Competitive strategies adopted by Barclays bank of Kenya ltd in response to competition from micro-finance institutions
When operating in a turbulent environment firms usually have difficulty in coming up with the appropriate strategy that will ensure success in their entry mode and operations. Barclay Bank Limited is facing fierce competition from other Commercial banks as well as microfinance institution. In order to survive and remain profitable in the Banking industry, it becomes necessary for Barclays Bank of Kenya to be aggressive in their search and development of strategies that provide competitive advantage as they step up defensive strategies to protect their competitive advantages held. Barclays Banks of Kenya has deployed various competitive strategies, which are fundamental function for it operation (BBKL, 2014). Empirical studies reveal that firms in different industries adopt different competitive strategies which are unique in each context. The study sought to investigate competitive strategies adopted by Barclays Bank of Kenya in response to competition from microfinance institutions. A case study research design was adopted. The study employed face to face interview as a primary data collection method. Content analysis was used to analyse the respondents’ views about competitive strategies adopted by Barclays Bank of Kenya Limited in response to competition from microfinance institutions.The study concluded that Barclays Bank of Kenya Limited has been able to overcome competition from microfinance institutions by maintaining a low-cost leadership strategy, low-cost manufacturing and a workforce committed to the low-cost strategy. The study revealed that Barclays Bank of Kenya Limited has introduced different varieties of the services, in response to competition from microfinance institutions. The study revealed that Barclays Bank of Kenya Limited has been able to overcome competition from microfinance institutions by advancing to new geographical markets countrywide. This has enabled the Barclays Bank of Kenya Limited to maintain a wide customer outreach. The study recommends that commercial banks in Kenya should aim at achieving above-average returns over competitors through monitoring the costs of activities provided and maintaining low charges on services offered. The study recommends that commercial banks in Kenya should incorporate new technology in the industry so as to ensure that they improve on quality and efficiency in service delivery.