Strategic Agility and Performance of Small and Medium Enterprises in Nairobi Central Business District, Kenya.
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Date
2017Author
Haggai, Kiprotich K
Type
ThesisLanguage
enMetadata
Show full item recordAbstract
Globalization has transformed the nature of the competitive platform of in most of the industries
progressing from sluggish moving, steady oligopolies to hypercompetitive surroundings. The
objective of this study was to determine the relationship between strategic agility and
performance of small and medium enterprises in Nairobi Central Business District, Kenya. The
study was anchored on the contingency theory, dynamic capability theory and resource based
Theory. The study employed a descriptive research design. The researcher used of purposive
sampling to achieve high response rates and to enhance sample representation of the population.
Stratified random sampling was then used to sample 86 out of 420 SMEs entrepreneurs dealing
with consultancy and service industry while 112 sample out of 530 SMEs entrepreneurs dealing
with product and goods industry. The data collection instruments comprised of both unstructured
and structured questions A Likert-type scale format was used for the structured items. Data was
analyzed using descriptive statistics with the assistance of Statistical Package for Social Sciences
version 22. The study revealed that human capital had the greatest effect on the on the
performance of small and medium enterprises in Kenya; followed by management commitment
and support, discontinuous innovation and organization structure in order of reducing effect. All
the variables were significant (p<0.05). The study concludes that organization structure affects
performance of small and medium enterprises firms in Kenya mainly through business units,
coordination between departments, hierarchical arrangement of lines of authority and functional
coordination. The study also concludes that discontinuous innovations such as experimentation
with new ideas and exploration of new paradigms affect performance of small and medium
enterprises in Kenya. The study recommends that the management of small and medium
enterprises should put in place cost-effective measures for timely risk identification and effective
risk mitigation so as to ensure that their financial performance is not impacted negatively.
Publisher
University of Nairobi
Rights
Attribution-NonCommercial-NoDerivs 3.0 United StatesUsage Rights
http://creativecommons.org/licenses/by-nc-nd/3.0/us/Collections
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