EXPLORING THE INFLUENCE OF PRODUCT NATURE ON FIRM PERFORMANCE: A PERSPECTIVE FROM KENYA’S SOFT DRINKS MANUFACTURING INDUSTRY
Abstract
Purpose of Study: The sought to establish the influence of nature of product on the performance of soft drinks in Nairobi Bottlers Company, Nairobi County. The study was anchored on resource-based view theory and theory of performance.
Problem Statement: Growth of a business sometimes complicates the process of moving products from manufacturers to customers. Business organizations must confront the issue of how to effectively optimize distribution logistics to meet customer demands. Most companies are recognizing that distribution strategy must be robust enough to handle current demand, while remaining flexible enough to react to changing market conditions and minimize business risk.
Methodology: The study adopted descriptive survey design to examine the relationship between the independent and dependent variables. Target population was 2345 people who include distribution department, whole sellers as well as retailers in the company. The study used stratified sampling technique to select groups of its subjects. Simple random sampling method was then used to select a sample size of 341 respondents. Data analysis was done using descriptive as well as inferential statistics. This was done via Statistical Package for Social Sciences (SPSS).
Result: The findings revealed that nature of product had a positive and significant influence on the performance of Nairobi Bottlers in Kenya (β =.382, p=.000<.05).
Conclusion: The nature of product has a significance influence on performance of Nairobi Bottlers Company Limited, this evidently implies that taking care of nature of product enhances performance of the company.
Recommendation: Firms should ensure that the products they produce take into account the various aspects associated products to enhance their competitiveness and this will in turn assist firms to perform.
Keywords: Product Nature, Firm Performance, Soft Drinks Industry, Resource-Based View Theory, Nairobi Bottlers Company
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