Intensification expansion strategies: their impact on profitability in retail sector in Zimbabwe

Abstract

The research analysed the impact of intensification expansion strategy on profitability in grocery retail sector. Theoretical framework was mainly guided by Glueck’s (1976) expansion strategies. Quantitative research approach was used having 30% size that had 30 participants from the three main retailers in Zimbabwe; OK, TM Pick ‘n’ Pay and Spar. Relationship between intensification expansion strategy and profitability was tested using regression and correlation analysis. The research found out that intensification expansion strategies were leading to 31% differences in profit volumes. The study found out that it was crucial to address the issues and problems in the intensification strategy so as to achieve good profit volumes.