Effect of Business Strategies on the Performance of Food Processing and Confectionery Firms in Federal Capital Territory (FCT), Abuja, Nigeria

Abstract

The seamless integration of technology and business strategies is the key to unlocking unprecedented levels of efficiency, innovation and customer satisfaction which is a critical imperative for businesses seeking to thrive in the 21^st century. The main objective of the study is to examine the effect of business strategies on the performance of food processing and confectionery firms in Federal Capital Territory (FCT), Abuja, Nigeria. The population size for this study is 398 managers of food processing and confectionery firms. Purposive sampling technique was applied and the data collected were analyzed using Partial Least Square Structural Equation Modelling (PLS-SEM) with the aid of SmartPLS application software package v. 4.1.0.9. The study found that marketing strategy had a significant relationship with the performance of food processing and confectionery firms. The study indicated that growth strategy had a significant effect on the performance of food processing and confectionery firms. It was also found that resource allocation strategy had insignificant effect on the performance of food processing and confectionery firms. The study concluded that marketing strategy led to increase in the performance of food processing and confectionery firms. The study came to conclusion that growth strategy led to increase in the performance of food processing and confectionery firms. The study further concluded that resource allocation strategy does not lead to increase in the performance of food processing and confectionery firms. The study recommended that management of confectionery firms should develop targeted marketing campaigns that focus on specific segment that increase sales. The study also recommended that managers of firm should develop new products to cater to changing consumer preferences and increase revenue streams. It was recommended that management of confectionery firms should allocate limited resources to competing activities or projects in order to achieve specific goals and objectives.