ASSESSMENT OF DIVERSIFICATION AS A SURVIVAL AND GROWTH STRATEGY: A CASE STUDY OF NIGERIAN BOTTLING COMPANY PLC
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ASSESSMENT
OF DIVERSIFICATION AS A SURVIVAL AND GROWTH STRATEGY: A CASE STUDY OF NIGERIAN
BOTTLING COMPANY PLC
ABSTRACT
The
competitive nature of the economy, cause many products and services to lose
their distinctiveness, the competitors’ offering of lower prices, and the
deteriorating public perception of the business organizations have called for
the strategies, and public relations in
the marketing of consumer goods. The concept of Diversification strategy is
that, the organization’s eggs are kept in different basket so that the risk of
becoming bankruptcy will be reduced.
This research examined the significant impact of Diversification to the
Nigerian Bottling Company. The
objectives of the study were to assess the success of Diversification strategy
to the organization and to also assess those problems associated with
Diversification strategy. The methodology included Survey Design to gather
primary data from the 60 questionnaires for the study, Percentage used in
presenting and analyzing the gathered data, and Chi-Square used in testing the
null hypotheses. The major findings of the study were that; Diversification
strategy has a significant impact on the survival and growth of the Nigerian
Bottling Company, Diversification adopted by the organization is said to be
effective and efficient but has not attained it optimal point due to low
attention being given to some element of Diversification such as; horizontal
and vertical integration. Some
recommendations proffered were that; the management of the Company should
improve more on their core competencies so as to vibrant competitive strength ,
the company should carry out the review of performance of its various sales of
new product at different point in time in other to detect weakness with a view
to take corrective measures, the company should embark on comprehensive public
relations to build a good public image,
and should be socially responsible to have the support of its environment.
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