Department of Business and Economics
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Item Effect of Global Sourcing Practices on Operational Perfomance of Textiles and Apparels Manufacturing Firms in Kenya(International Journal of Scientific Research and Innovative Technology, 2017-05) Wanjau, Kenneth; Rucha, Kingsford; Fendo, SimonGlobal sourcing is regarded by many companies as an important measure to enhance competitive advantages particularly in today’s globalized economy. The objectives of the study are to determine the global sourcing practices adopted by Textiles and Apparels manufacturing firms in Kenya, to find out the effect of global sourcing practices on operational performance of Textiles and Apparels manufacturing companies in Kenya and to establish the challenges of adopting global sourcing practices by Textiles and Apparels manufacturing companies in Kenya. The study is anchored on three theories namely resource based theory, resource dependency theory and the theory of comparative advantage. The global sourcing practices under study are contract manufacturing, off shoring, global sourcing, dual sourcing and E-procurement. The study adopted a cross-sectional census survey design. The population of this study comprised of 63 Textiles and Apparels manufacturing firms. This study used primary data collected by the use of a structured questionnaire. The questionnaire was administered using drop-and- pick-later method. The data collected was cleaned, validated, and edited for accuracy, uniformity, consistency and completeness. Descriptive statistics was used to determine the global sourcing practices adopted by Textiles and Apparels manufacturing firms and the challenges they faced in adoption. To find out the effect of global sourcing practices on operational performance of Textiles and Apparels manufacturing firms a regression analysis model was used. The study found out that dual sourcing was the most adopted practice followed by E-procurement and then global outsourcing. The least implemented global sourcing practice was off shoring. The companies however practiced at different levels all the global sourcing practices of contract manufacturing, off shoring, global outsourcing, dual sourcing and E-procurement. The study found that global outsourcing, dual sourcing, Eprocurement, off shoring and contract manufacturing have a positive but not a significant effect on operational performance. This is because the P-value is not less than 0.005. The study also concludes that the capability of suppliers; the level of internet access by small suppliers and the type of international trade laws and practices are the main challenges affecting adoption of global sourcing practices. The other factors challenging adoption of global sourcing include existence of tariffs and non-tariff restrictions, culture and language differences, the nature of global logistics, the level of top management support and resistance to change. The researcher recommends that the Textiles and Apparels manufacturing firms in Kenya should adopt global sourcing practices in contract manufacturing, off shoring, global sourcing, dual sourcing and Eprocurement. Another recommendation is for governments to have clear cut duty and reduced charges and to put conducive policies in place that will ensure that more global sourcing for textiles and apparels manufacturing companies is more fruitful.Item Testing for Cointegration and Granger Causality: Evidence from Selected Indigenous Egg Markets in Kenya(Journal of Marketing and Consumer Research, 2016) Wanjau, Kenneth; Olila, Dennis O.; Pambo, Kennedy; Chimoita, Evans L.; Odipo, TimothyDespite the increasing consumer demand for indigenous eggs, particularly among the urban rich in Kenya, empirical analysis of spatial market integration has received limited attention. This study is an attempt to analyze the existence of market integration and price transmission among four selected indigenous egg markets. The study uses secondary data obtained on prices of eggs on a weekly basis during the year 2014. Analysis of Cointegration and Granger causality was attained using Johansen cointegration approach. Interestingly, results indicate integration in the indigenous eggs markets in Kenya. While prices of eggs in Kisumu and Eldoret towns Granger-caused each other, there was no evidence to account for price interactions among the rest of the markets. These findings strongly indicate asymmetric price transmission within the markets. Taking advantage of the promising niche provided by indigenous eggs requires policies aimed at unlocking information asymmetry as well as promoting market access among farmersItem The mediating role of entrepreneurial orientation on the relationship between organization capacity and performance of manufacturing small and medium enterprises(IIPCCL Publishing,, 2018-11) Mkala, D. Mwamisha; Wanjau, Kenneth; Kyalo, Teresia N.This cross-sectional study was carried out to establish the eff ect of organization capacity and entrepreneurial orientation (EO) on performance of manufacturing SMEs in Kenya. The small and medium enterprise (SME) manufacturing segment is integral to the economies of developing countries because it breeds growth, innovation and prosperity. In Kenya, manufacturing dominates SMEs’ contribution to gross domestic product (GDP) and stimulates investment in all economic sectors. However, Kenya’s growth in manufacturing capacity and competitiveness is dismal when compared with similar global competitors. Developing an eff ective organisation capacity and engaging EO obligates manufacturing SMEs to create production processes that can enhance performance outcomes and achieve competitive advantage. A structured self-administered questionnaire was used to gather quantitative data from all food and beverage SMEs registered with Kenya Association of Manufacturers. Data were analysed using inferential statistics and structural equation modelling was used to test the relationships among the study variables. The study found that organisation capacity has a positive infl uence on performance of manufacturing SMEs, and that EO fully mediates the relationship between them. The study recommends that for manufacturing SMEs to maximise the performance capabilities of their resources, they have to establish a norm of entrepreneurial behaviours in all their operations.Item The mediating effect of entrepreneurial orientation on the relationship between decision-making and firm performance in Kenya(International Journal of Commerce and Management Research, 2017-08) Mkala, Mwamisha; Wanjau, Kenneth; Kyalo, TeresiaManufacturing firms are the single greatest contributors to industrialization and economic development. In Kenya, manufacturing firms contribute 14% of gross domestic product, train and employ 30% of the workforce, and develop the country’s industrial infrastructure. However, the sector has experienced sustained poor total factor productivity and waning competitiveness in both domestic and global markets. Manufacturing operations seem to lack the input of entrepreneurial management. The purpose of this study was to establish how entrepreneurial orientation (EO) influences the relationship between decision-making and manufacturing firm performance in Kenya. Eighty-three owners/managers of food manufacturing SMEs were surveyed using a semi-structured self-administered questionnaire, and the collected data analyzed using Statistical Package for Social Sciences (SPSS) version 20 and Smart PLS 3 software’s. The findings show that EO fully mediates the relationship between decision-making and firm performance. The paper concludes that coupling decision-making with EO forms a critical strategy for enhancing firm performance. The study recommends that manufacturing firms should develop and utilize employees’ EO capabilities through such actions as strategic delegation.