ABSTRACT
Cost reduction technique has become an important practice among manufacturing firm in Nigeria the Introduction of cost reduction programme has increased productivity, reduction of unit and total cost of production and an increased in the profitability and growth of manufacturing firm in Nigeria. It was in this line that this study aims at evaluating the effect of cost reduction techniques to achieve profitability in manufacturing firm in Nigeria using Nigerian Breweries Plc Lagos as a case study. The study objectives are to examine the effect of cost reduction techniques on the performance of manufacturing firms in Nigeria. Both primary and secondary data were employed for the study. The primary data were generated from the management and senior staff officers heading various department of Nigerian Breweries Plc Lagos. Out of 50 set of questionnaires administered.46 were correctly answered and returned, while the secondary data were obtained from published and unpublished report which include textbooks, newspapers, journal articles seminar papers and online report. Four (4) research questions and three (3) research hypotheses formulated in chapter one were analyzed using the simple percentage while the three (3) hypotheses were analyzed and tested using the chi-square statistical method. The conclusion reached is that there is a significant and positive impact of cost reduction techniques on the profitability and growth of manufacturing firms in Nigeria. The researcher recommends that manufacturing firms should institute or continued the use of cost reduction scheme or programme. This will help in avoiding unnecessary cost. The researcher also recommends that manufacturing firms should consistently review the method and techniques of cost reduction approved by management in line with the rate of inflation in the economy.
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