EFFECTS OF STRATEGIC MANAGEMENT PRACTICES ON BUSINESS GROWTH IN THE CEMENT INDUSTRY
Abstract
The objective of this study was to determine the effect of strategic management practises on business growth in cement industry. The study was seeking to determine the effect of strategic competition, strategic technology and strategic product differentiation on business growth. The study therefore targeted strategic managers as they would understand how strategic management influenced the growth of their businesses. The knowledge of strategic management would aid them in formulating better plans for their company. The study used descriptive research design; the sample size for this study was 55 employees of Bamburi Cement Limited scientifically derived from a population of 75 employees. Primary data was collected using questionnaires and were administered using drop and pick method. The data collected was analysed using descriptive analysis and regression analysis with the aid of IBM SPSS statistics 23 software. The study found that strategic product differentiation had a positive effect towards business growth (β = 0.652, p = 0.00). The study also found that strategic competition had a positive effect towards business growth (β = 1.058, p = 0.00). The study revealed that there was negative effect of strategic technology adoption towards business growth (β = -0.671, p = 0.00). The study concluded that business growth in cement industries was influenced positively by strategic product differentiation and strategic competition. The study recommended that the management should focus on implementing strategic competitive practises and strategic product differentiation practises. The study recommended to the government of Kenya to discourage import of cement for the mega projects to the country in order to boost and improve the market of the local cement firms so that they can increase their competitiveness and gain the capacity to develop cement products and meet the demand of the mega government and private projects both locally and internationally.
Key Words: Strategic Competition, Strategic Technology, strategic Product, Business Growth, Cement Industry
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DOI: http://dx.doi.org/10.61426/sjbcm.v4i3.522
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