Competitive Strategies Adopted by the Nation Media Group Kenya in Response to Changes in the External Environment

Abstract

Competitive strategy deals with management’s game plan to compete successfully, its responses to a dynamic external environment, its ability to shift with the demands of its customers and its initiatives to strengthen its market position. The media industry in Kenya is highly fragmented and competition amongst existing players is stiff. The media choices available to Kenyan consumers continue to expand at a rapid pace. The purpose of this research was to identify the changes occurring in Nation Media Group’s external environment and to establish the competitive strategies if adopted in response to the changes in its external environment. The research was conducted through a case study. Both primary and secondary data were used. Interview guides were administered among NMG’s senior managers to collect primary data. Being a case study, content analysis was used to analyze the data. The study findings showed that NMG is facing competitive pressures from other media houses, political and legislative changes, demographic changes, change in customer tastes and preferences, globalization, economic factors and the emergence of the digital space. In a bid to remain competitive NMG has embraced Porter’s generic strategies namely cost leadership, differentiating its products and focus. The study recommends that NMG should develop other brands which can compete successfully in the market, since its main publication The Daily Nation has reached maturity. The study further recommends that NMG needs to explore what other capabilities and opportunities are available on the internet since this has not been fully exploited. Lastly there is need for NMG to position itself to take advantage of opportunities that may be present with the new county government structure.