INTERNAL GROWTH STRATEGIES AND PERFORMANCE OF KENYA PRISONS ENTERPRISE

Abstract

Recently, much attention has been paid to internal development plans and organizational success. The focus is on business development, product development, market entry and diversification strategies as a lineage for the organization's internal growth, in response to growing interest in both the local and global market. Previous studies have confirmed simple direct links that are not integrated with other contextual features of the market, as supported by several theoretical arguments in favor of such links. If implemented properly, these strategies can contribute to a company's sustainable competitive advantage. This study examined the effect of internal growth strategies on the performance of the Kenya prison enterprise at the Shimo La Tewa Prison. A particular focus was to determine the impact of market development, product development, market entry, and diversification on performance. The research variables were anchored on resource-based view theory. A cross-sectional descriptive analysis design guided the investigation. Prison officers at the management and artisan levels were randomly recruited using stratified sampling as the target population. Primary data was collected using structured questionnaires. Data analysis was conducted using descriptive and inferential statistics. Market development strategies (β=0.349, p=0.000), market penetration strategies (β=0.183, p=0.009), diversification strategies (β=0.157, p=0.010), and product development strategies (β=0.325, p=0.000) were found to have a positive and significant relationship with the performance of Kenya Prisons enterprise. From the findings, the study concluded that market development strategies, product development strategies, market penetration strategies and diversification strategies have a positive and significant influence on the performance of Kenya Prisons enterprise. The study recommended that firms should emphasize on internal growth tactics such as product and market advancements in bid to ensure that their internal capabilities drive their competitiveness through the roof. In extension, methods involving diversification has been acknowledged by other scholars to induce an element of spreading risks. Therefore, firms could leverage the idea and mitigate short- and long-term risks via product and market diversification.

Keywords: Internal Growth Strategies, market penetration, market development, product development, diversification strategies, organizational performance, Kenya Prisons Enterprise

CITATION:  Ojiambo, N. B., & Kinyua, G. (2021). Internal growth strategies and performance of Kenya Prisons Enterprise. The Strategic Journal of Business & Change Management, 8 (4), 897 – 910.