CHAPTER ONE

1.0   INTRODUCTION

1.1      BACKGROUND OF THE STUDY

Telecommunication industry in Nigeria from inception has been the absolute monopoly of the federal government. At the initial stage of its development, it was meant to provide effective means of communication for the colonial administration. However after independence it became so obvious that telecommunication services be developed just after the colonial masters and the foreign trading companies thereafter however, it stated to be viewed as a social service necessary to augment government development effort by providing faster and efficient  means of communication to areas faraway from the centre of administration, commerce and industry.

Nowadays, communication does not only enhance mutual understanding and social integration of disperse communities but also foster harmonious relationship which contributed immensely to the overall socio-economic, political as well as cultural development of human society. MTN industry in Nig

eria is currently undergoing transformation due to the deregulation of policy that has been implemented since the advert of Obasanjo administration. At the moment, there are numerous telephone service providers in Nigeria that are competitor with “NITEL” this consists of MTN Nigeria, Zain (celtel) wireless, Globacom, Reltel, Visafone, Etisalat etc. they provide effective mobile phone service for local and international calls. MTN has bean regarded as the most known network in the market today after consulting some consumers of other network.

Consequently this new trend give rise to service commitment of huge financial resources into the marketing activities of  service provider generated in Nigeria. A good marketing programme will enable the company to achieve its operating objective faster.

In this study the researcher makes an attempt to evaluate the marketing strategies in the company’s marketing activities in the area covered by this study.

1.2      STATEMENT OF THE PROBLEM

The marketing strategies being used by (MTN Nigeria) is been challenged by myriads of problems which includes poor network services, drop calls, loading of vouchers and checking of balance problems in the billing system, resulting to the increase in customer complaints, challenges posed by competitors and the general down turn in the economy.

Consequently, evaluating the marketing strategies of  (MTN Nigeria) in which information was sourced from the (marketing manager) of MTN Nigeria (David Ibgun), it is denoted that MTN has their problems just as other networks have their problems, so far they have been trying

to see how possible it is to eradicate this problems, but being that communication is a large business to run it might be very difficult to eradicate but rather they can minimize this problems.

1.3      OBJECTIVE OF THE STUDY

a.           To identify the strategy pursued by the company in respect to product, price, promotion, and placement.

b.          To determine whether the marketing strategies are effective in the face of high competition.

c.           To outline the problems/challenges encountered in the marketing of their services.

d.          To provide solution to problems identified by this study.

1.4      SIGNIFICANCE OF THE STUDY

The finding of this study will provide an insight in handling challenges and opportunities that exist in MTN Nigeria and how to build and initiate effective and efficient programme needed to turn around the business already in existence to a greater height

In addition, the study will serve as reference material for those who may have the need for information on the marketing activities of Telecommunication, its challenge and effectiveness of its business administration programme.

1.5      RESEARCH QUESTIONS

a.           What are the strategies faced by the company in respect to product, price, promotion and placement?

b.          Are your marketing strategies effective in the facing of high competitors?

c.           What are the problems and challenges encountered in the marketing of your service?

d.          What are the possible solution to the problem identified?

1.6      SCOPE OF THE STUDY

The scope of this study centers on the evaluation of the marketing  strategies of MTN Nigeria services with special reference to Kaduna metropolis. Thus this study examines the marketing strategies and the effectiveness coping with current challenges posed by their competitors and either invading threats.

1.7      LIMITATION OF THE STUDY

Time Constraint: The time required for this research work was inadequate as the research had to consume writing the research with other academic tasks. As well meeting the deadline  for the submission of the project work.

Uncooperative Attitude of Respondents: The behaviour of some respondents can be described as hostile and unfriendly. Some of them were not willing to give vital information needed for the study as they termed these information as confidential.