Abstract:
The objective of the study was to investigate the role of advertisement on business
organization profitability in ambo mineral water Share Company. A study consider 70
employees as target population and 65 questionnaires were properly filled and returned
from employees of marketing and sales and finance department. The study employed
document analysis which was obtained from the head office of the company focusing on the
last five years income and profit history and interviewed four sales and marketing
department workers. A descriptive and explanatory (mixed) design were employed where
quantitative and qualitative approaches were used. Descriptive statistics such as frequency,
percentage, mean, standard deviation and inferential statistical analysis of correlation and
regression analysis has been used and Statistical Package for Social Science version 25 was
used to process the data analysis. The role of advertising on the profitability of the company
was very important. Reminder advertisement has the strongest role for the profitability of the
company. Informative and persuasive advertisement also had a significant role for the
company. However, Ambo Mineral water share company need to focus on reminding
advertisement, top management should be involved in the continuous evaluation and
monitoring of advertising to ensure that the goals and objectives set are achieved and
appropriate corrective actions are taken in the event of deficiencies by conducting market
research, the management should emphasize on advertising as an important and strategic
policy aimed at increasing profitability of the company.
