Strategic Management Practices and Survival Rates Of Small and Medium Sized Enterprises Start-Ups In Taita Taveta County, Kenya.

Daniel Gona Wambui; Joyce Kambe Mwachia; Karim Hassanali Omido

doi:10.61108/ijsshr.v2i3.148

Strategic Management Practices and Survival Rates Of Small and Medium Sized Enterprises Start-Ups In Taita Taveta County, Kenya.

Authors

Daniel Gona Wambui Scholar, School of Business, Taita Taveta University, Kenya
Joyce Kambe Mwachia Scholar, School of Business, Taita Taveta University, Kenya
Prof. Karim Hassanali Omido, Ph.D Professor, School of Business, Taita Taveta University, Kenya

DOI:

https://doi.org/10.61108/ijsshr.v2i3.148

Keywords:

Strategic Management Practices, Strategic Planning Quality, Leadership Effectiveness, Strategic Innovation, Strategic Market Orientation, , Access to Financing, Small and Medium Sized Enterprises Survival Rates.

Abstract

This study investigated the influence of strategic management practices on the survival rates of small and medium-sized enterprise (SME) start-ups in Taita Taveta County, Kenya. The study focused on five key strategic management practices: strategic planning quality, leadership effectiveness, strategic innovation, strategic market orientation, and access to financing. Specifically, it examined how these practices impacted SME survival indicators such as business longevity, financial stability, and market presence. A descriptive research design was adopted, and data were collected using structured questionnaires distributed to SME owners and managers within the county. The sample included both established and relatively new SMEs operating across various sectors. The findings revealed that strategic planning quality, characterized by goal setting, resource allocation, and risk assessment, significantly influenced SME sustainability. Leadership effectiveness, particularly in decision-making and adaptability, was found to enhance organizational resilience. Strategic innovation through product and process improvements, as well as technology adoption, also contributed positively to SME growth. Strategic market orientation, emphasizing customer focus, market responsiveness, and competitor analysis, improved market positioning and survival. Furthermore, access to financing, including credit availability and cost of funding, emerged as a critical determinant of SME longevity. The study concluded that the adoption of comprehensive strategic management practices significantly enhanced the survival and competitiveness of SME start-ups. The findings underscored the need for SME stakeholders to prioritize strategic approaches in operations to address challenges and ensure long-term success. Recommendations were provided to policy-makers and practitioners to support SME development through targeted interventions.

Downloads

Download data is not yet available.

References

. Agwu, E. (2018). Impact of strategic management on organizational performance in Nigeria. Journal of Business Strategy and Development, 5(2), 45–57.

. Ali, M., & Qun, W. (2018). Strategic management practices and SME growth in Bangladesh. International Journal of SME Research, 3(1), 23–34.

. Ansoff, I. (1984). Strategic management. Wiley.

. Ansoff, I., & McDonnell, E. (1990). Implementing strategic management. Prentice Hall.

. Avordeh, T. K., Salifu, A., Quaidoo, C., & Opare-Boateng, R. (2024). Impact of power outages: Unveiling their influence on micro, small, and medium-sized enterprises and poverty in Sub-Saharan Africa-An in-depth literature review. Heliyon.

. Beuren, I., & Teixeira, L. (2014). Performance measurement systems and their influence on organizational efficiency. Management Science Quarterly, 39(4), 332–344.

. Burugo, G., & Owour, G. (2017). Strategic planning and performance of Kenyan SMEs. Kenya Journal of Business Studies, 8(1), 87–102.

. Dansoh, A. (2005). Strategic planning in construction firms and SMEs. Journal of Construction Management and Economics, 23(2), 163–175.

. Gamage, S. N., Ekanayake, E. M. S., Abeyrathne, G. A. K. N. J., Prasanna, R. P. I. R., Jayasundara, J. M. S. B., & Rajapakshe, P. S. K. (2020). A review of global challenges and survival strategies of small and medium enterprises (SMEs). Economies, 8(4), 79.

. Gure, H., & Karugu, M. (2018). Effects of strategic management on medium-sized enterprises in Kenya. Journal of Business Strategies, 15(3), 120–137.

. Huang, X. (2006). Strategic planning and SME resilience. Journal of Business Management and Strategy, 9(2), 111–128.

. Kanugi, P., & Gichira, A. (2017). Strategic thinking and its impact on SMEs’ goal attainment. International Journal of SME Studies, 11(3), 45–62.

. Kenya National Bureau of Statistics. (2016). Annual Economic Survey 2016. Nairobi: Government of Kenya.

. Kimaku, P. M. (2021). Determinants of Strategic Change Implementation in State Corporations in Kenya (Doctoral dissertation, JKUAT-COHRED).

. Makanga, D., & Paul, K. (2017). Strategic management practices and SME performance in Kenya. African Journal of Business Management, 11(6), 235–250.

. Maroa, J., & Muturi, W. (2015). The role of strategic evaluation in enhancing SME performance. International Journal of Small Business Studies, 14(4), 123–141.

. Mosoti, P., & Murabu, C. (2014). Strategic design and organizational success in Thika Town, Kenya. Journal of Strategic Management Research, 10(5), 202–212.

. Mugenda, O. M., & Mugenda, A. G. (2008). Research methods: Quantitative and qualitative approaches. Nairobi: Acts Press.

. Musanga, J., & Ombui, K. (2015). Strategic thinking in Kenyan small businesses. Journal of Business Innovation, 7(2), 56–74.

. Musau, S. (2017). Strategic activities in the Kenyan floriculture industry. Kenya Journal of Agriculture and Business Research, 5(1), 78–95.

. Mwachuo, A. R., & Kimaku, P. (2024). Relevance Of Strategic Management Process On Organizational Performance Of Commercial Banks In Nairobi Metropolitan. International Research Journal of Business and Strategic Management, 6(1).

. Njanja, W. (2009). Strategic management practices in Kenyan SMEs. International Journal of African Studies, 6(3), 134–149.

. Okeke, E., Onuorah, G., & Jakpa, S. (2016). Strategic management models and SME performance in Nigeria. Journal of African Business Studies, 14(1), 98–112.

. Omerzel, D. G., & Antoncic, B. (2008). Critical factors for small business success. Journal of Small Business Management, 46(1), 31–45.

. Omondi, J. (2016, March 10). Why 46% of Kenyan SMEs fail within a year. Standard Newspaper. Retrieved from https://www.standardmedia.co.ke

. Pillania, R. K. (2008). Strategic management practices in small businesses. Management Review Quarterly, 10(3), 56–71.

. Robson, C. (2011). Real world research (3rd ed.). Wiley.

. Saunders, M. N. K. (2012). Research methods for business students (6th ed.). Pearson.

. Wang, C., Walker, E., & Redmond, J. (2007). Strategic planning and SME growth. International Small Business Journal, 25(5), 487–507.

. Wanjohi, A., & Mugure, R. (2008). Challenges facing SMEs in Kenya. Kenya Business Review, 4(2), 34–49.

. Wernerfelt, B. (1984). A resource-based view of the firm. Strategic Management Journal, 5(2), 171–180.

. Williams, P. (2019). The role of strategic management in achieving business sustainability. Journal of Business Strategy Research, 12(4), 178–199..

Vol. 2 No. 3 (2024) of the International Journal of Social Science and Humanities Research (IJSSHR)

Downloads

pdf.

Published

2024-12-31

How to Cite

Wambui, D. G., Mwachia, J. K., & Hassanali Omido, K. (2024). Strategic Management Practices and Survival Rates Of Small and Medium Sized Enterprises Start-Ups In Taita Taveta County, Kenya. International Journal of Social Science and Humanities Research (IJSSHR) ISSN 2959-7056 (o); 2959-7048 (p), 2(3), 376–389. https://doi.org/10.61108/ijsshr.v2i3.148

Download Citation

Issue

Vol. 2 No. 3 (2024): International Journal of Social Science and Humanities Research (IJSSHR) ISSN 2959-7056 (o); 2959-7048 (p)

Section

Articles

License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

The International Journal of Social Science and Humanities Research (IJSSHR) adopts the Creative Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) license terms for all published articles. This license governs the rights and permissions associated with the use, distribution, and reproduction of the published content, ensuring a balance between authors' intellectual property rights and the wider dissemination of knowledge.

Under the CC BY-NC 4.0 license, the following terms apply:

Attribution (BY): Users are required to give appropriate credit to the original authors and provide a link to the original work. Proper attribution acknowledges the intellectual contribution of the authors and allows others to trace the research back to its source.
NonCommercial (NC): The license prohibits commercial use of the published material. Users may not exploit the work for commercial purposes without obtaining explicit permission from the copyright holder. Non-commercial use includes activities such as selling, licensing, or monetizing the content.
Adaptation: The CC BY-NC 4.0 license allows users to remix, transform, or build upon the original work, but only for non-commercial purposes. Adaptations or derivative works based on the published material must also be shared under the same license terms, giving proper attribution to the original authors.

The CC BY-NC 4.0 license ensures that the published research in the International Journal of Social Science and Humanities Research remains accessible to a wide audience while respecting the intellectual property rights of the authors. It encourages the sharing, dissemination, and collaborative use of knowledge within the academic community, fostering innovation and furthering the advancement of social sciences and humanities research.

Authors publishing their work in IJSSHR grant the journal the right to publish and distribute their articles under the CC BY-NC 4.0 license. This license facilitates the unrestricted availability of the research, allowing readers, educators, and researchers to access, cite, and build upon the published content, as long as they comply with the license terms.

By adopting the CC BY-NC 4.0 license, IJSSHR promotes open access principles and encourages the responsible use of scholarly work. It empowers researchers to disseminate their findings widely and fosters collaboration, ensuring that knowledge generated in the field of social sciences and humanities can have a broader societal impact.