| dc.description.abstract | Competitive strategies which enable a firm to survive in a fierce competitive business
environment and emerge stronger are the most valuable assets possessed by
businesses as sources to competitive success are usually hard to determine and
imitate. Precisely, sustainable competitive advantage emanates from unique core
competencies developed within an organization. Firms wishing to maintain their
competitive position or emulate industry leaders need to clearly understand the
concept of core competence and how it influences choice of competitive strategies
among businesses. Equity Bank has grown rapidly over the past ten years to become
the second most profitable in the country. In addition, it has the largest customer base
in East Africa and has attracted both local and international recognition on poverty
reduction by extending financial and non-financial services to the low income
segment and the unbanked population. This prompted the researcher to carry out a
study to establish the influence of core competencies on choice of competitive
strategies at Equity Bank. This research project conducted between April and
November, 2013 answered the following research question, what is the influence of
core competencies on the choice of competitive strategies at Equity Bank? The study
reviewed literature on concept of strategy, core competence, choice of competitive
strategies, and core competencies and choice of competitive strategies. The study was
demonstrated on a case study research design and data was collected through personal
interview method as guided by an in-depth structured interview guide. The data was
analysed using content analysis technique and inferences made based on reliability,
sufficiency and consistency of the data. The study findings revealed that core
competencies provide very important skills and techniques in building
competitiveness and choice of competitive strategies. In addition, core competencies
play an important role in the planning, developing, implementing and evaluating
strategic competitive policies that result in a competitive advantage. Based on the
findings, it was recommended that policy makers should give special consideration to
financial institutions that serve the low-income segment. Also, Equity bank managers
need to understand, develop and exploit the firm’s core competencies in choosing
competitive strategies as well as make them an integral part of their responsibility.
Moreover, future researchers should develop models which can assist banks to gain
competitive advantages using core competencies. Therefore, the study sets a
foundation for more focused research into the importance of core competencies in
developing a competitive advantage especially in the banking sector. | |
