Strategic responses adopted by Airtel Kenya to competition
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Date
2011Author
Njaramba, Bernard W
Type
ThesisLanguage
enMetadata
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Strategic response is a reaction to what is happening in the economic environment of
organizations. Porter (1998) views operational responses as part of a planning process
that coordinates operational goals with those of the larger organization. With the
increasing competition that companies are facing today, rewards will accrue to those who
can read precisely what consumers want by continuously scanning the environment and
delivering the greatest value to customers with the view that as the operating environment
changes, a more pronounced transformation of the business landscape lies ahead. Since
the turn of the millennium, the general business environment has become more volatile,
unpredictable and very competitive. Coping with the increasingly competitive
environment has called on firms to rethink their marketing strategies.
The study sought to establish the strategic responses adopted by Airtel Kenya to
competition. This was a case study. The researcher used both primary and secondary
data. Primary data was collected using in depth interview guide while secondary data was
collected by use of desk search techniques from published reports and other documents.
The interviewees of this study were the heads of departments. A content analysis was
employed.
From the study findings, the researcher concludes that the main challenges faced by
Airtel due to competition are price wars in the telecommunication industry especially
from the main player Safaricom. The study further concludes that the strategic response
integration processes are mainly technology based and the company’s preparedness
compare with other companies within the telecommunication industry that the company
is better prepared of any eventuality. The study also deduced that line managers
implements the strategic responses within the department which are reviewed or amended
on a monthly basis. The study recommends that Airtel should engage in more cost
reduction as a response to its competitors’ strategies. Besides providing its services and
products at lower cost (cost advantage), Airtel should deliver benefits that exceed those
of competing products (differentiation advantage) to gain a competitive advantage over
other firms.
Citation
MBA Thesis 2011Sponsorhip
University of NairobiPublisher
School of Business, University of Nairobi
Description
Master Thesis