Influence Of Product Strategy On Performance Of Savings And Credit Cooperative Societies In Kenya: A Case Of Azima Sacco

ABSTRACT

Increased non-performing loans and the availability of substandard products among SACCOs in Kenya has been a major challenge facing these cooperatives. The current study aimed at determining the influence of product pricing, product delivery, product quality and product design on performance of SACCOs in Kenya. The study was grounded on resource-based theory and stakeholders’ theory that portrays the need to focus on stakeholders’ needs when coming up with product strategy. The study used descriptive research design. The target population comprised of top, middle and lowerlevel management of Azima SACCO hence a target population of 56 respondents. The study adopted census technique hence studying the entire population. Data was collected using questionnaire. The data was analysed through descriptive and inferential statistics. The study observed ethical considerations such as privacy, full acknowledgement of sources of literature and ensuring full consideration of research legal process. In research findings, 44 respondents agreed with the statement product pricing influences performance of SACCOs in Kenya, 40 respondents agreed that product delivery influences performance of SACCOs in Kenya, 39 respondents agreed product quality influences performance of SACCOs in Kenya and 37 respondents agreed product design influences performance of SACCOs in Kenya. Inferential statistics similarly identified that at Sig p≤0.05, there is relationship between product pricing and performance of SACCOs in Kenya, product delivery and performance of SACCOs in Kenya, product quality and performance of SACCOs in Kenya and product design and performance of SACCOs in Kenya. The researcher recommended that SACCOs should be price leaders, product delivery platforms such as technology-based are free from fraudulent activities, products and services offered are of top quality and SACCOs should invest heavily in research and development to create unique products and service designs. In relation to areas of further research, the researcher recommended that future studies should consider expanding their scope and focus on other product strategies which have influence of organizational performance.