STRATEGIC POSITIONING ON COMPETITIVE1ADVANTAGE1OF COMMERCIAL1BANKS IN NAIROBI CITY COUNTY1KENYA
Abstract
The study sought to ascertain the effects of strategic positioning on competitive advantage of commercial banks in Kenya. The general objective of the study was to determine the effect of strategic positioning on competitive advantage of commercial banks in Kenya. The specific objectives were to ascertain the effect of market segmentation strategy, product focus strategy, technological innovation and location strategy on competitive advantage of commercial banks in Kenya. The study variables were underpinned by market positioning theory, efficiency theory, resource-based theory and competitive advantage theory. The study utilized descriptive research design due to its inherent ability to provide a comprehensive depiction of the current state of affairs. The study population consisted of three (3) executive managers drawn from 42 commercial banks operating in Kenya. The target population therefore included 42 operations managers, 42 customer service managers and 42 marketing managers giving a target population of 126. Since the study was census, the sample size was taken as 126 respondents. Prior to the main study, the researcher first checked for internal consistency of the questionnaires in a pilot study. The pilot study was carried in 13 Commercial banks in Kiambu County. A semi-structured questionnaire was used to collect data. The SPSS tool was utilized to examine the data that have been obtained. Both quantitative and qualitative methodologies were used in the investigation. Quantitative data was analyzed through the use of quantitative techniques. Mean, percentages and standard deviation were the quantitative metrics to be employed presenting both descriptive and inferential data analysis in tables and figures. The study found that location strategy, technological innovation, product focus strategy, and market segmentation all contributed positively to the competitive advantage of commercial banks in Kenya.
Key Words: Market segmentation, Product focus, Technological innovation, Location strategy
CITATION: Kimani, E. N., & Waithaka, P. (2024). Strategic positioning on competitive1advantage1of commercial1banks in Nairobi City County,1Kenya . The Strategic Journal of Business & Change Management, 11 (3), 101 – 117. http://dx.doi.org/10.61426/sjbcm.v11i3.3014
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DOI: http://dx.doi.org/10.61426/sjbcm.v11i3.3014
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