Influence of Layout Design Strategy on the Performance of Retail Chains in Nairobi Central Business District.

Abstract

Operations strategy offers the organization a limitless framework for creating priorities for how to make the greatest use of the assets at hand through effective operational activities in an effort to gain a competitive edge and accomplish managerial goals. The main objective of this study was to establish the influence of layout design strategy on the performance of retail chains in the Nairobi Central Business District. The study was anchored on the resource dependency theory. The study adopted a descriptive research design and the target population was 34 retail chains within the Nairobi CBD area. The sample population involved 80 managers who were in charge of the retail chains in Nairobi CBD. Self-administered structured questionnaires were used to collect primary data. Data was analyzed using descriptive and inferential statistics. The study found that layout design strategy has a positive significant influence on the performance of retail chains in the Nairobi Central Business District. This is because an increase in a unit of layout design strategy leads to an improvement of the performance of the retail chains. The study recommended that retail chains should pay meticulous attention to store layout and product positioning. The study also recommended that regular assessments should be conducted to ensure that products are strategically placed for easy customer identification. Implement a data-driven approach to store layout optimization, considering customer traffic patterns and preferences. This can enhance the overall shopping experience and drive higher sales.