INFLUENCE OF STRATEGIC DECISIONS ON THE COMPETITIVE INSURANCE MARKET DYNAMICS IN KENYA
Abstract
The study sought to establish the effect of strategic decisions on the competitive insurance market dynamics in Kenya. To explore the influence of strategic decisions on competitive insurance market dynamics, the researcher measured the direction of demand and supply of insurance as measured by the quality of strategic decisions emanating from Kenyan insurance companies. The eexploratory data was collected from the 62 insurance companies and 385 insurance customers. The study adopted a multi-stage sampling technique involving census, purposive, and cluster sampling was used to identify the insurance companies, the chief executive officers and customers under study. The data obtained was analysed using the Ologit regression model and internal consistency tested using a test re-test method. The analysis of the data collected revealed that strategic decisions had significant influence on competitive insurance market dynamics of the insurance companies. The findings confirmed a positive link between strategic decisions and the competitive market dynamics. The study therefore offered relevant information to scholars interested in understanding and expanding the knowledge gap on how strategic decisions can improve the competitiveness of insurance companies in Kenya. Management practitioners may find this study useful, especially in monitoring and assessing strategic decisions and aligning them to company competitive advantage. Finally, it offed a number of vital contributions to the literature through a model which is empirically supported and which confirms that strategic decision is an important drivers for insurance market’s competitive advantage. Lastly, the study offered new contribution for scholarly work which can be applied directly in firms to test the relationships between these concepts as well as by scholars.
Keyword: Strategic Decisions; Competitive Market Dynamics; Insurance Industry, Kenya
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DOI: http://dx.doi.org/10.61426/sjbcm.v5i3.821
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