Adoption of green marketing strategies by fast moving consumer goods manufacturers in Nairobi city county
Abstract
The study examined the extent of adoption of green marketing strategies by fast
moving consumer goods manufacturers (FMCG) in Nairobi City County. The study
sought to achieve three specific objectives. Determine awareness, extent of adoption
and establish the challenges faced by FMCG manufacturers in Nairobi City County,
in adopting green marketing strategies. A descriptive cross sectional survey design
was used for the study. The target population was a list of fast moving goods
manufacturer firms from the food and beverage segment in Nairobi City County. A
sample of 83 firms was used. The data was collected using semi structured
questionnaire consisting of both open and closed ended questions. Data was analyzed
using descriptive statistics, cross tabulation and chi-square tests. Results of
Cronbach’s alpha test confirmed reliability of all the measurement scales used in the
study. The results obtained indicated that majority of the firms to a large extent are
aware of green marketing strategies. The study also established that different green
marketing mix strategies are adopted in piecemeal. Strategies adapted to a large extent
in order of preference by majority of FMCG manufacturing firms are green process
strategy, green product strategy and green place strategy. Green marketing strategies
adapted to a moderate extent are promotion and people strategy. The least used
strategies at the firms are price and physical evidence. Major perceived drivers for the
firms in adopting green marketing strategies in the FMCG sector in order of
preference were competitive pressures, to enhance brand image, to comply with
Government regulations, to gain market advantage, environmental conservation and
finally to comply with firm level environmental policies. Perceived impediments to
adopting green marketing strategies were high implementation costs, lack of
specialized personnel to deal with environmental matters, inadequate resources like
finances, lack of specialized technology which requires huge investment in Research
and Development and finally lack of green marketing exposure and education. The
study also sought to test relationship between firm ownership and the extent of
adoption of green marketing strategies. A significant relationship was established for
firms with large foreign shareholding showing high adoption levels. This indicates
that parent companies have a high influence on the firms’ green marketing adoption
extent locally. Finally, relationship between lengths of time a firm has been in
existence and extent of adoption of green marketing strategies was tested. The results
showed there was no significant relationship. The longer the firm has been in
existence does not guarantee that the adoption levels of green marketing are
significant. The study recommends that the management in FMCG manufacturing
firms should allocate more financial resources towards the green marketing concept,
invest in training staff on green marketing strategies to enable them support and
practice it, focus on greening their factories (changing systems and processes to
favour green manufacturing), and finally hire, train and empower specialized
personnel in environmental matters to take charge and drive the agenda in their firms.
Publisher
University of Nairobi
Description
Thesis