Problems and Prospects of Marketing Assignment

Problems and Prospects of Marketing Assignment Words: 5993

International Journal of Business and Management September, 2009 Problems and Prospects of Marketing in Developing Economies: The Nigerian Experience Sunday O. E. Ewah & Alex B. Ekeng Department of Business Administration, Cross River University of Technology Ogoja Campus, Nigeria Tel: 80-5901-4300 Abstract The study takes a holistic view of some of the problems facing marketing in developing economies, such as low marketing education, preferences for foreign products and low patronage for non-essential products, high cost of production, inadequate infrastructures.

Others are few competitive opportunities, excessive government regulations and interference, political instability and civil unrest. Despite these problems, there are prospects for improvement in the nearest future based on the high growing population of most developing countries such as Nigeria large unexplored markets, attractive government incentives, growing affluence, to mention but a few. Therefore, it is concluded that developing countries such as Nigeria must put their arts together and overcome these few difficulties in order to exploit the marketing opportunities that are abound in their various domains.

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Keywords: Marketing, Developing economies, Problems, Prospects and developed economies 1. Introduction Marketing is an evolving and dynamic discipline that cuts across every spectrum of life. This explains why contemporary societies are now involved in one form of marketing activity or the other. The recent advancement in technology, has aided the free flow of goods and services as well as information amongst businesses and institutions, thereby turning the marketing environment into a global village (Ewah, 2007).

For the purpose of this article, marketing is defined as the performance of both business and non business activities for the satisfaction of humanity and society’s well being through judicious exchange processes. On a general perspective Kotler and Armstrong (2001) described marketing as a social and managerial process whereby individuals and groups obtain what they need and want through creating and exchanging products and value with others. Marketing is intricately linked with the economy of virtually all nations of the world.

It is the major factor, especially in developed economies responsible for the wealth of nations and the means of resuscitation during economic depression. For the developed countries as a whole, marketing experience has occurred as part of the evolutionary cultural process and also progress of these nations. Therefore practical problems are profoundly handled as they had arisen, with available resource means at the material time. But the developing countries are evidently operating in an entirely different context today.

Time has changed many things. Many circumstances in the business world now appear to be affected by standardized but chimerical factors, so that operating in these situations amount to operating under conditions of fait accompli. Countries like U. S. A, Japan, UK, Germany, France, Switzerland and Belgium have tremendously benefited from the performance of their marketing activities, which have really helped to boost their economies and contribute to the GNP.

But for most developing countries, (including Nigeria) the scenario and the business climate have not been too favourable, due to some attendant problems, such as poverty, fragmented markets, weak investment culture, prevalence of sub-standard local products, and the unwillingness of the majority of manufacturers and businesses to imbibe ethical marketing practices. These problems make it difficult for marketing to grow and prosper in developing economies.

Consequently the economy of most developing countries has not been better off because of the poor development of marketing as the bedrock for improving the economic prospect of contemporary economies. However, the economy of developing countries to a large extent dictates the direction and tempo of marketing activities in these countries. Though, they remain ready markets for the developed countries’ products, yet little or nothing is done to equate their height, if not completely but partially. 87 E-mail: [email protected] com Vol. 4, No. 9 International Journal of Business and Management Developing countries are characterized by high birth and death rates, poor sanitation and health practices, poor housing, a high percentage of the population in agriculture, low per capita income, high rate of illiteracy, weak and uneven feelings of national cohesion, low status rating for women, poor technology, limited communication and transport facilities, predominantly exports of raw materials.

Others include political instability, low savings and low net investment, military or feudal domination of state machinery, wealth in the hands of a very few, poor credit facilities, prevalence of non-monetized production, wealth sometimes exported to save in developed countries, civil unrests such as in the Niger Delta in Nigeria, and a host of others (Onah, 1979). Therefore countries with these kinds of peculiarities find it difficult to develop their marketing potentials.

There are equally conditions in an economy that favour and compel the full application of marketing activities to achieve the objective of growth and profit, while there are conditions which do not favour, or make nonsense of it (Alatise, 1979). Therefore the essence of this study is to critically look at those immediate problems that inhibit marketing and also visualize those factors that give hope for improvement in the near future.

The other sections of this paper include the following: theoretical conceptualization, importance of marketing to an economy, problems of marketing in developing economies, prospects of marketing in developing economies, conclusion and references. In seeking to ensure that every country designs and implements the best method of achieving socio-economic transformation, marketing can be a veritable vehicle (Aigbiremolen and Aigbiremolen, 2004). Marketing can ensure that the values and environmental opportunities of an economy are taken into consideration with a view to achieving an integrated approach to development (Kinsey, 1988).

The new marketing concept is a philosophy of business that states that the customer’s want satisfaction is the economic and social justification for the existence of any company or organization. Therefore all companies activities and effort must be devoted towards achieving this objective, while still making a profit. The changing social and economic conditions in the technologically advanced countries were fundamental in the development and evolution of the marketing concept. In spite of the fact that the concept evolved in the advance countries, the boundaries of marketing have extended remarkably to different frontiers.

Generally, marketing strives to serve and satisfy human insatiable needs and wants. Therefore, marketing can be considered as a strategic factor in the economic structure of any society (either developed or developing). This is because it directly allocates resources and has a great impact on other aspects of economic and social life. Thus the link between marketing and growth and development of contemporary economies is quite obvious (Ogunsanya, 1999). It is pertinent to note that the power of marketing is the same, but there exist qualitative and quantitative differences, depending on the particular situation at hand in a given country.

For instance if there is severe inflation in a country and if left uncheck it will reduce the standard of living of the people as a result of the fall in their purchasing power. This situation could have a multiplier effect, because sales may drop, workers may equally be laid off, etc. Globally, the major role of marketing is to ensure the continuance in growth of economies and individual’s standard of living (Baker, 1985). In developing economies marketing can act as a catalyst to institutionalize and propel economic growth and commercial life of the people.

It can also lag behind it, depending on whether marketing is practice and used actively, or whether it is allowed to evolve in a passive fashion (Onwuchuruba, 1996). During the oil boom period, the totality of the Nigeria economy expanded rapidly. However, one of the activities that lagged behind was marketing and its auxiliary branches. (This encompasses advertising and distributive trade). The trends and patterns of distributive trade in Nigeria reveal that, some indigenous firms embark on sales promotion, but had not been able to control the channels of distribution because of the chaos in the distributive structure.

This lacks of control manifest itself in multiple pricing of products. A report on the survey of management training needs in Nigeria carried out by the centre for management development in 1975 revealed that marketing was one of the problem areas where remedial management effort should be intensified. Poor marketing generally is reflected in poor quality of products, inadequacy and shortages of essential products that would have improved the standard of living of the people (CBN, 2000). This ugly scenario helped to compound the problems of marketing in Nigeria before now. 2.

Theoretical Conceptualization Alatise as enunciated in Onah (1979) suggested when marketing is most necessary in an economy to include: 1) Free Supply of Goods: When there are enough goods for consumers to buy. In other words when supply exceeds demand, warehouses for finished products as well as raw materials are near bursting at the seams. 2) Competitive Conditions: The consumer has many choices almost equally well-matched brands. These are equal satisfaction in an economy, such that they do not have cause to complain about scarcity of products as a result of non availability of competing brands. ) Competition at Distribution Points: There is no bottleneck in the distribution chain, and all brands are well represented at all relevant distribution outlets in the entire market. 188 International Journal of Business and Management September, 2009 4) High Margins for Marketing and Profits: There are prospects for generating profit and marketing potentials from every business venture. Therefore the more you sell the more profit you make. 5) Rapid Change in Technology and Consumer Taste: This keeps marketing managers/executives as well as production managers on their toes to be innovative and creative.

There is always the pressing need to sell off what you have today to avoid the obsolescence of tomorrow, and also try to beat your competitors in the game of being the first to offer the product of tomorrow, or at least a better product. 6) Frequent Purchases by Consumer: Marketing is most effective in mass consumable goods with quick and continual repeat purchases. It does not function well in an economy where the purchasing power of the people/consumers’ is not reasonably appreciable because their demand pattern will be downwardly skewed. ) Good Opportunities for Product Differentiation: This enables producers and sellers to woo and appeal to consumers and buyers in different ways that will give them satisfaction. 3. Importance of Marketing to an Economy Olakunori and Ejionueme (1997) identified the importance of marketing to any economy, which was later up dated by Olakunori (2002) to include the following; 1) Marketing Impact on People: There is no doubt all over the world that marketing activities are affected by people’s beliefs, attitudes, life styles, consumption pattern, purchase behaviour, income, etc.

Marketers help organizations and businesses to develop products, promote, price and distribute them. Consumers’ satisfaction or dissatisfaction with these products and activities will go a long way in determining their consumption behaviour. The importance of marketing can therefore be felt by the extent to which it affects the earlier mentioned demographic variables. 2) Improved Quality of Life: The activities performed by marketers and others in the economy of most countries, especially developed ones, help to identify and satisfy consumers’ needs.

This is because most consumers can always trace their knowledge and persuasion to patronize the products they feel much dependent on such marketing dominated stimuli as advertising, personal selling, E-commerce, sales promotion, etc, by presenting consumers with new, better and different brands and options of products which can meet their needs and helping them to easily obtain and safely enjoy these products. Marketers principally and functionally help to improve consumers’ awareness and quality of life (Stapleton, 1984). ) Improved Quality of Product: The importance of marketing is not being over emphased, because contemporary firms and multinationals have now seen the need to produce quality products. The business climate is quite different from what it used to be in the past. Competition has become more intense, such that only fast moving companies and multinationals are surviving the heat. This is because they have really capitalized on quality improvement in products to enhance the dynamic consumers’ quest for goods and services.

The advertising of own brands which began some years back is fast becoming vogue and compels manufacturers to improve on the quality of their products or be prepared to be extinct (Stapleton, 1984). 4) Contribute to Gross National Product: The strength of any economy is measured in terms of its ability to generate the required income within a given fiscal year or period. Thus such a country’s GNP must appreciate overtime. Marketing is the pivot and life wire of any economy, because all other activities of an organization generate costs and only marketing activities bring in the much needed revenues (Ani, 1993).

Available data showed that advanced countries accounted for 69. 1% of world output while developing countries accounted 30. 9%. Nigeria’s trade was estimated at U. S. $47,346 million representing 0. 8% of the emerging market share (CBN, 2005). Table 1 indicates that the annual average growth rate of real GDP for Nigeria appreciated from 1. 6% to 2. 4% during the period 1980 to 1990 and 1990 to 1999. However, this performance falls short of Malaysia, Ghana and Egypt.

Further breakdown of the sectoral growth shows that Nigeria still perform less than Egypt, Malaysia, and Kenya in Manufacturing; Malaysia and Ghana in agriculture; Malaysia, Egypt and Kenya in the services sub-sector. These are all indices that determine the performance of marketing activities in any economy. Therefore any economy especially, developing that pays lip service to marketing is doing that at its peril. Table 2 provides detailed analysis of the performance of world trade with particular attention to the marketing of goods and its contributing activities between 1990 and 2000 in the aforementioned regions.

Findings clearly show that North America had 15. 4% (1990) and 17. 1% (2000) in export while its figure for import was 18. 4% (1990) and 23. 2% (2000). Western Europe had 48. 7% (1990) and 39. 6% (2000), its share of import was 48. 7% (1990) and 39. 6% (2000). Asia’s figure for trade dealings in export was 21. 8% (1990) and 26. 7% (2000), while its import was 20. 3% (1990) and 22. 8% (2000). Latin America had 4. 3% (1990) and 5. 8% (2000) in export and its import involvement was 3. 7% (1990) and 6% (2000). Developing Africa had the least in export and import for both years under review with the following percentages, 3. % (1990), 2. 3% (2000) all in export and 2. 7% (1990) and 2. 1% (2000) all in import. From the 189 Vol. 4, No. 9 International Journal of Business and Management performance of these economies, it can be concluded that advanced industrialized countries of North America, Western Europe and emerging economies of Latin America and Asia have impacted more on the marketing horizon. This is noticed in the trading dealings of each region. But for developing Africa it has not been a fair tale based on it’ s decline between 1990 and 2000.

This result is not far from the problems limiting marketing in developing economies. 5) Acceleration of Economic Growth: Marketing encourages consumption by motivating people in a country to patronize goods produced to meet their identified needs. When people buy goods that are produced in a country, there is the tendency that producers will equally increase production to meet up with future demands. In so doing, marketing increases the tempo of economic activities, creates wealth for serious minded entrepreneurs and accelerates the economic growth of a nation.

Thus, the more marketing philosophy is institutionalized in a country, the more developed and wealthy the country becomes, all things being equal. 6) Economic Resuscitation and Business Turn- Around: The economy of most developing countries have suffered a lot, passing through one economic hardship to the next business upheaval, told and untold stories of business distress or economic recession to mention a few. Marketing is the most meaningful means for achieving economic resuscitation and business turn-around strategy when such occur.

By practically adopting the modern marketing philosophy (consumer satisfaction through integrative effort), fine-tuning its offerings to meet consumer’s changing taste or counter competition, developing new and better products and exploiting new markets at home or abroad, industries and organization can achieve economic resuscitation and a more viable open widows for business prosperity. The recent financial crisis in USA and spreading to other parts of the world calls for proactive marketing techniques to bail the situation. 7) Provide Job Opportunities: Marketing provides job opportunities to millions of people the world over.

This is mostly experienced in well industrialized countries and emerging markets. Most people in these economies are engaged in private endeavours as investors and entrepreneurs. Some of these marketing opportunities are abound in areas like, advertising, retailing, wholesaling, transportation, communication, public relations, services, manufacturing, agents and brokers, to mention a few. It is gratifying to note that the number of jobs being created by marketing has been increasing just as the development process of modern technology is a contributing factor.

In Nigeria most of the school leavers (graduates precisely) are self employed, in one area of marketing or the other. The idea of working for the government only is now a thing of the past, though the jobs are equally scanty to meet the needs of the teeming unemployed. 4. Problems of Marketing in Developing Economies There are series of constraints that hinder the performance of marketing in most developing countries. The experience of Nigeria and other Africa countries is worthy of note. These problems include the following; 1) Low Marketing Education: A well informed and educated people tend to be prosperous investors and consumers.

This is because they will imbibe the culture and tenets of marketing. But marketing education is still generally low in developing countries. Many policy makers and managers of large organizations still do not know what marketing is all about. Even when some people acquire higher degrees in the field of marketing and business administration, they come out doing the contrary, instead of practicing the true marketing concept or relationship marketing for the benefit of the society as a whole. In situations like that, marketing cannot contribute meaningfully to the development of these economies.

Nigeria is an example of one of those countries suffering this fate. Most of the people, though educated, yet often compromise ethical marketing practices for worst alternatives such as sharp practices, unwholesome behaviour and smuggling that contribute less to gross total earnings of any country. For example a report on the survey of management training needs in Nigeria carried out in 1975 revealed that marketing was one of the problem areas where remedial management development effort should be intensified (CBN, 2000). ) Preferences for Foreign Products: Because of the development process of most African countries and their inability to produce most goods (especially technologically sophisticated products), they tend to prefer buying from the more industrialized countries. This makes the development process of local industries and commercial life of the people more impoverished. Developing countries constitute 71% of the world’s population, but only contribute about 12% of the world’s industrial production that often boost marketing in these economies.

Why should this be the case, and who is to be blamed for the structural discrepancy and imbalance? What actions could these countries adopt to accelerate the pace of industrialization and development in order to boost the tempo of marketing (Mkpakan, 2004). It is generally felt that locally-made goods are only for the poor, uneducated, and those who are not fashionable, while the consumption of imported goods and services is taken as a status symbol for the elite and affluent in developing countries. Even when some countries products are of less quality when compared to similar local brands.

This situation makes the growth of marketing and satisfaction of consumers locally difficult (Olakunori, 2002). 3) Low Patronage for Non-essential Products and Services: The majority of the people in developing countries are poor, and their per capita income is below average. This makes it imperatively difficult for them to buy much of luxury 190 International Journal of Business and Management September, 2009 goods. Rather their purchases and expenditure are directed towards satisfying the basic needs for food, clothing, and accommodation.

Non essential goods and services receive low patronage. Therefore low patronage for certain category of goods do not present attractive marketing opportunities that will ginger investment overture. 4) High cost of production: Marketing has suffered dearly in most developing countries because virtually all production techniques are imported from the developed world. The cost of acquiring equipment and other inputs used for production locally to boost marketing is sometimes extremely exhaubitant for the poor developing countries to buy and finance.

To worsen matters, the bulk of African’s production is mainly in agricultural products that contribute less to GNP or Net National income of their various economies. This is because these products are sold at lesser prices in the world market. The income generated from them can only buy little from all that is needed to encourage domestic production, in order to enhance marketing. Where it is possible to import the equipment, the production techniques and skillful manpower requirement is sometimes too expensive to bear, hence the high cost of some local products when compared to the same foreign brands.

This reason strengthens consumer’s preference for imported products and results to low demand for locally made goods. This affects the marketing potentials of the home industries and equally has an adverse effect on macro- marketing of developing countries. 5) Inadequate Infrastructures: Most developing countries are very poor, such that some of them depend on aids from abroad. There are cases of debt accrual and debt burden hugging on some of the African countries that are yet to be paid.

It invariable becomes difficult for some of them to provide the necessary infrastructures that would engender and propel smooth marketing scenario. Ethiopia, Somalia, Rwanda and a few other third world countries rely on aids from abroad to revamp their economies. The present situation where Power Holdings or National Electricity Power Authority (NEPA) is fond of giving epileptic and erratic power supply has made it difficult for businesses to function in Nigeria. Coupled with the poor road network and transport facilities, poor communication, distressed banks, malfunctioning ports and trade zones, among others.

Apart from the deliberate embezzlement by some top government officials, the government is yet to provide these infrastructures, and this has made it difficult for marketing activities to be performed effectively and efficiently. Moreover, the inadequacy and poor state of these infrastructures contribute to high cost of doing business in developing countries. From table 3, it can be observed that amongst the six developing countries (Nigeria, Ghana, South Africa, Kenya, Egypt and Malaysia) described, Nigeria is the most starved in terms of availability of infrastructural facilities and usage.

The electricity consumption per capita is 85; telephone per 1000 persons is 4 and internet users (‘000) to 100 persons. South Africa tops the list in terms of provisions of these facilities. With such poor level of infrastructural facilities the cost of marketing is always too high in developing countries, especially in Nigeria. Foreign investors will also not be attracted to do business or invest in Nigeria and thus they will be more interested in countries where the state of low cost infrastructure generates competitive advantages.

The inability or unwillingness of some developing countries to provide these necessary infrastructural facilities that will facilitate the performance of marketing in these economies is in itself a major problem worthy of note. 6) Few Competitive Opportunities: Lucrative competitive businesses are not much in developing countries. What are commonly found within African continent are peasant farmers, petty traders and negligible number of investors that are not engaged in multimillion dollars businesses.

In Nigeria one can find competitive businesses mostly in the service industry, which contribute less than two percent of GDP (CBN, 2002). But in the manufacturing sector nothing can be said of it, because there is no competition. In most developed societies economic policies have long assumed that competition among businesses is the most efficient method of producing and marketing goods and services. Proponents of this philosophy contend that it results in maximum productivity and forces inefficient organizations and businesses to erminate their operations. It gives the consumer or buyer an opportunity to choose from several competing companies rather than buy from a monopolist, and stimulates creativity in seeking solutions to marketing problems especially in developing countries where such problems are more (CBN, 2000). But marketing in the true sense is usually at its best where and when there is real competition. Unfortunately, competition is at the lower ebb in developing countries, this might not be unconnected with the level of poverty and underdevelopment in the continent.

But developed countries like USA, UK, Japan and emerging economies in Asia are competing amongst themselves in the manufacturing and supply of different types of products to newly found markets in sub-Saharan Africa. This is because they have the technology and financial backing. 7) Over- Regulation of Business by Government: Another major problem that has be-deviled the performance of marketing especially in Nigeria has been the issue of government regulations and interferences in the activities of businesses and corporate firms.

For instance, the over regulation of the Nigeria economy especially between 1970-1985, including the enactment of the indigenization decree, which excludes foreign interest from certain investment activities as well as the existence of a complex bureaucratic requirements for direct and portfolio investment were among the major constraints that hindered the development of marketing climate and foreign investment inflow (Balogun, 2003). Sometimes in 2004 the then administration of Olusegun Obasanjo banned the importation of certain items into Nigeria, 191

Vol. 4, No. 9 International Journal of Business and Management but this is contrary to the tenets of free enterprises. Locally, state governors reserve special areas where businesses are not supposed to operate and if structures, housing corporate firms are erected there, they are bound to be demolished. In developing countries, it is usual to find governments promulgating laws to regulate the prices of consumables, fuel (as in the case of Nigeria), transport fares, exchange values of national currencies, accommodation etc.

Nigeria is one of those countries that have passed through one form of regulation or deregulation to another depending on the political class that is in power. Instead of allowing the market forces of demand and supply to operate and determine how much consumers are to pay for the consumption of the goods and services. The haste to get their economies developed and quickly catch up with advanced Nations often lead developing countries to over- regulate business activities and restrict the activities of free enterprise.

This makes marketing difficult, since decisions cannot be taken from a purely economic perspective. 8) Political Instability and Civil Unrest: Rapid economic growth and development of marketing techniques cannot be achieved or attained in an environment of political and social instability or political hostility. Political stability implies an orderly system for a positive change in governance and peaceful co- existence amongst the citizenry that, poses a great challenge to marketing. Therefore, marketing does not thrive where there is political instability and insecurity or civil disturbances.

The experience of most African countries like Liberia, Sudan, Rwanda, and Nigeria are typical examples of where the political climate and business environment had been in perpetual turbulence over the seat of power and who controls the resources (petroleum product) in the Niger Delta region. For Nigeria the issue in the Niger Delta gives cause to worry because most of the foreign investors and multi-nationals are thinking of relocating based on the continuous molestation and threat by militants, if nothing is done to salvage the situation. Table 4 shows the conflict rating of Nigeria, Ghana, South Africa, Kenya and Egypt.

Amongst the five countries Nigeria has the highest figures especially after 1998. The above Situation reinforces uncertainty, instability, and increases the risk of doing business in Nigeria. Thus investment overtures become difficult in such localities or geographical areas and this undermines the performance of marketing. 5. Prospects of Marketing in Developing Economies Despite the numerous problems confronting marketing in developing countries, there exists prospects and opportunities for future growth and development of marketing as the pivot of developing economies.

These prospects are explained as follows; 1) Growing Population: Before multinational companies establish their hold in any country they expect to have a ready market for their products and services. No business flourishes where people are not living or where it is not habitable by people. Developed countries with their small population and saturated domestic markets prefer marketing their products and services to emerging markets in developing countries. Nigeria being one of the most populous nations (about 120 million people) in Africa is a ready market for both domestic products and foreign brands.

This is because marketing does not operate in a vacuum but requires a large population of people with the willingness to do business and patronize businesses. Therefore the high and growing population of developing countries is an attractive incentive, as they represent large potential markets. 2) Absence of Competition and Large Unexplored Markets: By virtue of their large populations and underdevelopment, developing countries have large markets that are not yet served or are partially served.

Thus they are not as saturated as those of developed countries. Hence, there is hardly any form of intensive competition especially amongst serious manufacturers like “ANAMCO” a motor manufacturing assembly in Nigeria. The economies of these nations hold great opportunities for innovators, investors and marketers to enjoy booms in their markets with much challenge from competitors within and outside. Attractive Government Incentives: Trade policies in most developing countries are becoming quite favourable 3) to both local and foreign investors.

These incentives include profit tax holidays, reduced or even free customs and excise duties, liberalization of immigration and profit repatriation laws for foreign investors. There are also improvements in infrastructural facilities that will ginger the performance of marketing in these economies. According to Pearce (1998) liberalization encourages the adoption of policies that promote the greatest possible use of market forces and competition to coordinate both marketing and economic activities. ) Growing Affluence: Quite a large number of the consumers in developing countries are becoming affluent. This will enable them to have reasonable discretionary income and purchasing power. This means that a growing number of the consumers in many developing countries can now afford luxuries and other products they could not purchase in the time past. In Nigeria the business climate is expected to improve tremendously with the President Musa Yar Adua’s seven points agenda, the people will become more empowered and their purchasing power will be enhanced for both consumption and investment purposes.

The government has equally taken the issue of workers/staff remuneration seriously, such that salaries now come as at when due and the take home package of most developing countries these days is quite commendable when compared to what it was few years back. Available data from the Nigeria living Standard survey conducted in 2003/2004 indicated that the incidence of poverty exhibited a downward trend. It declined 192 International Journal of Business and Management September, 2009 from 70% in 2000 to 54. % in 2004 and it is expected to decline more in the years ahead (CBN, 2005). This of course presents brighter prospects for marketing. 5) Availability of Cheap Production Inputs: Most developing countries are endowed with abundant human and material resources that are yet untapped. For example, according to CBN (2000) Nigeria remains endowed with abundant natural resources, good weather conditions and a large population. These will be readily handy for companies and businesses to exploit.

Despite the high level of poverty and low exchange values of the national currencies of developing countries, labour and raw materials or inputs are often found to be cheap and it is envisaged that in the nearest future it will be cheaper because of better opportunities and more goods will be produced for consumption. The absence of serious competition also makes it easy to source these production inputs and reach different market segments. This is why most multinationals are more marketable and profitable in developing countries than their industrialized coutries. ) Rapid Economic Development: Quoting Olakunori (2002), the economies of developing nations are growing rapidly as a result of the efforts being made by their various governments and the developmental agencies of the United Nations towards this direction. This results to income re-distribution and increased purchasing power and discretionary income are also enhanced. Thus, it is expected that the demand for products to satisfy higher order needs will increase and the general atmosphere of business in the continent will become more conducive and all these mean well for marketing in sub-Saharan Africa and Nigeria in particular. . Conclusion Despite the numerous problems facing marketing in developing countries, there are good prospects for the future, hence marketing is the answer to the underdevelopment of developing countries. When adopted and practiced, marketing will help to develop appropriate technologies as developing nations provide for the needs of the people and enhance their standard of living, create job opportunities for the unemployed, wealth for entrepreneurs, a means towards affording education and enjoyment of leisure.

Therefore the government and individuals are encouraged to join hands and see to the development and appreciation of marketing in all the economies of developing countries. References Aigbiremolen, M. O. and Aigbiremolen, C. E. (2004). Marketing Banking Services in Nigeria. The CIBN Press Ltd Lagos, Nigeria. Alatise, S. O. (1979). in Onah, Marketing in Nigeria: Experience in a Developing Ani, O. E. (1993). Marketing: The Life Blood of Business and Index of Economic and Baker M. J. (1985). Marketing: An Introductory Text. Macmillan Publishers Ltd. London.

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International Journal of Business and Management APPENDIX 1 Table 1. Growth Rate of GDP for selected Countries (%) Country 1980 to 1990 Nigeria Ghana South Africa Kenya Egypt Malaysia Source: CBN, 2003 APPENDIX 2 Table 2. Regional Shares of World Merchandise Trade 1990 -2000 Region North America Western Europe Asia Latin America Africa 1990 Exports (%) 15. 4 48. 3 21. 8 4. 3 3. 1 2000 Exports (%) 17. 1 39. 5 26. 7 5. 8 2. 3 1990 Imports (%) 18. 4 48. 7 20. 3 3. 7 2. 7 1. 6 3. 0 1. 0 4. 2 5. 4 5. 3 GDP 1990 to 1999 2. 4 4. 3 1. 9 2. 2 4. 4 7. 3 Agriculture 1980 to 1990 3. 1. 0 2. 9 3. 3 -1. 1 3. 4 1990 to 1999 2. 9 3. 4 1. 0 1. 4 1. 1 0. 2 Manufacturing 1980 to 1990 0. 7 1. 1 4. 9 -0. 2 9. 3 1990 to 1999 2. 0 -0. 3 1. 1 2. 4 5. 3 9. 7 1980 to 1990 3. 7 2. 9 2. 4 4. 9 0. 7 4. 9 September, 2009 Services 1990 to 1999 2. 8 1. 9 2. 4 3. 5 5. 8 8. 0 2000 Imports (%) 23. 2 39. 6 22. 8 6. 0 2. 1 Source: (1) WTO International Trade Statistics 2001. (2) African Development Bank Report 2004. 195 Vol. 4, No. 9 APPENDIX 3 International Journal of Business and Management Table 3. Infrastructure of Nigeria and other Emerging Markets, 1999.

Infrastructure Country Nigeria Ghana South Africa Kenya Egypt Malaysia Electricity Consumption per Capita 85 289 3,832 129 861 2,554 Telephone per 1000 Persons 4 8 125 10 75 203 APPENDIX 4 Table 4. Conflict Rating of Five Countries in Sub-Saharan Africa. Conflicts Country Nigeria Ghana South Africa Kenya Egypt Source: CBN, 2003. 1998 21. 4 2. 4 29. 8 48. 5 0 2000 44. 0 3. 8 41. 4 0. 0 9. 2 2001 11. 3 0. 3 2. 2 2. 9 3. 4 Users (‘000) 100 20 1,820 35 200 1500 Classification Severely indebted Moderately indebted Less indebted Moderately indebted Les indebted Moderately indebted Source: World Bank 2001, and World Development Indicators, 2001. 196

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