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Author: Fukunishi, T

Awarding University: University of London, England

Level : PhD

Year: 2013

Holding Libraries: Institute of Commonwealth Studies, England ;

Subject Terms: Labour ; Exports ; Clothing industry ; Labour economics ; Bangladesh ;

Abstract:

This thesis attempts to understand the causes behind the stagnation of the African manufacturing sector based on comparative case studies. We specifically compare the garment industries in Kenya and Bangladesh, which have similar endowments including income per capita and business environment, but contrast in the development of the typical labour-intensive industry. Our comparison between countries with similar endowments simplifies the causes of the divergent performance, since it effectively controls possible reverse causation. Additionally, the focus on a labour-intensive industry demonstrates obstacles at the early stage of industrialisation. The fact that the Kenyan industry had growth opportunity in the period of analysis, from 2002 to 2008, makes the comparison meaningful. Using firm data and in-depth interviews, the comparison is based on a microeconomic perspective so that it incorporates firm heterogeneity. The main analysis is extended in three chapters. Sources of the competitiveness gap between the two industries are explored in Chapter 4. Chapter 5 demonstrates the dynamics of non-exporters in Kenya, while the dynamics in the export market, namely export participation, are analysed in Chapter 6. We found that the most influential source of the competitiveness gap is labour cost rather than productivity; the wages in Kenya are far higher than those in Bangladesh. Due to the large cost gap, the Kenyan garment industry experienced a drastic contraction in the liberalized local and export markets. Consequently, Kenyan local firms specialised in the local uniform growth and discouraging participation to the export market. High labour costs relative to income per capita can be an important cause of the stagnation of the manufacturing sector in some other African countries where the labour cost is as high as it is in Kenya.

Author: Maru, Hiten

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Foreign investment ; Clothing industry ; Business conditions ; Export Processing Zones, Kenya ;

Abstract:

Foreign Direct Investment (FDI) is a complex foreign market entry mode which involves the ownership and control of assets in a foreign market or direct ownership of facilities in the target country. Foreign Direct Investment contributes to the growth of domestic firms through complementarities in production and productivity spillovers. With the ever-changing environment, entry mode decisions and how to cope with such changes are very challenging to International Business Managers as wrong decisions could be irreversible and costly on the long run. Kenya has been involved in Global trade for many years, but mainly in the agricultural sector and with the US Congress passing the African Growth and Opportunity Act (AGOA) in 2000, and enhanced by the formation of the Export Processing Zones (EPZ) in Kenya, there is renewed interest in the once declining apparel manufacturing industry with the inflow of Foreign Direct Investments into the apparel sector mainly within the Export zones in order to reap the incentives offered by the EPZ Scheme. With the window of opportunity presented by AGOA which provided the major market expected to close in September 2015 and compounded by other challenges like the deterioration of the Kenyan infrastructure, port congestion, poor supply and cost of electricity, and high cost of labor, this study attempted to investigate the challenges of Foreign Direct Investment faced by firms in the apparel manufacturing industry in the Kenyan export processing zones and the measures adopted by the firms in dealing with the challenges. Data for the study was collected from fourteen out of the fifteen FDI firms in the apparel manufacturing industry in the Kenya export processing zone using drop and pick method. Analysis of the data concluded that fiscal policy, state and cost of infrastructure, customs regulations and market and product are the major sources of challenges. The study highlighted that political, legal and social variables, human resource variables are not major challenges with land related challenges not a challenge.EPZ Authority generated measures were the most effective measure in dealing with the challenges faced by the FDI. However, others such as corporate social responsibility measures, in-house generated measures, parent _ company generated and globally outsourced measures equally play a pivotal role in helping deal with the effects of the challenges. Trade organization /affiliates, Nongovernmental /lobby groups and other Kenya Government ministry /agency were providing the least assistance to overcome the challenges. A study on the factors that promote effective growth of foreign direct investment in apparel manufacturing industry in Kenya, a comparative study on challenges that affect locally owned and foreign direct investment in apparel manufacturing industry in Kenya and a study on the service levels, the strengths and effectiveness of the Export processing zones authority is recommended. The Government by strengthening the EPZ Authority, ministries and affiliates should facilitate more interaction with the foreign direct investors to overcome the challenges. The investors on their part should form lobby group to enable them to market their product more easily.

Author: Mutisya, Harriet Mwelu

Awarding University: University of Nairobi, Kenya

Level : MBA

Year: 2012

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Effects ; India ; Manufactured products ; Imports ; Textile industry ; Clothing industry ;

Abstract:

This study attempted to explore the effect of India's manufactured products on the textile and apparel industries based in Nairobi and its surroundings, Kenya. The target population of study was all textiles and apparel manufacturing industries that are members of Kenya Association of manufacturers KAM and operate within Nairobi and its surroundings. This study used a purposive sample of 38 respondents. Questionnaires were used for data collection. Quantitative and Qualitative analysis techniques were applied. From the findings, the study reveals a number of conclusions. Most of the textiles and apparel manufacturing industries have been in operation for mote than 10 years. A majority of them are engaged in fabric and apparel manufacturing and record an annual turnover of over 100 million Kenya shillings. Product innovation; market development; improvement in technology; aggressive marketing; and changes in customer needs have contributed to the success of the companies to a great extent. Olobalization/regionalization, technological advancement, and improved customer awareness impacted on companies to a great extent. Companies' loss of market share and decline in profits has been affected to.a very extent by the Kenya-India bilateral trade agreement. Moreover, the companies have adopted moderately important strategies like market penetration, market development, and product development in order to remain competitive in the textiles and apparel industry. The study recommends that: textiles and apparel industries should also ensure that cotton production becomes a priority in their development policies in Kenya; and the OoK to intensively and expansively focus its policies extensively on investment in the textiles and apparel industry as well as the so much neglected cotton industry.

Author: Gatimu, Caroline Wanjiku

Awarding University: University of Nairobi, Kenya

Level : MA

Year: 2011

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Nairobi ; Clothing industry ; Business conditions ; Competition ; Imports ; China ;

Abstract:

The rise of China as a global producer in the late 20th century and its increased openness have led to concerns, not just in the developed world but also within developing countries. Kenya has experienced increased garment imports from China, particularly after opening up its markets in the late 1980s and early 1990s which continues to compete with locally made clothing. Local garment producers have reacted differently to this challenge. Some have closed shops while others have proved to be very resilient, surviving and thriving in the new liberalized markets. This study focused on how garment SMEs in Nairobi have reacted to the increased clothing imports from China. Our overall aim was to investigate the different types of innovations adopted by these firms in responding to the stiff competition posed by Chinese clothing imports. We tried to establish whether there was a link between Chinese competition and firms' innovative behaviour. In order to realize this objective, a case study of fifteen garment firms was chosen. Face to face interviews with managers and/or owners of these firms were conducted. The data collected was analyzed into themes andfindings written on the same. The study established two major sources of competition for garment SMEs, which were, local competition and Chinese competition. Second-hand clothes were not regarded as competitors. The study also revealed that garment firms had adopted various innovations so as to cope with this competition. These innovations were incremental but not radical. They included process, product, market innovations and new sources of supply. Product innovations were the most common among these firms. Competition from other local producers emerged as the strongest driver of innovations among garment SMEs as opposed to Chinese competition. Creativity among entrepreneurs was also identified as a considerable driver of innovations among these firms. The study concludes that even though Chinese competition was not regarded as the strongest driver of innovations, many firms still opted to concentrate on products that were not in direct competition with Chinese imports and/or where Chinese competition was presumed to be low. This suggested that Chinese influence on local producers is strong even though some entrepreneurs did not see it that way. The study recommends government control of clothes importation and strict adherence to quality standards for those imports allowed in and promotion of cotton production and revival of textile ginning mills. Entrepreneurs in this area should also adopt product specialization and value addition as studies have shown that such activities have the potential to boost profit margins of garment firms. In addition, the government together with other stakeholders needs to establish training institutions in fashion design and other specialties relevant to garment industry as they are currently inadequate in the country, among others.

Author: Kinuthia, Lydia Nkatha

Awarding University: Kenyatta University, Kenya

Level : PhD

Year: 2011

Holding Libraries: Kenyatta University Moi Library ;

Subject Terms: Nakuru, Kenya/Marketing management/Clothing industry/Small business ;

Abstract:

The challenges of successful marketing in the clothing industry continue to increase in a world characterized by resource constraints, inflationary tendencies, changing lifestyles, rapid technological changes and increased competition both at local and international levels. In Kenya, the clothing industry is characterized by a very dynamic environment and intense competition caused mainly by enlarging globalization, trade liberalization and the second-hand (mitumba) clothes. In such an environment, it is becoming increasingly difficult for an enterprise to maintain longterm success. Thus the clothing enterprises are faced with challenges that demand them to offer higher value added products that meet the demands of the customers. As a solution, a sound marketing strategy is critical to the survival and growth of micro-enterprises in the garment making sector. Such a strategy will need to be implemented effectively. However, there is limited research that has looked at the industry from a marketing strategy perspective in terms of the factors that influence the implementation of the marketing strategies. This research aimed at determining the various marketing strategies and the factors influencing their implementation by the garment making micro-enterprises. The research design used was ex-post facto while the target population was 385 garment-making micro-enterprises that have less than ten employees in Nakuru town. Using an interview guide and a questionnaire comprising of closed and open ended questions, data was collected from a sample of 265 respondents for the survey (randomly selected using a table of random numbers) and 40 respondents for the interview. The data collection instruments were pre-tested using 40 respondents (30 for the survey and 10 for the interviews). The data collected was analyzed both quantitatively and qualitatively. Exploratory factor analysis, Chisquare goodness-of-fit test (X2) and multiple regression analysis were used to identify the marketing strategies and determine the factors influencing strategy implementation by help of Statistical Packages for Social Sciences version 16.0 (SPSS). There were eight strategies implemented by garment-making microenterprises. Interactive Marketing was the most implemented strategy while Emarketing was the least implemented. Target market factors did not have any significant influence on Interactive Marketing though it had the greatest influence on Product Differentiation strategy. Entrepreneurial orientation factors had a significant influence on Branding and Cost Reduction strategy. Internal environment factors did? not have any influence on E-marketing but greatly influenced Branding and Cost Reduction strategy. The External environment factors had the greatest influence on Market Penetration strategy. A major conclusion is that Benefits Sought; Innovativeness; Structure and Culture; and Enabling Environment are very vital in the implementation of the marketing strategies. Further research is recommended to explore the impact of the marketing strategies being implemented on the enterprise performance and growth.

Author: Kindiki, M M

Awarding University: London, University College

Level : PhD

Year: 2011

Holding Libraries: Institute of Commonwealth Studies Library ;

Subject Terms: Clothing industry/Exports/Folklore/ ;

Abstract:

An important question in development is how far can the contemporary global context create industrial development opportunities for the South, particularly for low income countries? In an important sense, this can only be answered in non-abstract terms, since the institutional conditions facing particular industries at particular times are highly specific. In this research, a configuration of four regimes- the structural regime on production and trade in apparel, the labour regime, the neo-statist European Union regime on production and trade in apparel and the neo-statist United States regime on production and trade in apparel- creates a window of opportunity for a Kenyan export oriented apparel industry. However, we must ask whether this industry is autonomous from these regimes to the extent that its gains can be sustainably embedded within Kenya, notably in terms of product and labour upgrading, or is it, rather, subservient to them? My theoretical discussion shows that the Global Value Chain (GVC) approach presents lead firms as the primary governors in GVCs, while International Relations theory presents regimes as the primary governors in issue areas. The discussion gives a Dependency interpretation of regimes, subsuming the GVC approach in that interpretation, and arguing that, as far as issue areas are concerned, 'external' control-emergent regime governance of the GVC overrides 'internal' control lead firm governance. My empirical discussion shows that the upgrading of the Kenyan apparel industry has been insignificant, and that the governance of regimes on production and trade in apparel, while not a necessary condition, was a sufficient condition to undermine it. Nonetheless, the Kenyan Government and social movements can exploit systemic weaknesses, the former by negotiating for a single transformation of fabric and promoting export of folklore/ hand loomed/handmade products, the latter by demanding for the full implementation of minimum labour conditions.

Author: Olendo, Joab Onyango

Awarding University: University of Nairobi, Kenya

Level : MA

Year: 2010

Holding Libraries: University of Nairobi Jomo Kenyatta Memorial Library ;

Subject Terms: Small business ; Credit ; Business conditions ; Nairobi, Kenya ; Clothing industry ;

Abstract:

Growth and Expansion of SMEs have led to more employment opportunities, higher standards of living and elimination of social evils in our societies hence the prominence given to SMEs . For most part and in many years the assumption has been that with access to formal credit sources, SMEs are likely to grow as a result. This has led to attention and over-emphasis on formal sources of finance as the comer-stone foundation for SMEs expansion and success. But there are SMEs that have received little assistance from the formal sources of finance and those that did receive finance from the formal sources have not shown much difference in terms of growth. This has necessitated the need to change focus, pay attention and give more weight to other factors that determine SMEs growth apart from the formal sources of Finance.

Author: Mburiah, Beth Wairimu

Awarding University: Kenyatta University, Kenya

Level : MBA

Year: 2007

Holding Libraries: Kenyatta University Moi Library ;

Subject Terms: Westlands, Nairobi, Kenya ; Performance appraisal ; Employees ; Small business ; Clothing industry ; Textile industry ;

Abstract:

The purpose of this study was to establish the effects of performance appraisal on workers in Small and Medium Enterprises in SMEs in Textile Industry in Nairobi.According to Mutenyo (2004) lack of consistent, reliable, automatic and well defined policy on SMEs approval leading to promotion and recognition of achievements has led to a very low morale of workers. This effects of performance has led to dissatisfaction with work and has increased subsequent turnover. The study adopted a descriptive research design. The population consisted of employees in Clothing and Textile Industry in Westlands region of Nairobi. Stratified random sampling was used to arrive at a sample of 150 respondents and data was collected by use of a questionnaire. Data collected was analyzed by use of descriptive statistics. The study sought to determine whether appraisal of workers lead to motivation and improvement of their performance. A total number of 59 workers completed the questionnaire and out of the 150 workers in the four selected SMEs . According to the study performance appraisal offered in SMEs had been a positive effects to those who had been transferred, promoted or demoted. The appraisal is also adequate despite the failure to effectively effect it on workers. From the stud it can be concluded that workers of SMEs have a positive perception towards performance appraisal. The study also concluded that appraisal is not an adequate factor that affects performance of workers, other interventions such as confidential report, working experience and exceptional performance needs to be addressed.

Author: Ombuki, Maureen Kerubo

Awarding University: Kenyatta University, Kenya

Level : MBA

Year: 2005

Holding Libraries: Kenyatta University Moi Library ;

Subject Terms: Small business ; Business conditions ; Clothing industry ; Women owned businesses ; Umoja Estate, Nairobi, Kenya ;

Abstract:

The research was concerned with the challenges facing women owned small and micro enterprise (dressmakers) in Umoja 1 market. Umoja 1 market is situated around 14 Km from the city Centre. The aim of this research was to identify the major challenges facing the women owned small and micro enterprises (dressmakers) in respect of Umoja I market. Challenges mean problems, or constraints that affect the performance of business activities of the said enterprises. Its whatever affects both the demand and supply of Micro and Small Enterprises (MSEs) products. The researcher examined the entrepreneurs' access to finance, their management skills, their access to markets and how they gather and use market information. The researcher also examined the infrastructure, the technology and the skills used and even how they adopt them. The study analyzed the incentives and supportive policies. The researcher examined how if at all the challenges had resulted in loss of competitiveness for small and micro enterprises in Umoja 1 market, as well as whether they had resulted in low productivity and profitability with consequent increase in unemployment and poverty. The researcher concluded with formulated recommendations to address the challenges of these enterprises.

Author: Owino, Geoffrey Otieno

Awarding University: Kenyatta University, Kenya

Level : MBA

Year: 2004

Holding Libraries: Kenyatta University Moi Library ;

Subject Terms: Export Processing Zones, Kenya ; Clothing industry ; Working conditions ; Gender ;

Abstract:

This study assessed work condition of the following three garment manufacturing enterprises, Baraka Apparels Nairobi, Altex Apparels Athi River and Kapric Apparels Mombasa in Kenya The results of the study show that the existence of export processing zones continues to be mired by a reputation for low wages, poor working conditions, sexual harassment and underdeveloped labour-relations systems. Working in such hostile environment makes workers vulnerable to exploitation. The study concludes that given the rigid nature in which these organizations are terms and conditions of work will continue to be deplorable Under such circumstances it is understood that the ideal work conditions would prevail in the export processing zone if minimal measures to ensure the welfare of the worker are taken into consideration.