Organizational strategic behaviour and performance of publicly quoted companies in Kenya

Abstract

The study explores the relationship between strategy and performance of companies listed in the Nairobi Stock Exchange. Data on the firms’ strategic orientations, strategy types and performance indicators were obtained from 23 companies through structured questionnaires and interviews. The results reveal that the companies leaned more towards the strategic orientations of futurity, analysis, defensiveness, and proactiveness. These firms largely pursued market development, product development, and diversification strategy types. However, overall results are not statistically significant for the effect of strategic orientations and strategy types on corporate performance, except for their effect on total net assets. The results are discussed in terms of their implications for the pertinent theories, previous research findings and strategic management