Influence of turn around strategies on the performance of Kenol Kobil Kenya Limited.
Organizations have to align themselves well to cope with the ever changing business environment. Every organization depends on the strategies put in place and its operating environment for its survival and prosperity. Today’s business environment is dynamic, complex and highly competitive. Thus, every organization encounters numerous changes during its operations and needs to adapt its strategies in response to these changes. This study sought to identify the influence of turnaround strategies employed by Kenol Kobil on its overall performance. Data collection was done through a case study approach that sought to elicit general and specific information on general changes in business operating environment and how the company has responded to the changes. Data analysis method applied for this case study was content analysis. This enabled focus on issues that bring out the theme of changes in the industry and how organization strategically responds to these changes. Research findings from the study indicate that the biggest threat to the future survival and profitability of Kenol Kobil is government regulation on fuel prices. The second threat is expansion strategy by rival oil marketers. This study has confirmed that Kenol Kobil has put in place strategies to position itself ahead of the competition. Since the biggest threat to KenolKobil is regulation of fuel prices, the company has embarked on a regional expansion strategy to become a Pan-African oil marketer. In view of the findings, the study recommends Kenol Kobil together with other oil marketers to lobby the government to remove fuel price controls to allow free market dynamics and industry self-regulation. Equally, important is to get a strategic partner to inject capital for the regional expansion strategy, and/or issue corporate bond to finance the expansion strategy. Since the study was on one oil marketer, data gathered might differ from data that may be collected from other oil marketers. This is because different organizations even if operating in the same industry adopt different strategies even for a similar change in the business environment. The study also faced a number of challenges. Two main ones were time and financial constraints.