Corporate Strategies and Performance of Tea Industry in Kiambu County, Kenya
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Date
2023
Authors
Wangai, Gorreti Wairimu
Namusonge, Mary
Journal Title
Journal ISSN
Volume Title
Publisher
IAJHRBA
Abstract
A corporate strategy is a move made by a
business to achieve its objectives and greater
organization performances. It’s about how
corporations add worth in a variety of
industries. The tea sector is currently
confronting issues that are jeopardizing its
success. Decline in profits, low returns to
farmers, decline in sales and market share
amid high operational costs have led to poor
performance of tea industry. The industry
performance has also been affected by the
rise in prices of manufacturing, exchange
rates of dollar, consumer preferences for
other drinks, price variations, market
abundance, market inelasticity, customer
needs for standardization procedures,
variations in weather situations, and the
presence of an unpredictable political
situation in the market among other
challenges. To remain afloat, it is important
to think of strategies that will bring growth
and improve performance of tea industry.
The purpose of this study was to establish the
influence of corporate strategies on
performances of tea industry in Kiambu
County, Kenya. The specific objective was to
investigate the influence of market
development on performance of tea industry
in Kiambu County, Kenya. The study was
anchored on Resources Based View Theory
and Balance Score Card model. The target
population of the study was 710 employees
working in the five factories at Limuru in
Kiambu County. These consisted of 102
senior level employees, 186 middle level
employees and 422 junior level/supervisory
employees. The sample size was 128 staffs.
The study used a descriptive research design
with the goal of gathering complete and
accurate data in order to achieve the study’s
goal with pinpoint accuracy. Questionnaire
was used to collect primary data from the
selected sample. Data was analyzed using
Statistical Package for Social Scientists
(SPSS) program based on descriptive,
correlational and regression analysis where
level of significance was assessed using 0.05
as the threshold. Ethical standards were duly
followed during this study. The study
established that there was a positive but
significant (p<0.05) association between
market development and organization
performance (r =.456, p = 0.000< 0.05). The
study found that market development
significantly influences organization's
performance. This study recommended that
tea industry in Kiambu County, Kenya
should use market development strategies to
attract customers to engage with the services
and products offered by the tea industry.
Description
Article
Keywords
Corporate Strategies, Market Development, Product Development, Diversification and Performance
Citation
Wangai, G. W., Namusonge, M. (2023). Corporate strategies and performance of tea industry in Kiambu County, Kenya. International Academic Journal of Human Resource and Business Administration, 4(3), 325-344.