Kofi Poku

Nexus between social capital and performance of micro and small firms in an emerging economy: The mediating role of innovation

Abstract The purpose of this study was to examine the relationship among social capital, innovation, and performance of micro and small businesses (MSBs) in emerging economies using data from a sub-Saharan African Country—Ghana. Specifically, the study sought to examine the mediating role of innovation in the relationship between social capital and performance. The study relied on a survey design and a cross-sectional data collected with the aid of questionnaire from 500 MSBs operating in the Ashanti Region of Ghana. The scales and measures of the study were validated using confirmatory factory analysis in LISREL 8.50, while the study’s proposed model was estimated using ordinary least square regression analysis in SPSS 20. The following results were obtained: (1) social capital positively influenced performance, (2) there is positive relationship between innovation and performance, (3) social capital has a positive effect on innovation, and (4) innovation was observed to partially mediate the relationship between social capital and performance. The results indicate the important role social capital and innovation play in the success of MSBs in emerging economies and the fact that managers and owners of such businesses need to pay attention to these concepts and use them to their advantage.

Mediating role of internal communications in market orientation and performance of mobile telecom firms: Evidence from Ghana

Abstract The relationship between market orientation and firm performance and mediating influence of many external factors has been researched extensively across various contexts. However, little focus has been on mediating roles of internal organisational variables such as internal communication, which could potentially channel the effects of market orientation on performance. And this was examined using questionnaire survey of 95 managers from all the telecommunication companies in Ghana. Results show internal communication as a conduit, fully transmitting the positive effects of each dimension of market orientation on market performance. Therefore, enhancement of internal communication could offer unique capabilities for significant market performance.

ANTECEDENTS TO THE IMPLEMENTATION OF HYBRID STRATEGY IN A DYNAMIC BUSINESS ENVIRONMENT — AN ECONOMETRIC ANALYSIS OF BUSINESS DECISIONS IN GHANA

This study examines conditions that necessitate the adoption of a hybrid strategy in a dynamic market. The analysis is operationalized on a multisectorial sample of 610 firms in Ghana. The binomial logit regression model was estimated to examine the probability of the sampled firms to adopt hybrid strategy based on an array of competitive-based and firm-specific variables. The results show that generally, firms with superior firm performance, high organizational capabilities in marketing and innovation, strong positions in the implementation of single strategies, low industrial competitiveness and high growth in firm size are more likely to adopt a hybrid strategy to increase competitive advantage. However, we also observed that conditions are not homogenous across industries. We conclude that manufacturing firms apply competitive-based criteria rather than firm-specific factors in their decision to adopt hybrid strategies.

The Impact of Sales Promotion by Cocoa Licensed Buying Companies on Sales of Farmers in Wassa Amenfi East District of Ghana

Aims: The study sought to assess the effects of sales promotional programmes on cocoa sales of farmers by Licensing Buying Companies (LBCs) in the district. The main aim of the research was to identify the influence of sales promotions on the purchases of LBCs in Wassa Amenfi East Cocoa District. Specifically, the study sought to achieve the following objectives. (1)To identify the incentive programmes made available to cocoa farmers by Licensed Buying Companies in Wassa Amenfi East District. (2) To analyse the sales trend of cocoa in the Wassa Amenfi East District by the Licensing Buying Companies. (3) To identify the challenges associated with farmer incentive programmes as a marketing strategy in the Wassa Amenfi East District. (4) To assess how incentive programmes affect the purchases of Licensing Buying Companies (LBC’s) in the District. (5) To propose ways of improving cocoa purchases in the Wassa Amenfi East District. Study Design: A case study was used to investigate into this phenomenon to give generalization of that phenomenon. Again, the study did an in-depth review on the subject in Ghana to augment Original Research Article Poku and Lamptey; BJEMT, 5(1): 14-34, 2015; Article no. BJEMT.2015.002 15 and validate empirical findings. Moreover, the study adopted a more scientific method in collecting and analyzing data for presentation. The research used both qualitative and quantitative methods of analysis. The intent of using quantitative method for this study was to establish, confirm, or validate relationships and to develop generalizations that contribute to theory. Qualitative method was used for this study because, it is less structured in description and it formulates and builds new theories. This made the findings of the study both valid and reliable. Place and Duration of Study: The study was focused on cocoa marketing activities in the Wassa Amenfi East District in the Western Region of Ghana between March 2013 and June 2013. Methodology: Data for the study was obtained from both primary and secondary sources. Purposive Sampling, Simple random sampling and Snow ball sampling techniques were used to select the purchasing clerks, cocoa farmers and district managers respectively. The District has thirty three thousand, five hundred and twenty four (33,524) cocoa farmers, fourteen (14) Licensing Buying Companies and about two hundred and sixty-one (261) purchasing clerks. The data was collected from one hundred and fifty-five (155) respondents who were cocoa farmers in addition to ninety eight (98) Purchasing Clerks (PCs) and fourteen (14) district managers of the various Licensing Buying Companies. The data was collated, synthesized and analyzed with the use of SPSS and Excel. The study adopted the quantitative analyses (Regression Analysis). Results: The analyses have shown that the provision of fertilizer to farmers by LBCs is one most important sales promotional package that greatly influences farmers’ decision to sell to a particular LBC. According to a Focus Group Discussion with Farmers, it was discovered that farmrelated sales promotional inputs such as fertilizers helps farmers to increase their productivity. Sales promotional programmes also increase the purchases of cocoa by PCs of LBCs and influence the choice of LBCs by the cocoa farmer. Fertilizers assist farmers to reduce their expenditure and thus keep the providing LBC in remembrance during the cocoa seasons. Conclusion: The study therefore recommended that there should be timely supply of Sales Promotional Programmes, development of mechanism to check default, motivation of PCs by LBCs and equity in the Distribution of Sales Promotional Packages.