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AN EVALUATION OF THE FACTORS UNDERLYING NIGERIAN CONSUMERS’ PREFERENCE FOR FOREIGN PRODUCTS

ABSTRACT

The development and sustenance of the domestic manufacturing sector in a free economy is dependent on consumer acceptance of the goods manufactured in that country. The proliferation of imported brands, many of which have achieved enviable market positions worldwide, present a difficult challenge for domestic manufacturers. This is all the more salient in developing economies where the manufacturing sector in such economies views domestic products less favorably than products from more advanced countries (E Henson, 1993). The importance of foreign trade in the development process has been of interest to development economist and policy makers alike. Imports are a key part of international trade and the import of capital goods in particular is vital to economic growth. This is so because imported capital goods directly affect investment, which in turn constitutes the motor for economic expansion. The study tries to identify factors responsible for Nigerian consumers’ preference for foreign products such as product’s country-of-manufacture, price, quality, brand name, advertisement, status and acculturation, through the administration of questionnaires to respondents in the FCT Abuja that 8 have been patronizing foreign products at least in the last one year because the buying decision process will still be fresh in their memories. Using the percentage method for data analysis, it was discovered that Nigerian consumers prefer foreign products to made-in-Nigeria products. They indicated that while they do not experience post purchase regrets, the country-of-manufacture, price and quality of made-in-Nigeria products are responsible for their preference for foreign products. In order to reverse this trend, the regulatory body charged with the responsibility of ensuring standards must ensure that manufacturers in Nigeria adopt third party certification of their products and quality systems in order to compete favorably with their foreign counterparts.

TABLE OF CONTENT

Title page- – – – – – – – – i

Approval page – – – – – – – -ii

Dedication – – – – – – – – -iii

Acknowledgement – – – – – – – -iv

Abstract – – – – – – – – – -v

Table of content – – – – – – – -vi

CHAPTER ONE

INTRODUCTION – – – – – – – -1

1.0 Background of the study – – – – -1

1.1 Statement of the problem – – – – -5

1.2 Purpose of the study – – – – – -6

1.3 Significance of the study – – – – -8

1.4 Research questions – – – – – -9

1.5 Scope of the study – – – – – – -10

CHAPTER TWO

LITERATURE REVIEW – – – – – – -11

CHAPTER THREE

Research methodology – – – – – – -39

Design of study – – – – – – – -40

CHAPTER FOUR

Presentation, analysis and interpretation of data – -48

CHAPTER FIVE

Summary of findings – – – – – – -60

Conclusion – – – – – – – – -61

Recommendations – – – – – – – -62

Suggestions for further research – – – – -64

References – – – – – – – – -65

Appendix I – – – – — – – – -68

Questionnaire. – – – – – – – -69

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