IDEAS home Printed from https://ideas.repec.org/a/bdu/oejbsm/v4y2019i3p58-76id890.html

Effect of Strategic Value Chain Positioning on Firm's Performance: A Case of Pharmaceutical Supply Chain Firms in Kenya

Author

Listed:
  • George Muriithi Munyi

  • Dr. Jared Deya

Abstract

Purpose: The purpose of the study was to assess effect of strategic value chain positioning on performance of Kenya's pharmaceutical firms. Methodology: Descriptive research design was used in this study. The target population for this study was members of staff drawn from the 152 pharmaceutical distributors in Nairobi. A critical sample of 10 firms was considered. Purposive sampling was used to arrive at an adequate sample size. The sample size was 40 people focusing on four officers per firm that is procurement, warehouse and logistics, marketing or customer service and finance managers. The data was collected using a self-administered questionnaire. Data analysis was done through descriptive and inferential statistics using SPSS with the main analysis tools being frequencies, means, standard deviation, and regression analysis. The results were then presented, discussed and interpreted. Finally, a summary, conclusions and recommendations were presented. The significance level was set at 0.05 and the confidence interval at 95%. Results: The findings of the study indicated that logistics management, operational practices, customer engagement and strategic procurement have a positive relationship with performance of pharmaceutical firms. Unique contribution to theory, practice and policy: It would be constructive for pharmaceutical firms to invest more in reducing operational costs to reduce the cost of operations through unnecessary reworks and ensure accuracy in operations through get it right the first time approach. They should form strategic alliances with their vendors so as to have a more improved working relationship characterized by electronic data interchange which ensure customers get what they want as when they need it this can be actualized through e-commerce. There is need for pharmaceutical firms to always set aside a substantial part of their resources for activities that spend a huge amount of total resources, and this entails the strategic procurement management. Procurement staff in the pharmaceutical firms should ensure that they strictly follow strategic value chain positioning procedures to ensure that goods supplied are of the right quality, in the right quantity, at the right time, to the right place from the right source at the most competitive price.

Suggested Citation

  • George Muriithi Munyi & Dr. Jared Deya, 2019. "Effect of Strategic Value Chain Positioning on Firm's Performance: A Case of Pharmaceutical Supply Chain Firms in Kenya," European Journal of Business and Strategic Management, International Peer Review Journals and Books, vol. 4(3), pages 58-76.
    • Handle: RePEc:bdu:oejbsm:v:4:y:2019:i:3:p:58-76:id:890
    as

    Download full text from publisher

    File URL: https://iprjb.org/journals/EJBSM/article/view/890
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Dambrin, Claire & Robson, Keith, 2011. "Tracing performance in the pharmaceutical industry: Ambivalence, opacity and the performativity of flawed measures," Accounting, Organizations and Society, Elsevier, vol. 36(7), pages 428-455.
    2. Claire Dambrin & Keith Robson, 2011. "Tracing performance in the pharmaceutical industry: ambivalence, opacity and the performativity of flawed measures," Post-Print hal-00687848, HAL.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lescoat, Pierre & Van den Bussche, Pénélope, 2025. "(E)valuated by the market: The challenges of evaluating the individual performance of sell-side analysts in the quest for narrative authority," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 102(C).
    2. Rajat Deb & Joydeep Das, 2018. "IFRSs Convergence and Expectation Gap: Vindication from Practitioners," Metamorphosis: A Journal of Management Research, , vol. 17(2), pages 86-99, December.
    3. Pollock, Neil & D’Adderio, Luciana, 2012. "Give me a two-by-two matrix and I will create the market: Rankings, graphic visualisations and sociomateriality," Accounting, Organizations and Society, Elsevier, vol. 37(8), pages 565-586.
    4. Boedker, Christina & Chong, Kar-Ming & Mouritsen, Jan, 2020. "The counter-performativity of calculative practices: Mobilising rankings of intellectual capital," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 72(C).
    5. Faulconbridge, James R. & Muzio, Daniel, 2021. "Valuation devices and the dynamic legitimacy-performativity nexus: The case of PEP in the English legal profession," Accounting, Organizations and Society, Elsevier, vol. 91(C).
    6. Crvelin, David & Becker, Albrecht, 2020. "‘The spirits that we summoned’: A study on how the ‘governed’ make accounting their own in the context of market-making programs in Nepal," Accounting, Organizations and Society, Elsevier, vol. 81(C).
    7. André, Kévin & Cho, Charles H. & Laine, Matias, 2018. "Reference points for measuring social performance: Case study of a social business venture," Journal of Business Venturing, Elsevier, vol. 33(5), pages 660-678.
    8. van Erp, Wil & Roozen, Frans & Vosselman, Ed, 2019. "The performativity of a management accounting and control system: Exploring the dynamic relational consequences of a design," Scandinavian Journal of Management, Elsevier, vol. 35(4).
    9. Mehrpouya, Afshin & Samiolo, Rita, 2016. "Performance measurement in global governance: Ranking and the politics of variability," Accounting, Organizations and Society, Elsevier, vol. 55(C), pages 12-31.
    10. Mohamed Toukabri & Maher Toukabri, 2023. "Football Industry Accounting as a Social and Organizational Practice: from the Implementation of the CSR Process to Integrated Reporting," Systemic Practice and Action Research, Springer, vol. 36(5), pages 725-753, October.
    11. Palermo, Tommaso & Power, Michael & Ashby, Simon, 2022. "How accounting ends: self-undermining repetition in accounting lifecycles," LSE Research Online Documents on Economics 115278, London School of Economics and Political Science, LSE Library.
    12. Paul Andon & Jane Baxter & Wai Fong Chua, 2015. "Accounting for Stakeholders and Making Accounting Useful," Journal of Management Studies, Wiley Blackwell, vol. 52(7), pages 986-1002, November.
    13. Baxter, Jane & Carlsson-Wall, Martin & Chua, Wai Fong & Kraus, Kalle, 2019. "Accounting and passionate interests: The case of a Swedish football club," Accounting, Organizations and Society, Elsevier, vol. 74(C), pages 21-40.
    14. Marie-Anne Verdier & Jennifer Boutant Lapeyre, 2021. "The myth of workforce reduction efficiency: The performativity of accounting language," Post-Print hal-03651409, HAL.
    15. Martinez, Daniel E. & Cooper, David J., 2019. "Assembling performance measurement through engagement," Accounting, Organizations and Society, Elsevier, vol. 78(C).
    16. Madlen Sobkowiak, 2023. "The making of imperfect indicators for biodiversity: A case study of UK biodiversity performance measurement," Business Strategy and the Environment, Wiley Blackwell, vol. 32(1), pages 336-352, January.
    17. Martinez, Daniel E. & Pflueger, Dane & Palermo, Tommaso, 2022. "Accounting and the territorialization of markets: A field study of the Colorado cannabis market," Accounting, Organizations and Society, Elsevier, vol. 102(C).
    18. Laura Khachan & Maïté Rateau & Laurent Cappelletti, 2020. "Sales Measures do not fit all: A little bit of everything," Post-Print hal-02888080, HAL.
    19. Ezzamel, Mahmoud & Xiao, Jason Zezhong, 2015. "The development of accounting regulations for foreign invested firms in China: The role of Chinese characteristics," Accounting, Organizations and Society, Elsevier, vol. 44(C), pages 60-84.
    20. Modell, Sven & Vinnari, Eija & Lukka, Kari, 2017. "On the virtues and vices of combining theories: The case of institutional and actor-network theories in accounting research," Accounting, Organizations and Society, Elsevier, vol. 60(C), pages 62-78.

    More about this item

    Keywords

    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bdu:oejbsm:v:4:y:2019:i:3:p:58-76:id:890. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chief Editor (email available below). General contact details of provider: https://iprjb.org/journals/EJBSM/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.