Effect of Product Strategy on Production of Macadamia Nuts by SmallScale Farmers in Kirinyaga County, Kenya.

Abstract

Macadamia farming offers an important source of income for producers worldwide and especially for small-scale-farmers in Kenya. Kirinyaga County is one of the major macadamia producers within the central and eastern highland of Kenya, however, the county is experiencing low average yields with trees producing only 50% of the crop potential. The objective of the study was to analyze the effect of product strategy on production of macadamia nuts by small-scale-farmers in Kirinyaga County. The study is anchored on the classical theory of production. The Target population was 8,004 small-scale macadamia farmers in Kirinyaga County. The study used descriptive survey design and the multistage random sampling technique. A structured questionnaire was adopted and data was analyzed with the aid of SPSS version 26. Simple linear regression model was used in data analysis. The OLS assumptions were tested before conducting regression analysis. The results are presented in tables and figures. The results revealed a positive and significant association between product strategy and production of macadamia nuts (r = 0.365, p =0.000) and R = .133 meaning that 13.3% of the variance in production of macadamia nuts is explained by product strategy. ANOVA analysis reported an F- statistic (49.032) with a p= .000. The null hypotheses that “There is no significant effect of product strategy on production of macadamia nuts by small-scale-farmers in Kirinyaga County” was rejected by a t value of 7.002 that was higher than the critical t statistic (1.96). The study concluded that product strategy (factor inputs) had a significant effect on production of macadamia nuts by small-scale farmers in Kirinyaga County. The study recommended that farmers should be motivated to increase the use of factor inputs in order to improve on yields per tree/acre. The government should support farmers by providing them with affordable factor inputs necessary in macadamia farming