Expansion Strategies and Organizational performance of broadcasters in Kenya

Thesis Title: Expansion Strategies and Organizational performance of broadcasters in Kenya.

Student’s Name: Brian Wangila Mukhongo

Supervisor Names:

  1. Dr. Fred Gichana Atandi.
  2. Dr. Michael Washika Okonda

 

ABSTRACT

The broadcasting industry continues to record growth despite the numerous challenges it has encountered over the years. The performance of broadcasters has struggled with the economic implications of the digital disruption, the mobile telephony and the advent of social media compelling managers to rethink and recalibrate their strategies while radio and television stations have shut down their operations in the recent times in Kenya. The purpose of the study was to establish the influence of expansion strategies on organizational performance of broadcasters in Kenya. The specific objectives of the study were; to determine the influence of strategic partnerships on the organizational performance of broadcasters in Kenya; to evaluate the influence of market penetration strategies on the organizational performance of broadcasters in Kenya; to examine the influence of diversification strategies on the organizational performance of broadcasters in Kenya and to determine the influence of government regulations on the relationship between expansion strategies and organizational performance of broadcasters in Kenya. The study was underpinned by the Igor Ansoff’s theory. A correlation and descriptive research design were adopted. The target population comprised of 239 radio and TV station managers drawn from 167 radio stations and 72 television stations. Simple random sampling was applied. The sample size of the study was 179 respondents. Questionnaires were used as the primary tool of data collection and SPSS version 27 used to run inferential statistics of regression and correlation analyses besides descriptive statistics of mean, percentage, standard deviation and frequency counts. Content validity was ensured by subjecting the instruments to two supervisors and one expert from the industry. The study adopted a Cronbach alpha reliability coefficient of 0.70 implying good internal consistency. Results revealed a strong significant relationship between strategic partnerships and operational performance, indicating a moderately strong significant relationship between market penetration and operational performance indicating a strong significant relationship between diversification strategies and operational performance, and indicating a weak significant relationship between government regulations and operational performance. Multiple regression results indicate that expansions strategies have a strong significant relationship with operational performance of broadcasters. Study concludes: strategic partnership has got a significant influence on organizational performance; market penetration has got a significant influence on organizational performance; diversification strategies have got a significant influence on organizational performance and government regulation has got a significant moderating influence on organizational performance. The study recommends that; broadcasters should forge strategic partnerships to navigate the challenging economic times; broadcasters should focus on market penetration through expansion to new markets; broadcasters should diversify their products and services to spread the risks and minimize losses and government regulations that are prohibitive should be reviewed to stimulate growth and promote a levelled platform for broadcasters to enhance quality and effectiveness in the sector. Various stakeholders are projected to find the results useful for policy and practice.