Abstract
Logistics outsourcing has been accepted as a strategy through which small and
medium-sized enterprises (SMEs) can access the logistics capabilities they lack internally at a
lower cost. However, the actual effect of logistics outsourcing on firm performance, especially
among the SMEs in Nairobi, remains unknown.
Aim: The study aimed to investigate the relationship between logistics outsourcing and firm
performance of manufacturing SMEs in Nairobi.
Setting: The study sampled manufacturing SMEs in Nairobi City County.
Method: In this study, a convergent parallel mixed methods design was applied. Survey data
were collected from 163 manufacturing SMEs. The data were analysed using structural
equation modelling to test the relationship between logistics outsourcing and firm performance.
Additionally, in-depth interviews were conducted in five manufacturing SMEs. Thematic
analysis was used to analyse interview data to provide more insight in the quantitative data...