Influence of Innovation Approach on Competitive Structure of Tier 1 Commercial Banks in Kenya

Authors

  • Nick MWANGI MUHUNI Department of Business Administration, Chandaria School of Business, United States International University-Africa
  • Caren AKOMO OUMA Department of Business Administration, Chandaria School of Business, United States International University-Africa https://orcid.org/0000-0002-3943-3562

Keywords:

influence , innovation , approach, competetetive, antiperovskites, band structure, density of states, tier 1

Abstract

In today's volatile business landscape, companies must continuously innovate to remain competitive. Innovation, encompassing the creation and implementation of new concepts across products, services, and technologies, is essential for meeting evolving market demands. Both radical and incremental innovation contribute to organizational financial performance (Abiodun, 2017). However, traditional banks often exhibit technological inertia, hindering their ability to adopt new methods efficiently. This reluctance presents an opportunity for challenger banks to pioneer technological advancements, diversify risk management strategies, and optimize resource utilization, leveraging instruments like asset securitization. This study investigates the impact of innovation approaches on the competitive structure of Tier 1 Commercial Banks in Kenya. Employing descriptive and correlational research designs, the study surveyed 182 respondents selected via stratified random sampling from a target population of 334 individuals across Tier 1 Commercial Banks. Quantitative data analysis utilized descriptive statistics, correlation, and regression analysis with SPSS version 26. Findings indicate a positive correlation between innovation and competitive structure, underscoring innovation's significance in sustaining competitive advantage. Technology adoption, including mobile banking and remote service delivery, also enhances competitive structure. Furthermore, the study highlights the contribution of risk diversification through new financial instruments and incremental innovations to financial success. Overall, the research emphasizes the critical role of innovation and technology in driving competitive advantage within the banking industry. It recommends that top management continuously expand their offerings of innovative products to remain competitive.

Downloads

Download data is not yet available.

Downloads

Published

2024-03-09

How to Cite

MUHUNI, N. M., & OUMA, C. A. (2024). Influence of Innovation Approach on Competitive Structure of Tier 1 Commercial Banks in Kenya. Kabarak Journal of Research & Innovation, 14(01), 44–60. Retrieved from https://journals.kabarak.ac.ke/index.php/kjri/article/view/380

Similar Articles

1 2 3 4 5 6 7 8 9 10 > >> 

You may also start an advanced similarity search for this article.