PRICING STRATEGIES AND PERFORMANCE OF AGRO-CHEMICAL FIRMS IN INDUSTRIAL AREA NAIROBI COUNTY, KENYA
Gacuiri Nelson King’ori - The School of Business, Department of Business Administration, Kenyatta University, Kenya
Dr. Paul Waithaka, PhD - The School of Business, Department of Business Administration, Kenyatta University, Kenya
ABSTRACT
Superior performance is accomplished by serving client needs in an unexpected way. The more one of a kind the separation the more manageable the points of interest gathered since separation should definitely include costs which are recovered if the market will pay the vital premium costs. The study aimed to investigate the competitive strategies on performance of agro-chemical firms in industrial area, Nairobi, Kenya.The study sought to examine and document various competitive strategies used by agrochemical firms in order to compete in the market place. The specific objectives were to investigate the effect of pricing strategy on to performance of agro-chemical firms in industrial area. The research design used was descriptive survey which is useful for fact finding. The study targeted 83 employees of Agrochemical firms and since the number of respondents were of manageable size the study used census. Questionnaires were utilized for gathering information which was dissected utilizing graphic and regression statistical tools and displayed utilizing tables. The data collection instrument was questionnaires. Graphs, tables and pie graphs was utilized to exhibit frequencies and percentage while tables were readied utilizing every factor or pointer. Out of the 83 questionnaires that were issued 72 of were dully filled and returned to the researcher. This gave a response rate of 87%. This response rate concurred with Mugenda and Mugenda (2003) stipulation that a response rate of 70% and above is excellent. From the findings the respondents strongly agreed that their company purchase low cost raw materials to gain advantage on prices. Majority of the respondents strongly agreed that their organization uses dynamic pricing strategy to gain competitive. The study findings recommended that Agro chemical firms should meet the delivery cost of their products to the clients as this is a good way of building customers loyalty. In light of the study findings it is also recommended that Agro chemical firms offer price discounts in order to be competitive in the market and improve their performance.