RELATIONSHIP BETWEEN SUPPLIER COLLABORATION AND RETAIL STORES PERFORMANCE IN NAIROBI COUNTY, KENYA: INTERVENING ROLE OF SUPPLY CHAIN RESILIENCE
Dr. Peter Mwangi - Lecturer, University of Embu, Kenya
Dr. Mary Ragui - Lecturer, Kenyatta University, Kenya.
Dr. Arani - Lecturer, Multimedia University, Kenya.
ABSTRACT
In Kenya, retail chains are facing disruptions due to high competition, increase in globalization and high level advancement in technologies and virus health crisis- Covid-19 pandemic posing a threat to profitability earnings. To improve on performance, retail stores are instituting supplier collaboration as a precursor of supplier chain reliance. Leading retail stores such as Tuskys and Uchumi have recorded declines in performance motivating supplier collaborations. The objective was to determine influence of supplier collaboration on performance of retail stores in Nairobi County, Kenya and to establish intervening role supply chain resilience in the relationship between supplier collaboration and performance of supermarkets in Nairobi City County. The study was anchored on transaction cost theory. The study used cross-sectional descriptive survey research design. The target population was 32 retail stores in Nairobi City County. The study respondents were 160 staff working in the retail stores. Correlation results found a strong, significant and positive association between supplier collaboration and firm performance on supermarkets. Further regression results revealed that supplier collaboration had a statistically significant and positive effect on performance of supermarkets. The results established that supplier chain resilience has a significant intervening role in relationship between supplier collaboration and performance on retail stores in Kenya. The study concluded that enhancing supplier’s chain resilience through supplier’s collaboration significantly contribute performance on retail stores IN Nairobi County, Kenya.