The Role of Public Relations in Building a Sustainable Corporate Image

THE ROLE OF PUBLIC RELATIONS IN BUILDING A SUSTAINABLE CORPORATE IMAGE: A STUDY OF BENUE STATE INTERNAL REVENUE SERVICE (BIRS)

Concept of Public relations

Public relations is a field of study that has attracted so many definitions; but the numerous definitions have a lot in common. A major reference is that, public relations involve creating mutual understanding between organizations and their public.

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Public relations is a systemic approach to issues in the management of organizations image, programs and policies, through a deliberately planned communication for mutual co-existence. Black (1978) in Chile (2011:4).  This means that public relations is the carefully planned procedure of articulating organization programs through intensive effort and by ensuring smooth lines of communication for the purpose of guarantying a sustainable relationship with the publics.

In a similar vain Asemah (2011:2) citing Osho (1992:22) described public relations as “the management function which evaluates publics attitudes, identifies the policies and procedures of an organization with the public interest and executes programs of actions and communication, to earn public understanding and acceptance.”  Public relations therefore, is about creating and applying planned promotions, responding to issues and ensuring that the organization is always, correctly and positively presented.

For a deeper link between an organization and its publics, Cutlip et al (1985) as cited in (Amendola 2004:8) stated that “public relations is the management function that identifies, establishes, and maintains mutually beneficial relationships between an organization and the various publics on whom its success or failure depends.” This means that public relations is a set of management, supervisory, and technical functions that foster an organization’s ability to strategically listen to, appreciate, and respond to those persons whose mutually beneficial relationships with the organization are necessary if it is to achieve its vision.

In spite the numerous available definitions of public relations; one of the greatest problems which public relations practitioners in Nigeria have had to grapple with over the year has been that of credibility stemming from society’s wrong perception of what public relations is. Worse still is the fact that lots of practitioners themselves do not have a clear idea of what public relations actually are. For this reason, many come into the profession with the wrong motives, intentions and perceptions. Nwosu (1997) in Olusegun et al (2006:6) identified some of these misconceptions, thus:

  1. Public relations is not about lying and selling falsehood about your product and organisation. It is not about denying every statement that does not favour your organisation. It is not about prevarication. Public relations is about telling the truth all the time.
  2. Public relations is not about bribery. This wrong idea about public relations came to the fore recently when a Nigerian minister of education excused his action of bribing the executive arm of government to increase his ministries budget allocation as public relations. According to him, the bribe was ‘PR’. The truth is that public relations is not bribe giving.
  3. Public relations is based on moral principles and as such it is not ‘arranging’ pretty ladies for international visitors to government houses or to chief executives of companies, clients, board members, etc. If there is any profession where morality should be held in high regards, it is in public relations because it enhances public confidence in the profession.
  4. Public relations is not magic, enchantment or paranormal. For this reason all its activities are based on scientifically provable and empirical methods. Public relations is based on high performance, quality performance, quality and credibility in terms of products, service, policies and practice.
  5. Public relations is not about organising parties and other social events. No doubt, public relations do activities of this nature, but not in the sense of making it its only preoccupation.
  6. Public relations is not about employing pretty ladies lacking in morals and principles to woo men into acting against their wishes.
  7. Public relations is not about being a yes-boy or a bag carrier for your boss’ madam or relations. Rather it is a dignified and noble profession that attracts self confident, intelligent and self respecting men and women.

To achieve  success in any public relations program organizations and practitioners have to really understand what public relations is and ensure that the follow the tenets of the profession.

Public relations as an integral part of organization’s marketing communication strategy perform the following functions as highlighted by Haynes (2003p, 2-4):

  1. Community Relations—Coordinating “good neighbor” activities; developing community understanding of organization’s problems, needs and benefits to the communities in which the organization operates; working with groups in areas where organization has major operations; developing a good operating climate for the organization. Sometimes this function includes the media relations personnel who work with media at the local level.
  2. Consulting—Developing and recommending public relations policies; contributing public relations viewpoints in formulation of corporate decisions. In most organizations, this function is provided by the managers/directors who head the department and its various sections.
  • Contributions Programs (sometimes part of the Community Relations function)—Developing policy for corporate donations; processing contributions requests; administration of a private foundation established to fund charitable, civic, education, and religious causes; conducting United Way and other approved employee solicitations.
  1. Customer Relationsassuring that the organization’s customers are satisfied. This function includes dealing with customers’ inquiries, responding to complaints and advising senior management on customer related issues and concerns. This function can be an important “early warning system” that allows other functions within public relations to prepare responses to threats to the organization. When an organization has a facility that is open to visitors, Guest Relations may be a part of Customer relations.
  2. Government Relations—this function is more often called Public Affairs. The function is responsible for monitoring government regulations and legislation affecting the organization; maintaining liaison and good will with appropriate governmental units at the local, state, and national level; reporting trends in government affecting the organization; recommending action as needed; preparing for and directing appearances before investigating bodies or hearings; directing programs designed to promote the organization’s point of view in legislation and elections, and providing information to employees/members and shareholders on pending legislation and regulation. In some organizations, Public Affairs also coordinate employees’/members’ contribution to a Political Action Committee (PAC) which communicates with legislators and government officials to influence legislation and regulation.
  3. Guest relations—conducting office and plant tours; new plant and/or building dedications; guest reception activities. Preparing brochures, tour guides, tapes, videos, maps and other guest-related communications materials. Of course, this is a major function in the tourism and entertainment industry.
  • Internal Communications—Preparing and publishing employee and membership bulletins, newsletters, newspapers and magazines; Internet/intranet content; videotapes; bulletin board programs; employee and member conferences; teleconferences, and communication with management and board members. In smaller organizations, this function may include tours, open houses and employee recognition banquets and awards.
  • Investor Relations (or Member Relations in membership organizations)—Communicating with owners of the organization, whether they are shareholders of a corporation or dues-paying members of a non-profit organization; communicating with related groups such as financing institutions, brokers, securities and financial analysts, and preparing and coordinating annual meetings, conferences, seminars and communications materials such as Internet site content, magazines, annual reports, quarterly statements and dividend check inserts.
  1. Media Relations—preparing position papers on issues of importance to the organization; handling publicity; issuing news of activities to external audiences; establishing and maintaining contacts with the mass media; is handling responses to inquiries from the news media; coordinating media conferences and tours; tracking and evaluating media coverage.
  2. Product/Service Publicity (often called Marketing Publicity)—Announcing new products, new services and enhancements in products and services, through editorial channels of mass media; developing and executing promotional programs.
  3. Publications—preparing and publishing materials for special constituencies including dealers and agents, advisory bodies, alumni and alumnae.
  • Research—the people in this function are responsible for gathering information needed by writers, editors and other staff members, using libraries, online databases, publications, associations and outside research organizations. They also may oversee the activities of research assistant(s) and/or research firms and direct informal and formal research studies, including surveys, focus group interviews, communications audits and media content analyses.
  • Digital Communications—Using Internet sites, intranet sites, e-mail and other digital means to prepare and deliver messages to specific constituencies. This activity is normally not a separate function but is an integral part of other functions.
  • Others—Speakers’ bureaus; audiovisual assistance; public information; organizational history archives or museum; photographic services.
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Public relations involve a diversity of functions. The people who do the work of public relations, that is PR practitioners, do different kinds of work, and they are a multitude indeed. Nevertheless, these functions are interrelated and are directed towards the achievement of a singular goal: the creation of mutual understanding between organizations and their publics.

2.2.2 Concept of Corporate Image

The concept of corporate image is one of the most central theoretical constructs to the study of public relations. An institution’s corporate image is formed on the basis of its history, beliefs, and business philosophy, nature of its technology, ownership structure, the people that make up the institution, and its ethical and cultural value system.

For any individual, government and especially for a business venture, it might be suicidal to say “I don’t care about what people think or say my conscience is clear on this.”

According to Banjo (1999:82), “I want to assert that what people say or think about you or your organization matters a lot.” So your image can make or mar you. When they see you as a corporate or individual and they say so, they identify with you and encourage others to indentify with you. This advances your course and makes your enterprise successful.

There are many definitions of image as these are practitioners. Asemah (2011:64) defined image as an impression, feeling or the opinion which someone has about people, product, service or an organization as a result of contact with the organization or the people. This definition highlights some features of image particularly that it has to do with how people view organization or services. This means that image is an impression which one has on something favorable or unfavorable, and perfect or imperfect depending on the contact of the person with such organization.

In view of this Wan and Schell (2007:26) asserted that “organizational image is the impressions that result from the interaction of a person’s beliefs, ideas, feelings, and perceptions about the organization.” Since image is mutually negotiated, the construction of an organizational image may entail reflection of public desires and expectation.

Image could be seen as the entire picture of a company or an organization held by people that come in contact with the organization.

Onuorah (1995:68) also supported this view when he said that, image is the total reflection of an organization and that it represents the whole impression or views held by people about the organization.

Offory (1995:62) emphasized that any company that succeeds, does so because of its personality. Companies have their own personalities like human beings. It is impossible for a company to progress without a good image what is true of human beings is also true of a company personalities like image is a function of several variables like environment, family, economics, social and political factors.

Nwosu (1992:12) also supports this view when he said:

“The image of any organization which refers to how people perceive it is really determined or brought about by so many factors and so, many inputs from many people in the organization. It also hinges heavily on the careful formulation and implementation of sound corporate strategy to ensure positive corporate performance which in turn brings about positive image or positive public perception.”  

Black (1988:41), also states that “a greatest deal of a company’s image begins with social public relations.”

The origin of a good image is the selection of good personnel, providing sound training and developing good attitude to work. It’s not possible for a man to be involved personally with every institution, events or organization; he depends most of the time on these images, picture or perceptions of them. In recognition of this Veljkovic and Petrovic (2011:79) stated that:

In building corporate image, company management should carefully approach the issue of conceiving and managing tangible components that influence the formation of image – the array of products and/or services offered their attributes, additional, clearly observable benefits, etc. Attention should also be paid to intangible components that are becoming increasingly important in the process of differentiation from the competition and the building of a distinct corporate image under contemporary market conditions – service before, during and after sales, loyalty programs, specially designed service and benefit packages for specific buyers, etc.

   

The organization do these because, they have realized that it is based on the content of those information flow that they inferred constant and subjective interpretations that make-up the public image of their corporate entity are formed. Image is build overtime, developed through cumulative effect of many messages. The image of an organization is formed in the minds of customers, citizens, employees, volunteers, investors, and etcetera. That is why Arnoff (1993:31), noted that image is a composite of people’s attitude and beliefs about the organization.

From this point it could be said that for any organization to have a corporate image of must have an admiring reputation build through its programs that are of interest to its customers.

 

2.3    Review of Related Works

Every citizen or corporate body would like to be identified as good because that is what the society demands: being a good citizen imbues you or your enterprise. It is therefore a social stigma to be identified as a bad citizen. It is even worst if the citizen in question is a corporate entity. No wonder one of the central messages is that every company will seek to communicate to society if that is a good corporate citizen.

Reputation, it is said is the magnetic force that pulls clients to the service or the products of an organization. Copley as cited by (Akin and Dimerel 2011:130) looks at Corporate image as “a set of meanings by which a corporation is known that can be used by the observer to describe, remember and relate to it  via the interaction of beliefs, feelings, perceptions and impression.” A disreputable organization is likely to suffer from lack of patronage. This factor establishes the need for quest for image building among

Bernestin (1984:103) observed that a corporate image is powerful; it helps to determine how a person will behave towards a company. How that company is perceived a weak or strong, open or dubious, warm or cold, rigid or flexible. The role of PR therefore is to assist in building and protecting an organization’s image. This requires an intensive and continual PR research in order to identify problems spots. Corporate image tends to be associated more with mental thought, intangible invisible things or impression.

It is therefore paramount to state that the success of any company is determined by its corporate image. Its corporate image must be solid, dependable, law abiding, trustworthy and socially responsible.

In this view, Onuorah (1992) highlighted the importance of corporate image as follows.

“Corporate image helps to keep the people within the company: it attract capital to the company at favourable term, create confidence in any product that bears the name of the company which manufactures it; it helps to ensure acceptance it gives a company an edge in attracting good talents, it help in giving an opportunity to the company to secure efficient and profitable distribution system and network; it gives the company edge with dependable sources of supply. It also helps the community to understand the company’s mind and doors to the company’s activities, problems and challenges: it helps to break barriers of resistance against a company.”

More so, social friction and conflict can be reduced within an organization and other valuable interaction programmes. It helps reduce misunderstanding and open disagreement between an organization and its various publics. It helps to shift loyalty and purchasing decision in favour of an existing product, it also creates a strong corporate leadership through social responsibility and corporate responsiveness.

Adekunle (1994:147) stated that corporate image also enables a company to expand its market share, build customers loyalty and attract investors, motivate employees and indeed help to survive the stormy times of economic down turn.

According to Olusegun (1992:147), if a company has a bad internal image, it will affect the product quality and if it has bad product, it will affect the staff. No shareholder will be willing to buy shares in a company with a bad image.

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The concept of corporate image is adapted to a company’s direct involvement in the community affairs. The continued acceptance of a company and its events survival depend to a large extent it’s demonstrating, or not only on awareness and capacity to do something about the problems

Ajala (1993:56) postulated that developing corporate image is a complex and difficult task demanding intellectual vigour. Creativity and Corporation, it therefore should be overseen by the entire management and not just the public relations practitioners alone, she stated that:

Corporate image may be more effective when task of building it, is the task of all employees from senior to chief executive. Identity is the responsibility of the people who run the organization not only the designers. If managed collectively, the identity acts as a catalyst for corporation which leads to greater commitment, a sense of belonging an excitement. All these command staff confidence in management.

The primary fact behind a good image is that it has to be earned. You cannot go out and buy it like a new shirt or can it be made overnight. Building a corporate image is concerned with building confidence and credibility by helping your target group understand you better. Familiarity in this case normally improves acceptability of who you are or what you are doing ignorance on the other hand can lead to mistrust or even contempt in some situation.

Thus not withstanding for any organization to attain corporate image, it must appreciate PR strategies. It is an accepted fact that public relations are important in the building of all types of organizations today. It is expected to pay direct and indirect roles in gathering goodwill for the organizations and demonstrating public accountability and social responsibility.

According to Ogundipe (1990:237), “there are different organizations, however, public relations is expected to play expectations of both organization and their target publics.” The tax institution is a service oriented one for any service to be desired, there must be a conscious need for it such a need must be generated by knowledge of it’s ability to satisfy customers requirements. A public relations role in the management of tax institution is to disseminate information on what the institution does and how it does it. The survival of an organization, it is said, depends on its management to successfully mobilize all available resources towards achieving set goals.

Jefkins (1980:96) noted that management is a process of gathering and using human resources in order to obtain objectives, to the international Public Relations Association (1936) has this to say:

Public relations is a management function, of continuing  and planned character, through which public and private organizations and institutions seek to win and retain the understanding sympathy and support of those with whom they are or may be concerned by evaluating, public opinion about themselves in order to correlate, as far as possible, policies and procedures to achieve by planned and widespread information more productive co-operation and more efficient fulfillment of their common interest.      

Arnoff (1983:31), Observed that public relations has to be there in the management position to supply inputs to caution about possible consequences on certain decision of management. When it comes to reaction of people, public relations as a behavioural science predicts it better. In building a sustainable corporate image therefore, organization should take into cognizance the vital role other aspect of public relations such as community relations, customer relations, employee relations and media relations play.

Olusegun (1992:37) opines that there is need to constantly create repot among all cadres of staff in any organization, since this helps to build a conductive working environment. He states that: managing a business in recent times is teamwork; there should be dialogue between management and staff on any policy. The employees have the right to be heard and to negotiate. They employees have the right to be heard and to negotiate. They have the right to present their demands to the management; there should be two way communications always.

An agency like Benue State Internal Revenue Board (BIRS)   should treat the issue of employee relations seriously, since they are the asset that makes the hospital work. It is not the management alone that can do it, they turn the idea to work and they make the money. Supporting the view of Olusegun, Keghku (2003:6) states:

It involves, among other things, ensuring two way flow of communication between the management and the employee in any organization. It involves working with the industrial relations and personnel departments to ensure industrial harmony in the organization by ensuring good employee motivation practices.   

Black (1989:121) opines that employee relations can contribute to the creation of an atmosphere in which people work more effectively and willingly and it can initiate suggestions schemes and safety campaigns, it can enable management to communicate more effectively with employees at all levels.

The concept of employee relations as strategy of building a sustainable corporate of Benue State Internal Revenue Board (BIRS) entails appreciating the contribution of employee benefits, training and educational facilities. Black also said that PR cannot be generated to proven disputes, but well concerned public relations programs can play a useful part in eliminating rumour, misunderstanding and lack of information which often lead to industrial actions. Failure of management to take employees of a company into confidence is often disastrous.

Onyenye (1999:69) describe community relations as the planned two way communication which an organization creates and maintains with members of its community to ensure to a large extent, on the degree of peace and tranquility it enjoys in the community it is located. It is therefore important that Benue State Internal Revenue Board (BIRS) should make and maintain conscious efforts to have a cordial relationship with its host community.

Adesina and Ogunsadu (1980:80) summed the relationship up thus:

Organizations heads should get the community involved in the activities of the bank and similarly get the bank involved in the activities of the community. The community should be encouraged to use the banking scheme. It is expected that those and other activities would ensure greater involvement of the organization in the community and community in the organization.

The relevance of public relations to taxing, especially in engineering goodwill, trust and understanding among teaming tax payers, and securing the understanding of employees can not  be over emphasized. An organisation will likely have a problem of success, if it does not have public relations, which is a key aspect in modern business.

A part from stressing efficient customer services, an internal revenue board’s public relations should also focus on improving the corporate image of the board to the customers. Hence, there is need for the board to inform necessary role public relations can play in the day to day running of the board. This is because public relations has numerous objectives and activities in internal revenue boards, these roles include; creating awareness, promoting the board’s services and achieving its marketing objectives, promoting the board’s corporate image in a way to obtain most favourable reaction and goodwill from the public, and creating a congenial atmosphere and environment for the internal revenue board’s operations.

 

2.4    Review of Empirical Studies

In a research study by Igboka Ebelechukwu Nwaku (2000), on financial public relations in banking industry. A case study of First Bank Nigeria Plc. using questionnaires and oral interview method, it was found that public relations outfits lack professional touch. Since then financial public cannot identify financial public relations in the bank. Also the bank was only contended in publishing the financial reports in the newspapers and not sending it directly to the consumers.

The study concluded that banks must have a good relationship between itself and those individual that exert influence on its activities.

Another study by Achigili Eheya Moses (2003) on the corporate image of Nigerian Public Corporations. A case study of NITEL using questionnaire and oral interview method found that public relations have a very negative picture of NITEL which is shown in their passing of dangerous comments about NITEL. Most of the criticisms are as a result of ignorance on the part of the public of the real problems of NITEL and the effort the authority is making to ratify these problems.

The study concludes that NITEL need to put in place more public relations tool. The researcher suggested that NITEL should introduce the following: community relations, which would help boost mutual relationship between the corporation and its various communities.

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In a study by Ofikwu, E. Patrick (2008) on Public Relations and Effective Image building: A study of PHCN Makurdi District. Using questionnaire method found out that most of the respondents have negative impression about PHCN as a company. This negative perception is because of inefficiency, vandalism and poor management of the power sector.

This study concludes that public relations occupy a strategic place in building an effective image for every organization and PHCN is not an exception. For a better image therefore, the power sector is expected to perform optimally as no public relations effort would be successful without the customers gaining dividends and utmost satisfaction. The study also suggested that the company should encourage public participation in its activities; decision and policy making process- by organizing forums and involving community leaders, the military and the police force in planning and protection of PHCN installations.

In a study by Imonga, C. Oziegbe (2004) titled corporate image of Paramilitary Organisations: An Evaluative study of Nigeria Prisons Service, Makurdi. Using questionnaire method was able ascertain the publics’ perception of the organisation, and also find out about the welfare of the inmates and those awaiting trial.

The finding revealed that a greater percentage of the respondents had negative perception of NPS due to its poor and ineffective services. It was also discovered that NPS could not be relied upon to effectively take care of the inmates. The researcher concluded that the organisation has not carried out enough public relations activities to make sure that their problems become known to the public. Furthermore the study suggested that community relations should be used to help boost mutual the mutual relationship between the organisation and its various communities.

The related studies reviewed above, all show that organizations need to use public relations to build a sustainable corporate image at the same time convince the publics to patronize their products and services when the need arises. These studies also showed that public relations messages have effects on the public.

A research study like this can’t be successful or achieve its feat without a broad theory to guide it, and also to tie various related studies together.  

2.5    Theoretical Framework

To give this study a theoretical background the research is anchored on three theories namely:

  1. Open system theory
  2. The two-way symmetric model and;
  3. Self presentation theory.

2.5.1 OPEN SYSTEM THEORY

Verna (1975:199) explains that the theory sees organization that cannot satisfy the environment in which it is found is as good as dead. In summary, the basis of this theory is for any government agency to survive, it must be patronized by the public, and similarly the service rendered by the agency must satisfy the public.

The virtue of being a good corporate citizen corresponds with the existence of a symbolic relationship between the society and the corporate entity. One does well because customers permit it. The customer does well because the organization contributes to their growth. Both suffer in the state of natural exclusion. It is thus in the interest of both parties to sustain the give and take relation.

2.5.2 The Two-Way Symmetric Model

The two-way symmetric model was propounded by Gruing and Hunt in 1984. This model advocate free and equal information flow between an organization and its public, leading to mutual understanding and responsiveness. The two-way symmetrical model describes public relations efforts in terms of its research-based description as the use of communication in improving understanding with strategic publics (Lattimore et al, 2001 in Lukusa 2009:24). This model attempts to adjust the organisation to its environment as well as adjusting the environment to the organisation. It focuses on the use of social science research methods to achieve mutual understanding and two-way communication rather than one-way persuasion.

This theory could be regarded as the most magnanimous and all embracing theory of public relations. Under the two way symmetric model, dialogue exist instead of monologue communication approach, the question of right and wrong is always brought to the open deliberation, it also advocate for adjustment and consensus in a mutually satisfying and beneficial manner for the harmonious co-existence of an organisation and its publics.

The two-way symmetric model is used mostly by professionals employed by business, non-profit organization, and special interest group that find themselves in conflict situation. The model uses two-way communication to achieve mutual understanding and to resolve conflicts through negotiation and compromise instead of insisting that all change take place among the audiences, this model suggest that there is room for compromise on the part of both the communicator and the audience.

2.5.3 SELF PRESENTATION THEORY

This theory by Myer cited in Daramola (2003:58), emphasizes the need to create the right impression which makes us adjust our social performance to meet the desired outcome. The theory explains how our need to be consistent with social expectations affects our attitudes.

In a nutshell the theory concerned itself with image management. Financial organizations present themselves to fit into the expectation of people so as to create right impression of themselves to the public for the purpose of its corporate image.

The impression on image creates in the mind determines the behaviors, attitudes, and decision of those affected by the impression. This impression forms a basis for the perception of reality. Therefore organizations take cognizance of the needs, wants, and demands of their public(s). Indeed, no individual or organization wants to be perceived as being inconsistent, and thus Daramola says, “We express attitude that matches our action.”

The theory emphasizes self confidence in self presentation so as to be accepted or being approved of by people. Other words, to create the right impression, an organization must be presented in a positive manner through cordial relationship.

This study is anchored on the two-way symmetric since the model is regarded as the most acceptable model of public relations. Under the model, dialogue exists instead of monologue and it also advocates for mutual satisfaction and benefit for the harmonious co-existence of an organisation and its public. The open system theory and the self presentation theory were used to support the fact a good image can promote the image of any organisation.

2.6    CHAPTER SUMMARY

This chapter has been able to provide the theoretical framework underpinning this study as contained in the three theories discussed. The review of literature has cut across scholar’s view about the use of public relations in building and sustaining corporate image. All these are highlighted in line with their relevance to this study. It also revealed the importance of public relations and how it could be applied in building and sustaining a respectable corporate image effectively.

The review of other research works carried out by other scholars revealed that organization have not really been adequately using public relations in building and sustaining corporate image. This could be inferred from the researches of Igboka (2000), Achigili (2003), Ofikwu (2008) and Imonga (2004). However, the contributions of this study is the generation of inputs that will enhance the use of public relations effectively in building and sustaining corporate image in public institutions.

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