PENETRATION STRATEGIES AND COMPETITIVE ADVANTAGE OF CEMENT MANUFACTURING FIRMS IN NIGERIA
Bassey Akpan Bassey , Michael P. Nnamseh, PhD and Francis Etim Andem, PhD
Volume 12 Issue 1
Abstract
Gaining and sustaining competitive advantage using strategic management tools such as penetration tools is very important to strategic management scholars and practicing managers. Hence, a study on penetration strategies and competitive advantage of cement manufacturing firms in Nigeria provides insights in management science and economic research. This study therefore examine the effect of penetration strategies on the competitive advantage of cement manufacturing firms in Nigeria. Three major firms operating in Nigeria were used for the study. A survey research design was adopted while using a total population of 395 management staff from the three firms. 395 copies of questionnaire were sent out and 356 were correctly filled and returned. The data collected were analysed using frequencies, percentages, simple linear and multiple linear regression analysis. The results revealed that there is statistically significant relationship between pricing and competitive advantage (p-values<0.01). Also, product quality improvement, shared statistically significant relationship with competitive advantage (p-values<0.01). This revealed that a hybrid model or strategy should be used to achieve significant competitive edge to strengthen its findings, multiple regression model with all the indicators was statistically significant with competitive advantage (p-value<0.001) and improved with an R2 value 0.317. Hence, concluded that penetration strategies have statistically significant effect on competitive advantage and recommend that cement manufacturing firms in Nigeria should use a combination of the various penetration strategies rather than one to enjoy significant growth in their competitive edge. Key Words: Penetration Strategies Competitive Advantage, Pricing, Product Quality Improvement
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