The Influence of Selected Positioning Strategies on the Growth of Local Sales among Tea Manufacturers in Kenya

Abstract

This study analysed the influence of selected positioning strategies on the growth of local sales among tea manufacturers in Kenya, within the framework of sustainable development and innovative business leadership. Tea plays a critical role in Kenya's socio-economic development, yet the majority, over 90% of the tea produced in the country is exported leaving only 10% for domestic sales. The implication is excessive reliance on external markets which exposes the industry to global price volatility. As such, strengthening the local market is vital for the sustainability of the industry. The research focused on four positioning strategies; product attributes, product user-based positioning, quality, and competitor-based positioning. The anchoring theory was the Resource Based View Theory. The study was guided by the positivist paradigm utilizing the descriptive survey design to analyse quantitative data.  The population comprised 319 tea manufacturers registered with the Tea Board of Kenya (TBK), encompassing 98 tea factories and 221 tea packers. The Krejcie and Morgan (1970) table was applied to select a sample size of sample size of 175 participants. Self-administered questionnaires were used to collect primary data which was analysed using SPSS to generate descriptive and inferential statistics. Simple linear regression evaluated the influence positioning strategy, while multiple regression tested their combined effects. The findings showed that the selected positioning strategies collectively explained 25.9% of the variance in the growth of local tea sales (Adjusted R² = 0.259). The regression model was statistically significant (F = 11.230, df = 4,113, p < 0.001), and each of the four positioning strategies had a significant positive effect on local sales. From the above findings, positioning strategies that focus on quality and beating competition were found to be most effective in boosting local tea sales. These findings reiterate the need to focus on innovative marketing, strategic brand positioning, and market-responsive leadership in the agricultural sector.