An exploration of business level strategy at the bottom of the pyramid: a case study of Twizza, Eastern Cape

This qualitative study focuses on business level strategy adopted by Twizza to compete in the bottom of the pyramid market in the Eastern Cape, South Africa. Twizza enjoyed huge success between the years 2010 - 2014 as a medium to large sized manufacturer of carbonated soft drinks in the Eastern Cape. In light of this, the current study seeks to answer the following: What business level strategy did top management at Twizza adopt to compete and grow in the BoP market in the Eastern Cape, South Africa? The study takes the form of a case study to explore and understand the patterns of decisions adopted by Twizza’s top management in competing at the bottom of the pyramid. As such, the main objective of the study was to identify the business level strategy adopted by Twizza which enabled their superior performance within the BoP market. The study adopts Porter`s typology to explore business level strategy. Stratified, purposive sampling was used to identify 4 top managers as participants in this study. A total of 7, semi-structured, interviews were used to collect critical incidents from top management of Twizza. This was the primary data used in this study. This type of data was combined with relevant information which was gathered via published press articles and on-line commentary. The study found that central to Twizza’s business strategy were four pillars, namely, strict control and management of manufacturing costs, product quality equal to that of market leaders, the ability of the organisation to manufacture its own raw materials and ability to ensure product availability to the market to the market. These findings reveal that Twizza employed a hybrid strategy, anchored by cost leadership. Thus, Twizza incorporated elements of differentiation and best value strategies to offer its customers affordable quality