Competitive Strategies, Brand Equity, and Sales Performance of Carbonated Soft Drinks Companies in Uganda.
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Date
2025-06-17
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Makerere University Business School
Abstract
The study sought to establish the relationship between brand equity, competitive strategies, sales performance of carbonated soft drinks companies in Uganda. Specifically, the study sought to examine the relationship between competitive strategies and sales performance of carbonated soft drinks companies in Uganda; to establish the relationship between brand equity and sales performance of carbonated soft drinks companies in Uganda; to examine the relationship between competitive strategies and brand equity among carbonated soft drinks companies in Uganda; and to establish the mediating effect of brand equity on the relationship between competitive strategies and sales performance among carbonated soft drinks companies in Uganda. The study adopted a cross-sectional design in order to gather responses from multiple respondents simultaneously. The population as 32 carbonated soft drinks manufacturing companies in Uganda. The sample size of 28 carbonated soft drinks companies in Uganda basing on Krejcie and Morgan table and selected using simple random sampling. Respondents included 4 employees from the Operations, Finance, Marketing and Sales departments of each company, selected purposively. Information was solicited from respondents by use of a questionnaire which was based on a five-point Likert scale. Quantitative data analysis was presented using inferential statistics. The study concluded that there was a strong positive relationship between competitive strategies and sales performance among carbonated soft drinks companies in Uganda (r = .612**, p < .01). It was also concluded that there is strong positive relationship between brand equity and sales performance among carbonated soft drinks companies in Uganda (r = .699**, p < .01). And concluded that there was strong positive relationship between competitive strategies and brand equity among carbonated soft drinks companies in Uganda (r = .505**, p < .01). It was further concluded that brand equity mediates the relationship between competitive strategies and sales performance. While competitive strategies have a direct positive impact on sales, the enhancement of brand equity further amplifies this effect. Given the strong relationship between brand equity and sales performance, companies should invest heavily in brand-building activities. It was further recommended that companies integrate brand-building efforts into their strategic planning. For example, firms could focus on differentiating their brands by offering unique value propositions, enhancing product quality, and emphasizing sustainability. Companies should also not only focus on implementing competitive strategies but also on leveraging these strategies to build and enhance their brand equity.
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This is a master's thesis.
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Citation
Ayebare, A. (2025). Competitive Strategies, Brand Equity, and Sales Performance of Carbonated Soft Drinks Companies in Uganda. (Unpublished master’s dissertation). Makerere University Business School, Kampala, Uganda.