeria plc should use attractive and informative content to create the awareness, regular and consistent up to-date training on product information should be given to advertising agencies.
TABLE OF CONTENTS
TITLE PAGE i
DEDICATION ii
CERTIFICATION iii
ACKNOWLEDGEMENT iv
ABSTRACT v
TABLE OF CONTENTS vi
CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
1.2 STATEMENT OF THE PROBLEMS 4
1.3 OBJECTIVE OF THE STUDY 5
1.4 SIGNIFICANT OF THE STUDY 6
1.5 RESEARCH QUESTION 7
1.6 RESEARCH HYPOTHESIS 7
1.7 SCOPE OF THE STUDY 8
1.8 LIMITATION OF THE STUDY 8
1.9 DEFINITION OF TERMS 9
CHAPTER TWO
REVIEW OF RELARED LITRATURE
2.1 INTRODUCTION 11
2.2 CONCEPTUAL FRAMEWORK 11
2.2.2 RADIO ADVERTISING AND THE CULTURE OF CONSUMERS 18
2.2.3 ADVERTISING IN NIGERIA HISTORICAL BACKGROUND 20
2.2.4 IMPORTANCE OF ADVERTISING 21
2.2.5 PURPOSE OF ADVERTISING 24
2.2.6 CONCEPT OF CONSUMER BEHAVIOUR 25
2.2.7 MARKETING MIX FACTORS AFFECTING CONSUMER BEHAVIOUR 26
2.3 THEORETICAL FRAMEWORK 29
2.4 REVIEW OF EMPIRICAL STUDIES 32
2.5 SUMMARY OF LITERATURE 33
CHAPTER THREE
RESEARCH METHOLOGY
3.1 INTRODUCTION 34
3.2 RESEARCH DESIGN 34
3.3 POPULATION OF THE STUDY 35
3.4 SAMPLE SIZE AND SAMPLING TECHNIQUES 35
3.5 SOURCES OF DATA AND DATA COLLECTION TECHNIQUES 37
3.6 RESEARCH INSTRUMENT 37
3.7 STATISTICAL TECHNIQUES FOR DATA ANALYSIS 37
CHAPTER FOUR
DATA PRESENTATION ANALYSIS AND INTERPRETATION
4.1 INTRODUCTION 39
4.2 DATA PRESENTATION AND ANALYSIS 43
4.3 TESTING OF HYPOTHESES 50
4.4 DISCUSSION OF FINDINGS 59
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATIONS
5.1 INTRODUCTION 62
5.2 SUMMARY 62
5.3 CONCLUSION 63
5.4 RECOMMENDATION 65
REFERENCE 67
APPENDIX I 68
APPENDIX II 69
CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
Over the years the effect harmful advertising has on consumer purchase behavior, has attracted the attention of numerous scholars, academicians and captains of industry locally and internationally.
According to Hawkins, (2001) advertising is define as a paid form of non-personal communication which co-ordinate all seller initiated effort to inform and persuade in order to facilitate the sale and acceptance of products and service or ideas.
Many of these scholars, professional bodies and associations and various authors have given divers definitions of advertising. However, it is noteworthy that each definitions is unique on its own, thus, we can say advertising is a complex field.
Alonge (2001) feels that advertising can be defined as any paid form of non-personal communication which is directed to the consumers or target audiences through various media in order to prevent and promote product, services and idea. This means that advertising is branch of commerce which is used to create awareness for particular product and it must be paid for. Advertising informs, educates and persuade people to buy the advertised goods or services. The advertising industry has been criticized by social critics for bringing materialism to its height; for replacing inner happiness and intrinsic motivation with the drive to be productive in society only in order to consume and buy happiness. By playing with emotions, advertising has manipulating ideas of real life situation, advertising has reduced us to the role of the “irrational consumer” (Pollay 2001).
Again, since the late 1800’s psychologists and scholars have been studying the ways in which advertisements affect a person mentally and emotionally. The effects that advertising has on society or consumer purchase behavior has been a long and heated debate, with a wide array of opinion on the issue.
Opinions range from the advertising executive, who believes that their company is doing society a favor by providing them with valuable information, to the market researcher, who admits to their sneaky practices. Members of society, ranging from the parent to the psychologist, all have their reasons to back up why they believe that the prominence of advertising affects some sector of the society (be it children, a woman’s image, or a consumer) in some ways, negatively or positively. Whether advertising is good or bad for society, unless someone is a hermit and does not watch TV, movies, read newspaper, magazines, or journals, listen to the radio, or surf the web, they will be affected by advertisements.
Some psychologists believe that we are “subliminally stimulated” which causes us to think in a way that is almost controlled by the media. Regulatory agencies such as the federal trade commission have said that advertising companies prey on children’s vulnerability in order to make an easy buck. However, some experts who analyze the marketing business oppose this view. They believe that market researchers are merely taking stab in the dark at trying to figure out how to best sell their products. There are two major polarities on this issue; one side believe that advertising is harmful to society and consumer purchase behaviour the other side believes that advertising does not affect the society or consumer purchase behaviour the negative way.
Whether we are experts on the matter or have no knowledge of it what-so-ever, it is important to really think about the role that advertising plays in our own lives, on matter whether it is negative or positive. Does advertising really affect us on some level, a level that influence our thinking patterns and even our action? Or it is merely a communication channel between seller and consumer.
Furthermore, advertising in such a media as print (newspaper, magazines, billboards, flyers). Or broadcast (radio, television) typically consist of picture, headlines, information about the product and occasionally a response coupon. Broadcast advertisement on the other hand consists of an audio or video narrative that can range from 15seconds spots to longer segments known as infomercials, which generally last 30 to 60 minutes. (Busari 2002).
According to the history PZ Nigeria PLC which is my case study, is a manufacturing/marketing firm. It has its beginning in sierra-leone when Mr. G.B Zochonis and Mr. G.H Paterson met in Freetown in the 1870s, there they formed a trading company by name Paterson Zochonis and company limited now PZ Nigeria PLC. It was incorporated as a private company under English law in February 1884 with a registered office in liver pool England. In 1886 the office was transferred from liver pool to Manchester which has remained the headquarters of the group ever since. Due to expansion the companies how undertake the importation and exportation of finished products.
The company opened its first branch in Nigeria at Lagos in 1899. In 1903, another branch was established at Calabar and 1912 Nigeria branch include Ibadan, Oshogbo, Ilorin, Port Harcourt and Kano.
1.2 STATEMENT OF THE PROBLEMS
The importance of adverting over the years can not be over emphased, as the public and consumers have benefited greatly from advertising expenditures. But no matter the numerous benefits derived from advertising certain factors are being discovered to hinder its continuity, they include;
Consumer protection: The consumer is left wide open to false claims and in some instances dangerous practice like the case of nestle which has caused worldwide outrage, that formula baby milk is superior to breast milk, which has led to the death of thousand of babies throughout Africa. Another problem is
Product awareness: There are other product that are advertised that in other countries are regulated vigorously, but in Nigeria standards are not yet as rigid. An example of one of this product is tobacco. Other countries haver very strick regulations regarding this, not just for the actual product but in making sure that the consumer purchasing it be fully aware of the very serious and often fatal consequences of smoking. This gaps must be bridged to avoid unexpected calamities. It is against this background that this study is carried out.
1.3 OBJECTIVE OF THE STUDY
The aim of this study is to examine the effect of harmful advertising on consumer purchase behavior. (A case study of PZ Nig PLC). Other specific objectives are:
- To ascertain the relationship between news paper/magazine advertising and culture.
- To examine the influence radio advertising has on sub-culture.
iii. To ascertain how television advertisement influence social class.
- To examine the effect of internet on reference group and family.
1.4 SIGNIFICANT OF THE STUDY
This study, will be beneficial to the followings
Scholars and academicians in venous fields of study will find this study important, as it will serve as a harvest of knowledge on other related studies.
The organization or firm PZ Nig PLC, will also find it important as it will give them the opportunity to identify some of the harmful challenges identities in these advertising of their products to consumers.
To the department of marketing, it will serves as an additional literature that will be useful for future research by the present and potential students.
1.5 RESEARCH QUESTION
The following question are formulated to guide this study.
- Does any relationship exist between news paper/magazine advertising and culture.
- Dose radio advertising has any influence on sub-culture.
iii. Dose television advertising has any influence on social class
- Does internet has any effect on reference group and family
1.6 RESEARCH HYPOTHESIS
The following hypothesis will be tested
H1:
HO: News paper/magazine advertising does not have any relationship with culture.
H1: Magazine advertising have a significant relationship with culture.
H2:
HO: Radio advertising do not have any influence on sub-culture.
H1: Radio advertising have significant influence on sub-culture
H3
HO: Television advertising of PZ Nig PLC products does not have any influence on social class, reference group and family.
H1: Television advertising of PZ Nig PLC products have influence on social class, reference group and family
1.7 SCOPE OF THE STUDY
This study, is basically concern with the effects of harmful advertising on consumer purchase behavior. (A case study of PZ Nig PLC). It is therefore limited to only selected branch of PZ Nig PLC product advertisement.
1.8 LIMITATION OF THE STUDY
Over the years several studies have been influenced by one factor or the other.
This study therefore is not an exception as the following factors hinders its continuity. Time , finance , insufficient material.
Time: the time excepted to carry out this study is too short.
Finance: the fund estimated to carry out this study is not enough.
The newly introduced method/standard of project writing.
Finally, insufficient material for the study. All this factors, has made it defecate for the research to carry out an in depth research on the study.
1.9 DEFINITION OF TERMS
Advertising: is a paid form of non-personal communication which co-ordinates all seller initiated efforts to inform and persuade, in order to facilitate the sales and acceptance of product and services or ides.
Harmful: Harmful is something that causes damage or is able to be hurtful.
Consumer: this is the person (s) to which the advertisement and product/service are directed. Here they are also known as buyers of a company’s product.
Electronic media: these include radio, television, the internet, etc and can be either local or international.
Market: this is usually the strategic location or place where the company’s consumer/buyers are situated or where they go to buy the products/service of their choice. The market place offers different products/service to different consumers.
Producer: this is the organization or firm that provides a product or that delivers services for consumer consumption.
Sales volume: this is used to measure the amount, usually in cartoons/crates, etc, of the product being sold at a given point in time. This is commonly used as well with products but it could be as used within a service company.
Purchase: purchase is the formal process of buying goods and service. The purchasing process can vary from one organization to another, but there are some common key element.
Behavior: is the range of actions and mannerisms made by individuals. Organisms, systems, or artificial entities in conjunction with themselves or their environment, which includes the other systems or organisms around as well as the inanimate physical environment. It is the response of the system or organism to various stimuli or inputs, whether internal or external, conscious or subconscious, overt or covert and voluntary or involuntary.