The Effects of Practices and Challenges of Advertisements, Sponsorships, and Mechanisms on Efficient Revenue Generation of Oromia Radio and Television Organization
Purpose: The objective of this Research was to examine the Effects of Practices and Challenges of Advertisement, Sponsorships, and Mechanisms on Efficient Revenue Generation in Oromia Radio and Television Organization. Design/Methodology/Approach: The study used descriptive and explanatory research design which incorporated quantitative research approaches. A Simple Random Sampling Technique was used and analyzed based on SPSS software version 16. Findings: As the result of finding indicated, Revenue Generated from Advertisements and sponsorships practices were not able to employ and attract qualified staff in reaching out to audiences and to expand and reach target audience faster in ORTVO. However, a little improvement practices had seen on respecting of editorial policy for broadcasting. The result of Pearson Correlation indicated that positive and significant relationships were existed between all variables. The linear regression analysis indicated, Revenue Generation Efficiency can be predicted from the combination of Advertisement and Sponsorships Practices, Sponsorships and Advertisements Challenges, and Mechanisms to Generate Revenue at F=23.828, p<0.05 in which Mechanisms to Generate Revenue is the most influential factor that significantly effect on the Revenue Generation Efficiency with (beta = 0.522, t=5.395), at 99% confidence level (p < 0.05). Statistically significance differences were seen between managers and non managers at the p<05, and between groups in Revenue Generation Efficiency [F (2, 81) = 3.484, p=.035] on basis of ages. Practical Implications: Furthermore, the organization was not efficient in generating its revenue and poor handling mechanisms with sponsors and working agents. Originality/Value: The management of the organization should have to work hard on the improvement of using traditional way of transmitting format for programs, draws a strategic plan for any sponsorships, given concern to mechanisms used in revenue generations and knowing its challenges and mitigating it at a time.