Available on: https://jmrr.ep-journals.org/ E-ISSN: 3051-3588 P-ISSN: 3051-357X Journal of Management Research and Review Volume: 01 Issue: 04 October-2025 License: This is an open access article under the CC BY 4.0 license: https://creativecommons.org/licenses/by/4.0/ Corresponding Author: Jacob Olubukola OLADIPO Page 78 | 86 Bargaining Power of Suppliers and Differentiation Strategy, Evaluation of the Effect on Market Growth of Household Consumer Goods Companies in Nigeria Jacob Olubukola OLADIPO Marketing Department, Faculty of Management Sciences. Ladoke Akintola University of Technology. P.M.B 4000. Ogbomoso. Oyo State. Nigeria Akintunde Jonathan OYEDOKUN Department of Business Management, Faculty of Management Sciences. Ladoke Akintola University of Technology. P.M.B 4000. Ogbomoso. Oyo State. Nigeria. Jolaolu Olumide OYELEYE Marketing Department, Faculty of Management Sciences. Ladoke Akintola University of Technology. P.M.B 4000. Ogbomoso. Oyo State. Nigeria Bolarinwa Stephen OJO Department of Business Administration, Federal Polytechnic Ayede, Oyo State, P.M.B 4001. Ogbomoso, Nigeria. Published Date: October 03, 2025 ABSTRACT: The study examines the relationship between the bargaining power of suppliers and differentiation strategy on market growth in the consumer goods sector in Nigeria, focusing on four listed companies. Data was collected through a questionnaire and analyzed using multivariate regression analysis, CFA, and SEM. The study found that a differentiation strategy has a positive and significant effect on market growth, while the bargaining power of suppliers does not. However, both factors are important to consider for companies operating in the sector. The study highlights the need for further analysis to establish causality and identify other potential factors that may impact market growth. KEYWORDS: Bargaining power of suppliers, Differentiation strategy, Market growth, Consumer goods companies, Household. INTRODUCTION The household consumer goods industry in Nigeria is a vital sector of the economy, contributing significantly to employment generation, income generation, and overall economic growth. However, the industry is faced with intense competition, rising costs, and increasing pressure from suppliers. Therefore, it is imperative for companies in this sector to adopt effective strategies to remain competitive and achieve growth. The bargaining power of suppliers is a significant challenge faced by companies in various industries, including the household consumer goods industry. Porter (2013) posited that, several factors contribute to the power of supplier groups, including concentration, product differentiation, and the threat of forward integration. Studies have shown that the bargaining power of suppliers can impact the cost and quality of inputs, as well as limit the ability of companies to achieve growth and sustain competitive advantage (Barkema et al., 2019; Ullah et al., 2021). Similarly, differentiation strategy has been identified as a key factor for achieving growth and sustaining competitive advantage in the household consumer goods industry. By creating a unique brand image, offering exceptional customer experience, and providing high-quality products, companies can differentiate themselves from their competitors and increase market share (Kapoor & Vij, 2019; Chen et al., 2021). However, there is a need to explore the specific approaches and practices that can be adopted by companies to effectively differentiate their products in the market. Several studies have investigated the impact of supplier bargaining power and differentiation strategy on market growth in various industries in Nigeria. For instance, studies have examined the effect of supplier bargaining power on firm performance in the banking sector (Oladejo & Olabisi, 2020), the impact of differentiation strategy on SME growth (Olayiwola & Agboola, 2021), and the role of differentiation strategy in enhancing customer loyalty in the telecoms industry (Olabisi et al., 2018). However, there is a gap in the literature when it comes to the household consumer goods industry in Nigeria. Therefore, this study aims to address this gap in the literature by examining the effect of bargaining power of suppliers and buyers, as well as differentiation strategies on market growth of household consumer goods companies in Nigeria. The study will contribute to the development of effective strategies and practices for managing supplier and buyer bargaining power, as well as enhancing competitiveness and achieving growth in the household consumer goods industry. The findings of this study will be beneficial to companies, policymakers, and stakeholders in the household consumer goods industry in Nigeria, as well as researchers and academics interested in the impact of bargaining power of suppliers and differentiation strategy on market growth.