HIGH FUEL PRICE AND PERFORMANCE OF ORGANIZATIONS;
A CASE STUDY OF NILE PLASTICS COMPANY LIMITED IN UGANDA
BY
OKELLO AMBROSE
REG; S19B44/O58
A DISSERTATION SUBMITTED TO THE SCHOOL OF BUSINESS IN PARTIAL FULFILMENT OF THE
REQUIREMENTS FOR THE AWARD OF A BACHELOR OF SCIENCE IN OIL AND GAS
MANAGEMENT OF UGANDA CHRISTIAN UNIVERSITY
OCTOBER 2023
Contents
APPROVAL ............................................................................................... Ошибка! Закладка не определена.
DEDICATION ............................................................................................ Ошибка! Закладка не определена.
ACKNOWLEDGMENT............................................................................. Ошибка! Закладка не определена.
1.1
INTRODUCTION ........................................................................ Ошибка! Закладка не определена.
1.2
BACKGROUND OF STUDY ..................................................... Ошибка! Закладка не определена.
1.3
PROBLEM STATEMENT .............................................................. Ошибка! Закладка не определена.
1.4
PURPOSE OF THE STUDY ...................................................... Ошибка! Закладка не определена.
1.5
OBJECTIVES OF THE STUDY. ............................................... Ошибка! Закладка не определена.
1.6
RESEARCH QUESTIONS ......................................................... Ошибка! Закладка не определена.
1.7
SCOPE OF STUDY .................................................................... Ошибка! Закладка не определена.
1.7.1
SUBJECT SCOPE ...................................................................... Ошибка! Закладка не определена.
1.7.2
GEOGRAPHICAL SCOPE ........................................................ Ошибка! Закладка не определена.
1.7.3
TIME SCOPE .............................................................................. Ошибка! Закладка не определена.
1.9
SIGNIFICANCE OF THE STUDY ............................................ Ошибка! Закладка не определена.
1.10
CONCEPTUAL FRAMEWORK ................................................ Ошибка! Закладка не определена.
CHAPTER TWO..................................................................................... Ошибка! Закладка не определена.
LITERATURE REVIEW........................................................................ Ошибка! Закладка не определена.
2. 1 Introduction ...................................................................................... Ошибка! Закладка не определена.
2.2
High fuel price .............................................................................. Ошибка! Закладка не определена.
2.3
Sales Performance ........................................................................ Ошибка! Закладка не определена.
2.4 Sales volume ..................................................................................... Ошибка! Закладка не определена.
2.5 Market share ...................................................................................... Ошибка! Закладка не определена.
2.6 Profitability,....................................................................................... Ошибка! Закладка не определена.
2.7
Relationship between high fuel price and performance of organizations ........... Ошибка! Закладка не
определена.
CHAPTER THREE .................................................................................... Ошибка! Закладка не определена.
Page 2
METHODOLOGY .............................................................................. Ошибка! Закладка не определена.
3.1 Introduction ................................................................................... Ошибка! Закладка не определена.
3.2
Research Design ...................................................................... Ошибка! Закладка не определена.
3.3
Area of study ........................................................................... Ошибка! Закладка не определена.
3.4 Study Population............................................................................ Ошибка! Закладка не определена.
3.7
Data Collection Methods ......................................................... Ошибка! Закладка не определена.
3.9
Research Procedure ................................................................. Ошибка! Закладка не определена.
3.10
Data Quality Control ............................................................. Ошибка! Закладка не определена.
3.10.1
Validity of the Instrument...................................................... Ошибка! Закладка не определена.
3.10.2
Reliability of the Instruments ................................................ Ошибка! Закладка не определена.
3.11Measurement of Variables ............................................................ Ошибка! Закладка не определена.
CHAPTER FOUR ....................................................................................... Ошибка! Закладка не определена.
PRESENTATIONS OF RESULTS AND ANALYSIS OF FINDINGS.................... Ошибка! Закладка не
определена.
4.1 Introduction ................................................................................... Ошибка! Закладка не определена.
SECTION A, SHOWING STATISTICAL RESPONSE OF RESPONDENT’S DEMOGRAPHIC DATA
............................................................................................................. Ошибка! Закладка не определена.
TABLE 1 Gender of the respondent .............................................................................................................. 25
Table 2 AGES OF RESPONDENTS. ........................................................................................................... 28
Figure 1 Age of respondents .......................................................................................................................... 29
Table 3: Description of the Respondents by Level of Education .................................................................. 29
Table 4; Description of the Respondents by Marital Status .......................................................................... 31
Table 5 below shows a Description of the Respondent's experience at Nile Plastic Co. .............................. 31
Table 6. Statistics showing Employee’s Experience .................................................................................... 33
TABLE 7 Below is a Description of the Respondent's on their Job Designation ......................................... 33
Figer 4 A pie chart showing respondents' description/ opinion based on a survey for reasons why fuel
price is high ................................................................................................................................................... 36
Page 3
Table; 8 Relationship between high fuel prices and Performance of industries ........................................... 37
Table 9 Measures Of High Fuel Prices .......................................................................................................... 39
CHAPTER FIVE: ....................................................................................... Ошибка! Закладка не определена.
SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSION .............. Ошибка! Закладка не
определена.
5.1 Introduction ....................................................................................... Ошибка! Закладка не определена.
5.2 Summary of the Findings .................................................................. Ошибка! Закладка не определена.
5.3 Recommendations ............................................................................. Ошибка! Закладка не определена.
5.4 Areas for further research .................................................................. Ошибка! Закладка не определена.
5.6 Conclusion......................................................................................... Ошибка! Закладка не определена.
REFERENCES ........................................................................................... Ошибка! Закладка не определена.
APPENDIX A: QUESTIONAIRE ............................................................. Ошибка! Закладка не определена.
Section A ................................................................................................. Ошибка! Закладка не определена.
Causes of high fuel price ......................................................................... Ошибка! Закладка не определена.
Relationship between high fuel prices and performance of Industries ............................................................. 51
MEASURES TO HIGH FUEL PRICES ........................................................................................................... 52
APPENDIX B ....................................................................................................................................................... 53
UNIVERSITY INTRODUCTION LETTER ....................................................................................................... 53
Page 4
DECLARATION
I AMBROSE OKELLO, confirm that the Report presented herein is entirely my original work, not previously
submitted to any other academic institution for recognition and it contains all necessary measures to ensure that
all sources utilized in this work were appropriately acknowledged and credited for your evaluation. It is
imperative to note that any violation of ethical standards results in appropriate disciplinary action.
Signature……………………….
Date………………………
APPROVAL
This is to certify that, this report entitled “High fuel price and performance of organizations” was done under
my supervision and now it is ready for submission.
Signed………………………………
Date……………………….
DEDICATION
It's hard to express the immense appreciation I had for my dear family and friends for their constant support and
encouragement during my academic endeavors. They were, there for me every step of the way, always ready to
lend a helping hand or a listening ear. I am truly blessed to had them in my life whether it was early on or later
in my journey, they had always been there for me, having to lend a helping hand or ear to listen. Their
unwavering presence in my life was a true blessing that provided me with the strength and nourishment I
needed to succeed and always kept the cherished memories we've made together close to my heart.
ACKNOWLEDGMENT
I humbly wish to express my deepest gratitude to the Almighty God for endowing me with the resilience,
guidance, and wisdom that were instrumental in bringing my academic journey to a successful conclusion.
Furthermore, I extend my heartfelt appreciation to my supervisor, lecturers, and the entire management team of
the Institute of Petroleum Studies-Kampala for the exceptional educational experience that I received during my
Page 5
tenure at the institution. I am indebted to them for the invaluable knowledge that they imparted to me, which
rightfully equipped me with the skills and expertise that I need to make a meaningful contribution to my field of
study. Moreover, I cannot omit to express my gratitude to my peers, whose unwavering academic support was
pivotal in helping me to navigate the rigors of my coursework. Finally, I wish to acknowledge and thank the
participants in my research study, whose unwavering eagerness to share their experiences and insights were
critical in enabling me to complete this research project successfully.
CHAPTER ONE
GENERAL INTRODUCTION
1.1 INTRODUCTION
This chapter presented the background of the study, the statement of the problem, the purpose of the study, the
objectives of the study, the researched question, the scope of the study, the justification of the study, and the
significance of the study
1.2 BACKGROUNDED OF THE STUDY
In contemporary times, the world encountered yet another noteworthy predicament which was the exorbitant price
of fuel, a significant input in production at the time when the prices of fuel were raised high due to the global
economic resurgence from the Coronavirus pandemic, but the recent surge in oil prices, as a result of the Ukraine
war, caused further inflation and economic hardship for businesses and consumers alike. Particularly, the
transportation industry was adversely affected. Given the aforementioned, governments are currently exploring
diverse ways to alleviate the impact of these high fuel prices. It was noteworthy that Fuel prices are determined
by the dollar exchange rate and crude oil prices, given that crude oil is traded in dollars (PEERSMANNED, 2015)
Page 6
Russia is one of the world's largest oil exporters and is currently facing economic and trade sanctions from several
European countries. The sanctions were imposed in response to Russia's annexation of Crimea in 2014 and its
alleged involvement in the conflict in eastern Ukraine. (Herman, 2023)
During the early stages of the conflict, Brent crude oil, a global benchmark for prices, reached a near 14-year high
of $139 a barrel. However, prices were dropped to around $100 a barrel, due to a combination of factors, including
increased supplies from other oil-produced countries and a slowdown in global economic growth. Despite the
drop in oil prices, Russia's economy had remained heavily dependent on its oil exports. In 2019, oil and gas
accounted for around 40% of Russia's total exports, according to data from the International Trade Centre.
(Herman, 2023) More recently, the European Union had been discussing a ban on Russian oil purchase export,
which had a significant impact on the Russian economy, as many European countries relied heavily on Russian
oil imports. This was the cause of oil prices to rise again, with Brent crude oil reaching $115 a barrel as of
Tuesday. The situation remained fluid, and it is unclear how Russia had responded to the ongoing economic and
trade sanctions, as well as the potential ban on oil purchases from the EU. However, the impact on the global oil
market and the Russian economy, in particular, is likely to be significant. (QAYUM, 2016)
Some countries, such as US and Canada, banned Russian oil imports However, petrol wholesale prices for
retailers currently stand at £1.30 a liter for petrol and £1.48 for diesel. With prices being high for retailers' margins
and 20% VAT being added it's clear we are in a tough place when it comes to being able to afford to drive. The
ban on Russian oil imports means that other suppliers had to take up the slack, but this often leads to higher prices
due to reduced competition. This had a direct impact on the cost of petrol and diesel for retailers, who then passed
on the costs to consumers. This puts a considerable strain on the wallets of consumers who rely on their cars to
get to work, school, and other commitments. Finding ways to reduce the cost of petrol and diesel was essential to
ensure that those who rely on cars to get around can do so affordably.
In this research study, the primary focus is to explore the impact of high fuel prices on the performance of
organizations. This study aims to determine how high fuel prices affect the overall performance of organizations,
including their operations costs, productivity, and other contributing factors. By examining how high fuel prices
influence various aspects of organizational performance and seek to provide insights into how organizations can
mitigate the negative effects of high fuel prices.
In this study, the independent variable is high fuel prices, which refers to the amount of money that organizations
spend on fuel to keep their operations running. The dependent variable is the performance of organizations, which
refers to how well an organization functions despite the challenges posed by high fuel prices. This study evaluates
Page 7
the impact of high fuel prices on organizational performance from multiple perspectives, including financial
performance, operational efficiency, and productivity.
Overall, this study seeks to provide a comprehensive understanding of the relationship between high fuel prices
and organizational performance. By identifying the key factors that contribute to the impact of high fuel prices
on organizational performance, this research study aims to help organizations develop effective strategies to
manage their fuel costs and improve their overall performance.
In the latter part of 2021, a novel challenge emerged globally in the form of price disparity, caused by the COVID19 pandemic. This pandemic had a pervasive and profound impact on various aspects of life, including
organizations, lifestyles, relationships, and livelihoods.
The pandemic's effect was so devastating that companies had to make difficult decisions and implement costcutting measures to stay afloat and survive the crisis. The resulting reduction in the demand for products and
services was seen across most sectors, which led to a decline in consumer spending and an increase in
unemployment rates. The economic impact of the pandemic continued to be felt worldwide, with people grappling
with its consequences. In May 2023, the impact of the pandemic was still apparent, as credit card spending
revealed a decline of over 6 percent compared to the previous year. This decline was due to the pandemic's longlasting effects, which include the continued decrease in consumer spending and the rise in unemployment rates.
Overall, the pandemic's impact was far-reaching and had lasting effects on people's lives worldwide. It is essential
to continue to find ways to mitigate these impacts and support those affected by the pandemic to recover fully.
(Helen Onyeaka, 2021)
The sudden increase in global oil demand in recent times was linked to the removal of quarantine measures
imposed as a result of the COVID-19 pandemic across many countries. These measures had previously resulted
in a significant reduction in oil consumption due to restrictions and containment protocols. With the lifting of
these measures, there had been a surge in transportation activities, marked by increased travel for both business
and leisure purposes. Additionally, the manufacturing industry is ramping up production, leading to a further
boost in oil demand.
Furthermore, the oil price war, which broke out between Russia and the Saudi-led Organization of Petroleum
Exporting Countries (OPEC), this significantly contributed to the current state of affairs. The disagreement
between Russia and OPEC arose over oil production, with OPEC looking to reduce production to match the drop
in demand caused by the global economic downturn, while Russia remained uncooperative. As a result, the oil
market experienced a glut in supply, which led to a sharp drop in oil prices. Although the situation was resolved,
Page 8
it is worth noting that the price war had far-reaching effects, resulting in the closure of several oil-producing
companies and a significant reduction in investment in the sector. (PETER NGALE, OCTOBER 27, 2020)).
Russia's oil production quotas had a significant impact on the global energy market. In 2020, Russia refused to
reduce its oil production quotas which ended up undermining the shale oil extraction industry in the United States.
As per Rosneft, a state-owned Russian company that specializes in petroleum extraction, processing, and
distribution, if Russia had accepted a decrease in oil production to maintain prices, American shale oil found
buyers in the global energy market. However, Russia's refusal to do so led to an oversupply of oil, which resulted
in a price drop and made it difficult for shale oil producers in the US to compete in the market. The failure of
Saudi Arabia and Russia to agree on production cuts further exacerbated the crisis. The resulting market instability
had a profound impact on Russia's oil industry, and the country's economy suffered significantly due to the decline
in oil prices. In addition, the low demand for Russian oil also contributed to the industry's struggles.
Eventually, after months of negotiations, Saudi Arabia and Russia agreed to cut production. However, this
agreement came too late to prevent the damage already done to the Russian oil producers. The prolonged crisis
had a severe impact on the industry, and it took time for it to recover fully.
Sales performance refers to the effectiveness of a company's sales functions towards achieving its corporate
objectives. These objectives, whether long-term or short-term, are quantifiable goals that a company sets out to
achieve. For instance, a company might set a corporate objective to increase its sales profit by 10% in the coming
year. In such a case, the company's sales performance was evaluated based on its achieved 10% increase.
To evaluate the sales performance of an organization, the target sales figure is compared with the actual sales
figure. However, measuring sales performance is not solely based on figures but also on customer loyalty. A high
rate of customer loyalty signifies high sales performance
Performance is a multi-aspect concept that encompasses various factors. According to Aksu & and Tarcan (2019),
performance is subject to fluctuation and depends on a variety of reasons that encompass it. Clark (2018)
introduced the marketing outcome construct as an additional openly related marketing practice result.
Evaluating organizational performance on sales involves analyzing sales volume, marketing cost, and
profitability. Sales volume investigation is conducted by carefully studying an organization's records of its profits
and loss statements on product lines, territories, and key accounts of customers. Additionally, other factors such
Page 9
as employee satisfaction, customer satisfaction, and product or service quality are also essential to consider when
assessing organizational performance.
To evaluate organizational performance, sales volume, marketing cost, and profitability are important factors to
consider. However, they should not be the only factors to be considered. A comprehensive evaluation should
include other factors such as employee satisfaction, customer satisfaction, and product or service quality. A
careful and thorough evaluation of organizational performance on sales is essential in ensuring that a company is
meeting its corporate objectives.
Nile Plastics Company is a renowned company located in the heart of Kampala, Uganda. The company had been
in operation for over 20 years and had contributed significantly to the tax base of the city. Nile Plastics' location
makes it easily accessible to its clients and suppliers, hence its great contribution to the general movement of
business activity in the city. The company employs a large number of local people, providing valuable jobs, and
contributing to the local economy.
Nile Plastics' success is attributed to sound financial management, a culture of innovation, and creativity. The
company had continuously invested in the local community, providing job training and educational opportunities.
This approach created a positive working environment and a culture of innovation, leading to increased
productivity. The company had also been committed to supporting its people and the community surrounding it.
For example, during the COVID-19 pandemic, the company provided financial assistance to its employees and
supported the community
Nile Plastics sources its fuel from reputable fuel filling stations, including VIVO Energy (U) LTD–SHELL, Total
Nateete, HADS Nalukolongo, STABEX International Limited, Meru Petroleum Ndeeba, NILE Energy Limited
t/a GAZ–Rubaga, and OIL Energy (U) Limited -Nateete. These fuel stations are located near the company's
production center, making the fuel easily accessible. The decision to source its fuel locally shows its commitment
to supporting the local economy.
The company's success remained instrumental in the growth and development of Kampala's economy. The rapid
growth of the city had led to a continuous increase in demand for Nile Plastics' products. This increase in demand
had translated into a boost in the company's revenue. Nile Plastics' commitment to sound financial management
and an eye for opportunity ensured its continued success.
This research study focuses on the impact of high fuel prices on organizations' profitability, financial stability,
and operational efficiency. The study seeks to identify the strategies that organizations employ to manage fuel
Page 10
costs. The study remained instrumental in providing valuable insights into how organizations can mitigate the
impact of high fuel prices on their operations
1.3 PROBLEM STATEMENT
The COVID-19 pandemic devoured several issues for companies that were not prepared for a fully online model.
This had affected interactions and transactions between stakeholders, while the Ukrainian war with Russia had
led to a shortage of crude oil products and resulted in high fuel prices. The increased costs of transport and energy
had negatively impacted organizations, leading to inflationary growth. To compensate for the high costs of
operation, consumer products became more expensive, affecting poor rural communities who are the primary
customers of these manufacturers. (Justin Damien Guénette, Philip Kenworthy, and Collette Wheeler, 2022)
(Helen Onyeaka, 2021)
Deterioration in terms of trade, a fall in the purchasing power of firms, and household standard of living as it is
happening in Uganda right now, and more so some small factories now no longer operating their businesses, as a
result, other expensive costs of inputs in the production process. The long-term economic impact of this crisis
could be devastating, leading to poverty and reduced quality of life for many families. (Ministry of Finance,
September 2021- Uganda)
In light of the current fuel price crisis, organizations are faced with a complex set of challenges that are impacting
their financial performance, growth prospects, and overall sustainability. These challenges include but are not
limited to, escalating operational costs, disruptions in the supply chain, and other related issues. This report aims
to present suggested strategies and adaptations for organizations to optimize their operations, manage expenses,
and explore alternatives to maintain performance. Effective collaboration among governments, industries, and
other stakeholders is essential to address these challenges successfully.
1.4 PURPOSE OF THE STUDY
This report examined the impact of high fuel prices on organizations' performance; a case study of Nile Energy
Uganda Limited.
1.5 OBJECTIVES OF THE STUDY
• To identify the causes of high fuel prices
• To establish the relationship between high fuel prices and organizational performance
Page 11
• To find out the various ways high fuel prices can be reduced
1.6 RESEARCH QUESTIONS
1. What are the causes of high fuel prices?
2. What is the relationship between high fuel prices and organization performance?
3. What measures can be taken to mitigate high fuel prices' impact on organizations?
1.7 SCOPE OF THE STUDY
1.7.1 SUBJECT SCOPE
The study examines the impact of high fuel prices on organizations' performance. The researcher included a
survey of oil and gas organizations. The researcher also analyzed the impact of high fuel prices on organizations'
performance. Finally, the study investigated strategies used by organizations to mitigate high fuel prices.
1.7.2 GEOGRAPHICAL SCOPE
The study was carried out in Nalukolongo, Kampala. This is because this is where at least three-quarters of the
available factories in the central region of the Rubaga division are located. The factories in this area are ideal for
the study as they participate in a variety of production processes. This made the researchers to better understand
the effects of production on the environment. Furthermore, the workers in this area are well-versed in the
production process, making them an ideal sample group.
1.7.3 TIME SCOPE
The data was collected and analyzed rigorously, from February 2022 to the present date, to ensure that the findings
are accurate and credible. The results of this study offer a unique perspective on the subject matter, supported by
verifiable data, and can serve as a powerful tool for decision-makers seeking to gain an edge in a highly
competitive market.
1.9 SIGNIFICANCE OF THE STUDY
The study on high fuel prices can provide valuable insights and information to marketing professionals, enabling
them to enhance sales and production. Conducting a comprehensive analysis of a company's strengths and
weaknesses using fuel price data can help identify areas of improvement, such as reducing costs, boosting
Page 12
efficiency, and optimizing processes. By implementing these changes, companies can enhance their competitive
edge in the market and weather challenging economic conditions. (Manager, September 6, 2023)
Policymakers and government agencies focused on energy conservation and sustainability can benefit
significantly from studying fuel prices. This research can lead to the discovery of new alternatives to address
Uganda's fuel price crisis, which can result in reduced energy prices and more employment opportunities for
citizens. Additionally, the study's findings can help Ugandan citizens reduce their energy costs, improving their
quality of life. (Monitor Reporter, 2023)
Future researchers conducting studies on the same subject can leverage the findings of this research by drawing
upon related literature. This contributed to the existing body of knowledge on the subject. Furthermore, the
research project can help the researcher gain a deeper understanding of the variables involved and enhance their
research skills. This knowledge can be applied to other areas and similar research projects in the future, leading
to further advancements and insights in the field. The findings can also inform policy and decision-making in
both the public and private sectors, leading to better outcomes for all.
This research project can help students fulfill the requirements to earn a bachelor’s degree. The knowledge gained
from the research project can be shared with other researchers and organizations, leading to further advancements
in the field. Additionally, an in-depth understanding of the topic can help students gain valuable insights into the
real-world implications of their chosen field of study. For instance, the research project can help students develop
a better understanding of the economic and environmental factors influencing natural resource availability, which
can inform their decisions about their career path. This can lead to the development of more sustainable practices
and policies that benefit society in the long run.
1.10 CONCEPTUAL FRAMEWORK
Independent variables that contribute to high fuel prices are such as geopolitical events, supply and demand
dynamics, and economic conditions. Additionally, government taxes and subsidies can also affect fuel prices. Oil
companies can also set prices according to their interests, and these can be higher or lower than market prices.
Changes in the currency exchange rate can also cause fluctuations in fuel prices. Finally, fuel costs may vary
geographically due to transportation costs or local taxes
Dependent Variable is a threat to the Performance of Organizations and this includes financial metrics
(profitability, cost-effectiveness), operational metrics (efficiency, productivity), or other relevant indicators
affecting the organization's performance, such as Operational performance, Innovation, Supply Chain Disruptions
Page 13
These are broader factors that could influence the relationship but are not directly studied in the framework and
they provide context for your research:
Regulatory Environment: Government policies on fuel pricing and energy sources
Market Conditions: Overall economic conditions, demand for products/services,
Figure 1.1, below gives a graphical conceptual underpinning of the variables of the study and how they are related
to one another.
Independent Variable (High fuel Prices) Dependent variable (performance of organizations)
5.
facility rate
(Variable
6.
The raw
material cost
7.
8.
1.
Market share,
2.
Sales volume,
3.
production
rental rates
Income
Volume, and
4.
9.
profitability
Tax rates
Source: Adapted from (World Bank 2011; Kotler & Setiawan, 2017)
This study considered fuel price measures as an independent variable with elements of facility rate, raw material
cost, rental rates, income level, and tax rates.
Market share, sales volume, production volume, and profitability are dependent variables affecting sales and
production.
CHAPTER TWO
Page 14
LITERATURE REVIEW
2. 1 Introduction
In this chapter, the researcher presented a conceptual review of the literature describing how the term came into
existence. He had also explained the meaning of such terms. This includes high fuel price, sales volume, and sales
performance well as explaining the relationship between high fuel prices and sales performance. In addition to
that, the researcher also discussed the implications of high fuel prices on sales performance and the potential
strategies that can be implemented to mitigate the impact of these prices on sales performance. Finally, the
researcher made recommendations for further research in this area
2.2 High fuel price
High fuel prices had a significant impact on industrial production through various channels. On the supply side,
an increase in oil prices leads to a rise in production costs, resulting in a contraction of output. This contraction
further leads to a reduction in investment (Brown and Yucel, 2002). On the demand side, an increase in oil prices
translates into higher product prices, resulting in a fall in aggregate productivity (Hunt et al., 2001).
Oil price shocks had other channels of transmission as well. One such channel is the wealth effect, which affects
demand by transferring income from oil-importing to oil-exporting countries. This transfer of income reduces
aggregate demand in oil-importing countries while increasing it in oil-exporting countries. Another channel is the
real balance transmission channel, where an increase in oil prices leads to an increase in demand for money and
a resulting increase in the interest rate. If monetary authorities are not able to meet this demand, it causes a
reduction in economic growth (Brown and Yucel, 2002). Consequently, investment falls due to the reduction in
producers' profits. Bernanke et al. (1997) acknowledged that the combination of tightening of monetary policy
and oil price shocks depressed the real economy by discouraging investment.
Furthermore, several other variables influence organizational performance in industrial production, such as the
exchange rate, trade openness, foreign direct investment (FDI), interest rate, gross capital formation (GCF), and
labor force.
Page 15
The relationship between increased fuel prices and industrial production is a topic of great debate. According to
growth models, high fuel prices affect economic growth by opening import and export channels. Export enhances
economic growth through an increase in competition and returns to scale, while import promotes economic growth
by allowing economies to import advanced technologies (Krueger, 1978).
Exchange rate fluctuations also affect the level of output. Increases in the exchange rate (a depreciation of the
domestic currency against foreign currency) boost the price of foreign goods relative to domestic goods. This
change increases the international competitiveness of domestic products and increases output (Dornbusch, 1988).
On the other hand, the expansionary effects of currency depreciation were questioned by some empirical studies.
The main argument of these studies is that exchange rate depreciation reduces the output level in a developing
country by increasing the prices of imported inputs, consequently increasing production costs (Hirschman, 1949;
Krugman, 1999).
Historically high oil prices between the early 2000s and 2014 triggered a wave of studies into 'high fuel prices
and the performance of organizations and manufacturing industries including households in an urban area. These
set out to identify the areas where households and small firms were most severely affected by fuel price increases,
typically through the use of composite indicators at the small-area level. Drawing on recent contributions, fuel
price indicators should cover three elements: (I) exposure to fuel price increases – assessed with measures of
average expenditure on fuel in the area (or proxies such as transport mean ownership and use); (ii) sensitivity –
generally operationalized as average income levels; (iii) adaptive capacity – conceptualized as the viability modes
to alternatives to the motor vehicles dependence.
The adequate consideration of adaptive is essential for an accurate assessment of high fuel prices (Leung et al.,
2015; 2018; Rendall et al., 2014), as good accessibility by alternative modes makes modal capacity shift possible,
reducing the need for vehicle use (and hence oil vulnerability) even in areas where car travel is currently high.
As a result, what these studies map is vehicles -' economic stress in the present time (i.e., areas where people,
firms, and organizations are already spending too much on motoring or transport costs), rather than what they
claim to do, i.e., calculate the prospective expenditure and resilience of areas concerning a future scenario where
fuel prices are significantly higher (although of course there are clear overlaps between the two).
2.3 Sales Performance
The term refers to transactions between two parties where the buyer receives goods (tangible or intangible),
services /or assets in exchange for money (Hutt & Speh, 2018). According to Yasmin et al. (2018), no matter
Page 16
what industry, every manufacturer/supplier must improve sales performance, reduce the cost of selling, and ensure
their survival. By analyzing sales performance, managers can make changes to optimize sales not going forward
(Ainscough, (2016). According to the literature, sales performance is a combination of sales effectiveness - the
ability of a company's sales professionals to "win" at each stage of the customer's buying process, and ultimately
earn the business on the right terms and in the right timeframe and sales efficiency the speed at which each task
in the sales process is performed (Levenburg & Magal, 2014).
Aksoy, (2019) posits that sales effectiveness is not just a sales function issue; it’s a company issue, as it requires
deep collaboration between sales and marketing to understand what’s working and working, and continuous
improvement of the knowledge, messages, skills, and strategies that salespeople apply as they work sales
opportunities. On the side of sales efficiency, companies need to examine their sales process for weaknesses to
maintain favorable speeds at which each task in the sales process is performed (Kotler, Kartajaya & Setiawan,
2017). For example, if intermediaries are spending too much time on some tasks, the company might automate
those tasks to allow sales representatives to spend more time selling (Treace, 2012)
2.4 Sales volume
Kotler& Keller, (2016), sales volume is the core interest of every organization that is based on sales and profit.
When the volume goes up, everything else is manageable margin, profit, and numerical distribution but when the
volume goes down it is difficult to manage the business parameters. Sales do not go up or down just like that, the
company manages and directs its sales volume through the portfolio and channels. There are different ways that
the company can use to influence volume increase.
Hsu & Tsou, (2017), state that positive sales growth over a specific period indicates that you are on track with
your sales goals to grow your business. The number of current and new sales opportunities plays a decisive role
in sales management. To properly optimize and increase the value of your sales metrics, the number of
opportunities should be high on your list. While the number of unqualified leads is an important indicator in
marketing, only valid qualified leads are critical for sales. For example, leads with incorrect contact information
had no real value for sales.
In addition to detailed time monitoring of the number of new sales opportunities, e.g., daily, the potential purchase
volume of these open opportunities is also a good indicator for sales that compares the current performance with
the previous month. The average purchase value is one of the sales performance metrics that companies use when
developing a sales growth strategy, revenue projections, and forecasting.
Page 17
Sales volume is the number of units sold within a reporting period. Within a business, sales volume may be
monitored at the level of the product or sales region (Aksu & Tarcan, 2019), A business may also monitor its
break-even sales volume, which is the number of units it must sell to earn a profit of zero. The concept is useful
when sales are contracting so that management can determine when it should implement cost reductions. This can
be a difficult concept to employ when there are many different products, especially when each product has a
different contribution margin.
2.5 Market share
Market share as an essential metric in the business world, is defined as the percentage of total sales generated by
a company. This metric is calculated by dividing a company's sales over a specific period by the total sales over
the same period. According to Cop and Oyen (2018), market share is determined by the percentage of total
purchases of a particular product or service made by a customer.
Market share can be measured in terms of value or volume. Value market share is based on a company's market
share about its segment sales, while volume market share refers to the number of units sold by a company
compared to the total units sold in the market. Market share is an important indicator of consumer preference for
a product and is closely tied to a company's sales performance.
A higher market share typically results in greater sales, a lower effort to sell more, and a stronger barrier to entry
for competitors. It also allows a company to operate on a broader scale and increase profitability, as noted by
Leung and Law (2019). By increasing their market share, companies can enjoy cost advantages over competitors,
helping to boost total sales and grow their customer base, as highlighted by McIntyre and Virzi (2018).
2.6 Profitability,
Profitability, on the other hand, is the ability of a company to use its sales resources to generate higher sales
revenues than sales expenses. This market share is calculated by subtracting total expenses from total revenue.
Sales profitability is the metric used to determine a company's profit based on business sales. Companies that can
generate higher sales profitability are considered more efficient and can create more value for customers while
keeping costs low, as stated by Chaffey and Smith (2019). However, high sales profitability can sometimes come
at the expense of customer satisfaction and long-term growth.
Page 18
Profit margin is another crucial indicator of sales profitability, as described by Reid, Smith, and McCloskey
(2018). It helps management determine whether to offer promotions or bonuses for each representative or the
amount of commission.
Profit margin is the amount of money left after all costs are paid and is an essential indicator of a company's
overall health and the effectiveness of its sales strategies.
Analyzing incremental sales and profit margins can help identify which marketing activities had the highest return
on investment and are the most cost-effective. Thus, market share, profitability, and profit margins are all critical
metrics that businesses need to track to ensure their success
2.7 Relationship between high fuel price and performance of organizations
Currently, the manufacturing industry is experiencing disruption due to changes in consumer habits, the
emergence of new competitors, and store consolidation, which is affecting margins. The demand for motor fuel
had decreased because of factors such as improved fuel efficiency, electric vehicles, and ride-sharing, with
COVID-19 restrictions further exacerbating the decline in global fuel demand.
Fuel and convenience retailers had experienced a significant reduction in sales volume, with a decline of 60-80%.
The increase in demand continued to raise fuel prices due to the production cut by OPEC+ and Russia, which
could impact the profitability of many organizations. This could also affect consumer travel and lead to a rise in
the general price of essential items.
In Uganda, the cost of operation proved challenging for both non-essential and essential services and activities.
This resulted in disruptions in trade networks, shortages of raw materials, and essential supplies, negatively
impacting industry and manufacturing, services, and the informal sector, leading to job losses and an increase in
poverty (Ministry of Finance, September 2021- Uganda)
The fuel crisis could further worsen Africa's already stagnant growth, with oil-importing nations potentially losing
up to US$65 billion in revenue as crude oil prices increase (Monitor Reporter, 2023). To address this crisis, Africa
required US$10.6 billion in unanticipated increases in health spending to subsidize fuel prices. (Ministry of
Finance, September 2021- Uganda)
The current global crisis had the potential to undermine progress on the financing and implementation of the
Sustainable Development Goals (SDGs) and Africa Agenda 2063. Empirical studies showed that oil price changes
impact industrial production in developing countries. For instance, Wang and Zhang (2014) found that oil price
Page 19
changes had a significant impact on industrial production in developing countries such as China. However, Ang
et al. (2006) found no statistically significant impact of oil price changes on industrial production in Indonesia,
Malaysia, the Philippines, Singapore, and Thailand.
Reyes and Quiros (2005) conducted a study analyzing the impact of oil prices on industrial production and stock
returns. They utilized a Markov switching model and maximum likelihood test and examined data spanning from
January 1963 to May 2004. Their findings indicate that oil prices harmed both variables, with a more significant
impact on stock returns than industrial production
This suggests that changes in oil prices had a significant influence on stock returns due to the sensitivity of stock
prices to macroeconomic shocks. Stock prices are sensitive to various factors such as political events, natural
disasters, and supply and demand disruptions. These factors lead to frequent fluctuations in oil prices, making it
challenging for stock prices to remain stable. As a result, stock prices are more vulnerable to changes in oil prices
than industrial production.
Although previous studies had examined the long-term effects of oil prices on industrial production, no study
utilizing a panel-data approach had been conducted in Uganda. Therefore, this study aims to address this research
gap by analyzing The Nile Plastic Industry Limited in Uganda using a panel-data approach. The study is designed
to provide insights into the impact of oil price shocks on industrial production in Uganda, which can guide policy
interventions to mitigate the effects on the economy. Additionally, the study can serve as a foundation for future
research in this area.
The Nile Plastic Industry Limited in Uganda is a particularly interesting case study because of its potential
vulnerability to oil price shocks. The company relies heavily on imported raw materials, and the cost of production
is closely tied to the price of oil. Therefore, it is essential to understand the impact of oil price shocks on the
company's industrial production and the broader economy. The study seeks to analyze the data from The Nile
Plastic Industry Limited from 2000 to 2020, to provide a comprehensive understanding of the company's
performance and the broader industrial sector in Uganda. The panel-data approach enabled the study to control
for factors that may affect industrial production, such as changes in technology, labor force, and natural disasters.
Page 20
The findings from this study were significant for policymakers, businesses, and investors interested in Uganda's
industrial sector. The study provided insights into the country's industrial production and helped identify policy
interventions that can mitigate the effects of oil price shocks on the economy. Furthermore, the study contributed
to the literature on the impact of oil price shocks on industrial production in developing countries and provided a
basis for future research in this area.
CHAPTER THREE
METHODOLOGY
3.1 Introduction
In this chapter, the researcher discussed the methodology used in our study, which includes research design,
sampling procedure, sample size, measurement instrument, and data collection methods. We had taken measures
to ensure that ethical standards were maintained throughout the study. All data had to be analyzed and interpreted
to meet the objectives of the study. The results of the study were reported in a comprehensive report. The report
included a detailed analysis of the findings and provided recommendations for future action. It had to be presented
to the relevant stakeholders for consideration. The report had also been made available to the public. The report
had to be based on rigorous statistical analysis to ensure the accuracy and reliability of the findings. It should be
comprehensive enough to provide a clear understanding of the results and implications. The report should also
include an explanation of the methodology used to conduct the study. This is so that others can replicate the
research and validate the results. Additionally, it should provide a set of recommendations for future action based
on the findings of the study.
3.2 Research Design
The researcher had chosen research design is a cross-sectional approach, which involves studying the entire
population or a subset at a single point in time.
3.3 Area of study
The researcher selected Nalukolongo's industrial area, situated along Masaka Road in Kampala City, as my area
of study because it had a high concentration of fuel stations and manufacturing industries facing input production
and sales challenges. The researcher used direct observation and interviews to collect data, and the research is
made up of experienced professionals in similar contexts. The researcher conducted surveys and interviews with
Page 21
the local population and supplemented his data with secondary sources such as reports and studies finally, the
researcher analyzed the data to conclude the challenges facing the area.
3.4 Study Population
The researcher studied the population which consisted of the top management staff, production, marketing, and
sales staff, as well as machine attendants or casual laborers drawn from Nile Plastics Industry Limited Uganda
and the fuel stations located within the factory area of Nalukolongo.
3.5 Sample Size and Selection
To determine the appropriate sample size for the study, the researcher utilized Krejcie and Morgan's Small Sample
Technique from their 1970 publication. From a total population of 45 individuals, a sample of 40 respondents
was selected. The researcher ensured that the sample was representative of the larger population by employing
the probability sampling method and selecting individuals proportionally from each category for the questionnaire
survey.
This chapter provides a detailed explanation of the methodology employed in the study. The research design,
which was carefully selected to address the study's objectives, is described in detail. The area of study, which was
chosen based on its relevance to the research problem, is also discussed. The study population is defined, and the
criteria for inclusion in the study are presented.
The sample size and sampling method, which are essential components of the study design, are explained in detail.
The researcher chose a sample size of 40 respondents based on the Small Sample Technique, which is a widely
accepted approach for determining sample size in research studies
Table 3.1: Study Population Distribution and Sample
Fuel
Category
Population
Sample
Sampling
Techniques
NILE
PLASTIC TOP Management
Purposive
INDUSTRY (U) Ltd
sampling
Page 22
Marketing and sales
Purposive
staff
sampling
Accounts and finance
Simple
staff
sampling
Production manager
Simple
random
random
sampling
Subtotal
15
HADS
PETROLUEM
15
Management
Purposive
(U)
sampling
LIMITED
Marketing and sales
Purposive
staff
sampling
Accounts and finance
Simple
staff
sampling
Pump attendants
Simple
random
random
sampling
Subtotal
Nile plastic company
15
Casual
workers
12
(
Purposive
cleaners and cooks)
sampling
Drivers and Loaders
Simple
Limited
random
sampling
Pump attendants
Simple
sampling
Subtotal
15
13
Total
45
40
Page 23
random
Page 24
The current study employed two different sampling techniques to gather data from the participants. The first
technique was simple random sampling, which is a method of selecting individuals randomly from a population.
In this technique, every accessible member of the population had an equal chance of being selected (Clark &
Creswell, 2008). To ensure that the sample collected was representative of the population, the simple random
sample selection was done by assigning numbers to the respondents. This enabled the researcher to obtain data
from a diverse range of participants that could be generalized across the entire study.
The second sampling technique employed in this study was purposive sampling, which involves selecting specific
individuals based on predetermined criteria. The study utilized both quantitative and qualitative research methods,
which necessitated the use of purposive sampling to gather in-depth views from participants. The method of
purposive sampling utilized in this study was intensity purposive sampling, which involves selecting a small
number of key respondents who can provide detailed information and knowledge about the phenomenon of
interest. (Palinkas et al., 2015).
3.7 Data Collection Methods
For this study, data was collected using a questionnaire survey which involved directly asking participants about
their opinions on the study problem. The questionnaire survey method was selected as it is an efficient and quick
way to gather data. A self-administered questionnaire was used in the research, consisting of two sections - A and
B. Section A contained question about the participants' background characteristics, while section B contained
questions about the main variables studied.
The self-administered questionnaire mainly comprised close-ended questions which had a suitable selection
because they are easy to administer, code, and analyze. Closed questions also allow for comparisons and
quantification and are more likely to produce fully completed questionnaires while avoiding irrelevant responses.
The questionnaire survey proved to be a useful data collection instrument for the study.
Siniscalco and Auriat (2005) describe a self-administered questionnaire as a quantitative data collection
instrument. The survey was completed by the participants themselves, and the questions were mainly close-ended.
Closed questions are questions that predefined answers, and the participants pick an answer from the given
options. Dumondor (2017) also explains that a questionnaire survey is a data collection method that involves
directly questioning participants about their thoughts on the study problem.3.9 Research Procedure
Page 25
The researcher was provided with an introductory letter from the Institute of Petroleum Studies, Kampala where
he (the researcher) presented this letter to managers of these 2 fuel stations and Nile plastics industry
administrators to introduce the researcher to the respondents. The researcher personally distributed the research
questionnaires to the interviewees. Each questionnaire was accompanied by a letter explaining the general purpose
of the study.
3.10 Data Quality Control
3.10.1 Validity of the Instrument
The researcher established the content validity of the instruments by making sure that the items of the main
variables (independent and dependent variables) conform to the conceptual framework of the study. The opinion
of the supervisors on the relevance, wording, and clarity of the items in the instruments was to seek and validate
the questionnaire items. Validation of the instrument had to focus on clarity, completeness, and relevance of the
questions about the study constructs.
3.10.2 Reliability of the Instruments
To attain the liability of the instruments, the researcher had a high level of consultation with the supervisor. The
researcher avoided personal biases, ensured meticulous record keeping, demonstrated a clear decision trail, and
ensured that interpretations of data were consistent and transparent during data collection. The clarity in terms of
thought processes during data analysis and subsequent interpretation was demonstrated (Simmons, 2016).
3.11Measurement of Variables
The study's findings are presented clearly and concisely using Excel tables, graphs, and charts. These presentation
tools help to aid in the interpretation of findings and generate recommendations based on them. The variables
were measured using questions that were developed using nominal and ordinal scales. The nominal scale was
used to measure questions on background characteristics, which helped to label or tag study items for
identification purposes. The ordinal scale, on the other hand, is a ranking scale that possesses the characteristic of
order. It was used to measure the items of the independent and dependent variables, which helped to establish the
relationship between them. This relationship between the variables was then presented using the five-point Likert
scale, where 1 meant "strongly disagree," 2 meant "disagree," 3 meant "undecided," 4 meant "agree," and 5 meant
"strongly agree." This helped to provide a more detailed and accurate representation of the study's findings.
3.12 Ethical Considerations
In this study, great importance was placed on respecting the rights of all involved parties. To ensure this, proper
measures were put in place at every stage of the research. For instance, any material obtained from external
sources such as journal articles was appropriately acknowledged in the relevant sections of the study to avoid
plagiarism.
Page 26
Before data collection, the researcher took the necessary steps to ensure that the participants were fully informed
about the study's purpose, rationale, and how they were selected. This was done to obtain their consent and
cooperation. The confidentiality and anonymity of the responses were also guaranteed to encourage participants
to provide honest and accurate information. To further ensure participants' privacy, coding was used to link the
findings with the individual participants' responses.
Throughout the study, honesty was maintained by strictly basing all data presentation, analysis, and interpretation
on the collected data. This ensured that the results presented were not influenced by any external factors and could
be relied upon. In summary, the researcher ensured that the study was conducted ethically and professionally,
upholding the rights of all parties involved
3.13 Limitation of the study
The research study was conducted for one year, which proved to be a limiting factor for the researcher. The limited
time frame made it challenging to collect and analyze the required data comprehensively. However, the researcher
is committed to maximizing the time at hand to obtain as much data as possible.
One of the challenges encountered during the study was the unkindness of some respondents to complete the
questionnaire. To address this issue, the researcher assured the respondents of the confidentiality of their
responses and that the data collected was only utilized for academic purposes. This approach was successful in
convincing the respondents to provide their responses.
Despite the challenges encountered during the study, the researcher was optimistic that the data was collected and
valued in achieving the research objectives. The researcher is committed to conducting future studies with a more
extended time frame to allow for comprehensive data collection and analysis.
CHAPTER FOUR
PRESENTATIONS OF RESULTS AND ANALYSIS OF FINDINGS
4.1 Introduction
This chapter presents the research results; it presents the results of the respondents' background in terms of their
education, gender, and respondents by age, marital status, and job title. It further describes the consequences of
the causes of high fuel prices in Uganda, the relationship between high fuel prices and the performance of
industries, and measures of high fuel prices.
The results presented are consistent with the sole purpose of the study and are intended to provide answers to
research questions posed in connection with the study. Statistical tools such as frequency distribution tables and
percentages were used to produce the results of this chapter.
SECTION A, SHOWS THE STATISTICAL RESPONSE OF RESPONDENT’S DEMOGRAPHIC DATA
Page 27
In this study, 40 employees at Nile Plastics Limited were targeted as a sample size, and all 40 employees were
interviewed without any missing responses. In the research, more males were interviewed at 55% than females at
45%, indicating that the factory recruits more males than females. Even so, the company is responsive to gender,
as the percentage of females working in such an environment does not convey a negative image. According to
the table below, respondents are represented by frequency, percentage, and cumulative percentage.
TABLE 1 Gender of the respondent
GENDER
Frequency
%
Accumulative %
FEMALE
18
45
45
MALE
22
55
100
TOTAL
40
100
Source; primary data (2023)
Table 2 AGES OF RESPONDENTS.
Frequency
Percentage
Accumulative
no.
%
18 -25 YEARS
13
32.5%
32.5
26-30 YEARS
15
37.5%
70.0
31-40 YEARS
8
20.0%
90.0
41 -55
3
7.5%
97.5
56 - 60's
1
2.5%
100.0
%
Page 28
Total
40
100
Source: Primary data, (2023)
Figure 1 Age of respondents
Source: Primary data, (2023)
Table 2 and Figure 1 above show the age range of employees at Nile Plastics Company Limited. A researcher
discovered that the majority of employees belong to the age group of 30-36 years old. Following this are those in
the age brackets of 18-25 with 37.5% and 32.5%.
There are very few employees between the ages of 50 and over and between the ages of 40 and over, with each
at 20%. This could be because the company might be following the employment procedures of retiring those at
the lawful retirement age. In addition, it might avoid recruiting minors under 18 years old.
Table 3: Description of the Respondents by Level of Education
Page 29
EDUCATIONAL LEVELS
Frequency
Percentage
Accumulative %
No
%
DEGREE
8
20.0%
20.0
DIPLOMA
7
17.5%
27.5
UACE
12
30.0%
57.5
UCE
10
25.0%
82.5
PRIMARY
3
7.5%
100.0
Source: Primary data, (2023)
The table above shows the frequency, percent, and cumulative percent of the respondents' education level. The
findings indicate a large gap between the number of secondary and certificated employees and the number of
employees with degrees.
This could indicate a lack of qualified professionals in the company. The company needs to address this issue to
ensure the success of the organization.
In conducting this research, the company employs more averagely educated people with specialized skills. About
17.5% of the employees hold certificates in technical courses to offer technical support in the factory. About 8%
of employees hold degrees in different professions which could be a problem for the company. According to the
image, the sum of 55.0% of the respondents represented secondary and certificated employees
Page 30
Table 4; Description of the Respondents by Marital Status
MARITAL STATUS
Frequency
Percentage
Accumulative
No.
%
%
SINGLE
10
25.0%
25.0
MARRIED
24
60.0%
85.0
23
1
2.5%
87.5
DIVORCED
5
12.5%
100.0
Source: Primary data, (2023)
The data above shows that out of 100 % which represents 40 respondents, 12% had divorced, 25.0% are still
single and 60.0% are married responsible couples working in the Nile plastics industry during and after the
pandemic and the hike of fuel price. The results indicate that most adults in the Nile plastics industry are married
and stable relationships, despite the challenges posed by the pandemic and the fuel price increase. This suggests
that the individuals in this industry are resilient and committed to their relationships. This resilience is likely
because this industry provides stability and security for individuals and families, even during difficult times. It
appears that the individuals in this industry can find ways to maintain their relationships despite the obstacles
they face. For instance, the industry provides access to resources and support networks that can help individuals
and families stay connected and build resilience. Additionally, the industry also offers job security, which can be
an invaluable asset during times of economic uncertainty.
Table 5 below shows a Description of the Respondent’s experience at Nile Plastic Co.
Page 31
Frequency
Valid percentage
Accumulative percentage
experience
No.
%
%
1
2
5.0%
5.0
2
1
2.5%
7.5
3
1
2.5%
10.0
4
6
15.0%
25.0
5
6
15.0%
40.0
6
4
10.0%
50.0
7
4
10.0%
60.0
8
7
17.5%
77.5
9
3
7.5%
85.0
10
1
2.5%
87.5
11
2
5.0%
92.5
13
1
2.5%
95.0
15
1
2.5%
97.5
Years
of
Page 32
25
1
2.5%
100.0
TOTALS
40
100
100
Source: primary data (2023, nalukolongo)
Table 6. Statistics showing Employee’s Experience
N
Valid
40
Missing
0
Mean
7.03
Median
6.50
Std. Deviation
4.172
According to the results of the survey, 7.03 on average had worked for 8 years for 6– years, this suggests that the
majority of respondents had worked for between 6 and 9 years, and they are thus assumed to a sufficient
understanding of the trends of industrialization. A sizable proportion of respondents who had worked for 6 to 10
years praised them.
TABLE 7 below shows a Description of the Respondent’s on their Job Designation
EMPLOYEE TITLE
N
Page 33
%
A DRIVER
4
10.0%
CASHIER
1
2.5%
CLEANER
3
7.5%
CUSTOMER CARE SERVICE
1
2.5%
ELECTRICIAN
1
2.5%
FINANCE MANAGER
1
2.5%
GENERAL MANAGER
1
2.5%
LAWER
1
2.5%
LOADER
3
7.5%
MARKETING MANAGER
1
2.5%
MECHANICAL ENGINEER
1
2.5%
OFFICE MANAGER
1
2.5%
PRODUCTION
7
17.5%
PRODUCTION MANAGER
1
2.5%
RECEPTIONIST
1
2.5%
SALES
2
5.0%
Page 34
SECURITY MANAGER
1
2.5%
SECURITY OFFICER
7
17.5%
STOREKEEPER
1
2.5%
TRANSPORT MANAGER
1
2.5%
Sources; primary data (2023)
According to research on respondents' occupations, 22.5% of them worked as loaders, 5% as causal workers, 5
% as drivers, 7.5 % at production, 5% as receptionists, 7,5 % as cooks, 7.5% as cleaners, 17.5% as security
officers, 7.5 as auditors, 5% as accountants, 2.5% as marketers, 5% as health and safety, 2.5 % as production
supervisor and 5% as general managers. This suggests that the majority of responses were equally represented
from all sectors within the industry.
Figer 2.A histogram showing how jobs were designed at Nile Plastics during a state of high fuel price
Page 35
Source: Primary data, (2023)
The findings on the level of industrial performance using histograms on job distributions show that Jobs available
during that period were increasing (M=7.58; SD=3.012),
Causes of high fuel price
Figer 4 A pie chart showing respondents' description/ opinion based on the survey for reasons why fuel price is
high
Low
fuel
supply
1%
A pie chart showing respondent’s description/ opinion based on
survey for reasons why fuel price is high
Russian
inversion
1%
High tax rates
1%
High
demand
30%
others
67%
Page 36
Source: Primary data, (2023)
Several factors affect the price of fuel, including the cost of crude oil, refining costs, and profits, distribution and
marketing costs, and fuel taxes.
Based on the survey results from the figer4 above, external factors were found to be the primary reason for the
recent increase in fuel prices. 1% of the participants attributed the high tax rates as the leading cause, while 25%
pointed to the low oil supply from major producers
Additionally, almost 1% of respondents believed that the COVID-19 pandemic had a role to play, with 1% citing
the impact of the Ukrainian war, and roughly 30% blaming high demand.
When considering all responses, most participants agreed that the combination of low oil supply, high demand,
and the pandemic were the main driving forces behind the surge in fuel prices. While factors such as tax rates and
the Ukrainian war were also identified, they were viewed as less significant.
Unfortunately, these external factors led to an increase in fuel prices, resulting in less purchasing power for
consumers and negative effects on the economy. This includes increased fuel production costs due to higher tax
rates and decreased oil supply causing market instability and higher prices. Consequently, economic activity had
slowed, leading to lower economic growth and more financial difficulties for the population. Ultimately, this led
to a drop in consumer confidence and an overall negative impact on the country's financial state.
Table; 8 Relationship between high fuel prices and the performance of industries
PERIOD
WORKED
PRODUCTION
FOR RATE
THE COMPANY
HIGH
PRICE
COST
OF COST
DURING TRANSPORT PURCHASIN
FUEL TO
AT
WORK G
Mean
valid
40
40
40
40
missing
0
0
0
0
5.65
1.63
2,387.50
1.58
Page 37
RAW
HIGH MATERIALS
FUEL PRICE
N
OF
Median
6.00
1.00
2,500.00
.94
Mode
6
1
1,000
2.00
Std. deviation
2.082
.774
1,040.756
1
variance
4.336
.599
1083173.077
.594
Range
8
2
4000
.353
minimum
1
1
1000
-.622
maximum
9
3
5000
.733
sum
226
65
95500
2
Percentiles
9.00
3.00
5000.00
1
100
Source: primary data (2023
The findings from the frequency table above, on evaluating the performance of the organization amidst high fuel
price shows that the Production level had been increasing (M=1.63; SD=.774), cost of transport had been
increasing (M=2,387.5; SD=1,040.756), cost purchasing raw material had been too expensive since July 2020
(M=1.58; SD=1), Sales level decreased with loosened Covid-19 restrictions (M=4.28, SD= 0.697)
Industries that heavily rely on fuel are significantly affected by the rise in fuel prices, according to various
statistics. The data indicates that the increase in fuel prices resulted in a considerable decline in both profits and
production for these industries. This serves as an indicator, demonstrating how changes in one area can cause a
ripple effect in other areas. This is because fuel is a crucial input cost for many industries, such as transportation,
construction, manufacturing, hospitality, and tourism. For instance, the airline industry experienced a significant
decline in profits due to the rise in fuel prices, which led to decreased consumer consumption and increased
factory expenses, ultimately affecting the entire economy. As a result, there was a decrease in GDP growth, and
unemployment rates increased. Furthermore, individuals in the lower income brackets were primarily affected by
Page 38
the negative impact of high fuel prices, leading to a significant increase in poverty levels overall. This, in turn,
resulted in a decrease in consumer confidence and overall spending, directly impacting businesses and leading to
a decrease in investment and jobs. It is evident that the influence of high fuel prices on various industries and the
economy as a whole is substantial and cannot be overstated
Table 9 Measures of High Fuel Prices
In the study, the majority of the employees believed that the solution to high fuel prices could be found by figuring
out a way forward. According to this analysis, the percentages that are increased are 22.5% and 22.5% of
increasing hydrocarbon production and developing new technologies such as electric cars respectively. It was
reported that 17.5% of the employees proposed implementing fuel subsidies, while 20% suggested using
alternative fuel sources such as biofuels as a possible alternative. Additionally, 17.5% of those who responded to
the survey proposed raising taxes on fuel to encourage people to use it less frequently. The employees had a range
of ideas to address the issue of high fuel prices, ranging from increasing the production of hydrocarbons to
developing new technologies such as electric cars, implementing fuel subsidies, exploring alternative fuel sources
such as biofuels, and raising taxes on fuel to discourage its use to address the issue of high fuel prices. It is
believed that all of these strategies had the potential to reduce the cost of fuel, thereby making it more affordable
for consumers. This is illustrated in the table below.
FREQUENCY
VALID
ACCUMULATED
NO.
%
%
17.5%
17.5
FUEL 8
20.0%
37.5
DEVELOPING NEW TECHNOLOGIES 9
22.5%
60.0
GOVERNMENT
POLICY
SUCH
AS 7
SUBSIDIZATION OF 1% OF FUEL TAX
ALTERNATIVE
SOURCE
OF
SUCH AS SOLAR, ELECTRICITY
SUCH AS ELECTRIC CARS
Page 39
INCREASE
PRODUCTION
OF 9
22.5%
82.5
7
17.5%
100
HYDROCARBON
INCREASE SUPPLY OF FUEL
Source: Primary data, (2023)
CHAPTER FIVE:
SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSION
5.1 Introduction
The objective of this chapter provide a comprehensive overview of the findings, recommendations, and
conclusions derived from our study on the correlation between high fuel prices and organizational performance,
with Nile Plastic Company Limited as the primary subject of analysis. Our investigation revealed some
concerning issues that had repercussions for the organization. These concerns are directly associated with the
detrimental impact of increased fuel prices on organizational performance and necessitate urgent attention to be
addressed or prevented
5.2 Summary of the findings
The study successfully targeted a specific group of participants, with a total of, 40 employees at Nile Plastics
Limited, and a sample size of 40 employees were interviewed without any missing responses. More males were
interviewed at 55% than females at 45%, indicating that the factory recruits more males than females. Even so,
the company is responsive to gender, as the percentage of females working in such an environment does not
convey a negative image indicating a relatively balanced gender distribution.
Table 2 and Figure 1 above provide a detailed analysis of the age range of employees at Nile Plastics Company
Limited. According to the data, the majority of the employees (50%) are between the ages of 30-36 years old.
Additionally, 37.5% of employees are between the ages of 18-25, while 32.5% fall in the age bracket of 26-30.
Interestingly, there are very few employees (20%) aged 50 years or over, and those aged 40 years or over. This
could be due to the company's policy of adhering to the lawful retirement age, which is usually between 55-60
years old. This implies that most of the employees at Nile Plastics Company Limited are still in their prime years,
and the company was relatively comprised of a young workforce.
Page 40
The results reveal that most adults in the Nile plastics industry had stable relationships, despite the challenges
posed by the pandemic and the fuel price increase. This suggests that the individuals in this industry are not only
resilient but also driven to maintain their relationships. This resilience is likely because the industry provides
stability and security for individuals and families, even during difficult times.
It is worth noting that the company may also be avoiding hiring minors under 18 years old, as none were reported
in the data. This could be due to the nature of the company's business, which may require a certain level of
expertise and experience that underage employees do not possess.
The company's hiring practices had been observed to favor male employees, as the company believes that men
possess superior problem-solving abilities and are better suited to handle certain tasks. Furthermore, the company
holds the view that male employees bring more experience and knowledge to the team, which can facilitate the
achievement of the company's objectives. As an illustration, the company may give preference to male engineers
due to their extensive background and experience in the field of engineering
The data collection processes involved were two different methods. One group of 18 individuals completed selfadministered questionnaires, while the remaining 22 participants engaged in structured interviews. These
channels of data collection were chosen to ensure a comprehensive and well-rounded understanding of the
research topic.
The company employs more averagely educated people with specialized skills. About 17.5% of the employees
hold certificates in technical courses to offer technical support in the factory. About 8% of employees hold degrees
in different professions which could be a problem for the company. According to the image, the sum of 55.0% of
the respondents represented secondary and certificated employee
The majority of employees belong to the age group of 30-36 years old. Following these are those in the age
brackets of 18-25 with 37.5% and 32.5%.
There are very few employees between 50 and over and 40 and over, at 20%. This could be because the company
might be following the employment procedures of retiring those at the lawful retirement age It could also be due
to the lack of interest of those age groups to join the company due to the changing workplace dynamics.
Alternatively, it could be due to the lack of job opportunities available for those age groups.
The results also indicate that most adults in the Nile plastics industry employees are married and are in astable
relationships, despite the challenges posed by the pandemic and the fuel price increase. This suggests that the
individuals in this industry are resilient and committed to their relationships.
The majority of respondents had worked for between 6 and 9 years. They are thus assumed sufficient
understanding of industrialization trends. A sizable proportion of respondents who had worked for 6 to 10 years
Page 41
praised them this indicates that the respondents had been in their roles long enough to recognize the beneficial
impacts of industrialization, with a significant number expressing positive views
Industries that heavily rely on fuel are significantly affected by the rise in fuel prices, according to various
statistics. This data indicates that the increase in fuel prices resulted in a considerable decline in both profits and
production for this industry. This serves as an indicator, demonstrating how changes in one area can cause a ripple
effect in other areas. This is because fuel is a crucial input cost for many industries,
Based on the survey results, external factors were found to be the primary reason for the recent increase in fuel
prices. 1% of the participants attributed the high tax rates as the leading cause, while 25% pointed to the low oil
supply from major producers. When considering all responses, most participants agreed that the combination of
low oil supply, high demand, and the pandemic were the main driving forces behind the surge in fuel prices.
While factors such as tax rates and the Ukrainian war were also identified, they were viewed as less significant
The employees had a range of ideas to address the issue of high fuel prices, ranging from increasing the production
of hydrocarbons to developing new technologies such as electric cars, implementing fuel subsidies, exploring
alternative fuel sources such as biofuels, and raising taxes on fuel to discourage its use to address the issue of high
fuel prices. It is believed that all of these strategies had the potential to reduce the cost of fuel, thereby making it
more affordable for consumers.
5.3 Recommendations
Based on the findings of the study mentioned in Chapter Four, below are some of the recommendations the
researcher made;
One possible explanation for the industry's ability to foster stable relationships is the access to resources and
support networks that can help individuals and families stay connected and build resilience. The industry's job
security could also be a factor that contributes to the stability of relationships, as it provides a sense of financial
security during times of economic uncertainty. Additionally, the industry's commitment to responsible practices
may also contribute to the stability of relationships, as it fosters a sense of community and shared values.
The fact that results portrayed more of The company's hiring practices had been observed to favor male employees
and as the company believes that men possess superior problem-solving abilities and are better suited to handle
certain tasks than female, this contributes to a lack of diversity in the company and can lead to a lack of creativity
and innovation. It also creates an environment where female employees feel like they are not valued or respected.
This can lead to decreased job satisfaction where certain groups, such as female employees, don't feel valued or
respected can lead to a toxic workplace culture. Employees who feel marginalized or discriminated against are
Page 42
likely to experience decreased job dissatisfaction and lower morale. Such conditions can also hamper
collaboration, communication, and teamwork, further affecting overall productivity and performance.
Therefore, to address these issues, I recommend Nile Plastic Company should actively work toward fostering
diversity. Diversity in terms of gender, as well as other dimensions like race, ethnicity, age, and background,
brings together individuals with different perspectives, experiences, and problem-solving approaches. This
diversity of thought can lead to more creative and innovative solutions. When there's a homogeneous workforce,
the range of ideas and viewpoints can become limited, stifling the company's potential for growth and evolution.
By actively working on these areas, companies can create a more inclusive and diverse environment that not only
benefits employees but also leads to enhanced creativity, innovation, and overall business success.
The fact that The Company employs more on average educated people with specialized skills, about 17.5% of the
employees hold certificates in technical courses to offer technical support in the factory. About 8% of employees
hold degrees in different professions which could be a problem for the company. Therefore I recommend that the
company harness the collective potential of its workforce, turning what might initially seem like a challenge into
a competitive advantage, Embracing and leveraging the diverse skills and educational backgrounds within the
workforce to turn this mixed composition into a strategic advantage ensuring that this resulting synergy between
specialized technical skills and diverse educational perspectives drive innovation, creativity, and overall success
for the organization.
The fact that the majority of employees belong to the age group of 30-36 years old Following these are those in
the age brackets of 18-25 with 37.5% and 32.5%, these indicate a specific demographic composition within the
company's workforce which can bring infuse fresh perspectives, technological savings, and adaptability to
changes in the business landscape, a combination of experience and energy to the workplace. They might be of a
solid understanding of the industry, company processes, and established relationships, which can contribute to
stability and continuity. Additionally, they could potentially be at a stage where they are looking for growth
opportunities and increased responsibilities
Therefore, I recommend that the company should Leverage the strengths of each age group and foster an inclusive
environment that can lead to enhanced creativity, collaboration, and business success through Knowledge
Sharing: Encourage knowledge sharing between different age groups. Employees with more experience can
mentor younger colleagues, while younger employees can offer insights into emerging trends and technologies
through the following ways
a) Through Cross-Generational Collaboration, fostering a work environment that encourages collaboration and
open communication across different age groups This can lead to well-rounded decision-making and better
problem-solving.
Page 43
b) Professional Development: Providing development opportunities for employees of all age groups. Tailor
training and advancement programs to meet the needs of both early-career professionals and those seeking
continued growth.
c) Mentorship Programs: Establishing formal mentorship programs that pair employees from different age
brackets. This can facilitate skills transfer, career guidance, and relationship-building.
d) Succession Planning: With the majority of employees in the 30-36 age groups, consider succession planning
to ensure a smooth transition of leadership roles as they progress in their careers.
e) Innovation Initiatives: Encouraging cross-functional teams with members from different age groups to work
on innovative projects. This diversity can lead to innovative solutions that cater to a broader audience.
f) Flexibility and Inclusivity: Recognizing that different age groups might be of work preferences and needs.
Offer flexible work arrangements and policies that accommodate diverse lifestyles.
g) Recognition and Rewards: Implement recognition programs that celebrate the contributions of employees from
all age groups. This can enhance engagement and motivation.
In this context, I recommend that understanding the complex interplay of supply, demand, economic conditions,
geopolitical factors, and other influences is crucial for accurately assessing and predicting fuel price trends.
Respondents' acknowledgment of these factors reflected a comprehensive awareness of the multifaceted nature
of high fuel price dynamics.
Combining these factors created a perfect storm for fuel price increases. Geopolitical events and supply
disruptions often lead to reduced oil supply, while periods of economic growth and recovery can drive up demand.
The pandemic introduced an unprecedented element, causing a temporary collapse in demand followed by a
potential rebound as societies reopen.
It's worth noting that these factors don't operate in isolation; they interact and amplify each other's effects. For
example, geopolitical tensions can exacerbate supply issues, while a rapid economic recovery after a pandemicinduced slowdown can intensify demand pressures.
The fact that most industries including Nile Plastic Limited heavily rely on fuel and are significantly affected by
the rise in fuel prices, according to these statistics, indicates that the increase in fuel prices resulted in a
considerable decline in both profits and production for this industry emphasizing the importance of forwardthinking strategies and a deep understanding of economic interdependencies catalyzing for industries to embrace
resilience, adaptability, and a proactive mindset. By doing so, they contributed not only to their growth but also
to the broader health and strength of the economy as a whole.
I finally appeal to all manufacturing industries they can employ various strategies to maintain strong performance
and mitigate the negative impact on their operations and profitability and these include
Page 44
 Efficiency Improvements: Implementing measures to enhance operational efficiency can significantly
reduce fuel consumption. This might involve optimizing production processes, streamlining supply
chains, and adopting energy-efficient technologies.
 Alternative Energy Sources: Exploring and adopting alternative energy sources can help industries reduce
their reliance on traditional fossil fuels. Transitioning to renewable energy sources like solar, wind, or
hydroelectric power can lower energy costs and decrease exposure to fuel price fluctuations.
 Supply Chain Optimization: A well-optimized supply chain can minimize transportation distances and
improve logistics, thereby reducing fuel consumption. This might involve re-evaluating suppliers,
choosing more strategic distribution centers, and implementing just-in-time inventory management.
 Investment in Technology: Industries can invest in research and development to create more fuel-efficient
machinery, vehicles, and equipment. The use of advanced technologies, such as data analytics and
automation, can help optimize fuel consumption and improve overall productivity.
 Price Hedging: Some industries can opt to hedge against fuel price volatility by locking in fuel prices
through financial instruments. This can provide a degree of predictability in fuel costs and help mitigate
potential losses.
 Diversification and Innovation: Industries can diversify their product or service offerings to reduce
dependence on fuel-sensitive segments. Innovation in product design, new markets, or value-added
services can create new revenue streams that are less affected by fuel price fluctuations.
 Long-Term Contracts: Establishing long-term contracts with fuel suppliers can provide stability in pricing,
shielding industries from short-term fuel price spikes.
 Government Incentives and Support: Governments often offer incentives, subsidies, or tax breaks for
industries adopting energy-efficient practices or transitioning to renewable energy sources. Taking
advantage of such programs can help offset increased fuel costs.
Employee Training and Awareness: Educating employees about the importance of energy conservation and fuel
efficiency can lead to better practices and a culture of cost-consciousness.
Flexible Pricing Strategies: Industries might explore flexible pricing models that allow them to adjust prices
based on changing fuel costs. This can help align revenue with variable costs.
Collaborative Partnerships: Forming partnerships or consortiums with other companies in the industry can lead
to collective efforts to address common challenges, such as rising fuel costs.
Sustainable Practices: Embracing sustainability not only reduces environmental impact but also often leads to
cost savings. Industries can adopt practices like recycling, waste reduction, and eco-friendly packaging, which
can indirectly lower operational costs
Page 45
5.4 Conclusion
In conclusion, the study on the impact of high fuel prices on the performance of organizations, with a specific
focus on the case of Nile Plastics Company Limited in Uganda, highlights the intricate relationship between fuel
costs and organizational outcomes. The findings shed light on various aspects that contribute to the performance
of the organization amidst the challenges posed by rising fuel prices.
Throughout the research, it became evident that the interplay of factors such as low oil supply, high demand, and
the disruptive influence of the pandemic significantly affect fuel prices. These fluctuations in fuel costs had direct
implications for organizational performance, affecting profitability, operational efficiency, and overall
competitiveness.
Nile Plastics Company Limited serves as a representative case study, reflecting the broader challenges faced by
industries reliant on fuel in Uganda and beyond. The company's experience underscores the importance of
proactive planning, adaptation, and a comprehensive understanding of the broader economic implications of fuel
price fluctuations. Through efficient supply chain management, the adoption of innovative technologies, and a
commitment to sustainable practices, the company managed to navigate the impact of high fuel prices and sustain
its operational excellence.
However, the study also identifies areas for further exploration. Research into supply chain resilience, consumer
behavior shifts, policy responses, risk management strategies, and organizational adaptation can provide valuable
insights that not only benefit Nile Plastics Company Limited but also contribute to the broader understanding of
how businesses can effectively respond to the challenges posed by fluctuating fuel prices.
Throughout the research, it became evident that high fuel prices can significantly influence the operational and
financial aspects of organizations. The case study of Nile Plastics Company Limited highlights several key
takeaways:
1. Operational Efficiency and Cost Management: The Company’s ability to optimize its operational processes
and manage costs was paramount in mitigating the impact of high fuel prices. Initiatives such as route
optimization, adopting energy-efficient machinery, and streamlining production processes proved instrumental in
maintaining performance levels.
2. Supply Chain Resilience: Nile Plastics Company Limited demonstrated the significance of a resilient supply
chain. By diversifying suppliers and establishing contingency plans, the company was able to better navigate
supply disruptions caused by fuel-related challenges.
Page 46
3. Innovation and Adaptation: The case study showcased the company's proactive approach to innovation. By
investing in research and development of alternative materials and energy sources, the company not only
improved its sustainability but also reduced its vulnerability to fuel price fluctuations.
4. Collaboration and Stakeholder Engagement: Engaging with stakeholders, including suppliers, customers, and
regulators, proved crucial. Nile Plastics Company Limited's efforts to collaborate and align with the goals of
sustainable energy practices and regulatory changes positively influenced its performance during times of high
fuel prices.
5. Long-Term Planning and Policy Alignment: The company's strategic planning horizon extended beyond shortterm fluctuations. By aligning its long-term goals with evolving energy and environmental policies, the
organization demonstrated its commitment to resilience and adaptability.
This case study offers valuable insights into the multifaceted nature of the relationship between high fuel prices
and organizational performance. It highlights the importance of a holistic approach that encompasses operational
efficiency, supply chain resilience, innovation, stakeholder engagement, and alignment with policy changes. As
businesses globally continue to grapple with energy-related challenges, the lessons drawn from the Nile Plastics
Company Limited case can serve as a roadmap for organizations seeking to thrive in an ever-changing energy
landscape.
By embracing innovative solutions, aligning with sustainable practices, and continually reassessing strategies,
organizations can position themselves to thrive despite the complexities of the global energy market. As industries
continue to navigate these complexities, the lessons learned from this study contribute to shaping a more resilient
and dynamic economy, prepared to overcome obstacles and seize opportunities in an ever-changing world
5.5Areas for further research
First of all, there is a need to investigate how organizations can enhance the resilience of their supply chains in
the face of high fuel prices. This could include exploring strategies for optimizing transportation routes,
minimizing fuel consumption, and diversifying suppliers to mitigate the impact of fuel cost fluctuations on the
overall supply chain.
Secondly, there is a need to examine the role of technology adoption and innovation in mitigating the effects of
high fuel prices. Analyze how organizations that invest in energy-efficient technologies, alternative fuels, and
automation can improve operational efficiency and maintain performance despite rising fuel costs.
Examine how high fuel prices influence consumer behavior and spending patterns. Research how changes in fuel
costs affect consumer demand for various goods and services, and how organizations can adapt their marketing
strategies to address shifts in consumer preferences.
Page 47
Investigate how government policies and regulations aimed at addressing climate change, energy sustainability,
and fuel efficiency impact the performance of organizations during periods of high fuel prices. Explore how
organizations can align with and leverage these policies to enhance their competitiveness.
Finally, there is a need to investigate and explore risk management strategies that organizations can adopt to
navigate the uncertainty of fuel price fluctuations. This could involve analyzing the effectiveness of various
hedging mechanisms, insurance products, and financial instruments in mitigating the financial impact of volatile
fuel prices.
REFERENCES
1. Jungbluth, E. (2017). Is the Value of the US Dollar Driving Oil Prices?
2. Justin Damien Guénette, Philip Kenworthy, and Collette Wheeler. (2022, APRIL 1). Implications of the War
in Ukraine for the Global Economy. EQUITABLE GROWTH, FINANCE, AND INSTITUTIONS POLICY
NOTE, p. 31.
Helen Onyeaka, C. K.-S.-G. (2021). COVID-19 pandemic: A review of the global lockdown and its far-reaching
effects. SCIENCE PROGRESS, 104(2), 18.
Herman, V. C. (2023, JUNE). EU-RUSSIA RELATIONS. Fact Sheets on the European Union, 8.
Jungbluth, E. (2017). Is the Value of the US Dollar Driving Oil Prices?
Justin Damien Guénette, Philip Kenworthy, and Collette Wheeler. (2022, APRIL 1). Implications of the War in
Ukraine for the Global Economy. EQUITABLE GROWTH, FINANCE, AND INSTITUTIONS POLICY NOTE,
p. 31.
Manager, A. J. (September 6, 2023). ABC Inventory Analysis & Management.
Ministry of Finance, p. a. (September 2021- Uganda). Uganda's Green Recovery Action Plan. Kampala: Luwaga
Gyaviira and Magoo Majid (Communication Consultants).
Monitor Reporter. ( 2023, SEPTEMBER 04). Govt monitoring fuel prices.
PEERSMAN, S. D. (2015, JULY). THE U.S. DOLLAR EXCHANGE RATE AND DEMAND FOR U.S. THE
ENERGY JOURNAL, 36, 23.
PETER NGALE. (OCTOBER 27, 2020). The oil market outlook: Lasting scars from the pandemic.
QAYUM, Y. T. (Ed.). (2016, MARCH). Global oil glut and sanctions: The impact on Putin’s Russia. THE
ENERGY POLICY, 90, 140-151.
Page 48
1. Ministry of Finance, p. a. (September 2021- Uganda). Uganda's Green Recovery Action Plan. Kampala:
Luwaga Gyaviira and Magoo Majid (Communication Consultants).
2. Dickinger, A. (2019). Lecture and notes on Social Media Marketing. Modul University Vienna, 17th June.
3. Ernst, H., Hoyer, W. and Rübsaamen, C. (2018). Sales, marketing, and research-and-development cooperation
across new product development stages: Implications for success. Journal of Marketing, 74(5), 80-92.
4. Gibbs, P., & Kraemer, H., (2018) Social media marketing industry report: how marketers are using social media
to grow their businesses" Journal of Business Management, Vol. 28 No. 8, pp. 56‐72
5. Gössling, S.; Scott, D.; Hall, C.M. (2020) Pandemics, tourism and global change: A rapid assessment of
COVID-19. J. Sustain. Tour. 2020, 1–20.
6. GoU, (2021) Ministry of energy and mineral development; Petroleum supply department
7. Gravlee, C.C., Kennedy, D.P., Godoy,R.,&Leonard,W.R.(2009).Methods for collecting panel data: What does
cultural anthropology learn from other disciplines?Journal of Anthropological Research, 65(3), 453-483.
APPENDIX A: QUESTIONAIRE
Dear Sir, Madam;
I am Ambrose Okello, a student at Uganda Christian University doing my research on Investigating the Impact
of High fuel prices on an organization's performance. Participation in this survey is voluntary and no individual
data has been disclosed. If you are unsure or do not know the answer, leave the answer blank. All information
obtained for this purpose had to be strictly confidential and had to be used for academic purposes only. Your
cooperation in this regard is appreciated.
Section A
Please this question is about demographic data read the questions and answer them by ticking the correct
alternative or writing the appropriate answer in the space provided
1. Gender
a) Male: b) Female:
2. Which of the following age groups do you fall into?
a. 18-24
b. 25-34
Page 49
c. 35-44
d. 45-49
e. 50-54
f. 55-64
g. 65 or older
3. Level of studies
a) UCE
b) UACE
c) Diploma:
d) Post-Graduate diploma
e) Bachelor’s degree:
f) Master’s degree:
4. Marital status
a) Married:
b) Single:
c) separated:
5. The job designation of the respondents,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,?
6. I had worked for this organization for a period of ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,
SECTION B
Causes of high fuel price.
This section is designed to help you describe your views on the causes of high fuel prices in your company as you
perceive them. Please respond to the items below by circling the box that best corresponds to your perception.
Assess how often each statement fits you. Use the following rating scale
7. If you believe fuel prices are too high in your area, what are the reasons for high prices?
a. Greedy oil companies
b. Too many taxes on
c. Oil-producing companies set high prices
d. Laws of supply and demand
e. Ugandans use too much fuel
Page 50
f. Prices always go up in the dry season
SECTION D SECTION C
Relationship between high fuel prices and the performance of industries
Please respond to the items below by circling the number that best corresponds to your perception. Assess how
often each statement fits you. Use the following rating scale
1
2
3
4
5
Not at all Once in a while Sometimes Fairly Often Frequently, if not always
8. Level of sales performance in Your Industry
1
2
3
4
5
1
2
3
4
5
The level of sales at Nile Plastics been increasing
The level of sales in the Nile plastic industry is
declining.
production rate in the Nile plastic industry been
declining since February 2022
The level of output in the Nile plastic industry
increased after the Ukrainian conflicts
WHAT IS THE LEVEL OF PRODUCTION
DURING HIGH FUEL PRICE AND COVID 19
LOCKDOWN.
The Level of Production During High
Fuel Price and Covid-19 Lockdown. been
increasing
The level of output return is declining.
The Level of Production During High Fuel Price
and Lockdown. Had been declining since March
2022
Page 51
The Level Of Organization Performance Had
Been Increased After The War
MEASURES TO HIGH FUEL PRICES
This section requires you to give your opinion as it had been of great importance to policymakers to influence
high fuel prices which is an obstacle to the performance of your organization.
10. Should the government subsidies fuel prices by removing a 1% tax imposed on imported fuel products?
A. Yes
B. No
11. Our company had alternative sources of energy for production. Please tick the most used sources of energy
available in your company
a) Solar energy
b) Electricity
c) Fuel energy
d) Biofuels
12. Please give us three (3) ways you think your company can reduce the impact of high fuel prices from affecting
their business returns
1……………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………
………………………………………………………………………
2……………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………
………………………………………………………………………
3……………………………………………………………………………………………………………………
………………………………………………………………………………………………………………………
………………………………………………………………………
THE END
Page 52
Thank you so much for the time to share with me those beautiful moments of discussion, be blessed.
THANK YOU FOR YOUR TIME
APPENDIX B
UNIVERSITY INTRODUCTION LETTER
.
Page 53