The introduction of a product, a swift entry into the market, and ultimate market share appropriation are the main goals of the market penetration strategy.

As soon as a business enters a new market, according to Luo and Zhao (2014), it tries to gain market share. Selling more of your present goods or services to your current target market is referred to as market penetration and is a growth strategy (Robertson, 2013). This is done using the market penetration technique. For these production- and technology-based commodities, the manufacturing industry’s sole option in this situation is to rely on the market penetration approach.īy expanding with their current products in their current market categories, businesses can increase their market share. A freshly introduced product or technology only lasts a very short time on the market before being replaced by the next. Accordingly, the researchers claim that manufacturing has a unique need for penetration strategy since it is a production- and technology-based firm. Evidence from developed nations around the world, practically all of which have industrialized with the manufacturing sector at the forefront of the process, supports this claim (World Development Indicators, 2012). The manufacturing sector, in particular Nigeria, has been referred to as the manufacturing industry’s heart and engine of growth by Kayode (2019) and Libanio (2016). According to development literature, the manufacturing sector is a means of producing goods and services, creating jobs, and raising incomes (Olorunfemi et al., 2018). Any country’s ability to experience significant economic growth is hampered, if not impossible, in the absence of a thriving and developing manufacturing sector. Thus, the value of manufacturing to the economy cannot be overstated, especially in light of its role in the process of economic growth and development. The industry serves as a source of economic transformation and diversification, playing a crucial role in the economy. As such, the industry has witnessed slow performance and growth in terms of value addition, capacity utilization, effectiveness and efficiency and the industry output generally (Okwo, Ugwunta, & Nweze, 2022). Over the years, the manufacturing industry in Nigeria has undergone years of dilapidated infrastructure, policy inconsistence, political economy in business regulation, poor power supply characterized with constant power outage, poor or no access to credit by most of the entrepreneur particularly the small and medium scale enterprise (Noko, 2016). Due to this unfavourable impact, employ an efficient marketing plan that will raise product awareness in such places. Spend more energy and time on a promotion to raise brand awareness. This is necessary for the market penetration plan to be implemented effectively. The study advises the manufacturing sector in North-West Nigeria to continually altering price and promotion strategies to improve performance because doing so is an efficient way to draw in new clients.

According to the findings, the penetration strategy’s price (PRI and PROM = 0.02 + 0.14 and 0.02 + 1.71) and product (PROD = 0.2 - 1.30) components have a significant impact on the performance (effectiveness) of the manufacturing sector in North West Nigeria, both positively and negatively. The preferred statistical technique used in the study was multiple regression, and the respondents’ responses to a questionnaire were used to gather the study’s data. 81 people made up the study’s population and sample size. Surveys were used as the primary method of the study’s investigation. The study’s objective was to ascertain how penetration strategy affects the performance of the industrial sector in North-West Nigeria. The manufacturing sector in North West Nigeria is not operating at its peak potential, despite the emphasis on penetration strategy (pricing, product, and promotion).

Years of outdated infrastructure, inconsistent policy, political economy in business regulation, bad pricing, advertising, and product quality, as well as low or no access to finance by most entrepreneurs have plagued Nigeria’s industrial sector, notably that of the country’s North-West, for years.

Doi penetration pricing strategy