EFFECT OF COMPETITOR ORIENTATION STRATEGY ON ORGANIZATIONS PERFORMANCE OF SMALL SCALE ENTERPRISES IN KISUMU CITY
Authors:
Frankline Onyango Odayo & Donald Indiya Gulali
Abstract:
The purpose of this study was to establish the effect of competitor orientation strategy on organizations performance of small scale enterprises in Kisumu City. The target population for the study was 1321 registered small scale enterprises operating within Kisumu City, Kenya. Stratified random sampling technique was used to stratify the SSEs according to their type’s i.e. educational facilities 27, Transport 113, Retail service1053, Storage facilities 118 and Communication companies10. Simple random sampling was then used to select a sample size of 30% from each subset giving a sample size of 396 SSEs. Data was collected using questionnaires. Data was analyzed objectively using Regression Analysis. The study findings revealed that competitor orientation accounted for 35.0% change in the performance of the enterprises and contributed uniquely to the organizational performance (?=.592, p=.000). The study concluded that their existed healthy competition among the SSEs, however the majority of the SSE owners didn’t value it. Further, the researcher recommended that seminars be conducted to train SSE owners and hence shade light on how to respond to and integrate competition in business. The seminars may also clarify the significance of market orientation strategies as a key element of enhanced financial performance.