ANALYSIS OF THE EFFECT OF BLOCK OWNERSHIP ON PERFORMANCE OF LISTED COMMERCIAL BANKS IN NAIROBI COUNTY, KENYA
Abstract
This study examined the effect of block ownership on organisational performance of listed commercial banks in Kenya. The study used descriptive cross-sectional survey. The study targeted 11 commercial banks in Kenya which are listed in the NSE. The total population that was being studied was a total of 283 staff at managerial level employed at headquarters of commercial banks in Kenya. The unit of observation was 164 respondents selected using Fisher, Laing and Stoeckel formula. Each member of the selected sample was issued with a questionnaire by the researcher. Descriptive statistics were used in analysing quantitative data by use of SPSS and presentations were done using standard deviations, percentages, frequencies and frequencies means. Qualitative data was tested using content analysis. Correlation analysis was conducted to establish the degree of association between the predictor and the response variables. Multiple regressions were then done to establish the influence of block ownership on organisational performance of listed commercial banks in Kenya. The study established that “block ownership’, had significant effect on organisational performance of listed commercial banks in Kenya. The study concluded that there was statistically significant relationship between block ownership and organisational performance. Therefore it is important that organizations incorporate block ownership in their firms since block holders are essential in ensuring so as to safeguard the organizational performance.
Key words: Block Ownership and Performance of Banks
CITATION: Mirugi, T., & Kinyua, G. M. (2018). Analysis of the effect of block ownership on performance of listed commercial banks in Nairobi County, Kenya. The Strategic Journal of Business & Change Management, 5(4), 2180 - 2188.
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DOI: http://dx.doi.org/10.61426/sjbcm.v5i4.1018
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