1.1 BACKGROUND OF THE STUDY
An examination corporate image management has led to the rise of stakeholder management in a complex market environment in the Nigeria, United States, Europe and Asian regions. Today’s corporations have paid substantial attention to the three key concepts, corporate reputation (CR), corporate image management , and stakeholder relations (SR) (Argenti and Barnes, 2009; Argenti and Druckenmiller, 2004; Riel and Fombrun, 2007). By having a unique identity of the organization, the corporations not only can improve the image and reputation of the organization but also differentiate its strategy development and shape the extraordinarily valuable asset of the organization (Bouchikhi and Kimberly, 2008).
There are numerous studies (Balmer and Greyser, 2003; Fombrun and Riel, 004; Kitchen and Schultz, 2001; Riel and Fombrun, 2007) and increasing debates concerning image, with the greater emphasis on how the organization managed their communication systems. Some studies also attempt to focus on corporate branding which is substantially associated with corporate image management.
“A company’s product as such is no longer the chief media projecting its image”. What counts more today is the public postures of management. Its concern for consumer welfare and it’s visible response to imperative social and economic needs. In short, management must concern itself as much with protection as it does with profit.
Every aspect of business and industry is undergoing rapid change in terms of philosophy and technology and there is more rapidly changing function of corporate management to public attitudes and reactions. In the same vein, the corporate image of any organization has to be steered to change, to correspond in response to the demands of its ever –changing business publics and environment. Making good product, marketing them aggressively, paying taxes e.t.c is not just enough to maintain a competitive edge. There are now economic and social responsibility that faces every business.
Perhaps, it would be necessary to ask; is there any need to engage in corporate image promotion? Does promotion have effect on the returns of an organization? Are there right and wrong ways to` project a corporate image? What is the place of employee motivation, communication, customer relations, social responsibility etc. in the whole role of image promotion programme.
Country Energy (2010) stated, “Mass merchandising, new method of advertising, increased competition, and government regulations have brought corporate reputations into public view and cause executives to seek more favourable reaction.’’
However, many hard-headed business men do have an uneasy feeling that promoting the corporate image is little more than a perceived gesture of public goodwill. Holcomb, J. l. Upchurch, R .and Okumus,f.(2007) c stated that, ”it is not an exaggeration to say that a good image is fundamental to the existence of any business enterprise. The concept of image is often considered to be an important determinant of long-term sales and profits. Therefore it is reasonable to consider the use of image as an objective, not only for an advertising programme but for marketing programme and an organization as a whole’’. When a new product is introduced in the market, a respected corporate name often benefits from the unknown product. People are more likely to buy a new product if they know and like it’s manufacturer. Furthermore the quality image of a company’s product may have considerable influence on the kind of new product the company can market successfully. Explaning the intangibles, scholes and klem observed that “many organizations have significant strength in intangible assets such as; image or brand –name. The value of intangible resource should not be under rated. Infact in many services companies, these intangibles can be the key asset of the company. Potential purchases are often willing to pay substantial sums of money for this “goodwill” underlining their real value.
Brief Historical Of Nigeria Bottling Company
Nigeria bottling company limited is one of few multinational organization that had is beginnings in Nigeria from a small family owned operation at inception we have growth to become the predominant bottler of alcohol free beverages in Nigeria, respective for the manufacture and sale of over 33 different coca-cola brands
THE Nigeria bottling company limited [NBC] was in corporate in November 1953, a subsidiary of the A.G. Leventis group with the franchise to bottle and sell coca-cola products in Nigeria. Production began in 1953 at a bottling facility in Ebute Metta, Lagos over the years. Production capacity has grown and its presently has 13 bottling facility corporate image becomes apparent when consumers protest provokes from large organizations series or explanations and apologies for the faults they are accused of. Companies must therefore give its public the same order of priority it gives to finance, marketing and research in the table of rapid, social and technological change. Otherwise, it cannot expect to command public respect and support in the market place live and grow, to command respect and regard, the corporate image must be more than a product of public relations. Therefore corporate image promotion should not be left in the hands of the public relations men, but should be the responsibility of top management and every member of staff. This implies that the image programme should be part of the over all-planning for the company’s future. No matter how impressive a firm’s achievements are, they must be properly presented in the public for them to be acknowledged. Thus corporate planning is an integral part of policy decisions. For some companies, image programmes is part of board planning for greater sales and profits. This is one the fundamental objectives of management and all its activities will be programmed to that end.
Holcomb, J. L., Upchurch, R. and Okumus, F. (2007) C Stated that, “It is not an exaggeration to say that a good image is fundamental to the existence of any business enterprise. The concept of image is often considered to be an important determinant of long-term sales and profits. Therefore it is reasonable to consider the use of image as an objective, not only for an advertising programme but for marketing programme and an organization as a whole”. When a new product is introduced in the market, a respected corporate name often benefits from the unknown product. People are more likely to buy a new product if they know and like its manufacturer. Furthermore, the quality image of a company’s product may have considerable influence on the kind of new product the company can market successfully. Explaining the intangibles, Scholes and Klem observed that “Many organizations have significant strength in intangible assets such as; image or brand –name. The value of intangible resource should not be under rated. Infact in many service companies, these intangibles can be the key asset of the company. Potential purchases are often willing to pay substantial sums of money for this “goodwill” underlining their real value.
Finally, in order to gain the support of its publics, the corporate image must show that management is progressing, mobile, open to innovation, fair to all and free of dogma and convention. Creating and promoting a corporate personality efficiently is mainly communicating company’s objectives, beliefs, reputation and achievements to its publics in order to gain their goodwill.
1.2 STATEMENT OF PROBLEM
Adequate emphases have not been laid by firms in terms of promoting a favourable corporate image and this attitude has affected their performance in the market, more so in the face of the prevailing stiff competition among firms.
The environment in which businesses operate is in constant change and it constitutes an important factor in that, it affects management decisions and actions. For any business, two types of environment exist. The operating environment, which may be classified with external and internal. political culture, government, technological, while internal forces comprises the top management employees, taskforces; and the public environment which is made up of the firms several publics. O External environment Comprises economic, social, political cultural, government, technological, while internal forces comprises the top management employees, task forces; and the public environment which is made up of the firms several publics.
For an organization to remain in business it has to help to shape its environment because of the rapid change that the organization’s operating environment undergoes.
Apart from the influence of the environment, the image of the firm is another factor that requires consideration. The type of image, which an organization projects is an important determinant of its long run existence and performance. There are strategies that have to be developed and adapted creatively to achieve organizational goals.
Hypothesis One
H 0
H 1
Hypothesis Two
H0: Nigeria Bottling Company did not employ the best strategy on enhancing profitability in their organization.
H 2
1.6 SCOPE OF THE STUDY
In this case, the study focuses on efficient corporate image management as a strategy for enhancing profitability in Nigeria Bottling Company, tends to look at an organization and its environment, its position in the mind of the public, consumers and the industry at large. The success or failure of an organization depends on how its products and services are patronized, and any organization whose image have been soiled or smeared with mould can hardly make it in the business would which is dynamic in nature. Change has posed a great danger to organizations that are static to its changing environment, instead of re-adjusting itself to conform to the trend or events in the minds of the people.
Furthermore, this is not only the task of the public relations department, but it pervades all sections of the organization, comprising the management and the staff of the organization, whose assistance in this research work will make it a huge success.
1.7 SIGNIFICANCE OF THE STUDY
This research work will be relevant to the manager and employers of Nigeria Bottling Company, Enugu. It will also be beneficial to other public sector organization in Nigeria. It will also be of prodigious important to government, academics, potentials and future researchers on the issue of efficient corporate image management. This empirical study is also germane to the researcher since it is a partial requirement for the award to Higher National Diploma in Business Administration and Management.
1.8 LIMITATION OF THE STUDY:
It can be seen from all indications that a research such as this cannot be carried out in one semester. There are constraints that limit the work of the researcher. Among these are:
– Inadequate Time: The time available is very limited, as a result of this, the researcher is restricted to some places for interviews and questioning during the collection of data.
– Insufficient Fund: The funds available to the researcher are not sufficient to carry out this research work. As a result of high economic hardship as well as high cost of transportation.
– The inability of some NBL to disclose certain reliable information which they considered confidential may also limit the study.
– There is also scarcity of current textbooks on tax because tax laws are constantly changed and so many textbooks are obsolete for this topic.
– The academic workload on the campus is one of the limiting factors on this research work. Despite all these constraints, the researcher is able to carry out a fair and effective study on this topic.
1.9 DEFINITION OF TERMS
– Corporate Image: This is the sum total of all impression of the firm in the public.
– Profitability: This is the ability of business enterprises to make profit revenue or surplus at the end of the financial year.
– Efficient: This is doing something well and through with no waste of time money or energy.
– Sterotype: A fixed idea or image that many people have a particular type of person or thing but which is not real.
– strategy: The process of planning something or carrying out a plan in a skillful way or a plan that is intended to achieve a particular purpose.
– Management: This is the act of running and confining a business or similar organization. It is also the skill of dealing with people or situation in successfully way.