Niche Marketing Strategy and Firm Performance of Bamburi Special Products Limited in Kenya
Loading...
Date
2020
Authors
Ndioo, Catherine Wayua
Kimencu, Linda
Journal Title
Journal ISSN
Volume Title
Publisher
Sage Global Publishers
Abstract
The study aimed to ascertain the effect of niche marketing strategy on firm performance of
Bamburi Special Products Limited in Kenya. The specific objectives of the study are to establish
the effects of market segmentation, product differentiation and market positioning on firm
performance of Bamburi Special Products Limited in Kenya. The study benefits policy makers
focused on developing policies for the concrete manufacturing sector in Kenya, scholars and
management practitioners. The relevant theories to study were Resource Based View, Porter’s
Generic Competitive Strategies, and Configuration Theory. An empirical review reveals evidence
that there is a positive relationship between niche marketing strategies and firm performance, but
that there is also limited research available on niche marketing strategy as a whole. The study
employed descriptive research design based on case study approach; while the population of the
study was decision making management teams at the company and the parent company Bamburi
Cement Limited. It made use of both primary and secondary data. A semi-structured questionnaire
was applied to collect primary data, with a pilot test done to augment the research instrument’s
validity, also increasing the research reliability. Collected data was analyzed using descriptive
methods including standard deviation and means, and presented using graphs and tables. A simple
regression analysis was done to show the relationship between the dependent and independent
variables. The study found that niche marketing strategies (product differentiation, market
segmentation and market positioning) significantly and influenced performance. The study further
established that product differentiation had the greatest influence on performance followed by
market segmentation and lastly market positioning. In Kenya, there are no comprehensive policies
on construction; the study therefore recommends the government of Kenya to develop
comprehensive construction industry policies that will guard the industry from challenges like low
completion rate of construction projects, low access to affordable project financing, lengthy
procurement procedures and inadequate harmony in policies, laws and regulations. Cement and
concrete manufacturers in Kenya face challenges principal among them being high power costs,
in addition to the market driven challenges, therefore the government should provide these
companies with a favorable environment that will favor their operations and growth for instance
providing them with affordable power supply.
Description
A research article published in Int Journal of Social Sciences Management and Entrepreneurship
Keywords
Business Strategies, Competitive Advantage, Firm Performance, Market segmentation, Market Positioning, Niche Marketing, Niche Market, Niche Marketing Strategy, Product differentiation, Strategic Management.
Citation
WAYUA, N. C., & LINDA, K. (2020). NICHE MARKETING STRATEGY AND FIRM PERFORMANCE OF BAMBURI SPECIAL PRODUCTS LIMITED IN KENYA. International Journal of Social Sciences Management and Entrepreneurship (IJSSME), 4(1).