Blue Ocean Strategy And Competitive Advantage Of Cement Manufacturing Companies In Nigeria

Abstract

The increasing intensity of competition in Nigeria’s cement manufacturing industry has heightened the need for firms to explore strategies that create new value and market opportunities beyond conventional competition. In view of the foregoing, this study examined the influence of Blue Ocean Strategy on the competitive advantage of cement manufacturing companies in Nigeria, focusing specifically on value innovation and market creation. The study adopted a cross-sectional survey research design. The population comprised 50 Strategic Management Personnel from Dangote Cement Plc, BUA Cement Plc, and Lafarge Africa Plc, while a census sampling technique was adopted. Of the 50 targeted personnel, 46 usable responses were obtained, representing a response rate of 92.0%. Data were collected using a structured questionnaire administered electronically through Google Forms and analysed using descriptive statistics and multiple regression analysis. The regression model was statistically significant, F(2, 43) = 468.564, p < .001, with R = .978, R² = .956 and adjusted R² = .954, indicating that value innovation and market creation jointly accounted for 95.6% of the observed variation in competitive advantage. Value innovation was positively associated with competitive advantage (B = 0.400, SE = 0.049, β = .518, t = 8.168, p < .001, 95% CI [0.301, 0.499]), while market creation was also positively associated with competitive advantage (B = 0.506, SE = 0.065, β = .495, t = 7.811, p < .001, 95% CI [0.375, 0.638]). The study concludes that higher levels of value innovation and market creation were associated with higher reported competitive advantage among the selected cement manufacturing companies. However, the cross-sectional survey design, reliance on self-reported assessments, and clustering of respondents within only three firms limit causal interpretation and the generalisability of the findings. The study therefore recommends that cement manufacturing companies continue to strengthen value innovation and market creation practices as part of their strategic efforts to support competitive advantage.