Effect of Low Pricing Strategy on New Entrants in the Telecommunication Industry, Nigeria

Abstract

The study examines the effect of low pricing strategy on new entrants in Nigeria's telecommunication industry. The study used an online survey research design due to the covid-19 pandemic, Purposive sampling as a sampling method was used to draw the sample size of 30 from the targeted population. The respondents were sales managers of MTN, GLO, Airtel and Nine-Mobile telecommunication regional offices in Abuja. The method of data collection was a questionnaire. The statistical tool adopted was a simple regression. The findings showed that there is a strong relationship between the effect of low pricing on new entrants in the telecommunication industry in Abuja. The recommendation was for telecommunication companies in Nigeria to perceive low pricing strategy as a new entrant barrier, reduce data and airtime costs to gain more market share.