The effect of multiple competitive strategies at airtel kenya limited

Abstract

According to Michael porter there are three generic competitive strategies for outperforming other companies in a particular industry this includes low cost, differentiation and focus. From the three generic business strategies Porter stresses the idea that only one strategy should be adopted by a firm and failure to do so will result in the company being stuck in the middle. He discusses the idea that practicing multiple strategies will lose the entire focus of the organization hence no clear direction. Further research have shown that firms employing the multiple business strategies outperform the ones adopting one generic strategy which now challenged Porter’s concept and further argued that successful combination of strategies will result in sustainable competitive advantage. Later on Porter revised his thinking and accepted the fact that hybrid business strategy could exist especially in the highly volatile and turbulent market. A case study has been done in Airtel Kenya which has been in such a turbulent environment and has been using multiple competitive strategies. This study is undertaken to shed further light into Porter’s conclusion. The study used descriptive research design in design and methodology and primary data was collected. The data collection instrument was interview guide. The target population was drawn mainly from the top management and middle management. Qualitative analysis was employed on the collected data presenting the findings in figures and narratives. The findings were that the company has still not managed to gain competitive edge though they have been using multiple competitive strategies. This implies that for a firm to have a competitive edge, how strategies are laid down and implemented is a key factor. The researcher has suggested that a similar study could be done on the effect of changing competitive strategies frequently as this would therefore explain further why Airtel Kenya is still not able to maintain the competitive edge in the industry.