Fast Moving Consumer Goods Companies Research Articles

Brand Loyalty and Its Impact on Repeat Purchase Behaviour of Customers: A Cross-Sectional Study in the FMCG Context

Brand loyalty is a fundamental concept in marketing, particularly in the "fast-moving consumer goods (FMCG)” industry, where competition is intense and consumer choices abound. Understanding the impact of "brand loyalty” on repeat purchase behavior is crucial for businesses striving to build enduring customer relationships and achieve sustainable growth. Brand loyalty plays an important role in shaping the success of companies as it influences customer retention and sustains long-term profitability. By understanding the underlying mechanisms that drive repeat purchases, companies can develop effective strategies to cultivate brand loyalty and enhance customer satisfaction. The results suggest that various factors, including brand reputation, product quality, price, and promotional activities, significantly affect brand loyalty, leading to increased repeat purchase behavior. Furthermore, "customer satisfaction” and "trust"  emerge as critical mediating factors in the relationship between brand loyalty and repeat purchase behavior. The results will enable FMCG companies to comprehend the factors influencing brand loyalty and identify strategies to foster customer loyalty. Additionally, this study can serve as a foundation for future research exploring the dynamics of brand loyalty in different industries or cultural contexts. The study survey was conducted among 220 consumers to know the role of brand loyalty and its impact on repeat purchase behavior of customers in the FMCG context. The study concludes that there is significant impact of brand loyalty on repeat purchase behavior of customers in the FMCG context.

STRATEGIC ALLIANCES IN THE FAST-MOVING CONSUMER GOODS (FMCG) SECTOR: A QUALITATIVE ASSESSMENT IN THE BANGLADESH MARKET

This study seeks to investigate the intricacies of strategic partnerships in the Fast-Moving Consumer Goods (FMCG) industry in Bangladesh. The research aims to explore the motivations, challenges, critical success factors, and implications of alliances in the fast-moving consumer goods (FMCG) industry. This will be done through 40 in-depth interviews with industry experts, managers, and executives from various FMCG companies. The study focuses on the rapidly changing and competitive market environment. The study utilizes qualitative analysis to reveal a notable transformation in the objectives and extent of strategic relationships. Originally centered on resolving issues related to distribution, alliances have progressed to include other goals such as innovation, market growth, and operational effectiveness. The motivations behind these agreements encompass risk reduction, consolidation of resources, market entry, and obtaining a competitive advantage. Nevertheless, fundamental difficulties were recognized, such as cultural gaps and opposing objectives among collaborating companies. To overcome these obstacles, it is necessary to implement strategic initiatives such as cultural integration programs, efficient communication techniques, and well-defined governance frameworks. The study’s conclusions are primarily constrained by its qualitative nature, which may impact its generalizability. Moreover, the emphasis on the Bangladeshi Fast-Moving Consumer Goods (FMCG) sector could restrict the wider repercussions for the industry. However, the results provide practical advice for FMCG companies, including solutions to overcome difficulties and improve the efficiency of strategic partnerships. Furthermore, the incorporation of sustainability and Corporate Social Responsibility (CSR) activities into these partnerships signifies a transition towards ethical corporate practices, which not only benefits business objectives but also contributes to the well-being of society. This study enhances the current body of knowledge by offering empirical observations on the changing characteristics, difficulties, and key determinants for success in strategic partnerships within Bangladesh’s FMCG industry. Nevertheless, the limitations encompass potential biases from participants and the inherent subjectivity in the qualitative research methodology.

Linking LMX and happiness at work through symbolic interaction theory – The role of self-esteem and organizational embeddedness

PurposeDrawing on the symbolic interaction theory, this research examines leader–member exchange (LMX) and employee’s happiness at work (HAW) with mediation of self-esteem (SE) and moderation of organizational embeddedness (OE).Design/methodology/approachThe study uses data collected from a sample of 246 employees working in fast moving consumer goods companies (FMCGs) and applied SmartPLS to analyze the proposed model.FindingsFindings reveal that LMX predicts HAW. Whereas, the follower’s SE fully transmitted the effect of LMX on employee’s HAW. Moreover, OE moderated the relationship between LMX and HAW.Practical implicationsLeaders should consider quality LMX interactions with their employees in prevailing global crises. LMX can improve the relationship with team members and boost their SE resulting in HAW. Furthermore, organizations should promote such practices which may enhance their employees' OE for enhanced workplace happiness.Originality/valueThe study is among the very few works which apply symbolic interaction as an overarching framework to explain the employees' HAW.

Assessing the feasibility of hyperlocal delivery model as an effective distribution channel

PurposeThe successive waves of the Covid-19 SARS-II pandemic and the attendant lockdown imposed by the governments worldwide drove the economic activities to a halt. Offices and factories closed, production of goods and services declined and supply chains got severely disrupted. Many companies were embattled with the grim reality of shrinkage of aggregate demand, first due to supply shock and later due to loss of jobs and wages. Amidst all this, the handling and shipping of commodities became extremely complex. As the pandemic shifted consumer preference in favour of digital platforms, more and more fast-moving consumer goods (FMCG) companies were confronted with multiple strategies and choices of an appropriate distribution channel to ensure smooth delivery of raw materials and products. The present study aims to study this shift and its implications in the Indian context.Design/methodology/approachA mix-method approach, integrating quantitative and qualitative analysis, is employed to investigate the factors influencing the selection of distribution channels amongst general trade, modern trade, e-commerce and hyperlocal for FMCG companies in India. The first phase of the study uses exploratory factor analysis (EFA), followed by the application of analytical hierarchy process (AHP) approach in a fuzzy environment to realise the priority weights and ranking of the identified factors. Finally, sensitivity analysis is performed to confirm the robustness of the fuzzy analytical hierarchy process (FAHP) outcomes.FindingsThe study revealed that modern trade has emerged as the most favoured channel in the post-pandemic Indian economy. It has the potential to disrupt general trade. The study also revealed that the hyperlocal delivery model is not economically viable, and the partnership of FMCG companies with these applications is at best a short-term solution. However, it must be submitted that due to its sheer capability to ensure quick deliveries within a confined geographic area, hyperlocal delivery will gain momentum with the advancement of technology.Originality/valueThis study can be seen as the first attempt to investigate the issues related to the selection of the distribution channels in the FMCG sector of India using multi-criteria decision-making technique (MCDM).

Synchromodal Supply Chains for Fast-Moving Consumer Goods

Synchromodality is an emerging concept in supply chain management. A synchromodal supply chain can be defined as a multimodal transportation planning system, wherein the different agents work in an integrated and flexible way that enables them to dynamically adapt the transport mode based on real-time information from stakeholders, customers, and the logistic network. The potential of synchromodality for the fast-moving consumer goods (FMCG) industry is related to the nature of business. The FMCG market is characterized by relatively low margins and high turnover, which is especially important in export supply chains. However, for a company, it may be challenging to objectively evaluate the costs and benefits, not to mention the design of a synchronized supply chain. In order to facilitate the adoption of the concept and guide the practitioners, our study put forward the following research questions: What should be considered in incorporating synchromodality in the export supply chain for FMCG? How should companies approach tradeoffs among factors affecting the supply chain? To answer these questions, we propose an adaptable framework, which should be considered a primary contribution of our study. The framework incorporates the center of gravity model, mixed integer linear programming, and sensitivity analysis. The framework is validated using a real-world problem from a multinational FMCG company. The problem involves the optimal volume allocation and the selection of the most efficient transportation mode for inland freight. Our study demonstrates that incorporating synchromodality in the export supply chain could reduce the overall cost by 9% and enhance flexibility by allowing multiple modes of transportation.

Sales Forecasting Analysis Using Trend Moment Method: A Study Case of a Fast Moving Consumer Goods Company in Indonesia

The market of Fast-Moving Consumer Goods (FMCG) companies in Indonesia is enormous. Unilever has 400 brands in more than 190 countries, making it a global business that is as influential in the consumer product market as it is in Indonesia. Sales forecasting at this company is very useful for planning expenses and the company's total costs on the business strategy. This study uses trend moment method to forecast the sales and earnings of Unilever Indonesia companies at the end of the year. This article aims to test the performance of the trend moment method calculation on the prediction of net sales and profits in FMCG companies. At the end of the analysis process, it can be concluded that forecasting using trend moment method is going very well. This indicator of success is shown by the error level of MAPE, which is below 10%.

The impact of intangible assets on the value of FMCG companies worldwide

This article is devoted to evaluating the role of intangible assets in the process of increasing the value of a company. As a sample, we have chosen FMCG companies around the world. The research was done on 90 FMCG companies. The theoretical part presents the “Value Creation Mixer” model that allows visual identification and determines the role of this type of asset in creating company value. This study reveals that the majority of FMCG companies are undervalued in terms of the value of intangible assets by comparing the market value of intangible assets with the fundamental and theoretical value. Our empirical findings support the positive impact of intangible assets on companies’ value based on a dynamic panel approach. The policy implications suggest managers protect intangible assets intending to maximize the value of the fast-moving consumer goods companies.

A Comparative Study on Nifty FMCG Companies Through Technical Analysis

The market share of FAST MOVING CONSUMER GOODS and related companies has been constantly growing in India. For an investor to invest in Fast Moving Consumer Goods (FMCG) companies and make more money, correct research and information are necessary in order for him to make the best decision. As a consequence, the study applies technical analysis, using the Relative Strength Index and Rate of Change, to NIFTY FMCG companies listed on the National Stock Exchange. ITC, HUL, BRITANNIA, NESTLE, DABUR, MARICO, COLGATE-PALMOLIVE, EMAMI, GODREJ, PROCTER & GAMBLE HYGIENE, TATA CONSUMER PRODUCTS, UNITED BREWERIES, VARUN BEVERAGES, UNITED SPIRITS, AND JUBLIANT FOODWORKS are among the companies that have undergone RSI and ROC analysis to This well-liked tactic is based on the company's closing share price. In order to assist investors in making decisions, the current research project analyses the effectiveness and volatility of stock prices and presents the share price of NIFTY FMCG companies. However, this is prominent technique depend upon closing stock of the respective company. The Present study project is volatility and effectiveness of the stock price and makes the comparison between all NIFTY FMCG companies for the purpose of investor’s investment decisions.

Total productive maintenance and companies performance: a case study of fast moving consumer goods companies

TPM implementation by FMCG firms in Ado/Ota industrial hub of Ogun State Nigeria was investigated, and its influence on the firm's performance was analyzed. Primary data were collected through the administration of an online questionnaire. A total number of 98 respondents participated in this research. The analysis was conducted through descriptive analysis and structural equation model (SEM) using a smart partial least square (PLS) software. It was observed that TPM implementation had a positive influence on firms' performance. The descriptive analysis. It noted that most firms explored in this study had implemented TPM. It implies that above ninety percent of companies in the industrial hub are practicing TPM. The data employed in this research are limited to those obtained from FMCG firms in Ado/Ota in Ogun State, Nigeria. However, this study's findings can represent other firms in other locations where TPM is practiced. This research will be helpful for FMCG firms in Nigeria, especially those in Ogun State. TPM was measured using the following indicators: 5S, Autonomous Maintenance, Kobetsu Kaizen, Planned Maintenance, Quality, Education and Training, Office TPM, and Health, Safety and Environment. Eight indicators measure The company's performance: Product Quality, Cost, Inventory, Lead Time, Processing Cycle Time, Customer Complaints, Equipment Efficiency and Overall Productivity. The research review shows that the TPM implementation significantly affects firms' sustainable performance. In addition, the result shows that local firms in the survey area are yet to key into implementing TPM practices fully.

Let’s Profitably Fight Poverty, Shall We? How Managers Use Emotional Framing to Develop Base of the Pyramid Ventures Inside a Large Fast-moving Consumer Goods Company

Entering the Economic Base of the Pyramid (BoP) is often portrayed as an effective way for multinational corporations (MNCs) to grow and alleviate poverty, yet only few MNCs succeed. Although scholars have suggested that emotional arguments may be critical in motivating MNCs to engage at the BoP, it has remained unexplored how managers who develop BoP ventures inside MNCs use emotional framing to persuade organizational members to support their initiatives. Building on a multiple-case study of a Fast-Moving Consumer Goods Company, we find that captivating, solidifying, and perpetuating emotional frames allowed managers to earn and maintain commitment from volunteers and senior managers and sustain venturing efforts up until a stage where ventures were considered for launch despite an obvious sense of profitability. These findings contribute to a theoretical understanding of processes that enable BoP venture development inside MNCs, and contribute to the literatures on emotional framing and corporate entrepreneurship.

Igniting the Harmonious Passion among Fast Moving Consumer Goods Companies’ Frontline Employees: The Role of Relationship-oriented Leadership

The primary purpose of this paper is to examine the impact of relationship-oriented leadership on harmonious passion based on Self-Determination Theory. Self-efficacy is taken as a mediator between the relationship-oriented leadership style and harmonious passion. A conscientious personality trait is integrated as a moderator to check whether it moderates the effect of relationship-oriented leadership on harmonious passion. The data were collected using a cross-sectional research design, and the study population is the front-line employees of fast-moving consumer goods companies in Pakistan. The research model was tested using a questionnaire survey instrument, and the sample size was 487. PLS-SEM was used for testing the hypotheses. Similarly, Hays process macro was used for testing mediating and moderating effects. Results revealed that employees increase their Harmonious Passion in the presence of relationship-oriented leadership. Self-efficacy mediates the relationship between relationship-oriented leadership and Harmonious Passion. Conscientiousness personality trait significantly acts as a moderator between relationship-oriented leadership and Harmonious Passion. As research on this leadership style and employee passion is scarce, this paper will help get a proper understanding of the specific leadership style necessary for cultivating harmonious passion. This study also concludes that fast-moving consumer goods companies should consider this leadership style and motivate their managers to adopt this particular style to increase their employees’ harmonious passion for better outcomes.

Study of financial performance of five selected FMCG companies in India

In modern economy, performance appraisal is necessary in a capitalist firm and this is evaluated with respect to its assets and liabilities. The Fast-Moving Consumer Goods (FMCG) sector is one of our fastest-growing sectors which have shown more growth in rural areas for the past few years. COVID-19 epidemic has caused a slight shift in our perception about essentials which added hygiene goods to this category, whereas businesses such as apparel have shifted to discretionary category. This study aims to analyse the financial performance and price fluctuations of the selected Fast Moving Consumer Goods companies over the past five years using different financial ratios. As investors want more profit with less risk, the present study also relates the risk associated with the stocks of selected FMCG companies. Thus, it envisages providing an insight to the investors in choosing the companies for making a better portfolio.

Green Manufacturing and Operational Cost of Selected Fast Moving Consumer Goods Companies in Lagos State, Nigeria

Manufacturing firms have witnessed an unexpected high operating cost with the attendant reduction in profitability, operating costs are expenses associated with the maintenance and administration of a business on a day to day basis and as such businesses have to keep track of operating costs as well as the costs associated with non-operating activities. However, in recent years, difficulties in adopting green product design, inefficient green processes, unreliable green supply chain, and lack of green recycling have been identified as significant factors affecting the operational cost. Despite various research on green manufacturing and operational cost in developed economies, few studies have been conducted in Nigeria. Hence, this study examined the effect of green manufacturing on operational cost of selected fast-moving consumer goods in Lagos State, Nigeria. Survey research design was adopted. The population for the study was 3512 employees from three of the leading fast-moving consumer goods companies in Lagos State, Nigeria from which a sample of 451 employees was selected using the Cochran formula. Stratified random sampling technique was adopted. A validated questionnaire was used to collect data. Cronbach’s alpha reliability coefficients for the constructs ranged from 0.72 to 0.93. The response rate was 80.4%. Data were analyzed using descriptive and inferential statistics. Findings revealed that that Green Efficient Processes (β = 0.234, t = 3.554, p<0.05) and Green Recycling (β = 0.391, t = 5.869, p<0.05) have significant, positive, and direct effect on the operational cost of selected fast-moving consumer goods companies in Lagos State, Nigeria while Green Product Design (β = 0.071, t = 0.980, p>0.05) and Green Supply Chain (β = 0.041, t = 0.615, p>0.05) has an insignificant direct effect on operational cost in Lagos State, Nigeria. The study concluded that green manufacturing components have a significant effect on the operational cost of the selected fast-moving consumer goods companies in Lagos State, Nigeria. The study, therefore, recommends that the management of fast-moving consumer goods companies should insist on and practice continued green manufacturing to improve the overall operational cost in their companies.

MODELLING, RECOMMENDATION AND ANALISYS OF DEMAND PLANNING IN FMCG

Most of the fast-moving consumer goods companies (FMCG) have two main targets in order to become successful on the market. First, it is profit maximization and the second one is cost optimization or minimization. If the company can hold those two key performance indicator (KPIs) in balance, it has all the odds to be competitive and successful in the field of operation. Supply Chain (SC) team and in particular Demand planning (DP) plays a crucial role in achieving those targets mentioned above with help of recommendation modelling systems. Demand planning team are those who can translate business needs into meaningful and measurable numbers for Supply Chain keeping healthy inventory level and delivering the goods that needed with the best freshness and availability possible. Further, we will describe and analyze how to achieve better results vs. current solutions on specific company called PepsiCo via modelling and analyzing Demand Planning in FMCG sector overall.

Effect of corporate social responsibility on consumer retention for FMCG industries: a deep learning analysis of professional students of Odisha

Corporate social responsibility (CSR) represents a form of international private business self-regulation that contributes to the social aims of a charitable, activist, or philanthropic nature through helping ethically based practices. The benefits from CSR like generating better public image, enhance in community support, enhance in market share, enhance in the satisfaction of the consumer, enhance in the exports, offering better quality services and products, and enhance in the productivity is not considered as the perception level consumers. This paper analyzes the effect of CSR activities on the fast moving consumer goods (FMCG) industries on the basis of the retention of the consumers of FMCG products. Initially, a questionnaire is prepared that consists of five categories. Each category is composed of more than ten questions. The information related to the questionnaire is obtained in the view of the professional students from Odisha. The customers are requested to fill the exact information as much as possible. Next, a higher-order statistical analysis is considered for realizing the behaviour of the categories. Additionally, the usage of deep learning called Optimized RNN (O-RNN) is used for predicting the customer retention in maintaining the CSR on FMCG industries. The improvement in the traditional RNN is done by optimizing the hidden neurons by the improved form of Sea Lion Optimization Algorithm (slno) called Modified slno (M-slno) with the intention of minimizing the error among the actual and the predicted outcome, hence it is called as O-RNN. The retention of the customers regarding the effect of CSR activities on FMCG companies and the benefits from CSR is investigated using the O-RNN prediction analysis against several traditional deep learning models as well as different statistical measures.

Strategic Sensitivity and Corporate Responsiveness of Fast Moving Consumer Goods Companies in Rivers State, Nigeria

Purpose: This study examined the relationship between strategic sensitivity and corporate responsiveness of fast moving consumer goods companies in Rivers State, Nigeria. 
 Methodology: The study adopted a cross sectional survey research design. The population of this study was nine (9) fast moving consumer goods companies in Rivers State. Since the unit of analysis was at organizational level, only strategic managers were included. Five managers each were used for each company giving a total of 45 respondents. Census was adopted because the population was small. Primary data was collected using a 5-point Likert scaled questionnaire. The reliability of the instrument was achieved by the use of the Cronbach Alpha coefficient with all the items scoring above 0.70. The hypotheses were tested using the Spearman’s Rank Order Correlation Coefficient with the aid of Statistical Package for Social Sciences version 23.0. The tests were carried out at a 95% confidence interval and a 0.05 level of significance. After data cleaning, only data for 38 respondents were used for data analysis.
 Findings: The findings revealed that there is a significant positive relationship between strategic sensitivity and corporate responsiveness of fast moving consumer goods companies in Rivers State, Nigeria. Specifically, strategic foresight and strategic insight were significantly and positively correlated with corporate responsiveness of fast moving consumer goods companies in Rivers State, Nigeria.
 Recommendation: The study recommends that fast moving consumer goods companies should build its capabilities of strategic foresight in examining the dynamic business environment and should constantly and proactively scan for opportunities and threats, in addition to strategies for lowering or reducing cost of production compare to other competitors.

The Challenges of Digital Supply Chain Implementation: A Case Study in Project MANTRA Tool in Fast-Moving Consumer Goods Company

PT UNIKACA PROBANA (a disguised name), a pioneer in digital supply chain transformation journey, developed an auto-tracking tool called MANTRA. MANTRA is a digitized innovation planning tool that automates master data management and packaging material development in a single touchpoint. MANTRA is expected to help businesses by providing analytics and insights for better decision-making. However, MANTRA's utilization rate is still not optimized, hovering around 63% up to October 2019. This presents the biggest challenge that needs to be addressed. The research goal is to help find root causes and suggest actions to make this tool more beneficial to users. This research uses a qualitative methodology, with data and information collected through direct observation and interviews with nine respondents from three different clusters. Interview results were analyzed through mind-mapping and narrowed down to two factors: core technical capabilities and non-technical factors. Several actions for improving the utilization rate include introducing a change agent, distributing performance reports, and transforming MANTRA from a "by-choice" to a "must-use" tool. The final section concludes with a diagnostic framework that can be utilized to implement digitization in the supply chain environment

The Determinants of Capital Structure Choice: Evidence from Bangladeshi FMCG Companies

This paper offers empirical proof of Bangladesh's theories of capital markets and analyses the effects of the failure to introduce a secondary capital market in relation to Bangladesh. The findings from the cross-sectional OLS regression demonstrate that both the static deal theory and the cost theory of the organisation are applicable to the capital structure of the Bangladesh Fast-moving consumer goods (FMCG) companies. The lack of a secondary market will affect the costs of an entity because shareholders unable to decommission their shares may place pressure on management to behave in their best interests. We analyse in this paper, using a sample of 5 Bangladeshi FMCG companies for the period from 2014 to 2019, the determinants of Bangladesh's Debt to Total Asset. This study reveals that Bangladesh's listed Food and Allied company's average leverage ratio is close to that of other countries in the growth of the economy. The study also shows that the Company's Profitability is strongly and positively linked to the asset structure, Size, Profitability, growth and business risks. A firm's Size has a statistically significant negative impact on Debt to Total Asset.

The role of Corporate Social Responsibility in the decision-making process of consumers in Ukraine

This paper aims to investigate the impact of Corporate Social Responsibility (CSR) of Fast Moving Consumer Goods (FMCG) companies on consumer buying behavior in the Ukrainian market. The qualitative data for this study were collected with the help of semi-structured interviews conducted with a total of 10 respondents, including 5 Ukrainian consumers (with different levels of responsible consumption adoption) and 5 CSR experts from FMCG companies located in Ukraine (both local and global; with CSR adoption level varying from low to well-developed). The data obtained for this study revealed that the level of consumer awareness about CSR in Ukraine is still low. However, the level of awareness and the actual consumption of responsible products are constantly growing. The results also show that Ukrainian consumers who already have some level of awareness about CSR perceive CSR communication as more credible when it does not originate from the company directly or is endorsed by a third party. At the same time, interviewed experts stated that to raise awareness among the wider population, FMCG companies have to communicate their CSR achievements directly and massively. Ukrainian consumers are mostly impacted by the product-related CSR type, such as bio-ingredients and sustainable packaging. Price premium for responsible products is the key factor that causes the “intention-behavior gap” in Ukraine.Practitioners from the FMCG industry in Ukraine may use the information provided by this study to shape their CSR strategies, which will allow them to cater to societal demands and, as a result, impact consumer buying behavior.

Exploring a Three Parameter Environmental Assuredness Correlate of a Fast-Moving Consumer Goods (FMCG) Firm Market Share Performance in Port Harcourt, Rivers State, Nigeria

This study explored a three-parameter environmental assuredness correlate of Coca-Cola Fast- moving Consumer Goods (FMCG) firm market share performance in Port Harcourt, Rivers State. It examined the relationship between these three parameters (product design innovation, green price, recycling practices) and market share performance as well as the specific impact of each on the firm’s market share performance. The case research design method was deemed to be the most appropriate for this study. The judgmental sampling technique was used for the study. A sample size of 110 respondent was judgmentally selected from the total population which was unknown. Data were obtained through the administration of validated questionnaire. The Cronbach alpha was used to establish the reliability of the instrument. The study adopted descriptive statistics, correlation and multiple regressions analysis. Findings showed that all the independent variables (product design innovation, green price and recycling practice) significantly correlate with the market share performance of coca cola FMCG Company. However, the regressed effects of all three parameters on market share performance have a weaker insignificant effect from green price and recycling practices while product design innovation was established as having a significant direct and linear effect on market share performance of the organization. Hence, it is recommended that while the adoption and actions reflecting product design innovation, green price and recycling practices are necessary for the organization in its relations with customers and market constituents, product design innovation that establishes the organization’s unique and distinct position within its market should be enhanced.