Table of contents Page

CH APTER ONE...........................................................................................4

INTROUDUCTION......................................................................................4
1.1. Background of the Study...................................................................................................4
1.2 Background of the organization.............................................................................................4
1.2.1 Establishment..............................................................................................................................5
1.2.2Mission of the organization.........................................................................................................5
1.2.3 Vision of the organization...........................................................................................................6
1.2.4 Objectives of the organization.............................................................................................6
1.3 Statement of the problem.......................................................................................................6
1.4. Research Questions...............................................................................................................7
1.5. Objectives of the study.........................................................................................................8
1.5.1 General objective........................................................................................................................8
1.5.2 .Specific objectives.....................................................................................................................8
1.6. Significance of the Study......................................................................................................8
1.7. The scope of study................................................................................................................9
1.8. Limitation of the Study.........................................................................................................9
1.9. Organization of the Paper...................................................................................................10
CHAPTER TWO........................................................................................11

REVIEW OF RELATED LITERATURE................................................11

2.3. Personal Selling..................................................................................14

2.3.1. Types of personal selling................................................................15

2.4. Distribution channel..........................................................................16

2.4.1. The role of marketing channel......................................................16

Why should the producer delegate some of the selling job to intermediaries?
Delegation means relinquishing some control over how and to whom the

1
product is to sell. Producers do again several advantages by using
intermediaries..............................................................................................16

2.4.2. Channel function and flow.............................................................17

2.4.3. Channel Level.................................................................................17

2.5. Flow in marketing channel...............................................................18

2.6. Variables affecting channel structure..............................................19

2.6.1. Market variables.............................................................................19

CHAPTER THREE....................................................................................21

METHODOLOGY OF THE STUDY.......................................................21

3.1. Description of the study area............................................................21

3.2. Research design..................................................................................21

3.3. Types and sources of Data................................................................21

3.4. Data collection method or instrument.............................................22

3.5. Target population..............................................................................22

3.6. Sampling Techniques and Size Determinations/ Sampling Procedures

22

Thus, the total sample size was approximately 40..................................23

3.7. Methods of Data Analysis and presentation....................................23

4.1. Introduction........................................................................................24

Summary, Conclusion and Recommendation..........................................38

5.1 Summary................................................................................................38

5.2 Conclusion..............................................................................................40

APPENDICES.............................................................................................45

APPENDIX I................................................................................................45

2
APPENDIX II..............................................................................................48

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 CH APTER ONE
INTROUDUCTION

1.1. Background of the Study

Micro and small scale enterprises are the major features of economic growth in most developing
countries. Among those wood work plays great role and it contributes to create job opportunity
for the society as well as in reduction of unemployment rate to alleviate poverty in the city. To
develop these small scale enterprises, market mix is one of the essential marketing activities;
such as promotion and product distribution. Furthermore, promotion can be defined as marketing
communication (Kotler, 2006), and also promotion can be the elements of marketing mix that
persuades a prospective customer to buy a product that have commercial significance to the
seller. It is the firms marketing activity that used to inform, persuade or remind the people about
the product, service images and idea of community. Environment or society will be changed with
this activity. For the new product the customer should be informed about the product to create
awareness of product, in order to make customer a positive attitude toward the product that
offering by the firm/enterprise. The term Promotional mix consists of brand name, personal sale
force, trading stamp, Coupons, mass communication media, such as TV, Newspaper, radio and
magazines. The major promotional activity or tools often used in marketing firm are, advertising,
personal sale, sales promotion and publicity. However, the promotion and product distribution
are often used by different organization, which inspired the researcher to examine the most
important determinants of small-scale enterprise. Therefore, the researcher characterized by
inspiration to investigate this activity at the study area namely Hawassa city wood work
manufacturer.

1.2 Background of the organization

The issue of small-scale industries has received a great attention as priority in both developing
and developed countries. There has been a substantial growth in both private and public interest

4
in the development of small-scale industry and micro in developing country, like Ethiopia and
also throughout the world (Andualem, 1997).

1.2.1 Establishment
Even though, the manufacturing sector of wood in Ethiopia has long traditional in the
development of handicraft and cottage industries, the introduction of modern manufacturing
sector in country, is a 20thc Phenomenon. The emergence of strong government resulted in partial
stability and initiation for wood work sector as well as for the generally small- scale industries by
providing rules and regulation. According to central statistics agencies /CSA/ 2002, survey,
small-scale manufacture establishment engaging in less than 10 person and uses power driven
machine. Based on these, the wood work and other small-scale enterprise are in operation
indifferent part of Ethiopia. Basically micro and small-scale industries are established in Sidama
zone around 1960s, and particularly in Hawassa city it established in 1988.

1.2.2Mission of the organization

 Making accessible to consumer wood products at affordable price ,Improving the welfare
of affected communities and contributing to the society economically while maintaining a
whole environment and,
 Getting just return on investing on the sector. Improving the local competitiveness of its
wood product, and creating comfortable furniture.

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1.2.3 Vision of the organization

The wood manufactures always in the service of the community by providing it with its wood
supply requirement from sustainable managed forest. From (1997), the business plan of Feleke
wood work enterprise).

1.2.4 Objectives of the organization

 To advance the efficient utilization of timber in to quality house furniture. Such as chair,
table, shelf, bed, box and other office and house furniture.
 To attain public appreciation for the role of wood manufacture in social, economic and
environmental development of the city
 To take market leadership over their competitors by providing sustainable product to the
society

1.3 Statement of the problem

In Ethiopia, supporting MSEs has been considered as a basic instrument to employment creation
and foundation to long-term development objectives. However, like other developing countries,
in Ethiopia the growth of the enterprises is still below expectation which demands a thorough
investigation.

Despite the huge number of people earning their livelihood from the sector, the enterprises have

Been running below capacity and their growth has been inhibited by numerous factors (Mulat et

al., 2006). Thus, a large number of MSEs are unable to grow and others remain to be at survival

since startup. Amusingly, as noticed by Mulu, G. (2007), out of 1000 MSEs in this country, 69

percent of them are survival. And particularly in capital city, Addis Ababa, majority (75.6

percent) of the MSEs was unable to grow at all since startup and only 21.9 percent of the MSEs

were added workers (Wasihun & Paul, 2010). Besides, in Tigray, Mekeklle city, majorities (76.4

percent) of MSEs are survival and the remaining (23.6 percent) are growing (Habtamu, et al.,

2013). This implies that, large number of MSEs in our country are experienced great challenges,

which hindering their potential growth.

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To identify such a gap, the researcher has been inspired to conduct further study to examine the
promotion and product distribution method of micro and small scale wood work industries in
Hawassa city administration. Consequently, the researcher’s literature search shows that
nowadays, very little research had been conducted on the promotion and product distribution of
small businesses in Ethiopia in general and particularly none in Hawassa city administration on
this topic. Thus, gaps exist with respect to understanding the difficulties facing MSEs in
promotion and product distribution. This study, therefore, will be conducted in the absence of
clear, organized and recently testified data concerning the direction and magnitude of changes in
MSEs Promotion and distribution in the study area. Therefore, the purpose of this study is, to
assess the promotion and product distribution method of micro and small scale wood work
industries in Hawassa city administration in a holistic way by targeting and deeply investigating
those owners/managers engaged in wood work industries or activities in Hawassa city
administration. Therefore, the research outcomes that will be supplied in this paper shall provide
sufficient information on promotion and distribution method of MSEs in this city.

1.4. Research Questions

 Which types of promotion is/are the most favorable to use?

 What are the most common problems that a firm faced with respect to process of personal
selling on the sales of product?

 How does the potential customer view the quality of wood work product as compared to
the competitors?

 What is the contribution of wood work for economic development of the city?

 What are the impact of infrastructural problem on the delivery and other activity?

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1.5. Objectives of the study
1.5.1 General objective

The general objective of this study is to examine the promotion and product distribution method
of micro and small scale wood work industries in Hawassa city.

1.5.2 .Specific objectives

The specific objectives of this study are:

 To find out whether the wood work enterprise of Hawassa city use advertising for their
product distribution.

 To identify the major problems that associate with personal selling.

 To examine the contribution of wood work enterprise for economic development of the
city.

 To identify the influence of infrastructural problem on wood work products.

1.6. Significance of the Study

The finding of this research may help the Hawassa city micro and small-sale industries in wood
work sector to broaden their understanding and to have knowledge of marketing promotion and
product distribution. And also may help them to better understand or aware the best method of
marketing mix or promotional mix as well as distribution channel to better delivery their
products by ignoring the traditional way of marketing activities in the city. By-sum-up, the
significance of this study is to investigate or to examine the promotion and product distribution
method of micro and small scale wood work industries in Hawassa city, so as help policy makers
to take in to account their unique needs during policy formulation. Secondly, it may help
implementers to provide appropriate support to solve the actual bottlenecks of the enterprises by
revealing areas of deficiency. Thirdly, it may contribute to the academic literature supplementing
to the understanding of the nature and characteristics of micro and small scale wood work
enterprises in this city. Eventually, the result will be used as a reliable source of information for
those governmental and non-governmental organizations and institutions who are working in

8
support of micro and small enterprises. Finally, this study will serve as the ground for those who
want to conduct further studies in the same area.

1.7. The scope of study

This study was focus on assessment of the promotion and product distribution method of micro

and small scale wood work industries in Hawassa city. Thus, the participant of the study was

limited to micro and small scale wood work enterprises owners/managers of the Hawassa city.

Besides to this, the study only focuses on micro and small scale wood work level enterprises

those only operating in Hawassa city due to the limitation of resource and time to take in all

Micro and small scale wood work enterprises found in the city.

To deal with the analysis of the data collection from the target population, both qualitative and

quantitative approaches was employed. Data obtained through questionnaires (both close-ended

and open-ended questionnaires), were analyzed by using descriptive statistics.

1.8. Limitation of the Study

It is unable to be denied that, every study has its own limitation. This study focuses on a selected

micro and small scale enterprises those only functioning in selected city, hence, the target

population limited to only owners/managers of those formally registered micro and small

enterprises in Hawassa city administration promotion office, in order to make the study

manageable. As this study was not included all those enterprises functioning in Hawassa city, it

has a limitation in excluding those enterprises functioning even in the city and outside the city

due to financial and time constraints. Supplement to these, inadequacy of organized data,

inexperience on research and lack of electronically recorded data in the study area were another

9
limitation of this study. In spite of these limitation adequate due care was taken to ensure the

accuracy and reliability of the study as much as possible.

1.9. Organization of the Paper

This study comprises of five different chapters. The first chapter dealt with introduction, and it

comprises background of the study, statement of the problem, objectives of the study, research

questions, and significance of the study, scope and limitation of the study. The second chapter

exclusively devoted to the review of related literature. The third chapter was deal with

methodology of the study; comprises description of the study area, research design, types and

sources of data, sample design and methods of data collection. The fourth chapter dealt with data

analysis and presentation of the findings of the study. Chapter five presents the conclusions

drawn from the findings, and the recommendations made to address the problems uncovered. All

the reference materials used in the study are listed under reference.

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 CHAPTER TWO
REVIEW OF RELATED LITERATURE
2.1. Definition of Promotion

Promotion is the function of informing, persuading and influencing the customer purchase
decision (Blood and Kurtz, page 566). It is marketing tool that aware, persuade and make them
willing to own goods and services. It also comprises of different blend of tool, such as
advertising, sales promotion, personal selling and publicity. Any strategy and objective where it
should take to be defined before it full in acted. In principle promotion holds the following
objectives.

 Provides information s

 Increase demand

 Differentiate product

 Appreciate the product value

 Maintain TV sale trend

 Build up competitors’ good image.

 Attach the competitor’s product through direct or in direct means,

 Help sales of people in facilitating sales.

2.2. promotion mix

Promotion mix comprises different trend of tools which are used to achieve mentioned collection
of objectives in one way or another. They are advertising, personal selling, sales promotion and
publicity, (Kotler 1st Ed, page 168).

2.2.1. Advertising

The institution of practitioner in advertising (IPA) is the body which represents advertising as the
mean of providing the most productive possible message to the right prospects at the lowest
possible cost. “Kotler and Armstrong provide an alternative definition” advertising is any paid
form of non-personal presentation and promoting of ideas good and services through mass

11
media, such as newspaper, magazines, TV and radio by identified sponsor. There are five main
stages well managed advertising companies.

Stage 1: - Set Advertising Objectives. An advertising objective is specific communication task to

be achieved with the specific target audience during specified period of time. Advertising
objectives are fall in to three main categories,

A. To inform- e.g. to tell customer about the product

B. TO persuade –e.g. encourage the customer to switch different brand

C. To remind – e.g. buyers where to find the product.

Stage 2: Set Advertising Budget: - market should reminder that the role of advertising is to create
demand for the product. The amount spent on advertising should be relevant to the potential sales
impact of comparing. For example, new products tend to lager advertising budget to build
awareness and to encourage consumers to trial the product. The product that is higher
differentiated may also need more advertising to help set it apart from the competition
emphasizing policy different, (http// luter 2u, net /business market).

Stage 3 The Key Advertising Message: - spending a lot on advertising doesn’t grants success
(witness the infamous john’s clues campaign for seeing bury). The advertising message should
have the following characteristics:

A. Meaning full; the customer should find the message relevant.

B. Distinctive; capture the customer attention.

C. Believable; a difficult task, since research suggests that most customers doubt the truth of
advertising in general.

Stage 4 Decide Which Advertising Media to be used. There are a Varity of advertising media
from which to a close camping may uses one or more of the media alternatives:

A. Research- what proportional of target as to where will be exposed to the advertising?

B. Frequency – how many time the target customer exposed to the advertising message.

C. media impact-where if the target customer sees the message will it have the most impact? For
example, does an advertising promoting holiday for elderly people have an impact on TV?

12
If so, when and which channel, either national news or perhaps the magazine to use on this
segment of the population?

Stage 5 Evaluate the Result of the Advertising Campaign. Evaluating campaign should focus on
two key areas: -

1. Is the communication effect: - is the intended message being communicated effectively to the
customer.

2. The sale effect has the campaign generated growth.

2.2.2. Sales promotion

A good definition of sales promotion would be out follow “an activity designed to boost sale of
product or service” it may be including an advertisement campaign, increased per activity.
Offering free gift of trading stamps and arranging as well as demonstrating or exhibition; setting
up competition with activity prizes and temporary prices reduction; door to door calling and
felling the market personal letter on other method”.

“More than any other methods of promotion mix, sale promotion about action”. It is about
stimulating customer to buy a product. It is not designed to be informative a role which
advertising is much suited to; sales promotion commonly referred to as “below the line”
promotion.

 The ultimate customer (a pull strategy, encouraging purchase).

 The distribution channel (a push strategy encourage the channel).

 To a channel (to stock the product) this is usually known as: selling in to trade”.

2.2.3.1. Methods of sale promotion

There are many customer sales promotion techniques available that are summarized below: -

I) Price promotion

The price promotion is also commonly known as “price discounting”. Those either

1) Discounting to the normal selling

2) More of the product at the normal prices.

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Increased sale gain from price promotion is at the expense of losing in profit. So this promotion
must be used with the care.

A product must also guard against the possible negative effect of discounting on the brands
reputation.

II) Coupon

Coupons are another very versatile way of offering the discount.

Consider the following example of the use of coupons: -

 On pack to encourage repeat purchase.

 In coupon books sent out in newspapers allowing customer to redeem the coupon at
retailer.

 A cut-out coupon as a part of advertises.

 On the back of till receipt.

The key objective of with coupon promotion is to maximize the redemption rate. This is the
promotion of customer using the actual coupon. One problem with coupon is that they may
simply encourage the customer to buy what they will buy any way. Another problem occurs
when retailer not hold sufficient stock of the product-causing customer disappointment. Use of
coupon promotion is, therefore often best for new product or perhaps encourage sale of existing
product that take slowing down.

2.3. Personal Selling

It is face to face interaction with one or more perspective purchaser for the purpose of making
presentation, answering, question and processing order. It is two ways and most cost effective
tool at the latter age of the buying process particularly in building up buyers’ preferences,
convention and action. Such kind of promotion build up long term personal relationship with
customer and help firms and customize their offer according to customer demand (If possible
economically and technically).

At the sale force area also bridge between the company and its customer the firm should need in
hireling and managing effective and customer oriented sale people.

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Unlike advertising, personal selling has some unique benefits, such as: -

 Personal confrontation

 Cultivation

 Responses

Responses; personal selling makes the buyer fell under some obligation to have listed end the
sale talk. The buyer has greatly needed to attend and respond, even if the response is polite”
Thank you”.

The communication can be conducted in the following one or more communication plat form.

 Sales presentation

 Sales meeting

 Incentive program

 Samples

 Fair and trade shows (principle of –marketing ALAZARED 2006 page (11-18).

2.3.1. Types of personal selling

Every sales person could have ultimately could engaged in personal communication. However,
there are variety of personal selling, each quite different from one another. A sale person can be
engaged in order taking, creative selling or supportive communication or others.

A. Order taking

The least complex of selling tax is order taking. These types of personal sale (order taking)
establishes an account or file about the customer during receiving payment and when the
customer visits again, the order taker will serve them on order basis. The retailer clerk who takes
payment for product is considering as inside order taker. In this the buyer has already chosen the
product any merely uses the personal sales to make payment.

B. Creative selling

In creative selling the potential buyer relies on the sales representative for information, audience
and service. The creative selling tax requires much more effort and experts in its execution.

15
Situations where it is implements range from its retail store, through selling and service to
individual selling.

C. Supportive communication

Some personal tasks are very indirectly related with some persons. Rather it is objective of the
order to generate good will and to insure that the buyer it satisfied with firms’ goods and service.
The missionary sales person typically employed in capacity.

2.4. Distribution channel

Distribution channel is the set of independent organization involved in the process of making
product and services available for use or consumption the divination bears some exploitation.
That making channel is not just one from doing its best in the market whether that firm is a
manufacturer, whole seller, or retailer may entities are typically involved in the business of
channel marketing, each channel members depend on other to their job (mar ,2001, page3),
marketing channel page (1-3)

2.4.1. The role of marketing channel

Why should the producer delegate some of the selling job to intermediaries? Delegation means
relinquishing some control over how and to whom the product is to sell. Producers do again
several advantages by using intermediaries.

Many producers lack of the financial resource to carry out direct marketing. Intermediaries
normally achieve superior efficiency in marketing goods widely available and accessible to
target markets. Through their contacts, experience, specialization and scale operation
intermediaries usually offer the firm more than it can achieve on their own.

According to stern and his colleagues:

Intermediaries smooth flow of goods and service, this producer is the necessary in order to
bridge between the assortment demands by the customer. The discrepancy resulted from the fact
that manufactures typically produce large quantities of limited variety of goods where as a
consumer usually desire only limited quantity of wide variety of goods. (Kotler, 2006, page 472).

16
 2.4.2. Channel function and flow

The marketing channel performs the work of moving good from producer. It overcome the time,
place and position gaps that separate goods and services from those who needs want them
members marketing channel perform a member of key function.

 Gathering information about potential and current customers, competitors, and other
actors and forcing into marketing channel.

 Develop and dissemination per suave communication to stimulated purchasing.

 Reach agreements on price and other terms so that transfer of ownership or possessing
can be affected.

 Place orders with manufactures.

 Acquire funds to finance inventors at different levels in the marketing channels.

 Assume risk connected with carrying out channel work.

 Provide for buyer’s payment or their bills through banks and other financial institution.

2.4.3. Channel Level

The producers and final consumers are parts of every channel. We will use a number of
intermediary’s level to designate the length of channel figure above illustrates several consumer
goods market channel of different lengths.

A zero level channel (also called direct market channel) consist of manufacture selling directly to
final consumers. (PhilpKotler, 2006, page 474).

The major examples are door to door sale home parties, mail order, telemarketing, and TV
selling, internet selling and manufactured own stories.

17
Fig. 2.1 Consumer marketing channel level

Manufacturer
Consumer
Whole seller Consumer

Retailer

Small retailer Consumer

Consumers (end user)

In case of above channel structure there is also vertical and horizontal relationship or marketing
with customer or consumer. This means that manufacture can also sale to consumer.

2.5. Flow in marketing channel

When marketing channel had been developed a series of flows emerged and it provided the links
that ties channel member and other agencies together in the distribution of goods and services.
The following are the most marketing channels: -

 Product flow:

It refers to actual physical movement of product from manufacturer, through all of parties who
takes physical possession of the product that is point of production to final consumer. Here
Transportation Company involved in shipping the product from manufactures to the whole seller.

 Negotiation flow

Negotiation flow: - represents the inter play of buying and selling function associated with the
transfer of title to manufacture product. As you see in the channel structure the transportation
company does not involved in this flow because it is not participating in the negotiation
functions.

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  Information flow

It refers to the exchange of information by all parties that participating in the marketing channel.
The transportation company appeared in the flow; because the manufacture may obtain
information about shipping schedule and rates of the transportation company may turn seek
information from the manufacture about when on what quantity it plans to ship the product
(Alazar Ahamed, 2006).

 Promotion flow

Refers to the persuasive communication in the form of advertising, personal selling, sales
promotion and publicity. Here advertising agency is included in the flow because it actively
involved in providing information flow. The two directional arrows between the manufacturer
and the advertising agencies are working together closely to develop promotional strategies.

 Payment flow

It refers to the buyers’ payment of their bill to the seller through banks. In this flow banks are
included because they play an important intermediary role in facilitating payment transfer
between buyer and seller.

 Newness

Many products in both consumer and individual market require extensive and aggressive
promotion in the introductory stage to build primary demand. Consequently, in the introductory
stage a shorter channel is generally viewed as an advantage for gaining product acceptance.
(Alcazar 2006 page 152-63).

2.6. Variables affecting channel structure

There are a number of variables that are likely to influence the channel structure; these variables
can be grouped in to four groups:

2.6.1. Market variables

Market variable are the most fundamental variable affecting channel structure. There are two
basic variables that are particularly important in influencing market channel structure.

19
I. Marketing geography: - refers to the geographical size of the market and their physical location
and distance from the producers. The general rule for relating market geography to channel
structures stated as follow:

The greater distance between the producer and its market has the higher probability that the use
of intermediaries and the less expensive than direct distribution will be: -

The market size: - refers to the number of consumer making up a market.

The customer could be the industrial buyer and consumer. The general rule about the market site
relative to channel structure is, if the market is large the use of intermediaries the more likely to
be able to avoid the use of intermediaries.

Market density: - the number of buying unity (consumer or industrial) per unit of land is used to
determine the density of the market. For example, the market having 1000 customer in area of
100 square miles is denser than one containing the same number of than customer in area of 500
square miles.

The general rule is the less dense of the market (buyer are widely scattered) the more likely it
will that intermediaries will be use. Stated conversely the greater density of the market (the buyer
are closely located) the high likelihood of eliminating intermediaries.

Market behavior: refers to the type of buying behavior that is how customer buys. When
customer buys, where customer buys, and who does the buying. Each of these pattern of the
buyer behavior, why have a significant effect on channel structure.

Product variables: these variables are other important categories to consider in evaluation
alternative channel structure. Some of the most important channel structures are discussed as
follow.

Bulk and weight: heavy and bulk (large size) have very high handling and shipping (transport)
cost relative to their value. The general rule is for heavy and bulk products; the channel structure
should be as short as possible usually direct from producer to users.

Perishability: refers to the product that subject to rapid physical deterioration or spoilage (such as
fresh food) is highly perishable (Alazar, 2006).

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 CHAPTER THREE

METHODOLOGY OF THE STUDY

3.1. Description of the study area

Hawassa is a capital city of SNNPR of Ethiopia. The City lays 275 kilo meters of South of Addis
Ababa, the capital city of Ethiopia, along with the asphalt road to Moyale, the city at the boarder
of Kenya. The altitude of Hawassa is 165m above sea level, and it has a pleasant climate and also
has a beautiful location of the Lake Hawassa. According to the Hawassa city administration,
Finance and Economic Development Department (2003) censuses the total population numbers
of the city are about 320,000. The City has eight sub - administrative city and thirty-two kebeles.

3.2. Research design

The most important research type that use in this study will descriptive. Because which answers
the questions that concern with who, what, where and how much in the finding.

3.3. Types and sources of Data

In this study, both primary and secondary sources of data were employed to achieve the intended
objectives of the study. Due to lack of previous studies and knowledge about activities within the
promotion and distribution channel of micro and small scale wood work enterprises preliminary
data gathering was necessary. It was considered necessary to start the research by on-site visits.
Also visiting relevant firms and institutions in order to perceive the process and interview
knowledgeable people within the micro and small enterprises.

With regard to primary data, questionnaires (both close-ended and open-ended questionnaires),
observation were designed and administered for the selected sample of respondents. They had
both qualitative and quantitative natures. To substantiate the data obtained through survey and
documentary analysis and to get clarification on some issues, qualitative data were collected
through observation and open-ended questionnaires. On the other hand, Quantitative data were
collected through close-ended questionnaires.

Secondary data were collected from files, pamphlets, office manuals, circulars and policy papers
that were used to provide additional information where appropriate data in order to gain an
insightful about the overall promotion and distribution practice of micro and small scale wood

21
work industries in Hawassa city administration. Besides, variety of books, published and/or
unpublished government documents, websites, Sidama Zone MSEs Promotion office, reports and
newsletters were reviewed to make the study more valid.

3.4. Data collection method or instrument

For triangulation purpose, the researcher used multiple data gathering methods. Primary data was
gathered through questionnaires and observation methods. And questioners were distributed to
the sampled respondents

3.5. Target population

The main participants of the study were members/ managers of micro and small scale wood work
industries in Hawassa city administration. Meanwhile, the majority of micro and small scale
wood work industries have been operating in the informal or illegal way without license.
Besides, Hawassa city administration MSEs Promotion office organizers working in the city
were included.

The total number of population or micro and small scale wood work industries that have been
functioning formally in this city administration is account to 45. However, from this population
the researcher took into consideration or took as a sample of study only 40 of them. This 40 of
the sampled respondents were selected based on formality and their well-being organized. Hence
they are well structured and actively involved in the sector than the remaining counterpart.

3.6. Sampling Techniques and Size Determinations/ Sampling Procedures

The micro and small scale wood work industries are the sampled populations of this study with a
total population of 45.To undertake this study properly the researcher took all the population
members of all the wood work enterprises as to simplify by using sample size determination
formula to reach on an exact population sample size. For this study, the micro and small scale
wood work enterprises are purposively selected, due to the fact that they are an important factor
to examine micro and small scale wood work enterprises in Hawassa city administration. To
gather the necessary information and identify the roles and functions of the promotion and
distribution channel, it is important to randomly select and to participate in micro and small scale
industries those functioning in wood work to have been the respondents.

22
As such the researcher used the following sample size determination formula to estimate the
exact representative sample of the micro and small scale wood work industries’ respondents.
The formula was developed by TaroYamane (1967).It was calculated as follows:

N
n=
1 + N ( e )2

Apply the formula = 45

1+45 (0.05)2
=
40 respondents

Where;

N: implies total population size

n: sampled sizes of the respondents (45 respondents)

e: is the level of precision or sampling error= (0.05)

Thus, the total sample size was approximately 40.

3.7. Methods of Data Analysis and presentation

This is the further transformation of the gathered data to look for patterns and relationship
between and/or among data groups through statistical tools, namely descriptive analysis.

Descriptive statistics was used to summarize and analyze the primary data collected through
questionnaires to achieve the specific objectives of the study. Of descriptive statistics tool, the
most important method was, frequency, tabulation, percentage, chart and other important data
analyzing method had been used. Above and beyond,

23
 CHAPTER FOUR:
RESULT AND DISCUSSION
4.1. Introduction

Mainly this study was undertaken in the assessment of promotion and product distribution of
micro and small scale industries, specifically in wood work enterprises, at Hawassa city
administration.

In this research paper, the researcher tried to present, analysis and interprets data that collected
from sampled respondents by using structured questionnaire and also used published and
unpublished documents.

Generally, there are 45 enterprisers in the study area, among these 40 were taken as a sample
respondent those participated and motivated to fill the questionnaire in order to successes with
the finding. To this end, the collected data were analyzed in the sequence comportment shown
below

4.2. Demographic characteristics

4.3. Table 4.1 General characteristics of respondent.

Variables Category N %

Sex Male 29 72.5

Female 11 27.5
Total 40 100
Educational status Illiterate - -
Primary school 26 65
Secondary school 10 25
Completed 3 7.5
Diploma - -
Degree 1 2.5
Total 40 100
Source: Survey result (2016)

24
As it can be seen from the above table 4.1 from the total respondent 72.5% were male and 27.5%
were female. This indicates that the majority of wood work owner (manufacturer) in the city
were male. What can be said from this data is that the female should be encouraged to take part
in wood work sectors by government since the sector contributes to development of economy as
well as changes individual lives.

As far as concerned with educational background of respondent, as the same table shows that,
65% were only primary schooling through their whole life from all respondent, and 25% of the
respondents were secondary schooling and 7.5% of the respondents were completed and the
remaining 2.5% was graduated from higher institution with degree.

Based on this result, it can be concluded that majority of the owners of wood work enterprises’
educational level were limited to primary school. But only few numbers of them attended high
school and under graduate level of education in the study year.

Table 4.2 Martial and age wise distribution of respondent

Variables Category N %
Marital status Married 32 80
Unmarried 8 20
Total 40 100
Below 20 - -
Age 20-25 12 30
26-30 18 45
31-35 6 15
26-40 3 7.5
Above 40 1 2.5
Total 40 100
Source: Survey result (2016)

In view of the table 4.2 explicitly shows that the marital status and age wise distribution of the
respondents. As undoubtedly revealed on table above, 80% of the sampled population was

25
married and the remaining 20% were unmarried. From this, one can realize that majority of the
enterprise owners were married which is important in running their business with stability and
helping each other with their family.

With regarding age of respondents, the above table figure out that, 30% of the respondents are on
average between age of 20-25, 45% of them are between 26-30, 15% of them are age between
31-35, from age of 36-40 are 7.5% as well as 2.5% are at the age of 40 and above. This indicates
that almost they were in the age of productive stage, which is important for the country
development, because each and every respondent that engaged in job can get their own income
daily.

Table 4.3. The level of advertising

Variables Category N %

Do you use advertising to your product? A. Yes 8 20

B. No 32 80

Total 40 100

If you say yes, question No.1, what kind of News paper - -

advertising you use?
TV - -

Local radio 12 30

National radio 2 5

Shelf exposure 26 65
(traditional system)

Total 40 100

Source: Survey result (2016)

The above table 4.3 shows that; whether they used different techniques of advertising to view
their product quality, durability, satisfaction and others to the society.

As they responded that, 20% of the respondent did deal with advertising, while 80% of the
general respondents did not deal with advertising practice of promotion.

26
From this what can be determined is, that the society were not still now well exposed to
advertising message effectively because the manufactures were on infant stage to use
promotional mix in order to distribute the product of wood work to their society. This indicates
that they should be recommended to use different techniques of promotion, likely advertising is
important for their business activity to up hold their expansion and development.

Item 2, of the table shows that the respondents were asked to identify the kinds of advertising
that they used. The responses of the sample to population who replied yes is, very low as
compared to the respondents who said no.

However, there is low respondent to use different kind of advertising technique that rose above,
accordingly 30% of them were used local radio, 5% of the respondents are used national radio,
and 65% of the general respondents were practicing traditional system, so called “shelf
exposure”. These can be shown in form of frequency in the following chart.

Frequency of advertising level:

30%

A. Shelf Exposure
B. National radio
C. Local radio
5% 65%

Source: survey result (2016)

From this frequency chart, one can deduce that, the most of them are used shelf-exposure rather
than other advertising method. It accounts for 65% of the respondent. So it is recommended to
use other types of advertising like news paper, TV, magazines and public relations in order to be
on modern way of sharing advertising message to their community or potential customer as well
as new comer.

27
Table 4.4 the reasons, why customer come to their enterprise.

Variable Category N %

Do you know the reason why the Yes 34 85

customer comes to your enterprise?
No 6 15

Total 40 100

If you say yes, for the Q1, what are the Because of the product 20 50
reasons? quality

Because of good 8 20
customer relation

Because of lower price of 6 15

the product

Because of discount and 6 15

coupon

Total 40 100

Source: Survey result (2016)

As it can be observed from table 4.4 the above, item one points out the reason why the customers
come to their enterprise. This is used to assess the awareness of the owners of the enterprise on
the customers contact with them. So that as per their response 85% of them know the reason why
the customer come to their enterprise, where as 15% of the respondent replies that they do not
know or awarded of the reason why customer preference of their enterprise.

From this, one can conclude that majority of the sample population or respondent awarded
toward the reason why the customer comes to purchase the product of wood work from each of
their enterprises.

Item 2, on the same table above indicates that the respondent response replied yes, for the
question. Hence, 50% of the owners said yes, that the customer come to our enterprise because

28
of the quality of product compared to the others. Whereas, 20% of the respondents are answered
as the customer visit or come to them due to good customer relationship or good acceptances of
the people and 15% of them believed that the customer come to their organization because of
setting price to each product, compared to the competitors, while the remaining 15% are
understood that the customer come to their enterprise because of certain gifts so called coupons
and discount as the promise to be kept on the contract of purchase and sale.

4.5 The major problems that associated with personal selling operation.

Variable Category N (%)

What are the common Disagreement on 12 30

problems that you can see price
whom you sell your
Inability to identify 8 20
product?
customers from
new comer

No existence of 15 37.5
alternative product
in the seller stock

If others 5 12.5

Total 40 100

Source: Survey result (2016)

Based on the above table, it can be seen that, the respondents of 30% are said that, the main
problems they seen on the sale was price.

The price is great problem to overcome in agreement among the buyer and seller. On other hand
20% of the general respondents were argued that in inability to identify the existing customer
and new comer because of numerous customers can be received or visited to the firm daily. The
last 37.5% of the respondents said that non existence to alternative product in their stock was the
main problem during the sale. Whereas, the remaining 12.5% mention other problems, such as
lack of permanent suppliers of raw material and aggressive action of competitors and the like.

29
From the table above, the researcher concludes that, the great problem that sales people are
facing was non existence of alternative product in the seller stock for long time. The second
accounted major problem was disagreement on price of the product, because customers want to
get high quality product with lower price and on which it can be difficult to make agreement
between seller and buyer easily.

4.6 Different techniques of sales promotion

Variable Category N (%)

What are the common Yes 12 30

problems that you can see
whom you sell your No 28 70

product?
total 40 100

Source: Survey result (2016)

According to the data presented in table 4.6, it can be seen, that, the respondents of 30% said
that, the main technique that seen as techniques to accelerate their purchase is by using any other
technique; for example, broker and other indirect sale of the product.

As they have tried to mention, some technique of sales promotions is: -

 Giving free products to the customer

 Points of sales display

 Providing price discount to the customer.

 Changing the product if they are defected in there

 Providing good relation with customer.

The remaining 70% of the respondents said that, they have not used any other techniques of sales
promotion to accelerate their selling.

This indicates that, the majority of the owners of wood work enterprise in OFA woreda have no
knowledge how to attract the customer and staying them for the long period and to great loyalty
customer using sales promotion techniques.

30
Table 4.7 Comparison of promotion mix elements

Variable Category N (%)

Which promotion mix Advertising 9 22.5

elements are the most used
Promotion of sale 11 27.5
to distribute your product
to the customer personal sale 18 45

Publicity 2 5

Others _ _

Total 40 100

Source: Survey result (2016)

As it can be observed from table 4.7, 22.5% of the respondents are said that they used to
advertising to sale their wood work products to the customer, where as 27.5% of the owner of the
enterprise argued that as they using sales promotion to facilitate their selling product to the
customer and lastly, 45% of the manufacturer were used personal selling to provide aggressive
selling and the remaining 5% till now practicing publicity.

From this investigation, the researcher concluded that, the majority of them were using personal
selling to accelerate sale, even though, they have no knowledge about promotion mixing
elements to be compared to personal selling mostly used. Since personal selling is explained as
face to face marketing gained from many advantage. This means customer and seller are directly
reacting with each other, rather than TV, mass media, magazines and other promotion mix
elements.

31
Table 4.8 Existence of competition on the wood work sector

Variable Category N (%)

Do you have any Yes 32 80

competitors?
No 8 20

Total 40 100

Source: Survey result (2016)

Figure 4.8 indicate that, it observed from above table, it can be seen that, 80% of the respondents
said that our enterprise has competitors and the remaining 20% of the respondent responded that
they have no any competitors those who can compete with them on the same product.

From this investigation that the researcher concluded that, most of the enterprises have
aggressive competition that can computes them by price setting, product design, by providing the
same advertising message to attract the customer and by using different sales promotion mix
elements or variable techniques to monopolize the market share. This idea also contradicts with
the real marketing operation. In reality, any enterprise never lacks competitors. Here the response
of the respondents shows that, the owners of the sectors in Hawassa city micro and small scale
enterprises have no more knowledge about market competition, because they are still now
lagging behind modern promotion and product distribution method.

32
Table 4.9 Duties of sales man relation with customer

Variable Category N (%)

Which one of the following Finding new 16 40

duties you choice for your customer
operation

Retaining the 20 50
current or existing
customer

Both 4 10

Total 40 100

Source: Survey result (2016)

As it observed from above table 4.9, 40% of the respondent said that finding new customer
should be the main duties of sales man. The second 50% of the response indicates that, it is better
to retain the existing customers for long periods of time rather than finding new customer and
this idea is also advisable in the real marketing of world because, it is very costly and requires
sales people high effort to gain new customer but it is simple to staying with existing customer
for long period of time by satisfying their need and new customer attraction is high cost to sales
man than staying existing customer.

Table 4.10: Methods used to facilitate customer decision to buy product

33
Variable Category N (%)

Do you use any methods to Yes 27 67.5

facilitate your customer
No 13 32.5
decision to buy a product?
Total 40 100

Source: Survey result (2016)

From the above table, it can be seen that, 67.5% of the respondent responded that, they are using
different methods to facilitate the buyers’ decision. As they have tried to mention, some of the
methods are: -

 Telling, buyers that supply of products fashion or new design and high quality.

 Telling, buyers that, price of the product will fluctuate or increase/decrease/ time to time
and awareness to the buyer that product has very small exists after short time period;
therefore the customer may not find it easily and etc.

The remaining 32.5% of the respondents argued that, they have no any method to be used in
order to facilitate purchasing decision of the customer.

Table 4.11 Distribution channel of the firm

34
Variable Category Frequency (%) percentage

Do you use distributing yes 25 62.5

channel?
No 15 37.5

Total 40 100

If your answer, yes for Q.1, Direct 32

which channel is preferable to
your enterprise?

A. Direct Indirect 8 20

B. Indirect Total 40 100

Source: Survey result (2016)

As it can be observed from table 4.11, above, it reflects that, the informants or sample
populations were asked if the use of distribution channel for their enterprises. From this 62.5% of
them replied that, they used distribution channel in their prior existence, where as remaining
8037.5% replied that, they did not have used distribution channel in case of item 1. From this one
can conclude that, majority of the sample using the distribution channel either it might be direct
or indirect channel distribution regarding item 2, of the same table, shows that, the respondent
who replied yes were asked to indicate their mode of distribution channel for their product, based
on this, 80% of the respondent were answered that they have used direct distribution channel,
while the remaining 20% were dialed with indirect channel.

From this, it can be inquired that larger number of the respondent uses direct distributional
channel, which can be dominant techniques of distribution channel in study area and it has no
need of intermediaries to process marketing.

So the researcher recommended that, they have to use both methods to be more effective as well
as profitable, where depending only one distribution channel bears inefficiency on some situation
like distance.

Location of the customer is physically determined to ship the product, when the method is only
direct and when the customer can be obtained on online base or other case that not need making
face to face or physical destination the method is only indirect distribution channel.

35
 Table 4.12 Problem related to infrastructure.

Variable Category N (%)

Is there any Yes 39 97.5

infrastructure problem
affect your business
activity? No 1 2.5

Total 40 100

Source: survey result (2016)

Table 4.12 indicates us whether or not the infrastructural problem exists in the Hawassa city
wood manufacturer to activate their business activity properly. As the respondent responded,
97.5% of them have been faced to the mentioned problem in the city and remaining 2.5% of the
respondent did not have faced such problem. From this finding what can be deduced that their
infrastructural problem for the firm/wood work sector.

So that the concerned body like the government authority should give priority or the basis for the
improvement of the road constriction, by reducing unemployment rate (opening employment
opportunity) and generation of income for individual and tax for government.

Hence, the problem should be considered for solution due to the existence of such problem, the
sample of population or respondents, who replied yes, were asked to state the related problem in
item No.2 was stated as the following.

 Difficulty in distributing the product.

 Costly transportation

36
  Lack of enough vehicle that can serve the public

 Poorly constructed road and etc.

So that, all these should be areas that need greater attention for the one who intends to improve
infrastructural problem in Hawassa to connect inside junction of the city.

37
 Chapter Five:
Summary, Conclusion and Recommendation
5.1 Summary

Generally, promotion and product distribution are the elements of marketing mix that used to
provide aggressive selling and secured attraction of customer. Therefore, the basic objectives of
this research was to assess the promotion and product distribution under micro and small scale
enterprise specially in wood work sector, case study in Hawassa city. So to realize the objectives
to achieve these general and specific objectives of the research, and the related literature was also
reviewed on the important topics that are related with promotion and product distribution.

In general, the researcher tried to summarize interpreted data as the following:

As it has been seen from the table 4.1, from the total respondent, 72.5% were male and
remaining 27.5% of the respondent were female.

 As far as educational background is concerned, 65% of the respondents were at primary

level from over all.

 Concerning the age wise distribution of the respondent indicates that all most all of them
were at productive stage.

 As it observed from the table 4.3, 80% of the respondents were unable to deal with
advertising practice.

 According to item2, of the table 4.3, 65.5 of the total respondent were used traditional
system known as shelf exposure to promote their product while remaining 30% of them
using local radio. And remaining 5% were deal with national radio.

 As it observed from table 4.4, 85% of the respondents were known that why the customer
preferred their firm especially while remaining 15% were unable to know the reasons.

 As the 50% of the respondent answered that, majority of the customer coming due to the
quality of product in the firms and due to good relationship with the customer.

38
 As it investigated from table 4.5, that 30% of the respondents have been challenging with
price on the sale; because price is a greater problem to overcome in decision or
agreement.

 As the respondent have been able to mention some additional techniques that used or to
accelerate their selling by using broker and other indirect selling of the product such as,

 Giving free product to their customer

 Providing price discount on purchase

 Having coupon on purchase

 Providing good relation with the customers

 That of 80% of the respondent answered that finding of new customer should be the main
duties of the sales man, while remaining said that, retaining the existing customer as
better.

 And 62.5%of the respondent replied that as they have been using distribution channels,
both direct and indirect.

 The larger number of respondent was used direct distributional channels.

 As the respondent responded that, 97.5% of the respondents have been faced
infrastructural problem in the study area.

39
 5.2 Conclusion

As the finding from the response of the informant (sample population) indicates, majority of the
wood work sector did not used advertising for their product.
As data indicates that the common problem they faced during personal selling was disagreement
on the price of the product next to non existence of alternative product in their stock because the
customer wants a quality product and service at lower prices on attracting the customers.

As it tried to interpret, that 37.5% of the respondents replied that they hadn’t used distribution
channels due to lack of knowledge about it.

In the study area, as the respondent mentioned, there were other related problems such as,
difficulty in distributing the product, costly transport and lack of vehicle to use as a means of
transportation.

As it investigated from the table 4.9, 32.5% of the respondent argued that they have no any
additional method to be used in order to facilitate purchasing decision of the customer.

The majority of enterprisers have been facing aggressive competition, which computes them by
price setting, similar product design and providing the same advertising message.

The owners wood work sector in the city has no more knowledge about the market competition.
Because they had till now, lagging behind modern promotional and product distribution system.

That the majority of the owners of wood work in the city has no knowledge to attract the
customer and to stay out them for long period of time through effective promotional mix.

In addition to this, that wood work enterprise of the city did not use any technique to accelerate
the purchase/buying/decision of the customer and the most known techniques that used in study
was personal selling to means that direct selling by face to face contact.
According to data, they were highly influenced with the competitors’ action, because they have
no capacity to innovate any other challenging technology, design of product and working capital
to their competitors in order to monopolize the market. Even though, they did not highly used
advertising the enterpriser used both direct and indirect distribution channel. Among these
distribution channels, wood work of the city used direct channel dominantly. The other problem
that replied on the study was infrastructure in which general small scale enterprise specially
wood work sector was highly affected because during the delivery of manufactured product and

40
to supply raw material for their production process it can be major challenge in the study area.
This can be resulted in costly transportation and difficulty in their overall business activity.

Finally, that the respondents of the study area or the owner of wood work sector of Hawassa city
were recommended to the questionnaire prepared regarding their business activity that by
researcher as they interested with the questionnaire. Because, as they indicated that they learned
and awarded so much with the study and they promised to try all the modern promotion and
product distribution method by ignoring traditional marketing method as much as possible
gradually.

41
5.3. Recommendation

According to the study that under taken on wood work enterprise in case of Hawassa city, the
researcher would try to recommend the respondent or the owner of the sector in order to have
wide knowledge and awareness about promotion and product distribution to their potential
customer and new comer.

As it tried to explain in above what to be recommended is that owner of wood work sector in
study area would be forwarded to the following recommendation.

 Those who use only or single promotional mix, for example local radio or shelf exposure
should use all or other additional method like persona selling, TV, magazines, news paper
and other promotional mix to cover the wider market and to attract more customer.

 On personal selling process of the product the enterpriser should negotiate with their
customer peacefully so as to create loyalty and favorable condition for their expansion
and operation.

 The enterpriser should provide a quality product and service for the customer in order to
earn economic profit on their operation.

 They also recommended that to use some techniques to accelerate the buying decision of
the customer like sales promotion widely, giving coupon and discounting the price to
attract the buying condition of purchaser.

 The other thing that recommended by researcher was that enterpriser should use both
retaining the existing customer and finding new customer in order to increase their
market share with potential customer.

 The owner should get training in their own vocation accordingly.

 As it determined in the study area, the majority of respondent must use both direct and
indirect distributional channels in order to increase their marketing share. The owners of
firms must create unique advertising message and persuade them through mass media in
correct time.

42
They must be creative entrepreneurs by innovating unique design of wood product and should be
based on technology driven machine in order to win the aggressive competition in the market
share or place of the market.

Finally, the government should provide support them for their development as they are the basis
for once country development by providing loan, and improving infrastructural problem in the
study area.

43
REFERENCES
 AlazarAhamed; 2006; Information flow; 11th Ed; page 158-9.
 Blood and Kurtz; 2006; Marketing tool; page 556.
 FelekeAbebe; 1997’wood work business plan; page 321
 Luter; Business market; Http//2u.net.
 James A.(July –August 2012);Rethinking Distribution; page 112-20.
 Mar; 2001; Marketing channel; page1-3.
 Philip Kotler; 2010; International Marketing; 8th Ed; page 270.
 PilipKotler; 2006; Marketing Principle; and Information flow; 11th Ed; page (536).
 (www.ifad.org)

44
 APPENDICES

APPENDIX I

HAWASSA UNIVERSTY

COLLEG OF BUSLNESS AND ECONOMICS

DEPARTMENT OF MARKRTING MANAGEMENT

Questionnaire filled by Hawassa city head office of micro and small scale industries. This
questionnaire is prepared and can be distributed in order to gather information on the promotion
and product distribution of micro and small scale enterprise from head of industries of city.

Dear Respondent

I kindly request you to answer the following question that are intended to identify to what types
of promotion mix and product distribution system are available and your crucial role over all
wood work sector to use it in the city.

The questionnaire consists of both open and close ended question. For open ended
question/items/ you are expected to give your response by writing what you think in your mind
according to each question on the space provided under each question, whereas, for close ended
items, you are expected to mark( ) or (X )in the provided space. And circle the letter in choose
part.

N.B. Information given will be keep confidential and no need for writing your name. Thank you
for your cooperation

I. Demographic data

1. Name of institution --------------------------------

2. Current Positions --------------------------------------------

3. Educational level

A. Certificate  B. Diploma C. Degree D. other

45
4. Years of experiences or length of working experience

A. 1-5  B. 6- 10 C. 11-15 D. 16 and above 

5. Sex of respondent; A. male  B. female 

6. Age of respondents: A, 20- 25 B, 26-30 C, 31-40 D, above 40

II. Business or organizational data

7. Do you have any role for the encouragement of wood work sector in the city as a gov’t body?

A, yes B, no

8. If you say yes, in what means?

A, by providing rules and regulation regarding the sector 

B, providing opportunity to give different term loan from governmental and 

nongovernmental financial organization 

C, motivating them to manufacture quality product 

D, charge them lower cost for mass media advertising 

E, all is important mean if other 

F, if others, lists them in the provided space: 

________________________________________________________________________
____________________________________________________________

9. Do you think that, Wood work sector has any contribution for economic development of the
city?

A, Yes  B, NO 

10. If you answered, yes, in what sense?

A. IT creates self-employment 

B, IT changes the lives of individuals 

C, it is one source of government revenue in form of income tax. 

46
 If others, list them

________________________________________________________________________
____________________________________________________________

11. Is there available mass media for those who are engaged on wood work to advertise their
product and service to the target customer?

A, yes  B, No 

12. If you say yes for the Q2.5, which one is more available locally?

A, radio  B, newspaper  C, TV  D, magazines  E, all of them 

13. If no, why not? -----------------------------------------------------------------------------------

………………………………………………………………………………………………………
…………………………………………………………………………………..

14. Is there any training program to license them in their sector on the behalf of government?

A, Yes  B, NO 

15. If yes, when?

A, monthly  B, yearly  C. when seems important 

47
 APPENDIX II

HAWASSA UNIVERSITY

COLLEGE OF BUSINESS AND ECONOMICS DEPARTMENT OF MARKETING

MANAGEMENT

Questionnaire filled by manager of organization. This questionnaire is prepared and distributed

in order to gather information on the promotion and product distribution of wood work product
to your target customer and others.

Dear Respondent.

I kindly requested you to answer the following questions that are intended to identify what types
of promotion mix and product distribution system and availability as well as how it used; The
questionnaire is consist of both open and close ended question. For open ended questions you are
expected to give your responses on provided space in short and in presided words. Whereas for
close ended items, you are expected to give your answers by mark of () or (X) on the space.

N.B. Information given will be keep confidential and no need to write your name. Thank you for
your cooperation!

I. General characteristics of respondent.

1. Organization name-----------------------------------

2. Sex; Male  Female 

3. Educational level

A, Illiterate  B, primary  C. secondary  D, completed 

4. Marital status

A, married  B, unmarried  C divorced 

5. Age A, Below 2 0 B, 20-25 

48
 C, 26-30  D, 31-35  E, above 4 0

6. Do you use advertising to your product?

A, yes  B, No 

7. If you say yes, on the question no 6 what kind of advertising you use?

A, newspaper B, Local radio  E, Traditional system (shelf exposure) 

B, T V  D, national radio 

8. If other ---------------------------------------------------

9. Do you think the reasons why customers come to your enterprise?

A, yes B, No

10. If your answer is yes for Q.10, what is the reason behind?

A, Because of product quality 

B. << Of ground customer service relation 

C. << Of lower price of the product 

D. << Of discount and coupon, if any other reason 

E. All are possible 

11. What are the common problem that you see, when you selling your product?

A, disagreement on the price 

B, UN ability to identify customer from new comer 

12. What are the common problem you see, when you selling your product?

A, disagreement on the price

B. UN ability to identify customers from new comer.

C, Non existence of alternative product by buyer stock

E. If any other problem during your selling, please list them___________________

49
 ________________________________________________________________________
____________________________________________________________

13, Do you use any techniques to accelerate your sale using sale promotions

A. yes  B, NO  C. If yes, what are they______________________?

14. Have you ever asked your customer feedback about product satisfaction and repurchase
intention?

A, yes  B, NO 

15. Which promotion mix element is most used to distribute your product to the customer?

A, Advertising  B, promotion  C, personal sale  D, publicity 

16. Do you have any competitors? A, yes  B, NO 

17. Which one of the following duties your choice for your operation?

A, finding new customer 

B. Retaining the current customer or existing customer  C. Both 

18. Do you use any methods to facilitate your customer decision to buy product?

A, ye  B, no 

19. Do you use distribution channels? A. yes  B, NO 

20. IF your answer in question no 19 is yes, which channels is preferable to your enterprise?
A, Direct  B, Indirect  C. Both 

21. Do you have infrastructural related problems in your business activity?

A, Yes  B, NO 

22. If you answer is yes for question No.21, what types of problem do you faces? Please,
mention them

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