CORPORATE LEVEL STRATEGIES AND COMPETITIVENESS OF COMMERCIAL STATE CORPORATIONS IN KENYA

Agriculture

The main purpose for this study was to establish the influence of corporate level strategies on the competitiveness of commercial state corporations in Kenya. Despite their immense role in the Kenya’s economy, commercial state corporations had for the past decade or so been facing performance and competitiveness challenges. Most of these corporations had been recording losses over the years despite the government’s efforts to revamp funds in their mainstreams to salvage the situation. Corporate level strategies on the other hand have been known to steadily enhance the competitiveness of modern businesses through applying aspects such as differentiation, retrenchment, expansion and diversification. Specifically, this study sought to assess the influence of diversification strategy, retrenchment strategy, Expansion strategy and Differentiation strategy on the competitiveness of commercial state corporations in Kenya. The study employed descriptive survey research design. The population for the study was the 53 commercial state corporations in Kenya, however, 48 commercial state corporations were picked as the sample size. This was to ensure 5 commercial state corporation were left for the pilot study. Employees from two levels of management (top-level management and middle-level management) were sampled. Two individuals from each of these levels of management in each of the 48 commercial state corporations were randomly selected. This gave a sample size of 192 respondents. The data was collected using structured questionnaire and analyzed using both quantitative and qualitative approaches. Quantitative data was analyzed using descriptive and inferential statistics via SPSS version 24. The findings revealed that diversification strategy, retrenchment strategy, Expansion strategy and Differentiation strategy had a significant influence on the competitiveness of Commercial state corporations.

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