Effect Of Digital Marketing On Competitiveness Of Automobile Companies In Addis Ababa

Abstract

This research examined the Effect of Digital Marketing on the Competitiveness of Automobile Companies in Addis Ababa. To achieve the objectives of this study explanatory research design was used. Data was collected through questionnaires from 108 staff working in the sales and marketing departments at the head offices of 12 major established motor vehicle dealers in Addis Ababa. The data collected from the questionnaire were analyzed using STATA (Version 14) for descriptive statistics frequency and percentage using inferential statistics for correlation, multiple regression analysis, and Preliminary tests like Multicollinearity, Homoscedasticity, and Omitted Variable Test. The results of this study indicate that factors affecting digital marketing practice dimensions (social media marketing, email advertising, and social media advertising) have a positive and significant relationship with digital marketing. The results also indicate that, unlike social media advertising, the two factors of digital marketing dimensions (search engine marketing and email marketing) have positive and significant effects on digital marketing. The aforementioned factors of digital marketing dimensions significantly contribute 46.5% of the variance to digital marketing. The researchers believe organizations should start analyzing social media advertising based on the study's findings. Finally, Automobile Companies in Addis Ababa must reassess their digital marketing as much as possible to be competitive in their business.