Strategic Responses To Changes In The External Environment Of Mombasa Island Cargo Terminal Limited
Abstract
Organizations are dependent on their external environment for their survival and
existence. Organizations affect or are affected by what happens in the external
environment which is beyond the control of the organization. Changes in the external
environment creates pressure for change in organization and this means they have to
respond to changes for their survival. The CFS industry has been under a lot of pressure
since the launch of the Standard Gauge Railway in October 2016. Additionally, the
various government directives that have been issued on several occasions have troubled
CFSs and the industry has to deal with perceptible changing regulations. The study
sought to determine the strategic responses to changes in the external environment of
Mombasa Island Cargo Terminal, Kenya. This research adopted a qualitative analysis
on the strategic responses to environmental changes at MICT, Kenya. The respondents
composed of the top management of MICT mainly the General Manager, Operations
Manager, Finance Manager and Marketing Manager. An interview guide was used to
gather primary data from the management of MICT. Data collected was then analyzed
through content analysis and findings were presented in form of brief discussions on
the changes in the external environment and the strategic responses used. It was clear
that MICT faces challenges in the external environment that range from political,
economic, legal and technological factors. It was deduced that MICT was pursuing
some strategies to cope with the changing environment. This includes product
differentiation, marketing, product diversification, downsizing and cost control. The
study therefore concluded that challenges posed by the turbulent external environment
have led MICT to come up with strategic plan in order to cope. The limitations
encountered in the study include challenges of sharing detailed information, time
constraint and scale of research. The study suggests further research to be carried out
to determine strategic responses by other container freight stations companies in Kenya
and determine factors that influence adoption of strategic responses by organizations to
changes in the external environment.
Publisher
UoN
Rights
Attribution-NonCommercial-NoDerivs 3.0 United StatesUsage Rights
http://creativecommons.org/licenses/by-nc-nd/3.0/us/Collections
- School of Business [1556]
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