Competitive strategies adopted by the Kenya Commercial Bank in response to challenges in the external environment
The financial services sector in Kenya has changed significantly over the last several years. These changes in the external environment have had a far reaching impact on the Banking sector. In addition, the competitive landscape has changed with several players such as non financial institutions offering substitute services traditionally provided by banks. Despite the challenges and changes in the environment facing the banking sector, KCB the largest bank in terms of branch network and asset base continues to be one of the affordable companies in the sector and to operate Profitably. This is an indication that the bank has employed effective strategies to Counter the increasingly complex challenges. The study looked at the host of external factors that have influenced the bank's choice of direction and action as well as the strategies adopted to tackle the very factors. The study used a case study design since a case study places more emphasis on the full analysis of a limited number of events or conditions and their interrelations (Kothari, 2004). The scope of the study was limited to identifying the competitive strategies that Kenya Commercial Bank has adopted in the last 5 years in response to challenges in the external environment. Data was analyzed Using content analysis, From the data collected and analyzed, the study identified the various challenges facing the bank. The study also identified the key strategies that the bank has adopted to tackle the challenges faced, The study also came up with recommendations on how to tackle other challenges and also recommended areas for future studies. Key Words: Competitive Strategies, Kenya Commercial Bank Response Challenges, External Environment.