PRICE COMPETITIVENESS AND SALES PERFORMANCE OF SMALL AND MEDIUM SIZE EXPORTING FIRMS IN SOUTH-SOUTH, NIGERIA
Abstract
The study investigated the relationship between price competitiveness and sales performance of food and beverage exporting Small and Medium Enterprises (SMEs) firms sector in South-South, Nigeria. The study adopted a descriptive survey research design, with the questionnaire as the instrument for primary data collection from a population involving 160 firms involved in exporting food and beverages. A copy of the questionnaire was administered to the sample made up of managers and owners of the firms. The questionnaire was validated by experts while the reliability test result using Cronbach Alpha produced a value of 0.869. Both descriptive and inferential statistical tools were employed to analyze the data with SPSS (version 21.0). The statistical result showed that price competitiveness had a positive and significant relationship with sales performance. It was therefore recommended that Nigerian SMEs especially those exporting food and beverage products should consider the prices of their international competitors when fixing the prices for their products as this would enable them to gain a competitive advantage in price that will consequently increase their sales performance.
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