THE EFFECT OF MARKETING STRATEGY ON MICRO AND SMALL ENTERPRISES SALES PERFORMANCE: EVIDENCE FROM SERVICE SECTOR IN ADDIS ABABA, IN THE CASE OF KIRKOS SUBCITY

Abstract

Marketing strategies constitute one of the key functional strategies that Micro and Small Enterprises (MSEs) adopt to improve sales performance. This study is aimed to examine the effect of marketing strategy on MSEs sales performance in Kirkos Sub city. By taking the research objectives and questions into considerations, only quantitative research approach and explanatory research design were used. The study was delimited to proportionate stratified and purposive sampling techniques. Quantitative data was collected using a structured questionnaire which has been developed and distributed to a sample of 163 owners and/or managers of MSEs in kirkos sub city . With a response rate of 80%, 131 questionnaires have been returned and were valid for data analysis. The quantitative data were analyzed by using both descriptive and inferential analysis. Except place all independent variables have the significant correlation with the dependent variable “sales performance. The multiple regression analysis indicated that, the independent variables are positive and significant effect on dependent variable, except product, place and promotion. The other 4 variables are significant predictor of sales performance of MSEs.