Volume 3, Issue 3, September 2018, Page: 86-96
Generic Business Strategy as Driver of Competitiveness in Organizations: A Study of Selected Mobile Telecommunication Companies in Lagos, Nigeria
Onyeaghala Obioma Hyginus, Department of Business Administration, Federal University, Wukari, Nigeria
Odiba Onyejeche Maria, Department of Business Administration, Federal University, Wukari, Nigeria
Received: Oct. 8, 2018;       Accepted: Oct. 22, 2018;       Published: Nov. 27, 2018
DOI: 10.11648/j.jbed.20180303.14      View  26      Downloads  6
Abstract
The telecommunication industry has witnessed great increase in the level of competition since its privatization in Nigeria. A lot of works has centered on strategies to make business perform, especially those operating in competitive environments.. But not much has been done in the area of generic business strategy and organizational competitiveness. This study was aimed at examining if generic business strategy can serve as a driver of organizational competitiveness. The survey research design was adopted. Primary source of data was used with questionnaire designed in five points likert-scale, ranging from strongly agree to strongly disagree. Cost leadership, product differentiation and focus strategy were the indicators measured by this study. Data was analyzed using frequency tables and simple percentage method. Formulated hypotheses were tested using the Karl Pearson Product Moment Correlation techniques. Cost leadership and organizational competitiveness were found to be positively correlated (at 0.718), the study discovered that product differentiation and organizational competitiveness has high positive relationship (at 0.922), the researcher found out that the relationship between focus strategy and organizational competitiveness is (at 0.80.7) probability value. It was recommended that mobile telecommunication services providers should continue to take a lead of cost in an industry to achieve leverage over competitors, since cost leadership influences organizational competitiveness. In addition, product differentiation among other generic business strategies should be adopted because competitive leverage of an organization over other competitors to a great extent depends on it. Lastly, focus strategy can help organizations to achieve competitive leverage over other organization in the same industry.
Keywords
Generic, Cost Leadership, Differentiation, Focus, Strategy, Competitiveness
To cite this article
Onyeaghala Obioma Hyginus, Odiba Onyejeche Maria, Generic Business Strategy as Driver of Competitiveness in Organizations: A Study of Selected Mobile Telecommunication Companies in Lagos, Nigeria, Journal of Business and Economic Development. Vol. 3, No. 3, 2018, pp. 86-96. doi: 10.11648/j.jbed.20180303.14
Copyright
Copyright © 2018 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Reference
[1]
Porter, M. E. (1985). Competitive Advantage: Creating and sustaining superior performance, New York. USA: Free Press.
[2]
Porter, M. E. (2000). Location, Competition, and Economic Development: Local Clusters in a Global Economy; Economic Development Quarterly; in https://doi.org/10.1177/089124240001400105.
[3]
Thompson, A. and Strickland, A. J., (2009), Strategic Management: Concepts and Cases, Irwin, New York.
[4]
Oyedijo, A. I. (2013). Business Policy and Strategic management: An Introductory Text with Cases. Lagos, Nigeria: Strategic International Press.
[5]
Business Day (2013). Nigeria Telecoms’ Subscription Dips as Industry Growth Rate Slows.
[6]
Nigerian Communication Commission (NCC) (2018), Growth in the Telecommunication Sector,Thursday Vanguard Daily Newspaper, October 4th.
[7]
Yoo, J. W., Lemak, D. J., and Choi, Y. (2006). Principle of Management and Competitive Strategies: Using Fayol to Implement Porter. Journal of Management History, 12(4), 94-107.
[8]
Waidi, A. A (2014) Competitive Strategies and Improved Performance of Selected Nigeria Telecommunication Companies. Journal of Entrepreneurship, Management and Innovation. 8(4).
[9]
Alder (2011). Deception as strategy: context and dynamics Journal of Managerial 23 (3), 33-46.
[10]
Mburu, M. (2009) Strategic Responses by Mwalimu Sacco Society Limited to Challenges of Competition, Unpublished MBA project, School of Business, University of Nairobi.
[11]
Porter, M. E. (1980). Competitive Advantage: Techniques for Analyzing Industries and Competitors, New York. USA: Free Press.
[12]
Pearce, J. A. and Robinson, R. B. (2005). Strategic Management; Formulation, Implementation and Control. 9th Edition. McGraw Hill, Irwin.
[13]
Johnson, G., Whittington, R. and Scholes, K. (2011) Exploring Strategy Text and Cases 9th edition. Harlow, England: Pearson Education Ltd.
[14]
Reilly, T. (2002), "Be a champion of the solution", Industrial Distribution, Vol. 91 No. 5.
[15]
Aaker, D. (1984) Developing Business Strategies N. Y.: John Wiley & Sons Inc.
[16]
Porter, M. E. (1996). What is strategy? Harvard Business Review, 74 (6): 61–78.
[17]
Hlavacka, S., Ljuba, B., Viera, R. and Robert, W. (2001) Performance implications of Porter's generic strategies in Slovak hospitals", Journal of Management in Medicine, Vol 15 No 1.
[18]
Daft, Richard, L. (1997) Revealing the Nature of Management. 4th Edition. The Dryden Press, Harcourt Brace College Publishers.
[19]
Ehmke, C. (2008). Strategies for Competitive Advantage. Department of Agricultural and Applied Economics, University Of Wyoming.
[20]
Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education.
[21]
Cabral, L. M. (2001). Stretching Firm and Brand Reputation. RAND Journal of Economics, 658-673 Vol. 3, No. 11
[22]
Barney J (1991) Competitive advantage and performance of the firm in: https://www.emeraldinsight.com/doi/full/10.1108/03090590710721718.
[23]
Prahalad, (1996) A resource based theory of the firm knowledge versus Opportunism in: https://www.researchgate.net/publication/215915547.
[24]
Wernerfeit, B (1984), A Resource-based View theory of the firm in: https://www.jstor.org/stable/25072858.
[25]
Mark Hirschey(2006) determination of firms' and industries' innovative activity and performance in: https://ideas.repec.org/h/eee/haechp/v1_129.html.
[26]
Onuoha, C. and SandOlori, W. O (2017) Business Strategies and Sustainable Competitive Advantage of Banks in Port Harcourt. International Journal of Advanced Academic Research, Social & Management Sciences Vol. 3, Issue 11.
[27]
Olamitunji, D. (2015) Aggregate Analysis of Competitive Strategies among the Global System for Mobile telecommunication Operators in Nigeria. Journal of Resourcefulness and Distinction, Vol 10 No. 1.
[28]
Olanipekun, W. D, Abioro, M., Akanni, L. F, Arulogun, O. O and Rabiu, R. O (2015) Impact of Strategic Management on Competitive Advantage and organizational performance – evidence from Nigerian Bottling Company. Journal of Policy and Development Studies Vol. 9, No. 2.
[29]
Stephen, L. M and David, (2014) Generic Strategies Employed by Food and Beverage Firms in Kenya and Their Effects on Sustainable Competitive Advantage. International Journal of Business and Management Review, Vol. 2, No. 6.
[30]
Ritika, T. (2013) Porter’s Generic Competitive Strategies. Journal of Business and Management Volume 15, Issue 1.
[31]
Onyeaghala, H. O. (2017). Research Methods, Lecture Monograph. Department of Business Administration Federal University Wukari.
[32]
Uma, S. and Roger, B. (2010). Research Method for Business, 5th Edition, John Wiley & Sons Ltd.
Browse journals by subject