Strategic Management and Competitive Dynamics in an Oligopolistic Market: An Empirical Analysis of Road Transport Firms in the Katanga Copperbelt 2018-2023
DOI:
https://doi.org/10.14741/ijmcr/v.14.2.8Keywords:
Oligopoly, Strategic Management, Road Transport, Katanga Copperbelt, Artificial Intelligence, Financial Performance, Competitive AdvantageAbstract
This study analyzes the strategic management and competitive dynamics of road transport firms operating within the oligopolistic market of the Katanga Copperbelt between 2018 and 2023. As a critical backbone of global mineral supply chains, the transport sector in this region faces a unique competitive structure where a limited number of dominant firms influence market conditions. The research aims to identify the strategic mechanisms that allow these firms to maintain their positions despite significant financial volatility and rapid technological shifts. Adopting a qualitative interpretative approach through a multiple case study design, primary data were collected via semi-structured interviews with senior executives and triangulated with secondary financial indicators such as Return on Investment (ROI) and Return on Equity (ROE). Thematic Content Analysis reveals that price is primarily used as a signaling tool for tacit coordination rather than aggressive competition, effectively preserving collective margins. Furthermore, the findings demonstrate that the integration of artificial intelligence and real-time tracking has evolved into a decisive intangible barrier to entry. This technological shift, coupled with the inverse leverage effect observed in declining performance figures, compels firms to prioritize long-term exclusive contracts with mining companies to secure debt service and relational anchoring. Ultimately, this research enriches the industry structure paradigms by demonstrating that competitiveness in African logistics corridors has shifted from physical fleet size to digital agility and strategic coordination, providing a robust model for the sustainability of service-based firms in globalized economies.
