Crafts Industry Lifecycle Strategies and Entrepreneurial Development in Ikot Ekpene Senatorial District of Akwa Ibomstate

DOI: https://dx.doi.org/10.4314/gjss.v18i1.2

GLOBAL JOURNAL OF SOCIAL SCIENCES VOL 18, 2019: 11-21 COPYRIGHT© BACHUDO SCIENCE CO. LTD PRINTED IN NIGERIA. ISSN 1596-6216 11 www.globaljournalseries.com ; [email protected] CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT IN IKOT EKPENE SENATORIAL DISTRICT OF AKWA IBOMSTATE

MORGAN, MORGAN OBONG OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE (Received 19 November 2018; Revision Accepted 23 January 2019)

ABSTRACT

The study evaluates crafts industry life cycle strategies and entrepreneurial development in Ikot Ekpene Senatorial District of Akwa Ibom State. The survey research design was adopted and a sample size of 265 was determine for the study using the Taro Yamane formula. A total of 265 copies of questionnaire was administered on the sample craft producers in the ten LGAs that make up Ikot Ekpene Senatorial District of Akwa Ibom State.250 copies of the questionnaire was return and use for the study. Descriptive statistic was use for data analysis while multiple regression was used in test of hypotheses. It was discovered that industry life cycle analysis enables craft producers to identify the stages of their business development in the industry in order to take steps towards gaining market share and remain competitive. Other findings revealed that the adoption of strategies such as entry strategy, market penetration, cost leadership and diversification strategies at the various phases of the craft industry life cycle enhance development, growth and sustainability of craft businesses. It was therefore recommended that entrepreneurs, particularly craft producers should adopt strategies such as entry strategy, market penetration, cost leadership and diversification strategies at the different stages of the industry life cycle in order to enhance growth, profitability and sustainability of their business. Also, Akwa Ibom State government should provide access to funds and as well build entrepreneurship development centres in Ikot Ekpene Senatorial District in order to enhance the skills and knowledge of entrepreneurs particularly craft producers to enable them navigate their businesses in the different phases of the industry life cycle.

KEYWORDS: Industry Life Cycle; Entrepreneurial Development; Strategy Adoption

INTRODUCTION resources in order to realize new market opportunities in the industry (Hill & Jones, 2010). In virtually all industries, understanding, However, the relationship between the identifying and adopting appropriate strategies at internal and external environment of the business the various phases of the industry life cycle determines how the firm accomplishes set targets typically involves the level of skill and education based on the chosen strategy at the various of an entrepreneur which is aimed at enhancing phases of the industry life cycle. Therefore, it is survival, growth, competitiveness and pertinent for an entrepreneur to identify the sustainability of business operations. In order to different stages of its business in the industry, remain competitive, the entrepreneur needs to be hence take decision on the strategy that will innovative in ideas, creative and able to manage propel the venture to the next stage in the life strategic corporative relationship or linkage with cycle. Industry life cycle is the natural stages that stakeholders with a view of leveraging the firm’s an entrepreneurial venture goes through during Morgan, Morgan Obong , Department of Business Management University of Calabar, Nigeria Okon, Emmanuel Ekpenyong, Department of Business Management University of Calabar, Nigeria Erijitomah, Lucky Odafe, Department of Business Management University of Calabar, Nigeria

© 2019 Bachudo Science Co. Ltd. This work is licensed under Creative Commons Attribution 4.0 International license. 12 MORGAN, MORGAN OBONG, OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE the course of its lifecycle in the marketplace are expected to be concerned of the several (Kaličanin, 2008). It traces the evolution of a stages of their industry life cycle and the given industry based on the business features strategies necessary to enhance its development commonly displayed in each stage. The central while making entrepreneurship a creative and objective of an industry life cycle analysis is to innovative platform capable of meeting the needs enable an entrepreneur within an industry identify of customers. the phases of its business development and It is observed that craft businesses adopt proper strategies to counter potential strategic plan is often affected by the stages of its threats and as well seize opportunities that development. In spite of the importance attached abound in the industry, gain market share and to the knowledge and ability of an entrepreneur to remain sustainable. ascertain the stage of his/her business and adopt As indicated by Chrisman and Patel strategies capable of enhancing its development; (2012), entrepreneurship development is a most present day entrepreneurs are either not dynamic process of starting-up, development and paying full attention to the specific stages in the expansion of business ventures. It is the process industry or lack the capacity to identify the stage of understanding activities concerned with in which their business is operating, as such the identifying and exploiting business opportunities strategic thrust that would have been applied in in the environment, while assuming its the relevant phases to enhance the development antecedent risk to produce goods and services of the business are disregarded. These result in that meets customers’ expectations. Craft most craft businesses being stagnated or go into entrepreneurship has remained one of the extinction without attaining the decline phase. ancient occupations of the Akwa Ibom people This invariably deters and impedes and Ikot Ekpene Senatorial District in particular. entrepreneurship development in craft. In view of Craft making is a profession that requires some this, the study evaluates the relevance of craft particular kind of skill work in producing sculptural industry life cycle strategies on entrepreneurial and other related goods. development in Ikot Ekpene Senatorial District of Akwa Ibom State. The development of the crafts industry in Akwa Ibom State and Ikot Ekpene Senatorial District in OBJECTIVE OF THE PAPER particular dates back to the ancient times where The purpose of this study is to evaluate craft the inhabitants of the senatorial district mastered industry life cycle strategies and entrepreneurial the art of caving and other related product to end development in Ikot Ekpene Senatorial District of a living. The craft industry has grown from a mere Akwa Ibom State. Specifically, the study seeks source of survival to a renowned industry, despite to: the various challenges facing the industry such as access to funds, government policies, lack of 1. Determine the effect of entry, market appropriate technology and poor education of penetration, cost leadership and diversification most craft producers etc., which affect their ability strategies on the development, growth and to adopt appropriate strategies necessary to sustainability of craft products through the navigate through the industry life cycle. However, different stages in the industry life cycle. the craft industry is a significant component of development of crafts product. Its properties RESEARCH QUESTION ascertain the competitive battle in the 1. To what extent does entry, market marketplace, and thus the necessity for penetration, cost leadership and diversification strategies to enhance survival and growth at the strategies affect the development, growth and various stages of the life cycle. Therefore, this sustainability of craft products through the study evaluates craft industry life cycle strategies different stages in the industry life cycle? and entrepreneurial development in Ikot Ekpene Senatorial District of Akwa Ibom State. RESEARCH HYPOTHESES Ho 1: Entry, market penetration, cost STATEMENT OF PROBLEM leadership and diversification strategies does not The life span of every business depends significantly affect the development, growth and largely on the type of strategy adopted at every sustainability of craft products through the stage of an industrial life cycle. Entrepreneurship different stages in the industry life cycle businesses in craft making both small and large CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT 13 indicated by Porter cited in Walker and Larreche LITERATURE REVIEW (1996), industry is the most significant element of CONCEPT OF INDUSTRY LIFE CYCLE an entrepreneurship business environment. Its One of the regularly utilized frameworks of life mechanism and elements ascertain the cycle analysis was propounded by Michael Porter competitive struggle which requires adoption of in 1980. Despite the fact that a wide array of appropriate strategy for survival and development studies exists that aimed at analyzing life cycle of at every stage of an entrepreneurial venture. an entrepreneurial venture, the model remains Figure one below indicated the industry life cycle generally accepted as the basis of analysis. As of entrepreneurship ventures.

Phase III Greater Monetary Phase IV Dividends Declining Monetary Dividends

Phase II Monetary Dividends

cycle Phase I No monetary Dividends

Development craft of along industrythe life

FIG. 1: Industry life cycle of entrepreneurship venture Source: Adopted from Andrija and Matej (2013)

The figure above clearly shows a four in the industry life cycle and the strategies stage industry life cycle and the corresponding necessary at each stages of development: dividend strategy most likely to be found at each stage of the craft development venture. The DEVELOPMENTAL STAGE OF CRAFT vertical scale in figure one above is logarithmic, PRODUCTS IN THE INDUSTRY LIFE CYCLE which indicates that a straight line on this scale The developmental stage has to do with implies a constant growth rate of an the implementation of entrepreneurial ideas entrepreneurial venture. The steeper the line the which involves, starting up aventure, product, faster the growth rate and the flatter the line, the services or production tactics that makes the craft slower the development of the craft venture. The products unique and aim at satisfying customers’ slope of the line in the life-cycle curve is a needs. Craft venture in this stage are usually pertinent indicator of growth in the analysis of financed by the entrepreneur as well as funds craft entrepreneurial development (Malburg, from family or from financial institutions etc. As 2000). indicated by Hitt and Hoskisson (2010), An entrepreneur’s strategic plan is often entrepreneurs often try to create a niche for their influenced by the stage of the venture in the life business within an industry in the development cycle. “The sales of craft products over time are stage. utilized to chart the life cycle. The discrete However due to costs implications in phases of craft industry life cycle are: developing new product, testing the prototypes development, growth, maturity and decline” (Hill and marketing the product, the entrepreneurial and Jones, 2012, p.17). Below is the discussion venture and the industry earnings are usually of each phases of craft entrepreneurship venture negative at the development phases (Suarez and Lanzolla, 2007). Most of the revenue or profit 14 MORGAN, MORGAN OBONG, OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE earned in this phase is most times reinvested into penetration strategy enables the craft ventures to the venture to gain market share and assist in amplify the market share of their present product financing continuous growth and expansion. or service in the industry through enhanced marketing campaign (Kotler, 2001). STRATEGIC CHOICE –ENTRY STRATEGY: As indicated by Kaličanin (2008, p.78) “A MATURITY STAGE OF CRAFT PRODUCTS IN market entry strategy is a planned method of THE INDUSTRY LIFE CYCLE delivering goods or services to a new market and Maturity phase is a stage in the industry life cycle distributing them to target consumers”. The where the product or service of the venture have market rewards an entrepreneur who enters into gained market share and is growing at a slow the market first at a significant “prize” (Urban & pace. At the maturity phase the industry life cycle Carter, 1986, p.7). First entry advantage can be curve is often flatter as indicated in figure one accomplished in various ways, by designing a which implies slow growth. At this phase new product and using creative and innovative competition from late entrants will be apparent, business processes (Suarez, and Lanzolla, and these new entrants will attempt to gain 2007). Craft ventures could also, utilize a focused market share from existing products, however the strategy at developmental phase to indicate the marketing campaign must be strong stressing the distinctiveness of the new product or service to unique characteristics of goods or services in target consumers. Marketing technique at this order to distinguish the business offerings from phase is projected to give details and create industry competitors (McGahan, 2004). awareness of the product to consumers. Also adoption of a potent feasibility analysis could STRATEGIC CHOICE-PRODUCT DEVELOPMENT increase the survival of craft business at the entry STRATEGY stage (Emmanuel and Morgan, 2018) Craft ventures use the product development strategy at the maturity stage of their business to GROWTH STAGE OF CRAFT PRODUCTS IN enhance sales by modifying present products. THE INDUSTRY LIFE CYCLE Product development often involves greater The growth phase clearly indicates crafts research and development funding. Craft ventures that have achieved some level of ventures that have successful products in their market acceptance for its product or services. At maturity stage can encourage satisfied this phase, the product or service have started consumers to try new improved product as a gaining market share with its accompany profit to result of their positive experience with the firm’s the entrepreneurs. The increasing growth is present product. Also, cost leadership strategy evident in the slope of the industry life cycle can also be employed at this level to reduce curve, in figure one. manufacturing expenses thereby offering craft Like the development phase, the growth products at a cheaper price in order to gain phase also requires funds to enhance a focused customers’ patronage (Grant, 2010). marketing campaign with the aim of differentiating a business product offering from DECLINE STAGE OF CRAFT PRODUCTS IN other competitors within the industry. As THE INDUSTRY LIFE CYCLE indicated by Willem (2007) at this stage the Decline phase are most times unavoidable in an industry is experiencing more product industry. It is a stage where craft products are standardization, which may encourage losing market share at a faster pace. In this economies of scale, product efficiency and phase, sales are decreasing at a faster pace. enhance entrepreneurship development. This is often followed by shake-out in the industry However, during the growth phase, the life cycle as competitors who did not leave during the curve is often very steep, as shown in figure one maturity phase now exit the industry. However, indicating rapid growth. Craft ventures often few businesses may remain and compete for the expand out geographically during this phase. available market share in the industry or market.“Similarly, mergers will become a norm at STRATEGIC CHOICE-MARKET PENETRATION this phase as businesses try other strategies to Penetration strategy is a business growth remain competitive or grow through acquisition strategy in which businesses implements ideas and diversification” (Grant, 2010, p. 72) and marketing campaigns to expand the customer’s base for its product or services within a certain market space (Yang and Yu, 2013). The CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT 15 STRATEGY CHOICE- DIVERSIFICATION appropriate strategy could also play a role in STRATEGY complementing funds, entrepreneurial idea and The adoption of diversification strategy at the experience, thereby enhancing growth of craft decline stage of craft ventures aims at ventures. diversifying the firm’s product. The strategy DEVELOPMENT OF CRAFTS IN IKOTEKPENE enables the addition of new but related craft SENATORIAL DISTRICT OF AKWAIBOM products. This boosts the firm’s strategic position STATE and increase earnings (Sahaf, 2008). Also, in this Craft have remained one of the ancient stage of the industry life cycle, harvesting occupations of the Annang people located at Ikot strategy can also be employed. Kotler (2001, Ekpene senatorial district. The Annang people p.132) defines “harvesting strategy as a strategic have a long history in craft making such as raffia management decision to reduce investment in cane furniture, basket weaving, sculpture, the business unit with the hope of reducing costs bamboo craft and bead making etc., and this and improving cash flow”. It entails brand ancient occupation have developed into a management in a declining phase and cost renowned industry and lead to poverty reduction minimization. This strategy is acceptable when and employment generation while also the competitive advantage of the business is in contributing to economic growth. an unstoppable decline, or when the market The craftsmen are mostly referred to as conditions gets worsen and when the firm has a artisans who are found in both urban and rural relatively strong competitive position in the areas (Akpan and Udoekong, 2014). The market at the beginning of the decline, which development of craft in Ikot Ekpene Senatorial makes it likely for current customers to keep the District dates back to the ancient times where the level of their purchases even when the marketing inhabitants of the senatorial district, mastered the support is highly reduced (Doyle, 2008, p.67). art of caving and other related product to earn a living. The craft industry has grown from a mere CONCEPT OF ENTREPRENEURSHIP source of survival to a renowned industry, despite DEVELOPMENT the various challenges facing the industry such Entrepreneurship is the process of understanding as access to funds, government policies, lack of activities concerned with identifying and appropriate technology and poor education of exploiting business opportunities in the most craft producers etc., which affects their environment while assuming it antecedents risk ability to adopt appropriate strategies necessary to produce goods and services that meet to navigate through the industry life cycle. customer’s satisfaction (Grant, 2010). The stepwise approach to mastery of “Entrepreneurship development has to do with craft making, which include the attainment of the the study of entrepreneurial behaviour, the required skill, has survived in Ikot Ekpene dynamics of business start-up, development and senatorial district of Akwa Ibom State for expansion of the enterprise; it is the process of decades. Despite this success, the skills required enhancing entrepreneurial skills and knowledge by the profession and the need to be involved in through structured training” (Doyle, 2008, p.43). It the exchange and sales of craft product demands is essentially focused on increasing the a higher level of formal training. However, knowledge and skills of entrepreneurs in order to promoting crafts is one way to retain creative speed up the rate at which new businesses are skills, enhance economic growth and established. employment generation; therefore, there is a Entrepreneurship development need for the adoption of necessary strategies concentrates on the entrepreneur who desires to capable of enhancing the development, growth develop or expand a venture. As indicated by and sustainability of craft product through the McGahan, (2004), the skill, education and various phases of the industry life cycle. experience of an entrepreneur is vital in enhancing the development of craft ventures, REVIEW OF EMPIRICAL STUDIES growth, expansion and maturity in the industry life Myriads of research exist that seeks to determine cycle. The entrepreneur’s willingness and the importance of entrepreneurship development capacity to innovate could contribute in on economic growth (Willem, 2007). In the case enhancing growth and profitability of a business. of entrepreneurship development in relation to In the craft industry, lack of funds often impedes industry life cycle, only recently has concerted growth and expansion (Carney, 2015). As effort been made to determine the strategies indicated by Doyle (2008), the adoption of capable of enhancing the development, growth 16 MORGAN, MORGAN OBONG, OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE and sustainability of crafts ventures in the throughout the life cycle of an enterprise. The industry. This may be mainly due to the fact that study carried out by Akpan and Udoekong (2014) most researchers believe that several factors on the implication of strategy on the survival and enhance entrepreneurship development in the sustainable development of entrepreneurship in industry, such as access to credit facilities, Akwa Ibom State, using survey research method. favorable government policies, knowledge, A sample size of 400 businesses was selected creativity and innovative ideas of the from the three Senatorial District of the State. entrepreneur among others (Chrisman and Patel, The study found that strategies adopted in 2012). managing entrepreneurship ventures through the However, Altomonte and Aquilante various life cycles have significant effect on (2012) carried out a study on entrepreneurship sustainable development and growth of development strategies in a competitive business entrepreneurship in Akwa Ibom State. industry in Jordan. The survey research design Also, study carried out by Charles and and a sample size of 560 entrepreneurial Zeitlin (2015) on successful development and ventures in Jordan were used. The study found growth of entrepreneurship along the different that poor adoption of strategies at the different industry life cycle in Kenya, using the survey stages of entrepreneurship ventures was a major research method and sample size of 320 factor impeding entrepreneurship development. businesses. Regression analysis was adopted to Further finding revealed that access to funds, test hypotheses of the study. The study found government policy, infrastructure and that adoption of appropriate strategy at each entrepreneur’s knowledge and creativity among stages of the business life cycle to complement others also impact on entrepreneurship fund, favorable government policies and development in Jordan. Carney (2015) carried infrastructure have significant positive effect on out a study on the effect of strategy on small the growth and sustainable development of businesses development in Pakistan. The study entrepreneurship in Kenya. adopted the survey research method. A sample Furthermore, study by Hill and Jones size of 1065 small businesses was used for the (2012) on industry life-cycle analysis and study. Data was analyzed using the multiple strategic management for entrepreneurship regression. The study found that adoption of development in Georgia, using the descriptive appropriate strategy plays a significant role in the research method. The study found that strategies development of small businesses in Pakistan. in managing entrepreneurship ventures in the Eddleston and Kellermanns (2016) different phases of industry life cycle have carried out a study on the implication of strategy significant positive effect in enhancing the adoption on the growth and development of small development of entrepreneurship. and medium scale enterprise in Peninsular, Malaysia. The study adopted both survey and METHODOLOGY descriptive research method. The population of The survey research design was adopted for this the study was 780 small and medium scale paper. This was necessary in order to adopt the enterprises in the Peninsular Malaysian region. survey tool of questionnaire in gathering primary Data was analyzed using regression. The study data for the paper. The scope of the study found that adoption of entry strategy, expansion focused basically on the strategies to enhance strategy and market penetration strategy the development, growth and sustainability of respectively at the various phases of craft venture in the industry life cycle. The development of small and medium enterprise population of the study comprised of craft impact positively on the development of SMEs in producers in the ten LGAs that make up Ikot the Peninsular Malaysian region. Ekpene Senatorial District of Akwa Ibom State. Andrija and Matej (2013) carried out a Based on information from Craft Producers study on industry life cycle and development of Associations (2017) out of the 10 LGAs that business strategies. The study adopted the made up the senatorial district, there are 786 exploratory research method based on craft producers spread across the senatorial secondary data. The study revealed that adoption district, which formed the population of the study. of appropriate strategies at the various phase of Additionally the sample size used for this study a business in the industry life cycle has a positive was determined through the application of the effect in enhancing the growth and sustainability Taro Yamane formula as shown below:

CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT 17

n = 786 n = N = 1+786(0.05) 2 2 I + N(e) Where n = sample size

N = Population n = 265 e = error limit

ε = Error term

Therefore the sample size used for this study DS = Diversification Strategies was 265.A total of 265 copies of questionnaire DESCRIPTIVE ANALYSIS was administered on the sample craft producers in the ten LGAs that make up Ikot Ekpene Table 1 below shows the descriptive statistics of Senatorial District of Akwa Ibom State. However, entry, market penetration, cost leadership and 250 copies of the questionnaire was return and diversification strategies. Based on the table, cost use for the study representing 96 percent return leadership strategy has the highest mean and rate. standard deviation with values of 4.31 and 0.83 respectively with corresponding high significance DATA PRESENTATION AND ANALYSIS level indicating that cost leadership highly Data collected from the field were edited for correlates with the development, growth and accuracy and conformity with the objective of the sustainability of craft products through the study. Descriptive statistics was use in data different stages in the industry life cycle. This was analysis and multiple regression analysis was followed by entry strategy with mean and used in test of the hypothesis. This was due to standard deviation values of 4.22 and 0.78 with the fact that the study sought to establish the corresponding high significance level. This strategies that enhance development, growth and indicated that entry strategy could enhance the sustainability at the various stages of craft development of craft products in the industry life industry life cycle in Ikot Ekpene Senatorial cycle. Market penetration strategy has a mean District of Akwa Ibom. In view of this, regression and standard deviation values of 4.18 and 0.75 analysis was the appropriate statistical tool respectively with corresponding high significance because it tests causal relationship or effect level indicating that market penetration strategy between two or more variables. The gathered correlates with development, growth and data were analyzed using SPSS version 21.The sustainability of craft products while multiple regression model was given as: diversification strategies has the lowest mean DGS = f(ES,MPS,CLS,DS) and standard deviation with values of 4.17 and DGS = β0 + β 1 ES + β 2 MPS + β 3 CLS + 0.73 with corresponding moderate significance β4DS+ ε level. The aggregate mean and standard Where: deviation was 4.25 and 0.75 respectively β0 + β 1 + β 2 + β3 and β 4arethe parameters of the indicating that entry, market penetration, cost model leadership and diversification strategies ES = Entry Strategy correlates with development, growth and MPS = Market Penetration Strategy sustainability of craft products through the CLS = Cost Leadership Strategy different stages in the industry life cycle.

18 MORGAN, MORGAN OBONG, OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE Table 1: Descriptive statistic of entry, market penetration, cost leadership and diversification strategies

Strategies N Mean Std Significance level. Entry strategy 250 4.22 0.78 High Market penetration 250 4.18 0.75 High strategy Cost leadership strategy 250 4.31 0.83 High Diversification strategy 250 4.17 0.73 Moderate Aggregate mean and Std 4.25 0.75

Source: Fieldwork, 2018

Table 2: Summary of multiple regression analysis of entry, market penetration, cost leadership and diversification strategies on development, growth and sustainability of craft products in the industry life cycle

Unstandardized Standard Standardized t Sig. S/N Model Coefficients error Coefficients Β Beta Intercept 6.50 1.402 5.90 .000 1 Entry strategy .064 .021 .152 4.942 .001

2 Market penetration .112 .053 .071 6.109 .000 strategy

3 Cost leadership .053 .065 .167 5.043 .002 strategy

4 Diversification .093 .052 .081 3.362 .001 strategy

Source: SPSS output, 2018 R =.774 R2 =.655 Adjusted R 2 =.653 F-cal =39.697 Sig = 0.000 Significant @P<0.05 DGS = 6.50 + 0.064 ES + 0.112 MPS + 0.053 CLS+ 0.093 DS. SE = [1.402], [0.021], [0.053], [0.065] and [0.052]. t-statistics = [5.90], [4.942], [6.109], [5.043]and [3.362].

CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT 19 TEST OF HYPOTHESES life cycle. This implies that a unit increase in Ho 1: Entry, market penetration, cost diversification strategy increased development, leadership and diversification strategies does not growth and sustainability of craft products in the have significant effect on the development, industry life cycle by 0.081 units. growth and sustainability of craft products The coefficient of multiple determination through the different stages in the industry life as indicated by Adjusted R 2 showed that cycle. regressand variables entry, market penetration, Hi 1: Entry, market penetration, cost cost leadership and diversification strategies leadership and diversification strategies have accounted for 65.3 percent variation on the significant effect on the development, growth and development, growth and sustainability of craft sustainability of craft products through the products in the industry life cycle while the different stages in the industry life cycle. remaining 34.7 percent was not explained by the model. DISCUSSION OF FINDINGS The overall significance of the model carried out Table 2 showed the summary of multiple through the ANNOVA F-test, showed a regression analysis of entry, market penetration, calculated F value of 39.697 which was found to cost leadership and diversification strategies on be statistically significant at 1 percent level of development, growth and sustainability of craft significance. Based on this result the null products in the industry life cycle in Ikot Ekpene hypothesis was rejected while the alternative was Senatorial District. The table indicates that entry accepted. This implies that entry, market strategy has a beta coefficient value of 0.152 with penetration, cost leadership and diversification a significant value of 0.001 which is lower than strategies significantly affect the development, P<0.05 level of significance, hence entry strategy growth and sustainability of craft products significantly affect development, growth and through the different stages in the industry life sustainability of craft products in the industry life cycle in Ikot Ekpene Senatorial District of Akwa cycle. This means that for every one unit Ibom State. The finding was supported by the increase in entry strategy; development growth finding of Charles and Zeitlin (2015) who found and sustainability of craft products in the industry that adoption of appropriate strategies at each life cycle increase by 0.052 units. Market stages of the business life cycle to complement penetration strategy has a beta coefficient value fund, favourable government policies and of 0.071 with a significant value of 0.000 which is infrastructure have significant positive effect on lower than p<0.05 significance level, hence the growth and sustainable development of market penetration strategy significantly affect businesses. development, growth and sustainability of craft products in the industry life cycle. This implies SUMMARY OF FINDINGS that a unit increase in market penetration strategy increased development, growth and sustainability The study evaluates the influence of craft of craft products in the industry life cycle by 0.071 industry life cycle strategies and entrepreneurial units. Cost leadership strategy has a beta development in Ikot Ekpene Senatorial District of coefficient value of 0.167 with a significant value Akwa Ibom State. Based on the tested of 0.002 which is lower than P<0.05 level of hypotheses and literature review, it was found significance, hence cost leadership strategy that: significantly affect development, growth and Entry, market penetration, cost sustainability of craft products in the industry life leadership and diversification strategies cycle. This means that a unit increase in cost significantly influence the development, growth leadership strategy increased development, and sustainability of craft products through the growth and sustainability of craft products in the different stages in the industry life cycle in Ikot industry life cycle by 0.167 units. Diversification Ekpene Senatorial District of Akwa Ibom State. strategy has a beta coefficient value of 0.081 with However, industry life cycle analysis enables a significant value of 0.001 which is lower than craft producers to identify the stages of their P<0.05 level of significance, hence diversification business development in the industry, in order to strategy significantly affect development, growth take steps towards gaining market share and and sustainability of craft products in the industry remain competitive. 20 MORGAN, MORGAN OBONG, OKON, EMMANUEL EKPENYONG ERIJITOMAH, LUCKY ODAFE Adoption of entry, market penetration, cost Ekpene Senatorial District in order to enhance leadership and diversification strategies at the the skills and knowledge of entrepreneurs; various stages of the craft industry life cycle particularly craft producers to enable them enhance development, growth and sustainability navigate their businesses through the different of craft businesses throughout the industry life phases of the industry life cycle. cycle and lead to long term survival of the business in the industry. REFERENCES Access to funds, skills and experience plays a critical role in assisting craft producers in Akpan, E., and Udoekong U., 2014.The navigating through the industry life cycle and implication of strategy on the survival and embark on product innovation in order to gain sustainable development of competitive advantage over it competitors and as entrepreneurship in Akwa Ibom State. well enhance the development, growth and Journal of Management, 2(1), 16-28 sustainability of craft business in the industry life cycle. Altomonte, J., and Aquilante M., 2012. Entrepreneurship development strategies CONCLUSION in a competitive business industry in Jordan. Jordanian Journal of Business, It is evident from the study that adoption of 4(2), 127-239 appropriate strategies aimed at enhancing survival, growth and competitive advantage in a Andrija, S., and Matej F., 2013.The concept of sustainable manner at the various stages of the industry life cycle and development of industry life cycle is imperative for craft business strategies. A Paper Presented development/ventures. Identification of at the Active Citizenship by Management appropriate strategy at the different stages of the and Innovation, Zadar, Croatia industry life cycle of crafts products typically involves the skill, education and experience of Carney O., 2015.The effect of strategy on the entrepreneur. To ensure development at the entrepreneurship development in various stages of the life cycle and remain Pakistan. International Journal of competitive, crafts producers may have to Business and Management, 6, 1017- develop ideas, nurture, innovate, be creative and 1026 manage strategic corporative relationship or linkages with stakeholders with a view of Charles, S., and Zeitlin D., 2015. Successful leveraging the firm’s resources in order to development and growth of realizes new market opportunities in the industry entrepreneurship along the different and remain profitable. industry life cycle in Kenya. Journal of Business and Management, 3(2), 105- RECOMMENDATIONS 121

Based on the findings from the study, the Chrisman, E., and Patel D., 2012. following recommendations were made: Entrepreneurship development 2nd Ed. I. Craft producers should often carryout New Delhi: McGraw Hill. industry life cycle analysis in order to identify the Doyle P., 2008. Value-based marketing: stages of their business development in the Marketing strategies for corporate growth industry and take steps towards gaining market and shareholder value. London: John share and remain competitive. Wiley. II. Entrepreneurs, particularly craft producers should often adopt strategies such as Eddleston A., and Kellermanns R., 2016.The entry strategy, market penetration, cost implication of strategy adoption on the leadership and diversification strategies at the growth and development of small and different stages of the industry life cycle in order medium scale enterprise in the to enhance growth, profitability and sustainability Peninsular Malaysia. International of their business. Journal of Innovation in Management III. Government of Akwa Ibom State should Science, 2(1), 105-127. provide access to funds and also build entrepreneurship development centres in Ikot CRAFTS INDUSTRY LIFECYCLE STRATEGIES AND ENTREPRENEURIAL DEVELOPMENT 21 Emmanuel, E. O., and Morgan, M. O., 2018. The Sahaf M., 2008. Strategic management: Making potency of feasibility analysis on decisions for strategic advantage. New business survival in Cross River State Delhi: Prentice-Hall Southern Senatorial District, Nigeria. Global Journal of Social sciences vol. 17, Suarez F., and Lanzolla G., 2007. The role of 2018 69-76 environmental dynamics in building a first mover advantage theory. Academy of Grant R.M., 2010. Contemporary strategy Management Review, 3, 56-72 analysis. United Kingdom: John Wiley. Urban, G., and Carter T., 1986. Market share Hill, C., Jones G., 2010. Strategic management rewards to pioneering brands: An theory: An integrated approach. Cengage empirical analysis and strategic Learning. implications. Management Science, 32(6), 109-124 Hill, S., and Jones P., 2012. Industry life-cycle analysis and strategic management for Walker, C.O., and Larreche J., 1996. Marketing entrepreneurship development in strategy: Planning and Implementation. Georgia. Journal of Business London: Irwin. Management and Economics, 3(5), 56- 71 Willem A., 2007. Entrepreneurship growth and survival in developing countries. Kaličanin D., 2008. A question of strategy: To be International Journal of Business, 5, 107- a pioneer or a follower? Economic 125. Annals, 53, 177-192. Yang R, and Yu Q., 2013. Research on Kotler P., 2001. International marketing 5 the Ed. knowledge management maturity model: London: McGraw Hill. based on the life cycle of the industry. 6th International Conference on Malburg C., 2000. Competing on costs. Industry Information Management, Innovation Week, 249, 17-27. Management and Industrial Engineering, Geneva. McGahan A., 2004. How industries evolve. Boston: Harvard Business School Press.