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Effect of Competitive Strategies on Organizational Performance: Case Study of Bridge International Academies, Nairobi

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dc.contributor.author Masale, Wendy
dc.date.accessioned 2019-02-22T09:19:23Z
dc.date.available 2019-02-22T09:19:23Z
dc.date.issued 2018
dc.identifier.uri http://erepo.usiu.ac.ke/11732/4389
dc.description A Research Project Report Submitted to the School of Business in Partial Fulfillment of the Requirement for the Degree of Masters in Business Administration (MBA) en_US
dc.description.abstract The purpose of this study was to investigate the effect of competitive strategies on the organizational performance of Bridge International Academies in Nairobi. The study was guided by the following research questions. What effect does cost leadership strategy have on the organizational performance of Bridge International academies in Nairobi? What effect does effect of differentiation strategy have on the organizational performance of Bridge International academies in Nairobi? What effect does focus strategy have on the organizational performance of Bridge International academies in Nairobi? The study used a descriptive research design where quantitative research methods were applied because they facilitated collection of data and the reporting of numerical results for the variables. The target population of the study was 156 members of staff of the Bridge International Academies located in Nairobi. The sampling frame consisted of a list of school management and teaching staff of Bridge International Academies. The study utilized stratified random sampling technique in the selection of the appropriate sample and applied Yamane’s formula to come up with a sample size of 111 manager and teachers. A semi-structured questionnaire was used to collect data from the selected respondents and a pilot study was conducted to test the validity of the data collection instrument. The data collected was then analysed using Statistical Package for Social Sciences (SPSS) version 24 using descriptive statistics such as means, standard deviation, frequency and percentage. Tables and graphs were used to present, summarize and organize data. For inferential analysis, correlation was used to measure the strength of the relationship between differentiation, focus, cost leadership and organizational performance. Additionally, regression analysis was used to establish the nature of the relationship between dependent and independent variables. Findings on the first research question revealed that majority of respondents agreed that cost leadership strategy techniques are employed by management to minimize costs, increase profit margins and grow market share. A correlation analysis between cost leadership strategy and organizational performance indicated a moderate positive relationship and the regression coefficients showed a positive and significant relationship between cost leadership strategy and organizational performance. Findings from the second research question, established that Bridge markets its brand, products and services aggressively, offers higher value products and services than those of competitors and emphasises innovation and continuous improvement. A correlation analysis between differentiation strategy and performance was a strong positive one and the regression coefficients showed a positive and significant relationship between differentiation strategy and organizational performance. Finally, on the third research question, focus strategy was found to have a positive but negligible effect on organizational performance. The main focus strategy methods used by the firm include aggressive marketing, specialization, emphasis on quality and specialization. The study concludes that differentiation contributes the most towards improved organizational performance at the Bridge International Academies in Nairobi and the academies have also managed to enhance performance by pursuing cost leadership techniques such as cost reduction, leveraging economies of scale, use of technology, outsourcing and vertical integration. The study also concludes that focus strategy is adopted by Bridge to target the low income market segment although this strategy has a negligible positive effect on organizational performance. This study recommends that Bridge International Academies should embrace and invest more in cost leadership strategy since it clearly has a positive impact on organizational performance. Bridge International Academies should also refine the differentiating techniques they are implementing by differentiating their personnel through continuous training and enhancing continuous improvement of products and processes to make them more unique and attractive. Focus strategy has the lowest effect on performance at Bridge. There is however potential for further growth from the application of this strategy Additionally, the study recommends that Bridge International Academies should clarify their long term goals and carry out a capability analysis before selecting the competitive strategy or combination of strategies they will execute to drive up the firm’s performance. en_US
dc.language.iso en en_US
dc.publisher United States International University - Africa en_US
dc.subject Competitive Strategies en_US
dc.subject Organizational Performance en_US
dc.subject Bridge International Academies, Nairobi en_US
dc.subject Nairobi en_US
dc.title Effect of Competitive Strategies on Organizational Performance: Case Study of Bridge International Academies, Nairobi en_US
dc.type Thesis en_US


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