dc.description.abstract | Africa at independence in the 1960s and 1970s was a fragmented continent with enclave
economies (many small states) geared towards export of mainly primary commodities; this was
to stir a desire for rapid industrialization through manufacturing. Industrialization was perceived
as the vehicle towards attaining high income elasticity.1
The study sought to interrogate the influence of export-led strategy in Kenya’s industrial
development. Specifically, the study intended: To determine how value addition has contributed
to Kenya’s Industrial development to evaluate export incentive schemes and their contribution to
Kenya’s industrial development; to explore institutional export support networks and their
contribution to Kenya’s industrial development. The study was guided by the following
hypotheses: General hypothesis: Export-led strategy has positively influenced Kenya’s industrial
development. Specifically; There is a positive relationship between enhancement of
competitiveness of products through value addition by manufacturing industries and Kenya’s
industrial development. There is a positive relationship between government initiation of export
schemes and increased Kenya’s industrial input. There is a positive relationship between
strengthening of export support networks by the government and increased the share of industry
in economic development.
This study was carried out through contacts with government officials, industrial estate owners
and workers. Both primary data and secondary data were collected. A purposive sampling
technique was used to sample respondents from institutions while a simple random sampling
technique was used to sample respondents from industrial firms. Modernization theory formed
the philosophical foundation for understanding the influence of export-led strategy in Kenya’s
industrial development.
The study found out that despite the fact that the government of Kenya has introduced incentive
schemes to promote export-led industrialization, most of these schemes are not being effectively
utilized by industrial firms, thus their role in Kenya’s industrialization has been subtle. The study
also found out that most industrial firms are involved in low value added products which
involves basic or rudimentary technology. The resultant effect is that products fetch low returns
in the international market thus stifling industrial progress. The study recommends effective
implementation of these policies. | en_US |