Abstract: The entry of new competition from imported tires and independent suppliers has had a significant impact on operating costs in Sameer Africa. This impact has manifested itself in the form of lower sales volumes leading to lower profits. This study examined the influence of retrenchment strategy on performance of Sameer Africa in Nairobi City County, Kenya. The study applied a descriptive research design. The unit of analysis was Samer Africa in Nairobi City County, Kenya, and the unit of observation was 630 employees drawn from the following departments; Sales and Marketing, Operations, Human Resources, Information and Technology, Imports and Clearing, Audit and Risk Management. Proportional stratified sampling was used in the study to select samples from various subsets of the target population in order to ensure adequate representation of all cases. Simple random sample selection was used to select the sample size of 245 respondents. With the help of a semi-structured questionnaire, primary data was gathered. The questionnaire was piloted on 25 respondents from the same organization who weren't part of the main study in order to test its validity and reliability. The means and standard deviations of descriptive statistics were used to analyze quantitative data. The data were presented using tables and graphics. Correlation analysis and multiple analysis were used in inferential statistics to ascertain the relationship between the independent and dependent variables. The study discovered that the performance of Sameer Africa in Nairobi City County, Kenya, is positively and significantly impacted by reemployment strategy. The study concluded that retrenchment is a cost-management strategy that removes goods and services from the market and lessens competition. The study recommended that the management of the company can for divestment strategy is the case of severity of competition and the inability of the organization to cope with it.
Keywords: Retrenchment Strategy, Organizational Performance.
Title: INFLUENCE OF RETRENCHMENT STRATEGY ON PERFORMANCE OF SAMEER AFRICA IN NAIROBI CITY COUNTY, KENYA
Author: Doris Mueni Mengo, Dr Eliud Obere
International Journal of Management and Commerce Innovations
ISSN 2348-7585 (Online)
Vol. 11, Issue 2, October 2023 - March 2024
Page No: 8-13
Research Publish Journals
Website: www.researchpublish.com
Published Date: 04-October-2023
