dc.description.abstract | The relationship between the environment and strategy is at the center of management research because of its performance implications to organizations. Liberalization of cooperative sub-sector led to increased competition from other players in the financial sector. However, changes in the external environment have not been examined in the context of Chai SACCO which is one of the players in the cooperative sub-sector. Case study was used to equip the researcher with the detailed information because drills down rather than cast wide (Kothari, 1990). The study sought to establish the changes from the external environment that have impacted on Chai SACCO, strategic responses adopted and the challenges faced thereof. Data was collected through interview with seruor management of Chai SACCO and analyzed through content analysis.
The findings from the data analysis established that Political, Economic, Social cultural, Technological, Economic, Legal and Competition affected the Society's performance. However, despite the pressure from the external environment, Chai SACCO continued to maintain its dominance performance. The Society responded to the changes by adopting appropriate strategies in order to position itself in the market place, caution against negating forces and take advantage of any opportunities. In the process the society is restrained by various challenges such as limited resources. The study recommends that the Chai SACCO further adopt growth strategies through horizontal integration and vertical integration. This would be significant in addressing some of the challenges faced by the Society. | en_US |