Green Distribution Practices and Competitiveness of Food Manufacturing Firms in Kenya

Abstract

Distribution determines the overall profitability of a firm. Increased environmental awareness has led more companies to adopt sustainable, or green, distribution practices. The main purpose of this study was to determine the effect of green distribution practices on the competitiveness of food manufacturing firms in Kenya. A cross-sectional survey was conducted on a sample size of 130 companies listed in the Kenya Association of Manufacturers directory. Primary data was collected through questionnaires. Factor analysis was used examine the construct validity while multivariate liner regression was employed to test criterion validity. This research indicated that, technology has greatly influenced distribution techniques with more firms using the internet as a distribution channel. Support for green distribution practices is an indicator that firm managers are willing to embrace this form of distribution by taking control of their own distribution patterns. Further this research concluded that the adoption of green distribution practices positively and significantly influences the competitiveness of Kenya’s food manufacturing firms. This study recommends that to enhance environmental sustainability, Kenyan manufacturing firms should be encouraged to embrace more of the green distribution practices. The study suggests further research to be done on how green distribution practices affect performance of firms in the services industry such as wholesalers and retailers.