THE IMPACT OF THE VALUE CHAIN ACTIVITIES ON THE COMPETITIVE PERFORMANCE OF THE MANUFACTURING INDUSTRIES OF LIBYA

What are the critical factors which makes the manufacturing industry more competitive in the market? What is the general impact of value chain activities (porter’s five forces) on the competitive performance of the manufacturing industry of Libya? How do this activities impact on the competitive performance of themanufacturing industry? What is the reason behind the lack of the activities on not impacting highly on the competitive performance of the manufacturing industry of Libya? This paper aims to conclude the general impact of the value chain activities (porter’s five forces) on the competitive performance of the industry of Libya. Accordingly a conceptual model would be created to analyze the competitive performance of LISCO one of the biggest Iron and Steel industry of Libya. Quantitative research will be the approach of this paper. Focus group discussion with the management bodies will be conducted to determine pertinent factors as explanatory variables (five forces model of Micheal Porter) for successful competitive performance of the manufacturing industries of Libya. Explanatory (independent) variable: Supply of raw materials, buying power of customers, threats of new competitors, threats of alternative products, competition amongst competitors. Mediatingvariable: value chain activities, product innovation. Explained (dependent) variable: competitive performance of the manufacturing industry of Libya. Data will be collected through a survey questionnaire from a random sampling technique in the manufacturing industries of Libya. Based on the analysis of the views of the management bodies of the industries of Libya, the model concerns the impact of the value chain activities on the competitive performance of the industry of Libya. Different from other industries, manufacturing industries is having some uniqueness in the competitiveness. The new and innovative products make them more competitive in the global market. This paper makes the first attempt to explain the impact of Value chain activities on the competitive performance of the manufacturing industries of Libya. The conclusion will be based on the analysis results of the views that the respondents targeted for this research will provided.