Abstract:
ABSTRACT
The purpose of the study was to assess the role of marketing strategies to the financial performance of manufacturing companies in Rwanda. The case study of BRALIRWA LTD (2021-2023). The specific objectives of the study were to analyze the effectiveness of marketing strategies applied in BRALIRWA LTD and to assess the contribution of marketing strategies on the financial performance of BRALIRWA LTD. 100% of respondents confirmed and agree that types of marketing strategies applied by Bralirwa Ltd are Service delivery/ process strategy, Personal strategy, Distribution strategy, Promotion strategy, Product strategy, Pricing strategy and Physical strategy. Table results showed that during the financial year 2021, 2022 and 2023, each 100Rwf invested in Bralirwa assets generated the profit of 13.7Rwf, 14.4 Rwf and 15.4 Rwf. This shows that the return on assets had a good trend during the period under study. The return on asset ratio is an important profitability ratio because it measures the efficiency with which the organization is managing its investment in assets and using them to generate profit. It measures the amount of profit earned relative to the firm‟s level of investment in total assets. The found results showed that for 100Rwf invested in Bralirwa by shareholders generated returns of 34.3 Rwf in 2021 which increased at 40.1 in the year 2022 and also they increased again in 2023 up to 46.1Rwf. In other words, Bralirwa was maximizing shareholder‟s benefits. Return on equity is an important measure of the profitability of an institution. Higher values are generally favorable meaning that the institution is efficient in generating income on new investment. Hence Bralirwa experienced a positive profitability over the period of the study and generated enough profits to meets its shareholders‟ expectations. From 2021 to 2023, Net profit margin was 0.141 in 2021, 0.143 in 2022 and 0.161 in 2023. Based on these findings, it was established that net profit margin generated as compared to the operating expenses incurred was 14.1% in 2021, 14.3% in 2022 and 16.1% in 2023. This indicates that Bralirwa generated 14.1Rwf of profit from 100Rwf of sales in 2021, 14.3Rwf of profit from 100 Rwf of sales in 2022 while it generated
16.1Rwf of profit from 100Rwf of sales in 2023. From 2021to 2023, the current ratio generated as compared to the current liabilities incurred was 56.6% in 2021, 66.8% in 2022 and 66.9% in 2023.
