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    CHAPTER-1INTRODUCTION

    1.1 Introduction to advertisement

    The word advertising is derived from the Latin words "Ad" and 'Verto' where admeans towards and verto means I turn. So the literal meaning of advertising is toturn people's interest to specific things. Advertising is any paid form of nonpersonal communication by an identified sponsor about an organization, product,service or ideas. Non-personal component means there is involvement of massmedia that can transmit message to the large group of individuals, often at thesame time and the paid aspect of this definition reflects the fact that the space ortime for the advertisement must be bought except in the public ServiceAnnouncement. The medias may be indoor medias (Newspaper, journals, Radios,TV, Films), outdoor medias((billboards, outdoor displays), direct media(Internet,direct mail, gifts), display media(point of purchase display, showroom

    exhibitions)

    1.2 Introduction to sales promotion

    Sales promotion consists of a diverse collection of incentive tools, mostly shortterm, designed to stimulate quicker and / or greater purchase of particularproducts/services by consumers or the trade. Sales Promotion is an importantmethod of promotion which supplements personal selling and advertising effects.According to American Marketing Association "Sales promotion includesmarketing activities, other than personal selling, advertising such as displays,shows and expositions, demonstrations and various non-recurring selling efforts

    not in the ordinary routine." Sales promotion includes free samples, premium onsales, sales and dealer incentives, contests, fair and exhibition public relationsactivities etc. Sales promotion are those activities, other than advertising andpersonal selling and stimulates market demand for products. The basic purpose isto stimulate on the spot buying by prospective customers through short termincentives. These incentives are essentially temporary and no-recurring in nature

    1.3 Introduction to Micro Net Cyber and Automation Home

    Micro Net Cyber and Automation Home (MNCAH) was established inJune 5, 2001 and it is situated in Hong Kong Bazaar, at Narayangarh, Chitwan. It

    not only providing effective mass communication but also sells computers partsand maintenance in cheap price. Every company, to survive in this cutting edgecompetitiveness, has to use the techniques that will attract more and morecustomers. Likely, Micro Net Cyber and Automation Home being no exception,uses advertising and sales promotion, the most common tools companies use todirect persuasive communication to target buyers and publics to maximize profit,maximize distribution and for the existence of organization properly.. Fordeveloping the program, Micro Net Cyber and Automation Home uses the five

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    Ms decision (i.e. mission, money, message , media and measurement).Realizingthe importance of advertisement and sales promotion Micro Net Cyber andAutomation Home includes the sales promotion tools for consumer promotion i.e.coupons, cash refund offer, price off, prize, warranties and demonstration. For theadvertisements it uses the local radios, newspaper and visual medias. Advertising

    and sales promotion is one of the essential elements for promoting the business.So, demand of advertising sales promotion is increasing day by day in the field ofcommercial and merchandising sector.

    Small businessman has to appreciate this technique to increase theirbusiness. If he may provide good products at the reasonable price with attractingpackage and effective advertisement, then it will be attract the large number ofcustomer. Otherwise the customers may be unknown about the product whichmay result in less profit. Therefore, effective advertising and sales promotionplays the significant role for establishing the relationship between producer andcustomers. Thus, advertisement can creates new clients and keep sound

    relationship between organizations and consumers. So advertisement is not onlyexpenditure but also companys property for maximize the income. Therefore,every small business as well as large business organization can use advertisingand sales promotion techniques to make reliable on time.

    1.4 Scope of study:

    Small business entrepreneurship has a different place and is regarded as theimportant organization of any country. So as a student of business or managementone should acquire the knowledge of these fields as much as possible. To fulfillthis important necessity we decided to conduct a research in one of the businessorganization and selected Micro Net Cyber and Automation Home beingimpressed by its operational as well as technical progress.The present scenario is heading towards globalization at unexpected rate. Its verytough to anticipate all the concern area for the study because we are restricted bycertain constraints i.e. lack of knowledge, enough resources, time and efforts. So,I have only considered the study on marketing aspects of Micro Net Cyber andAutomation Home instead of financial area. I have limited or specify the area tobe studies i.e. only Narayangadh. The main intention or scope of study is toexpose the criteria of promoting sales and advertisement of MNCAH.

    1.5 Purpose of study

    First of all, I am introducing myself as a student of BBA. This study playsthe vital role in observing the real scenario of business world. To make myselfvery talent and acquire the relevant information about the various factors, thisstudy will become the means.

    In our society, there are living different classes of people who use different brandof product on the basis of durability, quality, price and reliability. So, it is

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    necessary to find out the cause. From this study, the producer, manufacturer,whole seller and retailer may take some benefit to run the smooth functioning forlong-lasting. Thus, it indicates that it is not one time activities.

    Similarly, the different advertisement agencies can take the benefit form this study while

    to inform the people about the different types of products. As a result, they are easilymarketed in the market and also inform show much market shares are covered it.

    Finally, consumer can take the decision to buy the product in different brands very easily.They are never confused about the product and their service while using it. Thus, theremay be brand preference and also loyalty on the good products and services.

    There are certain objectives behind to do any kinds of work. These are help to theorganization for achieving its goals. So, it is necessary to get the benefit. The mainpurposes of the study are given below:

    1. To evaluate and analyze the advertising and sales promotion of MNCAH.

    2. To develop the practical knowledge and skill in process of collecting, analyzing,and interpretation of data.

    3. To gain the knowledge about the business activities for businessman and student.

    4. To find out the causes of success in the organization.

    5. To know whether sales is affected when alteration in advertising and promotion isdone.

    6. To fulfill the partial requirement sectorial area for degree of Bachelor of BusinessAdministration 4th semester in the subject of fieldwork writing

    1.6 Statement of Problem

    The problem towards which our study is directed is influence of the advertising and salespromotion on the sales and the market coverage of MNCAH . The study has concentratedon giving answer to the questions of the following problems.

    1. What is the purpose of MNCAH established?

    2. What kind of tools and techniques are used for advertisement and salespromotion?

    3. How is the sales affected due to change in the form and amount of advertisementand promotion?

    4. Whether the techniques have been effective to cover the larger market or not?

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    5. What are the product and services offered by the firm and the techniques used fortheir effective selling?

    So due to the change in the competition in local level and the survival of the fittest theoryworking , has compelled the firms to use different techniques and tools like advertising

    and sales promotion so that they will be accepted in any tough market and runsuccessfully.

    1.7 Limitation of the study

    Limitations are the constraints that hinders from achieving the goal to the fullestpotential. To analyze any subject matter there should be sufficient means and time so

    source and time inefficiencies are important limitation of the study. The limitation underwhich the research is prepared is as fallows.

    I. The information are based on the information provided by the office members sothe figures may be actual or not.

    II. It lacks the complete and reliable information about the schemes of promotion andadvertisement due to privacy limitation.

    III. The figures presented are approximate as per provided by him due to the financialprivacy reasons.

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    CHAPTER-2LITERATURE REVIEW

    Literature review is a process in which a synopsis of available literature on the

    current subject is presented in a systematic manner. Advertisement and sales promotion

    are basically the two important features used to promote the sale of the product.

    2.1) Advertising

    Advertising is an art used to familiarize public with the product by informing of

    its description uses, its superiority over other brands, sources of its availability and price

    etc. advertising is not only merely a propaganda but it is a paid form of communication.

    The advertisers have to pay for the space and time used to communicate the message to

    his customers. A basic responsibility of a marketing manager is to ensure that the

    companys message reach its potential customers. A main method by which companies

    deliver their message to group of customers and, in fact, make there initial contacts with

    most potential customers is through advertising. Advertising is a powerful tool which

    individuals, business and non- business organizations use for informing persuading and

    reminding their target audiences. Various authors have defined advertising in the

    following ways:

    Advertising has been defined as the dissemination of information concerningan idea, services or products to compel action in accordance with the interestof advertisers. By, M. Banerjee.

    Advertising consists of all the activities involved in presenting to a group,a non-personal, oral or visual, openly sponsored message regarding a productor services, or idea. By, Stanton.

    Main objectives of advertisement:

    1. To create a demand for new products by explaining its utility2. To announce a new product or service3. To increase its sales by attracting new customers and expand the market.4. To create brand preferences5. To assist the salesmen in their selling efforts6. To enhance the goodwill of the firm7. To neutralize the competitors advertising8. To warn the customer against the imitation of the product.

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    2.2) Sales promotion:

    The main aim of any business is to earn maximum profit and this is possible only throughmaximum sales. The maximum sales can be achieved by using various techniques ofsales promotion. Sales promotion includes those marketing activities, other then personal

    selling, advertising and publicity, that stimulates consumers purchasing and dealerseffectiveness such as window display, shows and expositions, demonstrations etc. Salespromotion is concerned with the creation, application and dissemination of materials andtechniques that supplement advertising and personal selling. Sales promotion makes useof direct mail, catalogues, trade shows, sales contents, premiums, samples, windowdisplay and other aids. Its purpose is to sell a certain brands and to make consumers moreeager to buy that brand. Personal selling and advertising do include prospects to maketheir decisions. Sales promotion provides an extra stimulus.

    According to various authors sales promotion can be defined as: -

    Sales promotion means any step that are taken for the purpose of obtaining an increasedsales By, A. H. R. Delens

    Sales promotion as a tool of market promotion gives rise to increase in production usageas well as expansion of market for a product or introduction of a new product By, John.L. Luickkand and William Lee Ziegler.

    Objectives of sales promotion:

    To influence the customer for purchasing the product or service instantly because thesales promotion time is very limited and if the customer does not respond to it quickly,

    they may lose the offer. It increases the sales directly by publicity through media that arecomplementary to the press and poster advertising. Some of the objectives are:

    1) To introduce new product

    2) To attract new customers

    3) To face the competition effectively

    4) To maintain old customers

    5) To improve public image of the firm6) To popularize the brand name of the product

    7) To induce customer to purchase more items

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    CHAPTER-3

    RESEARCH METHODOLOGY

    Research methodology refers to the way of collecting, tabulating and analyzing the datafor research work. It helps in carrying out the entire research work in desired way. In

    order to achieve the objectives of the study, the major contents of research methodology

    include the following:

    3.1 Research Design

    Research design is a systematic search of a particular subject. It is the in-depth

    study of a certain subject or area of investigation, which is supported by the collection,

    compilation, presentation and interpretation of relevant and data. Such researches are

    conducted to in order to analyze the current situation and draw relevant conclusions from

    the findings within the norms of evaluation research. For the effective and more reliable

    findings, the study is both explanatory and exploratory. This study tries to show the

    relationship between the sales and advertisement & sales promotion.

    3.2 Population Size and Sample Unit

    The term population means all the members of any well defined class of people. Amongdifferent advertising sources I took only four medias i.e. Fm medias, Visual medias,Outdoor Board Painting and consumer promotion scheme. Likely to know the salesfigure I took six samples i.e. sell of monitor, keyboard, Cpu, Ups, laptop andmiscellaneous items. This covers the advertisements and sales that Micro Net Cyber andAutomation covers.

    3.3 Nature and Source of Data

    Data collection procedure depends upon the size of the organization, nature of the

    information requirement and the objective of the study. Both primary as well as

    secondary data are essential and collected for the effective study of the subject.

    But for our study we need not to go for the secondary data as all the information

    needed were given by the owner of the MNCAH. During the study, the data are of

    primary type. Primary data are the original data, which are connected through

    personal visits, questionnaire and brochures of the project. For the purpose of

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    collection of primary data, a set of questionnaire was prepared and direct personal

    interview was conducted. .

    3.4 Data Analysis Tools and Techniques

    The analysis of the data on activities of profit organizations can be done by using

    various tools and techniques. The use of such tools and techniques depends upon the

    depth and scope of the study. Simple statistical tools are used in the presentation of the

    report. Some statistical tools with used are:

    Multiple Bar diagram

    Pie chart

    Trend Diagram

    Z- test

    Karl Pearsons correlation coefficient

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    CHAPTER-4PRESENTATION AND ANALYSIS OF DATA

    4.1 Presentation And Analysis of Data:

    For preparing the field work report, first of all it is necessary to have the actual required

    data for the attractive figure and diagram.The figure obtain form the collected data do not give the special meaning unlessexplanation is made. So, analysis of data and table is necessary for the meaningful study.

    Thus the relevant data and figure need to be analyzed to give a meaning and tomaintain the sound relation between product and consumer.

    Form the available data, the researcher could analyze the data by using statistical tools.Among these statistical tools, test of hypothesis is very important for systematic study ofthis organization. The available data are presented in the table, chart and graph. These arecollected form primary sources with of the proprietor of organization. From this purpose,the researcher would like to use descriptive and statistical techniques. The table, bar

    diagram, pie charts is presented by using analytical instrument.

    4.1.1 Budget for advertisement and sales promotion at the fiscal year 2004 to 2009 AD

    After determining the advertising objectives and its market coverage, Micro Net Cyberand Automation Home proceeds to establish its advertising budget for every fiscal year.The budget along with the distribution amounts are shown in following table foradvertising and sales promotion at the fiscal year 2004 to 2009 in different media. Therespective figure of data is given below table.

    Table number 1:Budget for advertisement and sales promotion

    Year Fm Radios VisualMedia

    OutdoorBoardPainting

    ConsumerPromotionScheme

    TotalAdvertisementexpenses

    2004 50,000 20,000 20,000 35,000 1,25,0002005 80,000 25,000 15,000 30,000 1,50,0002006 81,000 28,000 26,000 40,000 1,75,0002007 90,000 31,000 24,000 39,000 1,84,0002008 1,05,000 35,000 29,000 45,000 2,14,0002009 1,20,000 41,000 32,000 50,000 2,43,000

    Total budget for advertisement of Micro Net Cyber & Automation Home in differentmedia allocated Rs. 90,000 and for sales promotion of Rs. 35,000 in the year 2004.Similarly, budget for advertisement of Net Cyber & Automation Home indifferent mediaallocated Rs. 1,93,000 and for sales promotion of Rs.50,000 at the last year 2009 AD.Due to profit making organization, it is able to increase its sales in different region and

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    also provides efficient service to its clients. As a result, it was able to earn large amountof profit.According to table no.1, MNCAH spent the total amount of Rs. 10,91,000 for advertisingand sales promotion in different media. The amount of Rs.5,26,000 is allocated fordifferent Fm radios,Rs1,80,000 for audio-visual media, 146000 for out door board

    painting and Rs. 2,39,000 for consumer promotion scheme respectively at the fiscal year2004 to 2009 AD. It can be shown in the bar diagram as below..

    Figure 1; Bar Diagram showing the allocation of advertising

    and sales promotion on different medias from 2004 to 2009

    0

    20,000

    40,000

    60,000

    80,000100,000

    120,000

    140,000

    2004 2005 2006 2007 2008 2009

    Year

    Amount(R

    s) Fm Radios

    Visual Media

    Outdoor Board Painting

    Consumer Promotion Sch

    4.1.2 Expected sales of MNCAH in Narayani and lumbini region as the fiscal year2004 to 2009 A.D (amount in Rs.)

    Table number 2

    Year Monitor Keyboard Cpu Ups Laptop Miscellaneous Total2004

    3,00,000 40,000 3,00,000

    2,00,000

    4,00,000 10,00,00022,40,000

    2005

    8,00,000 1,00,000 7,00,000

    4,50,000

    5,20,000 12,00,00037,70,000

    2006

    10,00,000

    1,50,000 6,00,000

    5,00,000

    8,00,000 15,00,00045,50,000

    2007

    9,00,000 1,80,000 6,50000 3,75,000

    10,00,000

    13,00,00044,05,000

    2008

    11,00,000

    20,000 7,00,000

    4,00,000

    12,00,000

    18,00,00054,00,000

    2009

    12,00,000

    3,00,000 9,00,000

    7,00,000

    16,50,000

    17,50,00065,00,000

    Grand total 2,68,65,000

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    Table no.2 shows the expected sales of computer parts in Narayani and Lumbini Regionover the six fiscal year of MNCAH. It has expected the sales of monitor of Rs 3,00,000,keyboard of Rs 40,000, CPU of 3,00,000,UPS of Rs 2,00,000, Laptops of Rs 4,00,000and Miscellaneous parts of Rs10,00,000 respectively at the year 2004.Likely, it has projected the sales of monitor to amount Rs 12,00,000, of keyboard to amount Rs

    3,00,000, of CPU to amount 9,00,000, of UPS to amount 7,00,000, of laptop to be16,50,000 and amount of 17,50,000 of miscellaneous parts, in the fiscal year 2009.Thereason for keeping expected sales is to know the effect of the advertisement and salespromotion on sales. It acts as the standard for comparison with the actual achievement. Itcan be shown in the pie chart as fallow.

    Figure2;Expected sales

    Monitor

    Keyboard

    Cpu

    Ups

    Laptop

    Miscellaneo

    4.1.3 Actual Achievement of expected sales of MNCAH in Narayani and LumbiniRegion from 2004-2009

    Table number 3Year Monitor Keyboard Cpu Ups Laptop Miscellaneous Total2004

    2,50,000 45,000 2,50,000

    2,00,000

    4,10,000 8,00,000 19,55,000

    2005

    5,00,000 80,000 7,00,000

    3,55,000

    6,00,000 9,00,000 31,35,000

    200

    6

    9,00,000 1,20,000 4,50,00

    0

    4,50,00

    0

    7,50,000 10,00,000 36,70,000

    2007

    8,00,000 1,60,000 6,55,000

    3,50,000

    10,00,000

    12,00,000 41,65,000

    2008

    10,00,000

    1,90,000 7,00,000

    4,10,000

    13,00,000

    15,00,000 51,00,000

    2009

    11,00,000

    2,60,000 8,00,000

    7,50,000

    15,00,000

    14,00,000 58,10,000

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    Table no.3 shows that the actual achievement (sales) in computer parts in Narayani andLumbini Region at the six fiscal year of MNCAH. The sales amounted to Rs. 19,55,000in the first year 2004,Rs 31,35,000 in the fiscal year 2005, Rs 36,70,000 in the fiscal year2006,Rs 4165000 in the year 2007, Rs 51,00,000 in 2007 and the sales of 58,10,000 in

    the last fiscal year 2009.The following pie chat shows the actual achievement of theabove presented table.

    figure 3;Actual achievement of sales

    Monitor

    Keyboard

    CpuUps

    Laptop

    Miscellaneo

    4.2 Profit Trend in last six years of MNCAH

    Micro-net cyber automation home is running in profit form its establishment year2001\2002. In spite of intense competition with other profit making organization, it isable to earn the operating profit of Rs.40000. In the establishment year and went on inthe increasing trend up to Rs. 225000 in the year 2005\2006.

    Table number 4Profit Trend

    Year Profit in (Rs) % increase in profit over 5years

    2004 50000 -2005 80000 602006 120000 502007 150000 252008 168000 122009 230000 36.9

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    Table no 4 shows the profit trend of MNCAH. It was able to earn the highest profit of Rs.230,000 at end of the last fiscal year 2009 but increase in profit ratio was very muchfluctuating. In the year 2005profit was 60% whereas in 2006 it was 50%.It slides down to25% in 2007 and became worst in 2008, just 12%.But regained the profit of 36.9% in thefiscal year 2009.According to the owner the reason for such fluctuations was the political

    insurgency, time and again strikes and bandas, donation demand by the rebel group andincreasing operating cost along with the increase in the cost of products resulting in lowprofit margin.

    The trend above shows the fluctuation occurred in the profit in different years. In 2005 itwas 60%, in 2006 it dropped to 50% whereas in 2007 and 2008 it seriously dropped to25% and 12%.But in the recent year 2009 it rose up to 36.9%The trend shows how the

    firm has come along the different situations.

    4.2.1 Calculation of percentage increase in profit over 5 years to MNCAH:Formulae:Percentage increase in profit per year:

    =Amount of succeeding year-Amount of previous year 100Amount of previous year

    For 2005: 80000-50000/50000*100=60%

    For 2006: 120000-80000/80000*100=50%For 2007: 150000-120000/120000*100=25%For 2008: 168000-150000/150000*100=12%For 2009: 230000-168000/168000*100=36.90%

    We conclude that Micro-net cyber and automation home is running in profit from its year2004\5. In spite of intense competition with other profit making organization, it was able

    Figure4;Profit trend

    010

    2030

    40

    50

    60

    70

    2004 2005 2006 2007 2008 2009

    Year

    %

    cha

    nge

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    to earn the operating profit of Rs. 50,000 in the year 2004 and went on in the increasingtrend up to Rs. 2, 30,000 in the year 2008/2009.

    Thus, in this competitive market, MNCAH established as a small business by adoptingnew advanced technology and by its reliable service to the customer. Due to these

    technologies and techniques, it is able to allocate the large amount on advertising andsales promotion. Therefore, advertising and sales promotion plays vital role in success ofsmall business.

    4.3 Test of hypothesis:

    The organization sells computer sets in two different regions (Narayani and Lumbiniregion). The organization claims that the average sales per sales agent is 50 computerssets per month with standard deviation of 10. As for an experiment 40 agents were sentfor 2 months experimenting sales on door to door sales program help of the expert ,return to their program and their selling procedure was carefully monitored. At the end of

    this period, the average sales of an agent were found to be 54 computer sets per month.Can we conclude at 5% level of significance that there has been significant increase inthe average sales per agent per month?In usual notations are conducted:n=40, =50, =10, X=54

    1. Setup of hypothesis:

    Null hypothesis Ho: =50 the average sales of computer sets per agent are notsignificantly more than 50.Alternative hypothesis H1: >50 the average sales of computer sets per agentare significantly more than 50.

    2. Test statistic:X -

    Z= / n

    = 54-5010/40

    = -2.529

    Zcal =2.529

    3. Level of Significant: (one tailed);

    = 0.05Z= 1.645

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    4. Critical value:Z= 1.645

    The critical value of Z at 5% level of significance for one tail test is 1.645

    from the table.5. Decision:

    Zcal > Ztab

    So, H0 is rejected

    H1 is accepted

    Conclusion:Since, the calculated value is greater than tabulated value. So null hypothesis cant be

    accepted and alternative hypothesis is true.So, we can conclude form the above hypothesis test that there is a significant increase inthe average sales per agent per month than the organizations claim of 50 Computer setsper month per agent in two different regions

    4.4 Karl Pearsons correlation of coefficient

    Karl Pearsons correlation of coefficient is the mathematical method for measuring thedegree of association between the two variable say X and Y. the formulae forcalculating Karl Pearsons correlation of coefficient is given below:

    xyr =

    x2 y2where x =X - X

    y= Y - Y

    Value of r is always between -1 and +1

    +1 denotes the perfect positive correlation between two variables.

    -1 denote the perfect negative correlation between the two variables .

    We can calculate the correlation coefficient between sales and advertisement budget of

    MNCAH as below.

    Correlation between sales and advertisement budget in lakhs

    Year Actualsales(X)

    AdvertisementBudget(Y)

    x=(X-X)

    y=(Y-Y)

    x2 y2 xy

    2002 19.55 1.25 -20.17

    -0.56 407.030 0.3136 11.298

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    52003 31.35 1.50 -8.375 -0.31 70.140 0.0961 2.5962004 36.70 1.75 -3.025 -0.06 9.150 0.0036 0.18152005 41.65 1.84 1.925 0.03 3.705 0.0009 0.05772006 51.00 2.14 11.27

    5

    0.33 127.125 0.1089 3.7207

    2007 58.10 2.43 18.375

    0.66 337.640 0.3844 11.3925

    Total X=238.35 Y=10.91 x2=954.79 y2=0.9075 xy=29.2464

    Where,

    X=X/N=238.35/6=39.72

    Y=Y/N=10.91/6=1.81

    Now,xy

    r = x2 y2

    = 29.2464954.79 * 0.9075

    = 0.9935

    From the above coefficient correlation, r= 0.9935, which is nearest to +1. It can bepainstaking as high positive correlation indicates that the degree of correlation betweenthe actual sales and advertisement is high. This means as the advertisement budgetincreases, sales will also increase accordingly. This shows how the advertisement affectsthe sales of the firm .

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    CHAPTER-5SUMMARY, CONCLUSION AND RECOMMENDATION

    5.1 SUMMARY

    Micro net cyber and automation home is a business organization which provides worldwide communication facility to the public. It is both profit making and service orientedorganization. From this research we can say that there are lots of benefits of the salespromotion to the business organizations as well as producers. It sales the best computerparts with effective counseling at the reasonable price to its clients. It has two targetmarkets where it allocates the large volume of amount in different medias for advertisingand sales promotion. Advertisement helps the customer to choose the right product in theright time at the reasonable price. Advertisement provides the information to the peopleabout the product such as how to use the product, when to use, why to use, what benefitsare undertaken.. It also adopts these advance technologies for advertising and salespromotion and also to run the business very smoothly.

    We can also see that advertising and sales promotion techniques are very mucheffective to increase the sales. The total budget of Rs. 10,91,000 has been allocated forthe advertising and sales promotion over the six fiscal years which seems to be thoughtfulinvestment from the sales achieved over that period. The profit trend in the organizationwas very much fluctuating i.e. it was 60% in 2004 whereas in 2008 it declined to 12%and in 2009 it rose to 36.9%.From the test of the hypothesis it is seen that the averagesales of the computer is greater than 50.Likely the correlation coefficient is positivei.e.0.9935 which suggests that sales increases according to the increase in theadvertisement.

    5.2 CONCLUSION

    From the analysis of the collected data, we can say that MNCAH is profit makingorganization even though the profit rate is fluctuating every year. From the period of itsestablishment to till now it is running in profit despite the difficult situations in thecountry. It has two main market, Narayani Region and Lumbini Region for selling theproducts like monitor, UPS, keyboard and alike.

    The major findings are as fallow.

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    Advertisement and sales promotion, though regarded as an expenditure, is apowerful tool to win the faith of the public..

    Advertisement and sales promotion creates extra attention to the customers tomake purchase as the firm uses both audio and visual medium of theadvertisement and sales promotion. As a result customers are more loyal to the

    firm. It directly affects the volume of the sales as we see above that increase in

    advertisement and promotion has increased the sales. Without promotional tools it is very hard to attract the customers towards any

    kind of product due to the fierce competition for price and greater market size. It makes a bond between consumer and product by providing relevant information

    for the product such as how to use, what is the purpose, from where to get theproduct and its advantages and disadvantages.

    In the process it was found out that the proprietor has positive attitude towards theadvertising and promotion and believed that it motivates the sales.

    To conclude we can say that thee market competition is increasing so to be the marketleader the firm needs to understand the importance of the advertisement and salespromotion. Such acts will impart the positive feelings of the consumers to the productand services and the company rendering such product and services.

    RECOMMENDATION

    From the study it was found out that MNAC has to improve itself in several areas as ithas many shortcomings.

    MNAC only uses the local Medias for the advertisement due to which all level ofthe target customers has not been covered. It should also focus in Lumbini region

    through the advertisement in there. Broadcasting of the advertisement has not been proper so it should be made

    regular and proper. In urban areas, electronic media is effective but in rural areas it should be done

    through road dramas and special campaign. The firm should open the computer education center to its regular clients so that

    they remain loyal and the firm may have extra income from that. The advertising should be creative that will attract more customers. Motivation to the sales forces should be done.

    At last, I wish very success of MICRO NET CYBER AND AUTOMATION for future. Ihope that it will launch more products among the massive clients who will accept theproducts with open heart.

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    BIBLIOGRAPHY

    Amatya, Surendra and Keshav,(2049 B.S), Sales and AdvertisingManagement,published by Deepa Amatya.

    Kather,B.S (2056) Advertising management Himalayan publishing house.Kottler, Philip (1997 A.D) Marketing Management analysis, planning, implementationand control, Prentice hall of India Pvt.

    Stanton, William J.(1994 A.D) Fundamental of marketing Mc Grew hill BookCompany Ltd.

    Wolff, H.K and Panta, P.R (1975) A Handbook for Social Science Research and ThesisWriting Katmandu: Research Division, Tribhuvan University.

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    QUESTIONAIRES

    Name of the Respondent: .. Age:Address: .. Sex:

    The Questionnaires through which the primary data were collected are as fallow.1. When is Micro Net Cyber established?

    2. What is the main purpose of the firm?

    3. What kind of products do MNCAH sell?a. Monitor b. Upsc. Cpud. Laptopse. Keyboardf. Miscellaneousg. All of them

    4. What kinds of tools and techniques are used for advertisement by MNCAH?a. Visual Mediab. Fm radiosc. Out Board Paintingd. Consumer Promotion Schemee. Combination of above all

    5. Where is MNCAH located?

    6. What are the allocated budget for the Advertisement and Sales Promotion indifferent year under different tools and techniques?

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    Year Fm Radios VisualMedia

    OutdoorBoardPainting

    ConsumerPromotionScheme

    TotalAdvertisementexpenses

    2004

    2005

    20062007

    2008

    2009

    7. What were the expected sales on different headings of MNCAH as tickedabove?

    Year Keyboard Laptops Monitor Cpu Miscellaneous Ups

    20042005

    2006

    2007

    2008

    2009

    8.What were the actual sales on different headings of MNCAH as ticked above?

    Year Keyboard Laptops Monitor Cpu Miscellaneous Ups

    20042005

    2006

    2007

    2008

    2009

    9. What is the average sales of Computer per month?a. 30

    b. 45c. 50d. 55

    10. Was the advertisement and the sales promotion useful for the business?a. Yesb. No