STRATEGIES USED BY LOCAL FURNITURE COMPANIES TO OVERCOME FOREIGN COMPETITION (CASE STUDY IN NORTHERN REGION OF GHANA)

ABSTRACT

Furniture is a use in making a room or other areas ready for occupancy in every house hold in the world. It provides comfort and harmony in the room for humanity. It also provides livelihood for furniture companies and employees in general. It’s production is of great importance in that, it creates jobs, generate income, reduce poverty and generate export earnings. There are two types of furniture in the Ghanaian market, the foreign and the local furniture. The foreign product has captured the market to the detriment of the local product. Local furniture companies are collapsing, employees are not paid and families cannot get three square meals a day. This lead to this study which I intends to investigate the strategies that the local furniture companies will use to overcome foreign competition. The strategies to be investigated includes; marketing, machines, innovation, branding and employment of skilled labour. For instance, marketing strategy was used to advertise the products, through orgainsing of show cases, building and also renting of show room and other promotions. Secondly modern machines or technology was introduced to bring innovation, quality and quantity products. This was put to produce product that place them on the same level ground with their foreign compatriots. Both strategies mentioned above was achieved through employing skill labour, who brought their skills to bear. This brought about improvement in production, influencing purchase intentions thereby increase income generations, GDP growth, reduction of unemployment and so on. The targeted group for the study was the owners or managers of furniture companies in five towns or areas in Tamale in the northern region. The areas under the study were; Aboabu, Choggu, Kalpoheni, Lamashegu and Sakasaka. The findings indicated appropriate that the strategies could help the local furniture companies to overcome foreign competition.