Effect of Strategic Management Processes on Company Expansion in Adama Beverages Yola, Adamawa State, Nigeria
Chapter One
Objective of the study
- To examine the existing strategic management processes implemented by Adama Beverages to understand how the company formulates and executes its strategies for business growth.
- To investigate the influence of strategic management on providing a clear and well-defined direction for Adama Beverages.
- To evaluate the efficiency of resource allocation and utilization within Adama Beverages.
CHAPTER TWO
REVIEWED OF RELATED LITERATURE
Strategic Fit Theory
Strategic fit/decision theory is a school of thinking that opposes the notion that a single set of best practices for strategic management can be applied to all circumstances. According to Morrisette and Oberman (2013), strategic management principles are based on the organization’s environment, business strategy, and culture. For strategic management approaches to be most effective, he stated that they must be linked with an awareness of the organization’s unique context. Therefore, strategic management approaches must be matched with critical strategic fit theory aspects such as culture, external environment, and operational procedures (LeRoux & Wright, 2010). As there is no universally applicable approach to management, organizations must design techniques suited to their setting (McHatton et al., 2011). Bryson (2011) argued that the business environment is a constant source of unique challenges that push businesses to seek out and implement new solutions; this requires management to develop a strategy that considers external factors while outlining the company’s objectives in light of its competitive advantages (Bayode & Adebola, 2012). According to strategic fit, organic organizational structures are more effective than mechanistic ones in complex, unpredictable environments, but the opposite is true in simple, stable contexts. It implies that firms must first determine the nature of their operating environment before modifying their organizational structure accordingly. On the other hand, LeRoux & Wright (2010) feel that companies must evolve from mechanistic to organic structures to respond effectively and efficiently to market and environmental changes. Bryson (2011) asserts that organizations can better manage their resources by employing the concept of strategic fit, hence reducing operational costs and enhancing their responsiveness to environmental challenges and new possibilities. According to Omari et al. (2011), organizations rebalance their performance by investing the extra resources from the fit based on higher productivity; thus, firms should strive to maintain a strategic fit between their resources and goals because, according to Bayode & Adebola (2012), a wellaligned organization performs better and provides excess resources that can be used for growth. Therefore, it is recommended that banks adopt the notion of strategic fit through strategic management practices to more effectively manage their resources, respond to environmental change, and seize new opportunities.
Dynamic Capabilities Theory
The dynamic capabilities model suggests that in order for a business to succeed in today’s competitive market, it must have the flexibility to take advantage of new opportunities as they arise, as well as the ability to integrate new sources of information and information technology into its operations (Gates, 2010). The notion describes how a firm can increase its bottom line by prioritizing environmental issues. What we mean by “dynamic capability” is that firms can flex their inner and outside strengths to meet the needs of different situations (Dudu & Agwu, 2014). Adaptable abilities are necessary for today’s hypercompetitive business climate due to the quick depletion of extraordinary firm-specific resources and talents (Bagnoli & Megali, 2011). Nonetheless, it is vital to remember that emotional skills, being organizational processes, take time to cultivate and fully embed into a company. They are utilized for restructuring the business’s resources, which may involve removing obsolete items or combining resources in novel ways (Analoui & Samour, 2012). Hence, because banks see their dynamic capacities as a critical path shaped by their past actions and asset stock, they need to develop them to utilize them to achieve long-term goals. Therefore, organizations must endeavor to build their dynamic capacities to utilize them to achieve long-term goals, as they are seen as a critical path shaped by the banks’ past activities and asset stock.
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
RESEARCH DESIGN
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
POPULATION OF THE STUDY
According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitutes of individuals or elements that are homogeneous in description.
This study was carried to examine Effect of strategic management processes on company expansion in. Adama Beverages Yola, Adamawa State, Nigeria form the population of the study.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
INTRODUCTION
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of eighty (80) questionnaires were administered to respondents of which only seventy-seven (77) were returned and validated. This was due to irregular, incomplete and inappropriate responses to some questionnaire. For this study a total of 77 was validated for the analysis.
CHAPTER FIVE
SUMMARY, CONCLUSION AND RECOMMENDATION
Introduction
It is important to ascertain that the objective of this study was to ascertain effect of strategic management processes on company expansion in Adama Beverages Yola, Adamawa State, Nigeria. In the preceding chapter, the relevant data collected for this study were presented, critically analyzed and appropriate interpretation given. In this chapter, certain recommendations made which in the opinion of the researcher will be of benefits in addressing Effect of strategic management processes on company expansion in Adama Beverages Yola,Adamawa State, Nigeria
Summary
This study was on effect of strategic management processes on company expansion in Adama Beverages Yola, Adamawa State, Nigeria. Three objectives were raised which included: To examine the existing strategic management processes implemented by Adama Beverages to understand how the company formulates and executes its strategies for business growth, to investigate the influence of strategic management on providing a clear and well-defined direction for Adama Beverages and to evaluate the efficiency of resource allocation and utilization within Adama Beverages. A total of 77 responses were received and validated from the enrolled participants where all respondents were drawn from Adama Beverages. Hypothesis was tested using Chi-Square statistical tool (SPSS).
Conclusion
In conclusion, Adama Beverages possesses a strong foundation for expansion, and the identified areas for improvement present opportunities for refining its strategic management processes. The study provides actionable recommendations for enhancing strategic direction, innovation, and employee engagement, among other aspects, to further strengthen the company’s expansion initiatives.
The findings of this study contribute to the broader understanding of the interplay between strategic management and company expansion in the context of the beverage industry in Nigeria. Future research may delve deeper into specific aspects identified in this study, offering additional insights and recommendations to guide Adama Beverages and similar companies in their pursuit of sustainable growth and success.
Recommendation
Adama Beverages should further refine and communicate its strategic objectives to provide a clearer direction for the organization. This includes specifying long-term goals, market positioning strategies, and expansion targets. Clear communication of these objectives will ensure alignment at all organizational levels.
Foster a more systematic approach to innovation by establishing dedicated processes for idea generation, evaluation, and implementation. Encourage a culture of continuous improvement and creativity within the organization to stay ahead of market trends and consumer preferences.
Establish mechanisms for continuous monitoring of market dynamics, including consumer trends, competitor activities, and regulatory changes. This proactive approach will enable Adama Beverages to adapt swiftly to emerging opportunities and challenges, supporting informed decision-making.
Enhance the risk assessment processes by conducting regular and comprehensive evaluations of potential risks associated with expansion. Develop robust contingency plans to mitigate identified risks effectively, ensuring the resilience of the company in the face of uncertainties.
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