INFLUENCE OF STRATEGIC RELATIONAL CAPITAL INITIATIVES ON COMPETITIVE ADVANTAGE OF SAVINGS AND CREDIT COOPERATIVES IN NAIROBI COUNTY, KENYA
Abstract
This study investigated the influence of the strategic relational capital initiatives on competitive advantage of savings and credit cooperatives in Nairobi County, Kenya. The study was guided by the Resource Based View, and the Relational view theories. The study employed a descriptive survey research design and collected quantitative data. The target population of this study was 252 senior management staff in the 42 SACCOs. A sample size of 156 respondents were selected using stratified and simple random sampling technique. Data analysis was computed by SPSS 24, where descriptive statistics such as frequencies, percentages and means summarized data into meaningful form, while for variable relationships, inferential analyses such as correlations, linear and multiple regressions were computed. The analyzed data was presented in the form of table and graphs. From 156 questionnaires that were dispatched for data collection, 109 questionnaires were returned completely filled, representing a response rate of 69.9%. Both descriptive and inferential statistics indicated that core values initiatives, networking initiatives, talent management initiatives and customer relationship initiatives significantly influence competitive advantage of SACCOs in Nairobi County. The study concluded that one, core values initiatives can significantly boost SACCOs’ competitive advantage if well implemented by all employees beginning from top management level; two, talent management initiatives though new to some SACCOs in Nairobi County can significantly boost SACCOs competitive advantaged when effectively applied to attract and retain talented and innovative employees. The study recommended that one, networking initiatives should be well-articulated within the SACCO’s policy framework so as to yield significant competitive advantage for the SACCO and two, talent management initiatives should be well implemented to attract and retain talented and innovative employees which will in the long run significantly boost SACCOs competitive advantaged and three, SACCOs should effectively utilize customer relationship initiatives to attract and retain customers so as enhance SACCO’s competitive edge in terms of building a large customer base. A similar study can be done on sustainability of strategic relational capital initiatives on SACCO’s competitive advantage.
Key Words: Talent Management, Core Values, Customer Relationship, Networking, SACCOs in Kenya
CITATION: Muriuki, L., & Otinga, H. N. (2020). Influence of strategic relational capital initiatives on competitive advantage of Savings and Credit Cooperatives in Nairobi County, Kenya. The Strategic Journal of Business & Change Management, 7(3), 1370 – 1388.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i3.1747
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