EFFECT OF PRODUCTION STRATEGIES ON FIRM PERFORMANCE OF EQUATOR BOTTLERS COMPANY LIMITED IN KISUMU COUNTY, KENYA
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Jun 7, 2023
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Abstract
The main objective for this study is to assess production strategies and firm performance in bottlers firms in Equator in Kisumu using government policy as the moderator. This was done in Kisumu county and it was guided by resource based theory. The study employed correlation design with target population of 845 employees chosen through stratified sampling and simple techniques. The sample of 387 employees was chosen by stratified random sampling and simple sampling techniques. The major research instruments was the questionnaire for primary data. The study conducted pilot study from Eldoret bottlers limited using Cronbach alpha value of above 0.7. The study adopted both inferential and descriptive statistics using mean, and percentage presented by tables and figures for interpretations. Correlation and regression analysis was chosen to establish relationship of variables. The findings showed that productive strategy was mostly applied resulted to improve cost of returns for firm performance. It also found that market strategies were not effective for firm performance which later reduces earnings through price wars. The study also recommended that production strategies can be enhanced for firm performance. Further, it was noted that strategic management of equator bottlers can review firm performance of 5 years and above. This resulted to the need to conduct another study for production strategies on the firm performance in other organizations.
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References
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Njoroge.G. J., Muathe S. and Bula.H(2016) effect OfTechnologyon Performance of Mobile Telephone Industry inKenya. International Journal of Education and Research (4)2
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Owolabi.S. A AndMakinde.O. G. (2012) the effects of strategic planning on corporate performance in University education: a study of BabcockUniversity. Kuwait Chapter of Arabian Journal of Business and Management Review 2 (4)
PrasannaRaravi1, Timmanagoudar S.N., (2014): Study on Government Policies and Regulation Factors which are affecting the Performance of SME’s (Manufacturing)”IOSR Journal of Business and Management (16),7ISSN: 2319-7668.
Rosenbusch, N., Brinckmann, J., & Bausch, A. (2011). Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs. Journal of business Venturing, 26(4), 441-457.
Rubera, G., & Kirca, A. H. (2012). Firm innovativeness and its performance outcomes: A meta-analytic review and theoretical integration. Journal of Marketing, 76(3), 130-147.
Short, J. C., KetchenJr, D. J., Palmer, T. B., &Hult, G. T. M. (2007). Firm, strategic group, and industry influences on performance. Strategic management journal, 28(2), 147-167.
Woolcoock, Chang Wing & Meng, Chan Tuck. (2002). Impact of ISO 9000 certification on quality management practices: A comparative study. Total quality management.
Van Biesebroeck, J., & Sturgeon, T. J. (2010). Effects of the crisis on the automotive industry in developing countries: a global value chain perspective. The World Bank.
Zoghi, M. (2007). Bureau of Labor Statistics, workplace Procurement
Andrew and Sirikin, (2014), Harvard Business school Press, payback Boston: Harvard Business Review.
Arasa.R and K'Obonyo.P., (2012). The Relationship between Strategic Planning and Firm Performance. International Journal of Humanities and Social Science (2)22: 50-66
Bright Donat (2010). Impact of Technology on the Business Strategy Performance Relationship in Building Core Competence in Uganda Small Medium Enterprises (SME’s). Proceedings of the 7th International Conference on Innovation & Management.
Bongsuk S., 1, Myoung S., C., and Woo-Y., S., (2019): Exploring the Effects of Government Policies on Economic Performance: Evidence Using Panel Data for Korean Renewable Energy Technology Firms.www.mdpi.com/journal/sustainability
ChangedzaiMafini, David, R. I. Poole (2014) Factors Contributing To The Unsuccessful Implementation of The BSC In A South Africa.
Cisco IBSG (2009), Effects of Manufacturing Innovation, The Transformation Of Product and Services, Cisco case Study in Innovations at Cisco. International Journal of Business and Management Science 3(1): 57.
Dandago, K. I. and A. Y. Usman (2011). "Assessment of Government Industrialisation Policies on Promoting the Growth of Small Scale Industries in Nigeria.“Paper Presented At the Ben-Africa Conference Zanzibar, Tanzania 31October–2 November 2011.
Gbolagade A, Adesola M.A, OyewaleI.O (2013)Impact of Marketing Strategy on Business Performance. A Study of Selected Small and Medium Enterprises (SMEs) In Oluyole
Gomera, S., Chinyamurindi, W.T. &Mishi, S., 2018, ‘Relationship between strategic planning and financial performance: The case of small, micro- and medium-scale businesses in the Buffalo City Metropolitan’, South African Journal of Economic and Management Sciences 21(1), a1634. https://doi.org/ 10.4102/sajems.v21i1.1634.
Harash, Yahya and Ahmed (2013).Impact of Government policies in the Influence of Market practices on Financial Performance of small and medium enterprises (SMEs) in Iraq.
Ibrahim T., M., 1 And MuritalaT., A., (2015):Does Government Policies Improve Business Performance? Evidence from Nigeria Journal of Studies in Social Sciences ISSN 2201-4624 (11), 2, 2015, 143-159.
Jill Jusko, December (2009), Open Innovation Strategy, Innovation management USA
Jepkemoi.E.K (2010).An Investigation of Effects Strategic Planning on the performance of Teachers Service Commission of Kenya.University Of Nairobi November,
Jonhsen A. (2001) balanced scorecard: theoretical perspectives and public management Implications, managerial auditing journal. 61-89
Kaplan R.S & Norton D.P (1996) using the BSC as strategic management sytemsKito C. (2008), quality in qualitative Research Med Australia 2ndEd.
Kathama, L. K. (2012). Strategic planning practices and performance of state corporations in Kenya (Doctoral dissertation, University of Nairobi).
Keitany, P., &Riwo-Abudho, M. (2014). Effects of lean production on organizational performance: a case study of flour producing company in Kenya. Eur J Logistics Purchasing Supply Chain Mgmt, 2(2), 1-14.
Kyengo. M. F (2014): The Relationship Between Manufacturing Strategy And Operational Performance Within The Metal & Allied Sector In Kenya. University Of Nairobi.
Kariuki, P. G., Maiyo, J., &Ndiku, J. M. (2016). Relationship between strategic planning and performance of public secondary schools in Kangundo Sub-County, Machakos County, Kenya. IOSR Journal of Research & Method in Education, 6(6), 99-105.
Kathuni, L. K., &Mugenda, N. G. (2012). Direct sales strategy applied by commercial banks in Kenya. International Journal of Business, Humanities and Technology, 2(7), 132-138.
Keegan, D. (2003) “Relationship marketing: strategic and tactical implications”, Management Decision, (34) 3: 5-14.
Martin M. (2014), The Effectiveness Of Business On Emerging Economics, Evidence From Panel Data Analysis In Manufacturing Enterprise In Poland.
Mathenge, P. M. (2017). Effect of online marketing strategies on performance of tele communication Companies: A case of Safaricom Limited. International Academic Journal of Information Systems and Technology, 2(1), 49-60.
Mbithi.M,Muturi. W., and Rambo.C (2015) effect of product development strategy on Performance in sugar industry in Kenya. International Journal of Academic Research in Business and Social Sciences, (5)12 ISSN: 2222-6990.
Mbugua F, MakoriM ;( 2016) Effect Of County Government Policies onthe Performance ofSmall and Medium Enterprise in Kenya: A Case of Kiambu County.
Meng and Chan Tuck 2012) Organization strategy Group and Industry Influence A comparative Study Total Quality Management.
Mogoi.S.M (2016):The Effect Of Technology In Strategy Implementation At The Nairobi CountyGovernment, Kenya.University Of Nairobi.
MohdShariff, M.N. Peou, C. Ali, J. (2010). "Moderating Effect of Government Policy on Entrepreneurship and Growth Performance of Small-Medium Enterprises in Cambodia."
Muchiri. M. I (2015): Factors Affecting The Adoption Of Technological Innovation In Selected Organizations In Nairobi, KenyaUnited States International University - Africa
Mugenda and Mugenda (2003) Research methods, African center for technology studies (ACTS) Nairobi in Kenya.
Murat AtlayFulya and Sarvan, (2013), The relationship between Innovational and Firm Niven, P.R (2006) Strategic Management Perspectives, 2nded. New Jersey.
Muthengi.W.K (2015):The Effects of Marketing Strategies on Sales Performance of Commercial Banks in Kenya. University Of Nairobi.
Nguru.F.W.Ombui.A.K. and Iravo.M(2016) Effects of Marketing Strategies on the Performance of Equity Bank. International Journal of Scientific and Research Publications, (6), 10, ISSN 2250-3153.
Njoroge.G. J., Muathe S. and Bula.H(2016) effect OfTechnologyon Performance of Mobile Telephone Industry inKenya. International Journal of Education and Research (4)2
Odinga, V. N. (2014). The Role of Information and Communication Technology in Strategy Formulation in KenGen,MBA Project, University of Nairobi.
Odhiambo.V.A (2015): effects of marketing strategies on the performance of retail stores in Footwear sector in Nairobi City County.University Of Nairobi October,
Odongo M. S., and Owuor.D (2015)Effects of Strategic Planning on Organizational Growth. (A Case Study of Kenya Medical Research Institute, KEMRI).International Journal of Scientific and Research Publications, (5),9, 1 ISSN 2250-3153 www.ijsrp.org.
Ogohi D.C effects of marketing strategies on organizational performance International Journal of Business Marketing and Management (IJBMM) (3) 9 01-09 ISSN: 2456-4559 www.ijbmm.com.
Oguba, N. W. (2015). Effects of Kenya government regulations on the strategic planning process of National Oil Corporation of Kenya (Doctoral dissertation, University of Nairobi).
Okumu, E. A. (2014). Strategy, Technology and Innovation in Low Cost Housing by Elsek and Elsek (Kenya) Limited.
Ortega, C. H. (2012). Analysis of interaction fit between manufacturing strategy and technology Management and its impact on performance. International Journal of Operations and Production Management, 3(8), 985-981.
Otaigbe.A.O.,& Chinedu.M.I., (2015)Strategic Planning As an Effective Tool on Organizational Performance in Nigeria: An Empirical Study of Some Firms in Delta State. G.J.I. 4(6):68-72ISSN: 2319-8834
Otieno A. A. (2013). Factors Considered by Kenyan Commercial Banks in Strategic Positions, Unpublished MBA Project, (Nairobi University).
Owolabi.S. A AndMakinde.O. G. (2012) the effects of strategic planning on corporate performance in University education: a study of BabcockUniversity. Kuwait Chapter of Arabian Journal of Business and Management Review 2 (4)
PrasannaRaravi1, Timmanagoudar S.N., (2014): Study on Government Policies and Regulation Factors which are affecting the Performance of SME’s (Manufacturing)”IOSR Journal of Business and Management (16),7ISSN: 2319-7668.
Rosenbusch, N., Brinckmann, J., & Bausch, A. (2011). Is innovation always beneficial? A meta-analysis of the relationship between innovation and performance in SMEs. Journal of business Venturing, 26(4), 441-457.
Rubera, G., & Kirca, A. H. (2012). Firm innovativeness and its performance outcomes: A meta-analytic review and theoretical integration. Journal of Marketing, 76(3), 130-147.
Short, J. C., KetchenJr, D. J., Palmer, T. B., &Hult, G. T. M. (2007). Firm, strategic group, and industry influences on performance. Strategic management journal, 28(2), 147-167.
Woolcoock, Chang Wing & Meng, Chan Tuck. (2002). Impact of ISO 9000 certification on quality management practices: A comparative study. Total quality management.
Van Biesebroeck, J., & Sturgeon, T. J. (2010). Effects of the crisis on the automotive industry in developing countries: a global value chain perspective. The World Bank.
Zoghi, M. (2007). Bureau of Labor Statistics, workplace Procurement