Blue Ocean Strategy and Competitive Performance of Selected Aluminum Extrusion Firms in South-South and South-East Nigeria

Abstract

In recent time, the declining performance of the Aluminum extrusion firms and Manufacturing in general is a matter of concern to the government and private sector industrialists in Nigeria. The study examines the relationship between the Blue Ocean Strategy and the Performance of selected Aluminum Extrusion Firms in South-South and South-East Nigeria. The study was anchored on the Resource Based View Theory (RBV). Dynamic capabilities theory. A survey research design was employed. The population of the study was made up of 509 out of which 260 was the population of the Aluminum Firms and 249 was the population of the Aluminum dealers respectively. The descriptive statistic tools included tables, percentages, mean scores and standard deviation to reduce the data into comprehensible form. The parametric instrument used to test the hypotheses formulated for the study was linear regression. Upon the test of the hypotheses, the study found a significant positive relationship between value innovation and product quality (r=0.879, P-value < 0.05), cost leadership and customer satisfaction (r= 0.917, P-value < 0.05); product differentiation and customer loyalty (r= 0.867, P-value < 0.05. In conclusion, the study was able to establish a nexus between Blue Ocean Strategy and the Performance of Aluminum Extrusion Firms in the South-South and South-East region in particular. This is because Blue Ocean Strategy can drive performance and recommended that Aluminum Extrusion Firms should invest in up-to-date production equipment that will deliver high quality products at low cost.