In this first chapter of introduction, there were a few of journals and articles previewed to gain and understand on ‘The Impact of Promotional Strategies on Sales Performance of Nestlé. In analyzing the introduction, the researcher is focusing on the following aspect such as background of study, problem statement, researcher objectives, researcher questions, significance of study and also the organization of chapters.
1.2 Problems Statement
Promotion strategy includes of planning, implementing and controlling of communication from an organization towards their customers and also other target audiences. The most important responsibility of marketing is to plan and coordinate well promotion strategy and also select specific strategies for some components of promotion (Cravens, D. 2000). A well promotion strategy can boost up a firm’s sales (Gitman, L. and Mcdaniel, C. 2008). While selecting the specific strategies of the promotion, the organization need to know what best suits strategies of promotion they need to use in order to achieve their goal as those strategies gives impact to their organization itself. Every organization faced a lot of problems and challenges on promote their products or services. According to Simkin, D. and Dibb, S. (2001), Nestle faced a challenge as to achieve a critical stage for distribution coverage to guarantee the promotional spend that required to achieve the brand awareness as to compete with leading competitors. Without promotion and brand building, Nestle sales are accordingly weak. For example, Nestle products of Kit Kat bar are hit in all over the world but in Japan, Nestle have much luck selling them until it figured out how to influence teenagers as their target audiences in the market (Lamb, C. et al. 2008). Nestle has success in their promotion strategies in Japan in order to promote the product to the market audiences in Japan even the first trial are...