The nexus between business environment and business performance of oil blending companies
Keywords:
industrial environment, task environment, business environment, competitive advantage, business performanceAbstract
In view of the collapsing state of businesses in Nigeria, this study was carried out to examine the impact of business environment on business performance of oil blending companies in South-Eastern, Nigeria. It examines the relationship between business environment components and business performance of these oil blending companies. This study adopted a quantitative method approach. The population of the study comprises the staff, general managers, executive managers or managing director and customers of the 14 licenced oil blending companies in south-eastern Nigeria. The target population were the four selected oil blending companies which were purposively selected based on their year of establishment. Two hundred and sixty participants were selected using simple random techniques. A cross-sectional approach was adopted and data were collected using business environment questionnaire and business performance questionnaire” with the help of three research assistants. The returned and valid questionnaire were analysed using Statistical Packages for Social Science (SPSS) version 25 and Structural Equation Modelling analysis techniques (Smart PLS) version 3.2.6. The results showed a moderate level of financial performance of these Oil blending companies while the relationship between business environment and business performance is adjudged to be very high. Therefore, it was concluded that business environment is one of the major determinants of the business performance of oil blending companies in South-Eastern Nigeria. This research recommended that to be more strong and competitive in the market, Organizational managers must be strategically aware of customer needs and offer unique products and services that satisfy such needs.
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