A STUDY ON STRENGTH, WEAKNESS, OPPORTUNITIES AND THREATS IN RURAL MARKETING
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1 Journal of Management (JOM) Volume 5, Issue 1, Jan Feb 2018, pp , Article ID: JOM_05_01_008 Available online at Journal Impact Factor (2016): (Calculated by GISI) ISSN Print: and ISSN Online: IAEME Publication A STUDY ON STRENGTH, WEAKNESS, OPPORTUNITIES AND THREATS IN RURAL MARKETING Dr. S. Nadarajan Associate Professor, St. Judes College, Thoothoor, Kanyakumari, Tamil Nadu, India M. Josephin Rangith Assistant Professor, Malankara Catholic College, Mariagiri, Kanyakumari, Tamil Nadu, India ABSTRACT Rural markets are defined as those segments of overall market of any economy. The strengths are internal affairs of the marketers and that can be enriched by the personal effort of the marketers. Weaknesses are the personal deficiencies and obstacles faced by marketers in rural markets. The market potentials which are untapped by the marketers in rural market are the opportunities in the rural marketing and the threats are challenges to be faced by the marketers in the rural markets. The main objective of the study is to analyze the strength, weakness, opportunities and threats in rural marketing in the perspective of marketers. The strength of rural marketing as per the view of the marketers is examined with the help of eight variables. The highly viewed variable by farmers and traders are marketing knowledge and availability of products respectively. There is a significant difference among the farmers and traders regarding their view on seven out of eight variables in strengths. The opportunities in rural marketing are measured with the help of ten variables. The highly viewed variables in opportunities by the farmers and traders are growing urbanization and growing income levels respectively. The significant differences among the farmers and traders have been noticed in their view on all ten variables in opportunities. The threats in rural marketing at SWOT analysis is measured with the help of ten variables. The highly viewed variable in threats by farmers and traders are growing unhealthy competition and lesser infrastructural facilities respectively. Key words: Strength, Weakness, Opportunities, Threats, Rural Marketing, Farmers and Traders Cite this Article: Dr. S. Nadarajan and M. Josephin Rangith, A Study on Strength, Weakness, Opportunities and Threats in Rural Marketing. Journal of Management, 5(1), 2018, pp editor@iaeme.com
2 A Study on Strength, Weakness, Opportunities and Threats in Rural Marketing 1. INTRODUCTION Rural Markets are defined as those segments of overall market of any economy, which are distinct from the other types of markets likes stock market, commodity market or Labor economics. The Rural market has changed drastically in the past one decade. A decade ago, the rural market was more unstructured and was not a prioritized target location for corporate. Very few companies, mainly the agro- based ones, were concentrating in these markets. There are no innovative strategies and promotional campaigns. A distribution system did exist, but was feeble. Illiteracy and lack of technology were the other realized factors leading to the poor reach of products and lower level of awareness amongst villagers. Gradually, corporate realized that there was saturation, stiff competition and clutter in the urban market, and a demand was building up in rural areas. Rural market witnesses a high demand and it is the rural segment of market the contributes more profit than its urban counterpart. Rural marketing broadly involves reaching customers, understanding their wants, supply of goods and services, and ultimately satisfying consumers, leading to more sales. The general impression is that only agricultural inputs like seeds, fertilizers, pesticides, cattle feed and agricultural machinery has a potential for growth in the rural market. However, there is a growing market for consumer good now. It has been estimated the rural market is growing at the rate of five times its urban counterpart. 2. STATEMENT OF PROBLEM In order to evolve rural marketing strategies, strength, weakness, opportunities and threats of the farmers and traders are very significant. The marketers in the rural marketing are able to face the different competitive pressure that depends on the strengths and weakness of their companies. It will help the company to know its position in the market. There are five market forces in the rural marketing namely threat of entry, threat of substitutes, bargaining power of buyer, bargaining power of competitive rivalry. The strengths are internal affairs of the marketers and that can be enriched by the personal effort of the marketers. Weakness is the personal deficiencies and obstacles faced by marketers in rural markets. The market potentials which are untapped by the marketers in rural market are the opportunities in the rural and the threats are challenges to be faced by the marketers in the rural markets. In this study the marketers view on variables in Strengths, Weaknesses, Opportunities and Threats have been studied. 3. OBJECTIVES The main objective of this study is to analyze the strength, weakness, opportunities and threats in rural marketing in the perspective of marketers. 4. METHODOLOGY The present study is based on primary data collected from the farmers and traders (marketing in the rural markets). The required data were collected through a well structured schedule from the marketers. Primary data were collected from 120 farmers and 180 traders located in the southern districts of Tamil Nadu. Tools The statistical technique such as confirmatory Factor Analysis is used to analyze the strength weakness, Opportunities and threats in rural marketing. The t test has been administered to find out the strength weakness opportunities and threats editor@iaeme.com
3 Limitations Dr. S. Nadarajan and M. Josephin Rangith The scope of the study is confined to only four districts selected from southern part of Tamil Nadu. The variables related to the various constructs developed in the present study are based on the review of previous studies. Strengths, Weaknesses, Opportunities and Threats (SWOT) in rural marketing: The SWOT analysis in rural market has been studied with the help of Strengths, weaknesses, opportunities and threats in rural marketing. Marketers View on Variables in Strengthen (ST) in Rural Marketing: The marketers view on variables in strengthen (ST) are discussed by the mean score of all eight variables in ST. The score of each ST are drawn from the mean score of variables in ST. The mean score of each variables in ST among the farmers and traders have been computed separately along with t statistics. The results are show in table no 1.1 Table 1.1 Marketers View on Variables in Strengthens (ST)) in Rural Marketing S.no Variables in ST Mean score among t statistics 1 Availability of products and raw materials * 2 Government support * 3 Provision of communication Facilities * 4 Untapped market * 5 Local Support * 6 Marketing capacity * 7 Marketing Knowledge * 8 Marketer Surplus * Significant at five percent level The highly viewed variables in strength (ST) by the farmers are marketing knowledge and local support since it s mean scores are and respectively. Among the traders, these two are availability of products and raw materials and marketing capability since it s mean score are and respectively. The significant difference among the farmers and traders have been noticed in their view on seven out of eight variables in ST since it s t statistics are significant at five percent level. Marketers View On Weaknesses (WS) in rural marketing The marketers view on variables in weaknesses (WS) are discussed by the mean score of ten variables in WS. The score of WS are drawn from the mean score of variables in WS. The mean score of each variables in WS among the farmers and traders have been computed separately along with its t statistics. The results are shown in table no 1.2 The highly viewed variables in WS by the farmers are lack of distribution net works and lack of communication since it s mean scores are and respectively. Among the traders these two are lack of communication and lack of distribution networks since it s mean scores are and respectively. Regarding the view on WS, the significant difference among the farmers and traders have been noticed in their view on all ten WS since it s t statistics are significant at five percent level 56 editor@iaeme.com
4 A Study on Strength, Weakness, Opportunities and Threats in Rural Marketing Table 1.2 Marketers View on Weakness (WS) in rural marketing S.No Variables in WS Mean score among t statistics 1 Lack of infrastructure * 2 Lack of communication * 3 Lack of system * 4 Lack of distribution network * 5 Lack of storage * 6 Poor consumption * 7 Multi tier system * 8 Customers segments * 9 Lesser research and development works * 10 No healthy competition * Marketers View on Opportunities (OS) in rural marketing The marketers views on opportunities are studied with the help of ten variables. The marketers are asked to rate these variables at five point scale. The mean score of each variables in OS among the farmers and traders have been computed separately along with it s t statistics. The results are show in table no 1.3 Table 1.3 Marketers View on variables in Opportunities (OS) in rural marketing S.No Variables in OS Mean score among t statistic 1 Growing income levels * 2 Increase in rural consumption * 3 Change in rural consumer behavior * 4 Developments in rural communication * 5 Growing literacy among rural consumer * 6 Growing quality customers * 7 Change in the life style of rural consumers * 8 Growing information * 9 Increasing infrastructure facilities * 10 Changing in tradition and customers * *Significant at five percent level The highly viewed OS by the farmers are growing urbanization and development in since rural communication since it s mean scores are and respectively. In the case of traders, these two variables are growing income levels and growing literacy among rural consumers since it s mean scores are and respectively. Regarding view on opportunities, the significant difference among the farmers and traders have been noticed in the case of all ten variables in OS since their respectively t statistics are significant at five percent server. Marketers View On Variables in Threats (TH) in rural marketing The marketers views on variables in threats (TH) in rural marketing are discussed by the mean score of ten variables. The score of each TH are drawn from the mean score of variables in TH. The mean score of each variable in TH among the farmers and traders have been computed separately along with t statistics. The results are shown in table editor@iaeme.com
5 Dr. S. Nadarajan and M. Josephin Rangith Table 1.4 Marketers View on Variables in Threats (TH) in rural marketing S.No Variables in TH Mean score among t statistic 1 Increasing grey market * 2 Growing unhealthy competition * 3 Poor knowledge in market * 4 Poor in exchange of marketing knowledge * 5 Lesser infrastructural facilities * 6 Difficult to focus on customer segments * 7 Difficult for product identification * 8 Difficult to predict rural consumer behavior * 9 Poor in brand awareness * 10 Price consciousness among rural consumers * Significant at five percent level The highly viewed variable in TH by the farmers are growing unhealthy competition and increasing grey market since it s mean scores are respectively. Among the traders, these two are lesser infrastructural facilities and growing unhealthy competition since it s mean score are and respecting. Regarding the view on TH the significant difference among the farmers and traders have been noticed in their view on all ten TH since it s t statistics are significant at five percent level. 5. SUMMARY OF FINDINGS The strength (ST) of the rural marketing as per the view of the marketers is examined with the help of eight variables. The highly viewed variable by farmers and traders are marketing knowledge and availability of products respectively. There is a significant difference among the farmers and traders regarding their view on seven out of eight variables in strengths. The opportunities in rural marketing are measured with the help of ten variables. The highly viewed variables in opportunities by the farmers and traders are growing urbanization and growing income levels respectively. The significant differences among the farmers and traders have been noticed in their view on all ten variables in opportunities. The threats in rural marketing at SWOT analysis is measured with the help of ten variables. The highly viewed variable in threats by farmers and traders are growing unhealthy competition and lesser infrastructural facilities respectively. 6. CONCLUSIONS The comparative analysis in SWOT reveals that the difference between strength, weaknesses, and the difference between opportunities and threats in rural marketing which enabling the trading organizations to evolve new marketing strategies. REFERENCES [1] Chan, P.Y.K., (1997), Re-examining a Model for Evaluating Information Center Success using a Structural Equation Modeling Approach, Journal of Marketing Research, 18 (1), pp [2] Li, W., Humphreys, P.K., Yeung, A.C.L., Cheng, T.C.E., (2007), The impact of specific supplier development efforts on buyer competitive advantage: an empirical model, International Journal of Production Economics, 106 (1), pp editor@iaeme.com
6 A Study on Strength, Weakness, Opportunities and Threats in Rural Marketing [3] Jacques Tacg (1997), Multivariate Analysis Techniques In Social Science Research, CA:Sage Publications. [4] Richard Arnold Johnson And Dean W.Wichern (2001), Applied Multi Variate Statistical Analysis, Paramus, NJ, Prentice Hall. [5] Singh, H, Goel, M.M. and signal, A.K(2012), New prospective in the rural and agriculture marketing, VSRD International Final of Business Management and Research, 2(1), pp: [6] Kotmi, D.P (2012), Prospects and Problems of Indian Rural Markets, Zenith International Journal of Business Economics and Management Research, 2(3), pp: [7] Nabi, M.K and Raut, K.C (1995), Problems and imperatives of rural marketing in India, India Journal of Marketing, February-march, pp: [8] Sharma, Y.K, Katewa, A.saxmasamiuddin, H.Dinvedi, V.M.Rahman, R (2005), Challenges of rural marketing. In r, Jaipur: National Publishing House, p:420. [9] Dixit kavaldeep (2007), Rural marketing issues and strategies, marketing mastermind, 7(1), pp:31. [10] Kotni, V.V.D.P (2012), Prospect and problems of Indian rural marketing, Zenith International Journal of Business: Economics and Management Research 2(3), pp: [11] Mannappa, O (2003), Rural marketing challenges in the new millennium Delhi Business Review, 4(1), pp: [12] Wath, M and Agarwal, P (2011), Rural marketing in Indian corporate: Issues and challenges, A Journal of Economics and Management 1(7), pp: [13] Kavitha, C.T (2012), A comparative study of growth, challenges and opportunities in FMCG of rural market, Inter Science Management Review, 2(3), pp: editor@iaeme.com
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