Competition in Marketing: Survival Yardstick for Small and Medium Enterprises in Nigeria

Abstract

The study investigated how competition on firms’ life-cycle operations ensures the survival of small and medium enterprises in
Nigeria. Relevant models and theories were employed to evolve detailed analysis of issues relating to the variables used in
terms of competition in marketing and survival of juice-producing small and medium enterprises. Two hypotheses were
investigated through the survey of 20 prominent Ikeja based small and medium enterprises using Cluster sampling. 5-point
Likert summated rating scale was adopted, while Yard’s formula with 95% confidence level and 5% error tolerance was used.
Alternative form validity of the instrument was measured at 0.63 while its reliability was measured at Cronbach’s alpha of 0.70.
Pearson’s product-moment correlation was used in testing hypothesis 1 while standard multiple regressions were used to test
hypothesis 2. Findings revealed that there was strong relationship between survival of juice-producing small and medium
enterprises with forms of competition on a firm’s life-cycle; while competition had positive effects on survival components for
the enterprises. It was concluded that since competition subsists in any firm’s life-cycle, strategies to support operations for
survival must be adopted. It was recommended that operators of small and medium enterprises have to monitor and manage
competition as it affects their businesses positively and/or negatively.