Competitive Strategies Adopted By Second Hand Motor Dealers In Nairobi County

Abstract

The Kenya Motor Industry (KMI) has remained predominantly a domestic activity and process of internationalization has been slow and inherent with various challenges. The objective of this study was to determine the competitive strategies adopted by second hand motor dealers in Nairobi County. This study used cross sectional survey design. The target population of the study included all second hand motor dealers in Nairobi County. Kenya. This included all the 66 second hand motor dealers in Nairobi. Primary data was collected using a questionnaire. Quantitative data collected was analyzed by the use of descriptive statistics using SPSS and presented through percentages. means. standard deviations and frequencies. The study findings indicated that corporate growth and development strategies employed by the dealers enhanced performance to great extent and that motor car dealers used the strategy of providing superior customer service in order to enhance their competitiveness to a great extent. The study finding indicated that radio/TV was rarely used for advertisement. The study also established that to a great extent, newspapers were used for advertisement. The study concludes that the strategies adopted in secondhand motor dealers affect their competitiveness in the second hand motor dealership to a great extent. The study further concludes that strategy of introducing new services in market, carrying out regular surveys to determine customer needs are applied to great extent by the dealers so as to gain a competitive advantage. The study further concludes that newspapers, outdoor posters and use of word of mouth have been applied to a great extent in the motor industry. The study recommends that the dealers should consider entering into alliances that attaining the benefits that arise from being part of the alliances .such as access to finances and lower costs of obtaining imported motors may be made possible. This study therefore recommends that the dealers should consider adoption of radio/TV advertisement as a means of marketing their products as Radios and TVs are locally available.