PRODUCT DEVELOPMENT STRATEGY AND COMPETITIVENESS OF ISO CERTIFIED MANUFACTURING FIRMS IN KENYA
Abstract
This research looked at product development strategy and competitiveness of ISO-certified manufacturing firms in Kenya to assess how, as one of the organic organizational strategies, it can be applied by firms at the corporate level to achieve competitiveness. The study sought to explore how the explanatory influenced the competitiveness of ISO-certified manufacturing firms in Kenya. The moderating variable, being industry characteristics, was introduced to establish the extent of the effect on the dependent variable. The study performed a descriptive survey targeting forty-one (41) ISO-certified manufacturing firms in Kenya. The primary data source was a self-administered structured questionnaire. A secondary data sheet was employed as a tool for measuring the dependent variable. The procedure for data collection was the ‘drop and pick later’ method. Data analysis was done using descriptive with mean score and standard deviation used. Inferential statistics was undertaken by applying the Pearson correlation coefficient and multiple regression model to analyze and determine the link between the predictor and the predicted. In testing the research hypothesis, the p- value in the Anova test was used while F-statistics was computed at 95% confidence level to test the possibility of existence of any significant relationship between product development strategy and competitiveness of ISO certified manufacturing firms in Kenya. The !1study found that firms employed innovation capability to improve productivity, brand recognition and value. In addition, firms employed product improvement to reduce production costs and improve brand recognition. Moreover, firms employed concept development to increase sales and solve design problems in their products/services. The study concluded that manufacturing firms in Kenya should have a product development strategy in place as this enhances firm competitiveness. The study also recommended that in future, scholars and researchers can test the relationship between product development strategy and firm competitiveness to bring rigour and offer platforms for comparison of findings.
Key Words: product development strategy; Innovation theory, competitiveness of ISO certified manufacturing firms; Porters five forces model.
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