Direct Marketing of Telecommunication Between Nigeria and the UK - Research Proposal Example

RESEARCH PROPOSAL DIRECT MARKETING OF TELECOMMUNICATION BETWEEN NIGERIA AND THE UNITED KINGDOM: WHAT IMPLICATIONS FOR TELECOM INDUSTRAIL DEVELOPMENT AND FAVOURABLE BUSINESS TRANSACTION. (2006) 1.0 INTRODUCTION 1.1 BACKGROUND TO THE STUDY The globalise state of the international business area, where there is free trade resulting from the neo-liberals doctrine, this has made the ease and growth in direct marketing transactions between and among countries. Even the so called closed economy countries of the socialist and communist state are now being influenced by the neo-liberalists. Nigeria being a former colony of the British empire this has influenced the structure and pattern of Nigerian international business trade especially in the 1960s and early 70s. Between 1960 and 1976 particularly in the first Republic most of Nigeria export was going to the Britain (UK), seconded by the European Union Countries (EEC), and then the United States of America, have taken the lead of exports from Nigeria. Also, imports to Nigeria was initially dominated by the United Kingdom, up to 1973, while other African countries. Latin America Sweden etc, occupied the second position, EEC occupied the 3rd position and the Untied States of Area occupied the 4th position since 1973, the United States of America has taken the led of imports to Nigeria. The 1st century is witnessed to be a age of technological advancement. This advancement has spread to many parts of African countries, Nigeria inclusive. In 2001, the Monopoly enjoyed by the Nigerian Telecommunication Limited (NITEL) was removed, where other private telecommes companies now operate. This brought about an increase in the working lines from 450,000 to about 5 million mobile lines and about one million ficed lines (Jidan 2006). The global nature of telecommunication industry is one that is very competitive and innovative. Market liberalisation and deregulation has taken place in most emerging markets. This has led to the opening of the markets to foreign competition (Beloucif et al 2001). This research study tends to look at the direct marketing between Nigeria and the United Kingdom in telecommunication. Its implication of the advancement of the telecomms industry in African most populous country, and also beneficial this business transaction would have in a favourable deal to the UK telecommunication industry. 1.2 STATEMENT FO RESEARCH PROBLEM The militating and observed problem that interest researcher in choosing this topic include the following: (1) Nigeria and the UK has enjoyed relative business, political ties for many years. In many instances the United Kingdom has influenced the Nigerian import and exports, and international business deals. How would this relationship thrive among most of competing countries in contemporary international business engagement. Other countries, such as the USA, China, Japan among others, keen competitors in telecommunication trade with Nigeria. How would direct marketing in telecommunication between Nigeria and the UK thrive among this evidence of high competition. (2) There is a gap between the level of telecommunication advancement between the Nigerian telecomm industry and that of the UK. The UK telecomm industry of far more advance and developed than the Nigeria telecomm industry. How would this difference in advancement affect the direct marketing link between the two countries? (3) Closely related to the above point is the fact that the cost of transacting business in Nigeria, is very high compare to what is in the UK. The state of Nigerian Power Supply Source, transportation, cost tariff regime corruption among others have helped in increasing cost of business transaction in this populated African country. Since the cost of business transaction differs from both countries how would this affect the direct marketing transaction between Nigeria and the UK? (4) Governmental policies most times affect the pattern of international business transaction. Policies difference between the government of the UK and the Nigerian government, this would tend to constitute an hindrance to direct marketing if not properly handled and reconciled. OBJECTIVES OF THE STUDY The research work tend to achieve the following objectives: (1) To proffer and recommend a most feasible way of conducting direct marketing in telecommunication so as to make the process very beneficial to both countries. (2) To determine the effect of public policies from both countries, how this tend to constitute an hindrance to the effective direct marketing between the UK and Nigeria. And ways to properly managed and reconcile the policy differences in other to obtain an effective business transaction would be proffered. (3) Also, the research will determine what benefits that both countries tend to achieve in engaging in such direct marketing in telecommunication. (4) To determining all impending factors that tend to constitute an hindrance to the effective trade indirect marketing in telecommunication between Nigeria and the UK. (5) To determine how competition from other countries tend to affect the effective outcome of the direct marketing in telecommunication between Nigeria and the United Kingdom. 1.3 SIGNIFICANCE OF THE STUDY This research work is beneficial for the following reasons: (1) It will enable policy makers in different countries know the implication of their policies on the effective outcome of international business engagement. (2) The study would also help in showing those benefits each country stand to drive in direct marketing, especially in the telecommunication industry. (3) The research study would contribute to the body of knowledge; where further research in the same field can make reference to the outcome of this research. (4) The research study would enable government of each country know those factors that tend to inhibit effective international direct transaction with other countries. And ways to eliminate these hindrances. 1.4 SCOPE AND LIMITATION TO THE STUDY The scope of the research study would encompass the areas of direct telecommunication marketing between Nigeria and UK. Here, the focus would be on past and current deals on telecommunication marketing that is existing between the two countries. The observed limitations that tends to constitute an hindrance to effective completion of this research work include: (1) Obtaining data for the research study is not easy to come by some times complete data are divilge from public consumption by the government for secrecy sake this tend to pose difficulty in data generation for a topic like this, which should be based on data before it is successfully completed. (2) Another limitation has to do with financial consideration, for generating data, using online and paid libraries type setting cost and other cost. Since available finance is limited involving other personal needs, it then become a limiting factor when it is being shared with expenses in the completion of the research work. (3) Sharing time for the completion of the research work and other personal engagements of the researcher is another factor that constitute a limitation to the study. It then require that proper time table is drawn so as to solve any lapses in time schedule. 1.5 LITERATURE REVIEW Foreign direct investment (FDI) is not only a transfer of ownership from domestic to foreign resident but also a mechanism that makes it possible for foreign investors to exercise management and control over host country firms i.e. it is a corporate governance mechanism. (Nigeriabusinessinfo.com, 2002). Advantage associated with foreign direct investment is stated by Feldstein (2000) quoted in nigeriabusinessinfo.com2000, first, international flows of capital reduce the risk faced by owners of capital by allowing them to diversify their lending and investment. Second, the global integrating of capital markets can contribute to the spread of best practices in corporate governance accounting rules, and legal traditions. Third, the global mobility of capital limits the ability of governments to pursue bad policies four, FDI allows for the transfer of technology particularly in the form of new varieties of capital inputes-that cannot be achieved through financial investments or trade in goods and services. FDI can also promote competition is the domestic in out market. Fire recipients of FDI often gain employee training in the course of operating the new businesses, which contributes to human, development in the host country. Lastly, profit generated by Foreign Direct Investment contribute to corporate tax revenues in the lost country. Direct marketing can be conceptualise as a direct contact between both parties to the transaction, where messages are sent directly to consumers. Here, there is effective measurement directly against the conventional forms of marketing. According to the UK direct Marketing Association, direct marketing is defined as “communications where direct contact is made or invited between a company and its existing and perspective customers and results are measured to assess return on investment”. (Irene CL Nig. 2004). In the view of Stein (2004), Direct marketing is not just to get a response or make a sale but to build customers. In this instance, he stated that 80% of business comes from 20% of the customers. Thus, Direct marketing helps to identify, retain, reward and done thus 20%. In contemporary times, with globalisation, the world-wide telecommunications industry has become increasingly competitive and innovative. The European telecommunications industry has evolved along side with the global telecommunications industry has experienced phenomenal growth in the last five years (Beloucit et al 2001) This is reflected in the growth of total mobile connections reaching a high peck of 2 billion mark in September 2005. Though, greater percentage, constituting without digital connection thus, much ground need to be covered. The telecomm state in Nigeria has witnessed some drawback, especially with the level of infrastructures available which has helped in increasing cost of business (2004), the drawback in Nigeria is that it suffers from insufficient infrastructure, how tele-density, and high call tariffs. People starve for reliable telecom service as and deregulation is a major step towards providing efficient service. With deregulation in the telecom industry, and an emerging economy, large masses have to be reached where basic infrastructure is lacking. Increased competition due to deregulation has brought about efficiency in services. This has made all service providers looking for low budget solutions to reach the masses in the shortest possible time. In the United Kingdom there is a peaceful and competitive telecomm industry. The industry ahs a good marketing budget but to get the best value for it. the British telecom faces a challenge to identify its customers’ potential to purchase. Competition in the UK telecommunication, according to Summanen and Pollitt, 2003, started gradually about ten years earlier than in most of the other European countries. As competition evolved, some country specific features affected the development of the telecommunications market. Although competition emerged after 1991, the telecommunications market in the UK in 1990s still had very typical problems coming from 1980s. this problems include the low level of competition in the local, especially residential market. Modernisation theory would form the theoretical framework for this research work. Modernisation theory stresses the importance of individual motivation and capital accumulation. And also justifies the flow of foreign and trade, investment and technical assistance for development. 1.6 RESEARCH METHODOLOGY RESEARCH METHODOLOGY RESEARCH METHOD The survey research method would be adopted in the conducting of this research study. Here, the use of questionnaires alongside with interviews online would be used in drawing data to be analyzed for the study. SOURCE OF DATA COLLECTION Both primary and secondary data would be utilized for the study. The primary data would be derived through self administered questionnaires and interviews. The secondary data would be gotten from journals, textbooks, internet materials, newspapers and magazines articles. TOTAL POPULATION AND SAMPLE SIZE The workers and stakeholders of the case study would constitute the total population, i.e. members of the three integrating North African Oil companies. The sample size to which data would be drawn would be 50, out of the total workforce and other stakeholders in the organization. DATA ANALYSIS INSTRUMENT Both quantitative and qualitative methods would be use in analyzing the data for the study. Chi- square (X2) , alongside with simple percentage would be statistically use in the quantitative analysis, while the qualitative analysis would entails comparing the findings from the research with findings of previous scholars. 1.7 ORGANISATION OF WORK         PROPOSED CHAPTER HEADINGS AND SUB-HEADINGS. CHAPTER ONE INTRODUCTION 1.1   Background to the study 1.2       Brief historical background of the case study 1.3       Statement of research problem 1.4       Objectives of the study 1.5       Significance of the study 1.6       Basic assumptions underlining the study 1.7       Research hypotheses 1.8       Scope and limitations to the study 1.9       Definitions of terms CHAPTER TWO LITERARTURE REVIEW AND THEORETICAL FRAMEWORK 2.1 Literature review 2.2 Conceptual and theoretical framework 2.2.1 Conceptual framework 2.2.2 Theoretical framework CHAPTER THREE RESEARCH METHODOLOGY CHAPTER FOUR DATA PRESENTATION, ANALYSIS AND INTERPRETATION 4.1 Quantitative data analysis 4.2 Hypotheses test 4.3 Qualitative data analysis CHAPTER FIVE SUMMARY, CONCLUSION AND RECOMMENDATIONS 5.1 Summary 5.2 Conclusion 5.3 Recommendations Bibliography Appendices PRACTICE TIME TABLE AND PLAN FOR THE SUCCESSFUL COMPLETION OF THE RESEARCH WORK Develop research proposal February 2006, Develop questionnaire March 2006 Interview and administer questionnaire to respondents April 2006 Analyse data May, 2006 Draw Conclusion June, 2006 Complete Write-up July, 2006. Submit Research work August, 2006. BAR CHART SHOWING TIME TABLE AND PLAN FOR SUCCESSFUL COMPLETION OF THE RESEARCHER WORK REFRENCES Beloucif A, Pitt D C, Lal D (2001), Restructuring in European telecommunications: modelling the evolving market, Journal: European Business Review, Year: Jun 2001 Volume: 13 Issue: 3 Page: 152 - 158 Griffin J (2003), A Challenge for the Telecom Industry: Converging Enterprise Portals and Business Intelligence to Produce a Collaborative Business Platform, 8 February 2006 Irene C L Ng (2004), Does direct marketing need to have a direction? , Journal: Marketing Intelligence & Planning,Year: 2005 Volume: 23 Issue: 7 Page: 628 - 635 Jidaw, Nigeria: Bridging the Infrastructure Divide, 8 February 2006 Nigeriabusinessinfo.com (2002), Nigeria and Foreign Direct Investments (FDI) http://www.nigeriabusinessinfo.com/nigeria-fd:2002.htm (17.02.06) Simunic I (2004), Bringing Next Gen Voice to Emerging Markets, Converge Network Digest, 8 February 2006 Stein L M (2004), Back to Basics in Direct Marketing, MarketingProfs.com, 8 February 2006 Summanen T & Pollitt M (2003), British Telecom: Searching for a winning strategy, 8 February 2006 Read More