HARAMAYA UNIVERSITY

COLLEGE OF DISTANCE AND CONTINUOUS EDUCATION

DEPARTMENT OF MANAGEMENT

A PROPOSAL ONTHE ROLE OF ADVERTISMENT ON

SUCCESFUUL BUSSINESS IMPLMENTETIONCASE STUDY
OMEDAD PLC DIREDAWACITY.

PREPARD BY: ZAKO ABDELLA

ID No: HU/Mg/843/19

ADIVISOR: Mr. KABA GAROMA

A RESEARCHPROPOSALFORPARTIAL FULFILLMENT OF B.A

DEGREE INMANAGEMENT

MAY ,2023

HARAMAYA, ETHIOPIA
Contents
Contents............................................................................................................................................i
CHAPTER ONE..............................................................................................................................1
Introduction......................................................................................................................................1
1.1 Background of the study........................................................................................................1
1.3 Statement of he Problem........................................................................................................4
1.4 objective of the study.............................................................................................................3
1.4.1 General objective.............................................................................................................3
1.4.2 Specific objective............................................................................................................3
1.5 Significance of the study........................................................................................................3
1.6 Scope and delimitation of the study.......................................................................................5
CHAPTER TWO.............................................................................................................................6
2. REVIEW OF RELATED LITRATURE...................................................................................6
2.1 Definition...............................................................................................................................6
2.2 Importance of advertising......................................................................................................7
2.3 Objective of Advertisement...................................................................................................7
2.4 Major decision area of advertising.........................................................................................8
2.4.1 Setting an objectives........................................................................................................8
2.4.2 Creating the advertising messages..................................................................................9
2.4.3 Developing the media plan............................................................................................10
2.4.4 Evaluating advertising effectiveness.............................................................................10
2.8The communication process..................................................................................................13
2.9 Definition successful business.............................................................................................13
2.9.1 Key Business Success factor.........................................................................................14
2.9.2Technological utilization................................................................................................14
2.9.3 Financial Success Factor...............................................................................................14
2.9.4 Marketing Consistency..................................................................................................15
CHAPTER-THREE.......................................................................................................................15
3. METHODLOGY.......................................................................................................................15
3.1 Research design....................................................................................................................15
3.2 Target population.................................................................................................................16
3.3 Sampling technique..............................................................................................................16
3.4 Sample size..........................................................................................................................16
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 3.5 Data source...........................................................................................................................16
3.6 Data Collection Tools..........................................................................................................17
3.7 Data Analysis Techniques....................................................................................................17
4. Work Plan..................................................................................................................................17
5. Logistic......................................................................................................................................18
5.1 Cost of Stationary Materials and Others..................................................................................18

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 CHAPTER ONE
Introduction

1.1 Background of the study

Marketing value of product and service to customer, for the purpose of selling between society’s
material requirements & its economic patterns of response. Marketing satisfies these needs
andwants through exchange process & building long term relation marketing can be looked at as
an organization function and a set of process of creating delivering , communicating value to
customer and managing customer relationship in the way that also benefit of the organization&
its shareholders( Kotler, Philip Keller, marketing management 14th edition)
Communication in the group is not bounded times of needs and place where need are there &
other factors which is people are not any more appreciating marketing, only when it is mandatory
(EVANS& Berman (1990 marketing (7 th edition) they are not only aware of product image
prevail and change loyalty even they began learning to know what they have. when we come to
role & purpose of advertising according is a primary communication tools of the company with
their customers. It is directly related to manufacturing distribution marketing and sale of good
and service which make it an integral part of entire economic system. It has clear to be that such
business, i.e. advertising that affect only particular business but the country as a whole must be
effective one . For many years, marketer viewed advertising as the best way of communication
and the primary tool for brand building, persuading and reminding. However, it is true that
advertising has value incentive for the product. This incentive is usually the key element in
promotional program. Advertisement as one integral part of marketing mix is very important
tools. According to Evans and Berman (1990) advertisement is defined as “a form

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Communication used to inform persuade & remind people about organization advertising also
ensure that company product or service has positive value to customers.
Many factors contribute to make business successful. The factor include, among other things,
dedicating employees, good information system, excellent implementation & effective marketing
System. form these factor, marketing basically deals with customer especially to day modern
business give greater affection to customer because customer are regarded as pillars of any
business organization . Marketing also speed us the exchange process by carefully examine the
Need& want of customers. Developing product & service that satisfy these needs at offering a
certain price making in available through different challenges of distribution & developing a
program of communication of advertisement to create awareness &interest.
There are around five dimensions for successful business. These are profitability: is probably the
first thing people think about when measuring success, in addition to profitability, growing
customer base is assuring sign that you are effectively reaching your target market, customer
satisfaction is an indication that your company understands the needs of your customer and being
able to satisfy their needs is crucial to the strength of business. Employee satisfaction is another
key indicator of business success. Developing a work environment that rewards employees for
their hard work is imperative in attracting and retaining quality employees; since, they are an
indispensable part of your business, perhaps owner’s satisfaction is an important measure of
business success. (Alter, 2010)
In a particular advertisement for business success by giving particular emphasis.To achieve the
organization objective company y sales product and service in the market. To achieve this
objective advertisement, the one of the most important tool for providing the most persuasive
possible selling message to the right prospect at the lowest possible selling costs. So every
company should remember that the role of advertising is to create demand for their product
(kotler and Armstrong 7th edition).

1.3 Statement of the Problem

All companies need to communicate with the customer or other designed target group to make
customer aware of the product and service offered and also to detail the benefit of this product
and service relatively to other competitive offering. one way is communicating through
advertisement (George E. Belch & Michael A. Belch advertising & promotion 6th edition

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2003 .As the preliminary study the researcher conducted the company advertisements not good
because the following problem.
Those Problem are; problem of media selection, Problem of communication clarity and Lack of
advertisement professions, and there for the researcher would assess problem of advertisement
Firstly, the researcher would like to identify the factors in selecting advertising media and also
investigate its effect on sale and to identify problem in selecting appropriate message and the
culture of market during and after advertisement.

1.4 objective of the study

Since without any objective no strategy will be conducted, hence research began to conduct this
research project by having its own general of specific objective

1.4.1 General objective

To know the major role advertisement on successful business implementation case study on
omedad plc. DireDawa city.

1.4.2 Specific objective

• To assess the factor that affecting selecting media for advertisement
• To examine the sales effect of advertisement
• To assess the problem regarding to choosing appropriate media
• To assess the culture of target market
• To assess objective of advertisement in omedad
Reserch questions

1.5 Significance of the study

Effective advertisement strategy plays great role in success full business implementation. The
researcher believes that the research result has the following significance.
• The provide a starting ground other researcher who would seek to conduct in depth about
the role of advertising for successful business especially on omedad plc.
• To enable the concerned bodies give due to attention to the problem related to advertising
/ promotion / strategy
• The researcher to relate the theoretical part with practice in the real word and to get
• knowledge skill and experience of conducting research
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1.6 Scope and delimitation of the study
There are many organizations which engaged in the trade activities of domestic and foreign
manufactured product but, the researcher focus on Omedad Plc. All marketing mix element such
as product price, promotion decisions have their own role for a given profit marking company.
But to investigate all marketing mix elements, it is very broad and needs much time.
The study is conducted on the role of advertisement on the study will be conduct on the role of
advertisement on successful business implementation on the study of Omedad Plc. The target
population of this study will be the manager of the company, employees that are holding
marketing profession& also customer of the company.

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 CHAPTER TWO
2. REVIEW OF RELATED LITRATURE
2.1 Definition
To achieve organizational objective companies or manufacturer sales product and service in the
market. To increase their sale or profit, companies identify group of prospective customer called
target market and then develop marketing strategy in order to appeal to them. Often the most
important decision a company makes it how it should inform prospective customer about its
product and service and the company does this through advertising which is basically persuasive
communication that motivates people to buy whatever an organization offers. Advertising and
promotion are an integral part of or social and economic system. In our complex society
advertising which is basically persuasive communication that motivates people to buy whatever
an organization offers. Advertising and promotion are an integral part of our social and economic
systems. The ability of advertising and other audiences has given them a major role on
advertising and promotion to small retailers increasingly rely on advertising and other form of
promotion for information they can use in making purchase decision. (George E, Belch and
Michael A, Belch advertising and promotion (6th edition) Pp. 5-8)
Advertising is defined as any paid from of non-personal communication about an organization,
product, price, service or idea by an identified sponsor. The non-personal means that advertising
involves mass media (example TV, radio, magazines, newspaper) that can transmit a message to
large group of individuals, often at the same time. The non-personal nature of advertising means
that there is generally no opportunity for immediate feedback from the message recipient except
indirect response advertising. Therefore, before the message is sent the advertiser must consider
how tothe audience will interpret and response to it, advertising because of its pervasiveness. It is
also a very important promotional tool, particularly for companies who are a product and
services are at mass consumer markets. (Kotler (7th edition): 1993; pp8

According to George E. Belch and Michel A. Belch (6edi pp8). There are several reasons why
advertising is such an important part of many marketers’ promotional mix. First, can be Avery
cost effective method for communication with large audiences advertising can be used to create
brand image and symbolic appeals for a company or brand, a very create brand image and

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symbolic appeals for a company of brand, a very important capability for company’s selling
product and services that difficult to differentiate and functional attributes.

2.2 Importance of advertising

According to D.Amarchid and Avradharajan(1979) the importance of advertisement are the
followings;
• It makes the prospects aware of the product and brand
• It helps selling on mass scale both by persuading new buyer in a given region and by
extending the precaution to new regions without large sells, large scale production is
unthinkable.
• It help retailer to stock goods, which are better known and therefore have better sells
possibilities. The retailer time and efforts need not be spent in introducing the product to
the consumer since he or she already known the product through advertisement.
• It promoted competitions and therefore, many advantage of competition may follows.
• Advertising is particularly attractive to price competition, fluctuating price are more
likely to damage the firm market position than fluctuating advertising expenditure.
Similarly, a price reduction as a means of increase sells may evoke identical or similar
behavior on the part of the company competitors on this situations concentration on
advertising can offset the need for price change.
• It reduces the task loading of sales man. Since the audience is already familiar about the
advertised product, the sales man’s task becomes cases and his appeal effective for price
change.
• Finally, advertising in encourages the creative arts and the artists. In the process it even
develops an aesthetic sense in the society. Advertisement is presumed to done mostly
sellers, but if needs not be always. Sometimes competitions among buyers may become
for keener than among sellers. Buyers may then advertise to obtain scarce suppliers.

2.3 Objective of Advertisement

The starting point in advertising is plan. It starts with a clear definition of objectives. The
objective is usually what you want the target market to do as a result of listening or hearing
your advertising. According to merchant and varadharjan there are basically five objectives
of advertisement (merchant and varadharajan, 1979:84).
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 • It may be used for introducing a new product. Here the potential consumers have never
used such a product before and, as such the product itself needs an introduction.
• It induces the middle man to store and handle the product. A well-advertised product is
likely to create curiosity to by among the consumer and this possibility encourage the
middle man to store or handle the product enthusiastically.
• Under competitive condition, advertising help to build up hard image and brand loyalty.
Product differentiation and brand names are pre- requisite to advertising. Step by step
advertising help to create brand awareness, acceptance, insistence or loyalty. When
consumer have developed some brand loyalty it becomes difficult for middleman to offer
substitutes.
• It creates a favorable climate for maintaining of improving sales.
• Advertising may be necessary to publicize some change in the marketing strategy.
Whenever changes are introduced in the process, channels of distribution or in the
product buy way of any improvement in quality, size, weight; packaging etc. the change
must be informed by advertisement to the customers.

2.4 Major decision area of advertising

Philip Kotler (1991): 275) has identified major decision areas where a manager focuses on
problem in developing an advertising campaign these are:

2.4.1 Setting an objectives

The advertising objective is a specific communication task to be accomplished with specific
target audiences during a specific period of time. The process of setting objective is directly
influenced by a serous of other decision in particular. Those concerned with the nature of
marketing mix and the segmentation, targeting and the positioning strategies adopted for the
product brand or organization being advertising. Advertis.ing objectives thus needs to be set
against the background of a clear understanding of the organization corporate, marketing and
communication objectives, and typically reflect a serious of constraints, including financial
limitation as well as number of preconceived managerial notion and expectation of the
contribution, advertising might be able to make the overall marketing program.

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These objective must be stated clearly, precisely and in quantifiable terms, so that there will be
subsequently a company’s business for measuring and evaluating performances. (Philip Kotler
(1991):275).
Advertising objective can be classified by primary purposes: the aim of advertisement is whether
to;
• Informative advertisement
Advertising is one of its aspects is simply a means of transmitting information. Most of the time
advertisement focuses on giving information about features of a product, when the product is in
the introductory stage of the product life cycle. In addition to this its primary objective is to build
primary demand.
• Persuasive advertisement
This is highly demand when the product enters in to the maturity stage of the product life
cycle. The maturity stage of a product is time of profit for most companies and the target
phase in the product life cycle (Kotler (1991):279)
• reminder advertisement
This is highly demanded when the product enters in to the maturity stages of the product
life cycle. The maturity stage of product is a time of profit for most companies and the
largest phase in the product life cycle (Kotler (1991):279)

2.4.2 Creating the advertising messages

Any type of advertising message is expected to address the advertising. Meaning advertising
should first attract attention and then hold interest long enough to stimulate desire for the
product and finally advertising must move the prospect to some kind of action. The most
common approaches to attract attention is to present the product or service in unexpected
manner maintaining interest after the audience recognizes that the communication or
advertising is a challenge for advertiser. In order to attract the attention of the audiences
towards the product or services, advertiser should make advertising by interesting by using
humors, attractive spokesperson and the like and the desire for the product or service
spokesperson and the like and the desire for the product or service is established by
effectively presenting the benefit of the product.
According to Kotler (1991); 287) message creation involves three steps these are:

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 • Messages Generations
In principle the product message should be decided as part of developing the product. The
message of the product will express the major benefit offered by the product. In order to
generate the message, these people who are responsible for the creation of the messages may
use methods like talking to a customer, dealer or to a competitors.
• Message evaluations
Messages are usually evaluated or rated based on desirability, exclusiveness and
believability. The message must first say something desirable about the product and it should
also be exclusive about the product that does not apply to every brand in the product
category.
• Message execution
The execution of message depends not only on what is said but also on how it is said. At this
stop these creative people should decide about the style and format for the execution of the
message and to make sure that it does not over stop social and legal norms.

2.4.3 Developing the media plan

In selecting the media that are to be used to carry the advertising message, the advertising
planner is concerned with identifying those media that will maximizes the chance of the
target audience being exposed to the advertisement and that will do so in most cost effective
manner. A number of factor need to be taken into account in this process,, objective of
advertising, audience, coverage, requirement of the message, time and location of buying
decision media cost also the way in which a competitor spending pattern might influence the
way in which the campaign is perceived, but the most important issue is finding a balance
between efficiency and effectiveness. (Kotler 1991: 290).

2.4.4 Evaluating advertising effectiveness

The effectiveness of advertising can be measured from two different aspects. One is from its
communication effect and the other is from its sales effects. In measuring the communication
effects of advertising the most particular approach is to view advertising as a force that will
move people up a serious of steps from the stage of just becoming aware of the product in
question to the final stage of actual purchase.

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 In measuring the sales effect of advertising, advertiser face some difficulties. This is because
of sales is not only influenced by advertising. There are other factors, such as the product
quality, features, price, competitor’s action and the like. In developing effective steps (Kotler
and Armstrong 7th edition: 462-463)
• Identifying the target audience
The market must start with a clear target audience in mind. The audience may be potential
buyer or current users, those who make the buying decision on those who influence it.
• Determining the target sought
Once the target audience has been defined, the marketer must decide what response is sought.
The marketers need to know where the target audience new stand and to what stage it needs
to be moved. The stage includes awareness, knowledge, linking, performance and convection
on purchase.
3. Choosing a message
Having defined the desired response, the marketer turn to developing on effective message.
Ideally, the message should get attention, hold interest, a rose desire and obtain action in
putting the message together; the marketer must solve the problems.
4. Choosing media
The communication must select channel of communication. There are two broad type of
communication channel;
• Personal communication; in personal communication two or more people communicate
directly with each other. They might communicate face-to –face, over telephone, or even
though the mail. Personal communication channels are effective because they allow for
personal addressing and feedback. (Kotler and Armstrong (7th edition).
• Non- personal communication: non-personal communication channels are media that
carry messages without personal contact or feedback. they include
• Print media : newspapers , magazines and direct mail
• Broadcast media : radio, television
• Display media: billboards , signs, posters
Non-personal communication affects buyers directly. In addition, using mass media often buyers
indirectly by choosing more personal communications. Communication flow from television,
magazines and other mass media to opinion leaders and then from these opinions lead to others.
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5. Selecting the message source
The message impact on the audience also has affected by how the audience views the sender.
Messages delivered by highly credible source are more persuasive. There are three factors to
make the source credible:
• Expertise: is the degree to which the communicator has the authority to back the claim.
• Trust worthiness: is related to how objective and honest the source appears to be
• Likeability:- is how attractive has source is to the audience
• Collecting feed back
After sending the message, the communicator must reach its effect on the target audience,
this involves asking the target audience member whether they remember the messages , how
many times they saw it , what point they recall, how they felt about the message and their
past and present attitude towards the product and company. The communicator also would
like to measure behavior resulting from the message, how many people bought a product,
talked to other about it or visited the store (Kotler and Armstrong (7th edition): 463).
Television marketing

According to Kotler and Armstrong (1996) television marketing takes one of the majorforms.

• Direct response advertising: Direct marketing, air television sport often 60 to

120 seconds long, the persuasive describe the product and gives customer a full
free number of ordering. Such direct response advertising work well for
magazines, books small appliances.
• Home shopping channels another form of direct marketing are television
program or entire channels dedicated to selling goods and services.
Timing Advertising

Timing advertisement requires to major decisions. How often a particular advertisement is

shown and to advertise during the year. In the first decision a firm must balance audience
awareness and knowledge versus irritations. If it is place advertising a number of time in a
short period. Second a firm decides whether to advertise throughout the year or in
concentrated period. Distributed advertising maintains brand recognition, balance sales and
increase sales in non- peaked periods. (Even and Berman: 1990).
The effect of message length

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 Over the year many studies have shown longer commercial generally facilitate learning of
commercial content.
If the amount of information contained in the longer and shorter version of commercial are
about same. Longer advertising could be superior on short advertising’s for learning
measures for at least two reasons:
• A long commercial can report the same information more time within a single
presentation than a shorter commercial.
• A longer commercial , in comparison with a shorter one , give the views more time to
process the message and thus enhances viewer learning.
• The joint effects of length, message appears and repetition as viewers is exposed to the
same message repeatedly, both in length and message effects begin to be neutralized
(Saundra N. Singh and A., Cole).

2.8The communication process

Often marketing communication focuses on overcoming awareness, an image or a preference
gap in the target market. Today, there is a movement towards viewings communication as a
management of the customer buying process over time, during the pre-soling, consuming and
post consuming stages, because customers differ, communication program and need to be
developed for specific segments, niches and even individuals. So communication is intentional
and transactional that deliberate effort is made to bring about a desired response of a target
audience (Kotler 1999: 605-606).
The communication effectively marketers need to understand the fundamental element
underlying effective communication. These are sender, receiver, messages, media particularly
television, encoding, decoding, response feedback and noise. In practice, however, important
additional component come into play. The messages, the source, send must be encoded by the
receiver. The most crucial issue in communication is how meaning is achieved between two
parties, which are referred to as encoding.

2.9 Definition successful business

Primarily successful business is measured in terms of profitability but aside from profits that are
many other parameters that are used to successes are
• Return to share holder
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 • Market capitalization (share price)
• leadership/dominance in the industry in which it operate-dose it have dominant market
share and are its product recognized for their quality and value
• employee and customer satisfaction
• social responsibility –does it give back to community and society through none profit
activates
• standards of corporate governance is it honest in its reporting dose it comply with laws
and behave like responses corporate citizen

2.9.1 Key Business Success factor

Knowledge of key business success factor can help keep a company on growth track. Small
business owners and managers need a way of guiding their success ,but the bench mark for one
business .still critical success factor are common to most business that assist management in
measuring weather they are on track toward reaching profit and market share goals.
Employee attitudes drive growth and change attitude drive behavior that result in change .If
your employees do not take initiative ,make suggestions ,happily stay late when necessary and
strive to do their best work all the time ,your business success factor is motivated and committed
work force. Without that no amount of vision and planning will provide the framework for
growth and prosperity.

2.9.2Technological utilization
Avoid keeping up to date with technology at your own peril. The company that utilizes
technology to open up new market serves customer increase efficiency and new product and
service development has the better chance of besting competition. This success factor, along with
your motivated work force, can also help your weather business downturns.

2.9.3 Financial Success Factor

Most business owners will first measure success in terms of financial factors .But while a
business need to make a profit to survive , if the right technology and work force are not in
place ,profit will be more elusive. Profit ,though are a key measure of success along with positive
cash flow ,a manageable debt load and drive toward efficiency in holding down variable cost ,
among others ,financial success indicators may also be different from one industry to the next.

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2.9.4 Marketing Consistency
Many firms make the mistake of not carefully over seeing their market message. They have
different message going out of the same audience at the same time which contuses potential and
current prospects. Companies with a consistent message across all media plat form, such as
websites, paid media and other form of marketing collateral, are the more success marketers.
Marketing consistency is a success factor that any company should not overlook. (Lisa Nielsen is
marketing consultant for small business.

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 CHAPTER-THREE
3. METHODLOGY
3.1 Introduction

3.2 Research design

The methods used for this research is descriptive study in the role of advertisement on successful
business implementation on omedad plc.because the researcher will be to identify the role of
adversitisment in product and service announcement.
3.2.1 Research approaches

3.2 Target population

The target population of this study is the manager of the company, employees that are holding
marketing profession and also customer of the company. The total number of the target
population is 111 from this are 11 company employees and from 100 company customer the
researcher will be take 55 respondent of the sample size.And the below sample size
determination equation will be applied.
n=N/1+N (e) ^2 n=111 /1+111 (0.1) ^2=55

n=sample population

N= total population

e=Standard error

Source Bluman (2004) elementary statistical

3.3 Sampling technique

The sampling technique that the researcher will beuse, for the company employees issurvey
method because of the number of employees are 11 also to select for company customer is
convinces sampling technique because of using this technique is appropriate to save cost and
time.

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3.4 Sample size
The researcher will be take all of company employees and from 100 company customers the
researcher will be take 55 respondents of sample size.

3.5 Data source

The research will be used both primary and secondary sources of data to conduct the
research .such as questionnaire from customer and employee of the company. This is considering
as primary data. hence the rationale behind using questioner is to get deep information from
respondents .the researcher will be employee questionnaire to allow respondent free while they
provide information as well as to save time, on the other hand the researcher is visit Libra
related literature ,magazines and other sources of data these are consider as secondary data
source.

3.6 Data Collection Tools

There are many data gather tools that are useful for different research activates. Among this
instrument, the researcher is used questioner method to collect information from respondents.
The main reason behind using this tool is reliable for obtain information concerning the current
phenomena and to draw conclusion from the fact discovered and to make respondent free.

3.7 Data Analysis Techniques

The data gathered from the primary source will be analyzed by using table, frequency,
percentage and also interpret accordingly.

3. Reliability and validity

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4. Work Plan
This study is assumed to be accomplished from December 2021

No . Research activities April May June July August

1 Literature review X
2 Finalizing of proposal X X
3 Preparation of data collection instrument X
4 Distributing of questioner and collecting data X
5 Data entry and editing X
6 Data analysis and interpreting writing X
7 Writing essay, editing and submitting X

5. Logistic
5.1 Cost of Stationary Materials and Others
No. I t e m s Unit Quantity Unit price Total price
1 printing paper Ream 1 9 0 . 0 0 9 0
2 P e n Pieces 5 1 0 5 0 . 0 0
3 P e n c i l s Pieces 4 1 . 0 0 4 . 0 0
5 Note book Pieces 1 6 . 0 0 6 . 0 0
6 T o n e r Pieces 1 1300.00 1300.00
7 Flash disk Pieces 1(8GB) 1 8 0 . 0 1 8 0 . 0
8 E r a s e r Pieces 1 2 . 0 0 2 . 0 0
9 Transportation 1 8 0
1 0 Mobi l e car d 2 0 0
T o t a l 2008.00

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