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THE PROSPECTS OF E-MARKETING ACTIVITIES ON THE SALES VOLUME OF SMALL AND MEDIUM SCALE ENTERPRISES
CHAPTER ONE
INTRODUCTION
1.1 Background of the study
Small scale businesses in Nigeria play a very vital role in the development of its economy. Over the years various policies both from the government and some of the private sector actors have been developed to create enabling environments for these small scale businesses to thrive. However the challenges linger. Some of these challenges have been highlighted by many authors to be, poor managerial skill, small capital, wasteful spending by small scale business owners, poor marketing strategies etc. the is not the negligence of the fact that those few SMEs that have thrived over the years have contributed immensely to the growth of Nigeria economy through the following significant ways, utilization of Nigeria’s resources, increase an employment etc. income generation and redistribution etc.
Noteworthy at this point in the fact the small scale business especially in the sub-Saharan region appear to be lagging behind in the global trends with respect to small scale businesses. In Japan for example, small scale businesses now engage an international business due to their ability to create product according the taste of the market and are able use available marketing to ensure they gain and retune a reasonable market share. This has been made possible despite the many obvious and general challenges that is inherent in small scale businesses.
The purpose of this study therefore is to ascertain the current relationship between small scale businesses in Nigeria and marketing. Also it is to ascertain how e-marketing could be used by small scale businesses in Nigeria to tackle its challenges, survive in the market, and thrive enjoying competitive advantage.
This study also seeks to significantly ascertain how e-marketing is perceived by small scale business and whether how it is perceived and indeed e-marketing is an opportunity or a thereat to the survival and thriving of small scale businesses in Nigeria.
1.2 STATEMENT OF THE RESEARCH PROBLEM
Having briefly analyzed the state of Nigerian small scale businesses, its challenges and advantages. A question to be asked would be how can small scale businesses apply their resources efficiently and effectively towards business tools that will help produce competitive advantage, improve market share and other benefits. Considering the up growth in the use of technology in the marketing activities of all types of technology in the marketing activities of all types of organization, it is important to ascertain what effect and how e-marketing can be used by small scale business in Nigeria.
E-marketing as a marketing tool could help the small scale business in Nigeria reach a wider local market, make gain through competitive advantage while serving a better part of the market. Also E-marketing gives the small scale business an opportunity to access new export markets.
However, certain questions need to be asked concerning e-marketing with respect to small companies. They are;
i. What is the level of awareness of e-marketing to small scale business in Nigeria.
ii. Also to what extent do these small scale businesses in Nigeria apply e-marketing as a strategic marketing tool.
iii. How do these small scale business perceive e-marketing and does trend provide an opportunity or a threat.
iv. Also what are those possible ways through which e-marketing could be used as a modern business tool by small scale businesses in Nigeria.
1.3 OBJECTIVE OF THE STUDY
The objectives of this study however, are as follows
1. To ascertain the level of awareness of e-marketing to small scale business in Nigeria.
2. To find out the extent to which small scale businesses in Nigeria are e-marketing.
3. To find out if e-marketing poses threat or creates opportunities for small scale businesses in Nigeria.
4. To ascertain possible was through which e-marketing could be used as a modern business tool by small scale businesses in Nigeria.
This study will attempt to significantly answer these questions.
1.4 SCOPE OF THE STUDY
This study will concentrate on the use of the e-marketing as a modern marketing tool. It’s level of awareness among small scale business managers.
Also, the general perception of small scale business manager of e-marketing; and also how small business owners have reacted to the emerging trend of e-marketing as a strategy business tool.
1.5 RELEVANCE OF THE STUDY
This research study is important or relevant in modern business practice in numerous ways. First if we consider the high level of competition in modern day businesses and threats of global economic crisis which have been noticed recently. It is however very crucial for firms to acquire business tools and apply such tools efficiently and effectively so as to create competitive advantage that will enable it make better profit, reduce cost and service more of the market size.
However, some benefits which the authors believes will be gained from the this study are briefly highlighted below.
1. It should help academic theoretician and practitioners especially small scale business owners on a better understand of e-marketing.
2. This better understanding should also be useful to small scale businesses for the efficient and effective application of e-marketing.
3. It is also relevant such that it should assist small scale businesses in creating opportunities that give marketing advantage to them.
1.6 RESEARCH HYPOTHESIS
H0: There is no significant relationship between e-marketing on sales volume of small scale businesses
H1: There is no significant relationship between e-marketing on SALES VOLUME of small scale businesses
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