Strategic Buyer-Supplier Relationships and Adoption of Digital Last-Mile Delivery Platforms: A Case of Twiga Foods Kenya

Abstract

The rapid growth of digital technologies has reshaped supply chains, with last-mile delivery platforms emerging as key drivers of efficiency and competitiveness. Yet, adoption within Kenya’s Agri-tech sector remains inconsistent, limiting digital transformation. This study examined the influence of strategic buyer–supplier relationships on the adoption of digital last-mile delivery platforms, using Twiga Foods as a case study. Guided by Relational Exchange, Technology Adoption, and Social Capital theories, a descriptive research design targeted 132 vendors, with data collected through structured questionnaires and analyzed using SPSS (descriptive statistics, reliability tests, correlation, and multiple regression). The results showed that trust recorded the highest mean score (M = 3.76, SD = 0.60), reflecting strong vendor confidence in Twiga’s honesty and reliability, while joint decision-making was rated lowest (M = 2.45, SD = 0.61), showing limited vendor involvement in strategic choices. Trust and joint decision-making had a significant positive effect on adoption, while commitment and communication, although positive, were not statistically significant. The regulatory environment also showed no moderating effect, indicating that adoption decisions were driven primarily by internal relational dynamics. The regression model explained 38.2% of the variance, underscoring the central role of trust, collaboration, and social capital in vendor adoption. The study recommends strengthening trust, enhancing participatory decision-making, building vendor capacity, and shifting toward interactive communication. Future research should extend to other Agri-tech firms in Kenya and Sub-Saharan Africa, with longitudinal and qualitative approaches to capture evolving dynamics. Overall, the study contributes to theory and practice by demonstrating that relational strategies and social capital, rather than regulatory frameworks, are pivotal to digital platform adoption in emerging market agri-food supply chains.