Strategic management practices and business performance of Agri-cooperatives in Davao del Norte

Abstract

This research study focuses to examine how strategic management practices impacts business performance and propose effective solutions to address the difficulties and obstacles encountered by agri-cooperatives in Davao del Norte. Stratified random sampling determined the sample size of 153 respondents consisting board of directors, general managers, and supervisors. Using quantitative descriptive-correlational approach, it examines strategic management practices with its indicators of strategy formulation, implementation, and evaluation and for the business performance, the indicators are financial and non-financial measures. Birger Wernerfelt's resource-based theory elucidates that the competitive advantage of a company depends on how effectively it employs its resources, capabilities, and strategic advantages. These elements play pivotal roles in determining the company's performance. Employing Regression Analysis, mean, and Pearson-r, findings showed that strategic management practices and business performance are at a high level, and it revealed a significantly positive relationship. The data additionally indicated that strategy formulation and strategy evaluation positively affect business performance, whereas the execution of strategies does not exhibit the same positive impact. The study recommends that integrating strategic management across all facets and domains of interest will aid agri-cooperatives in improving competitiveness and performance.