THE IMPORTANCE OF CORPORATE BRANDING IN NIGERIAN’S ECONOMY (A STUDY OF EMENITE LIMITED, ENUGU)

ABSTRACT

Business organizations in Nigeria have failed to realize the importance of a good corporate branding or image management in business dealings. This is probably because they do not understand the concept of corporate image and the necessary tools for promoting it.

Corporate image infact goes beyond attractive products or rending quality services, especially in the face of our dynamic economy, where achieving a unique position and competitive advantage on corporate image becomes more and more difficult, expensive and requires an aggressive strategies to compete with.

Corporations in Nigeria are increasingly becoming aware of the enhanced value that corporate image branding strategies can provide for an organization. Branding in the classic sense is all about creating unique image or identities and positions for products and services, hence distinguishing the offerings from competitors.

Corporate branding employs the same methodology and toolbox used in product branding, but it also elevates the approach a step further into the board room, where additional issues around stakeholder relations (shareholders, media, competitors, governments and many others) can help the corporation benefit from a strong and well-managed corporate strategy. Not surprisingly, a strong and comprehensive corporate image strategy requires a high level of personal attention and commitment from the chief executive officer (CEO) and the senior management to become fully effective and meet the objectives. A strong corporate branding strategy can add significant value in terms of helping the entire corporation and the management team to implement the long-term vision, create unique positions in the market place of the company and its brands, and not the least to unlock the leadership potential within the organization. Hence a corporate image strategy can enable the corporation to further leverage on its tangible and non-tangible assets leading to branding excellence throughout the corporation.

This project study is focused on the importance of corporate branding in Nigeria’s economy that could be employed to build and promote corporate image managements effectively and enhance the profit margin of an organization.

A case study of Emenite Limited, Enugu was therefore undertaken. Findings revealed that;

• they have a laid down corporate image though not effectively managed.
• Strategies employed to promote corporate image are limited.
• Responses are fairly high hence it can be said profitable.
• Employee’s welfare and working environment need improvement.
• There are needs to increase the scope of its social responsibility.
• The image management should be periodically reviewed for improvement.

TABLE OF CONTENTS

Title… ………………………………………………………………  i

Approval page …………………………………………………… ii

Dedication. ………………………………………………………..iii

Acknowledgement………………………………………………. iv

Abstract …………..………………………………………………..v

Table of contents…………………………………………………..vii

CHAPTER ONE

1.0   INTRODUCTION       –       –       –       –       –       –       – 1

1.1   Background of the study-        –       –       –       –       –       – 1

1.2   History of Emenite Limited, Enugu.-                –       –       – 4

1.3   Statement of the problem –       –       –       –       –       – 6

1.4   Objectives of the study –  –       –       –       –       –       – 8

1.5   Research questions-        –       –       –       –       –       –       – 10

1.6   Research hypothesis-      –       –       –       –       –       – 11

1.7   Significance of study        –       –       –       –       –       – 12

1.8   Scope of study –       –       –       –       –       –       –       – 12

1.9   Limitations      –       –       –       –       –       –       –       – 13

1.10 Definition of terms   –       –       –       –       –       –       – 14

REFERENCES         –       –       –       –       –       –       –       15

CHAPTER TWO

2. 0  REVIWE OF RELATIVE LITERATURE   –       –       –       – 17

2.1   Relationship corporate image,

 Identity and Reputation  –       –       –       –       –       –       – 19

2.2   Importance of corporate image and identity     –       –       – 20

2.3   Corporate image advertising-   –       –       –       –       –       – 21

2.4   The use of corporate image advertising

in crisis management-     –       –       –       –       –       –       – 22

2.5   Crisis and Reputation      –       –       –       –       –       –       – 26

2.6   Reputation and image management –       –       –       –       – 29

REFERENCES         –       –       –       –       –       –       –       –       – 43

CHAPTER THREE

3.0   RESEARCH METHODOLOGY  –       –       –       –       –       – 45

3.1   Research design –    –       –       –       –       –       –       –       – 45

3.2   Area of the study –   –       –       –       –       –       –       –       – 46

3.3   Population of the study    –       –       –       –       –       –       – 46

3.4   Sample and sampling procedure / technique –        –       –       – 46

3.5   Instrument used for the study –       –       –       –       –       – 47

3.6   Sample size      –       –       –       –       –       –       –       –       – 48

3.7   Validation of the instrument    –       –       –       –       –       – 49

3.8   Reliability of the instrument    –       –       –       –       –       – 49

3.9   Method of data collection         –       –       –       –       –       –       – 50

3.10 Method of data analysis   –       –       –       –       –       –       – 50

REFERENCES –       –       –       –       –       –       –       –       – 52

CHAPTER FOUR

4.0   DATA PRESENTATIONS AND ANALYSIS –       –       –       – 53

4.1   Data presentations and analysis of data  –       –       –       – 53

4.2   Testing hypothesis   –       –       –       –       –       –       –       – 63

CHAPTER FIVE

5.0   SUMMARY OF FINDINGS, CONCLUSION AND        RECOMMENDATIONS         –       –       –       –       –       –       –       – 76

5.1   Summary of findings       / discussions          –       –       –       – 76

5.2   Conclusion      –       –       –               –       –       –       –       – 77

5.3   Recommendations   –       –       –       –       –       –       –       – 80

5.3.1 Business organizations in Nigeria   –       –       –       –       – 80

5.3.2 Suggestions for further research     –       –       –       –       – 81

BIBLIOGRAPHY        –       –       –       –       –       –       –       – 84

REFERENCES –       –       –       –       –       –       –       –       – 93

APPENDIX       –       –       –       –       –       –       –       –       – 94

CHAPTER ONE

1. INTRODUCTION

1.1   BACKGROUND OF THE STUDY

        Creating a corporate image or identity is one of the most important undertakings of a company today.  The image of any corporation helps determine that corporation’s customers.  Bernstein (1998) points out “even if a company chooses not to communicate, its audience will still form an opinion of it, so the only course of action is a planned and proactive communication strategy” (P. 25).

Creating and maintaining the most appropriate image for a company means undertaking what type of corporate image will serve the company best, and then knowing how to create or reinforce that particular image (Westberg, 1994, P. 280).

A study of the literature finds many different perspectives on corporate image.  Bromdey (1993) defines corporate image as corporate reputation (P. 300).  This denotes a more personal aspect of corporate image.  Roberts (2000) takes a simpler approach when defining image and identity.  Roberts states that your identity is who you really are and your image is how much of that reality people understand.  Hook (1999) gives a more comprehensive definition of corporate image. Hook defines corporate image as, “The cumulative effect of all visual elements that represent a company, and leaves the very first impression” (P. 281).

The term reputation usually refers to individuals.  This brings up another point that is vital to defining a corporate image.  The focus audience of any corporate advertising or image campaign is people.  The ability to influence individual thinking can determine whether or not an image campaign is successful.

        In a roundtable discussion of CEOs, published in Chief Executive Magazine (Donlan, 1998), all the members present agreed that a good reputation can serve as a kind of a capital account of stored trust.  According to a survey of upscale customers conducted by Yankalovich Partners of New York (as citied in Donlan, 1998), 58% of those surveyed are likely to buy products from a “winning” company versus 18% who would do so from “non-winners.”  Steve Miller (as cited in Donlan, 1998), chairman and CEO of Waste Management, at this writing, believes that on every front, from sales to customers, dealing with suppliers, recruitment, retention of employees, fending off regulators, and pleasing your financial stakeholders, it is infinitely more difficult if you do not have a reputation behind you.  In a 1997 study conducted by New York University’s Stern School of Business (as cited in Donlan, 1998), corporations with a good reputation have a rate of profitability in excess of the industry average.  These examples show the vital role that corporate reputation plays in a company’s success.  A company’s reputation can be established in the public’s eye by the success or failure of their advertising choices.

In today’s marketplace, advertising campaigns are becoming the means by which company’s compete to win customers.  This can be accomplished by producing the types of advertising campaigns that are eye-catching to the public and make them remember the company’s products or services and make them stand out from the competition.

        It is important to distinguish between image advertising and product advertising.  This study will concentrate on the development of campaigns and the advertising related to a corporate image, not the promotion of a product or products.

        Corporate image is a reflection of an organization’s reality, or how an organization is viewed by its constituencies or publics (Argenti, 1998).  The promotion of a product includes branding and the launching of that specific product to the public.

 A company may produce many products, and the types of products or services provided by an organization are part of what defines that organization’s corporate image.  While there are clear differences between the two types of promotion, the two are interconnected.  The image of a company can determine whether or not a trust is developed between a company and potential customers, and whether that trust can possibly develop product loyalty.  This trust depends upon the development and maintenance of a certain corporate image.

        In this study, the researcher will attempt to provide a clear perspective on corporate image and illustrate success through examples of image campaigns initiated by major companies in Nigeria and beyond.  The lack of effectiveness in some campaigns will be described as well in an attempt to explain why certain strategies might fail.

1.2   HISTORY OF EMENITE LIMITED, ENUGU