Browsing by Author "Ireri, Ephantus Mwangi"

Now showing 1 - 1 of 1
  • Thumbnail Image
    Item
    Innovation Banking Services and Profitability of Commercial Banks Listed At the Nairobi Securities Exchange (Nse), Kenya
    (Kenyatta University, 2025-12) Ireri, Ephantus Mwangi
    For banks to survive in the unstable and evolving market and meet their goals and objectives in a market-driven environment, they have implemented creative approaches geared towards sustainability and growth. The specific objectives of this study was to determine the influence of product innovation on profitability of commercial banks listed at the Nairobi securities exchange, Kenya, to examine the influence of process innovation on profitability of commercial banks listed at the Nairobi securities exchange, Kenya and to evaluate the influence of technological innovation on profitability of commercial banks listed at the Nairobi securities exchange, Kenya. The study incorporated three theories, namely; digital transformation theory, open innovation theory and dynamic capabilities theory. The study utilized causal research design where by the study population was the 12 commercial banks listed at the Nairobi securities exchange. The study covers a period of five years from 2020 to 2024. Data was collected from the 11 banks using both a questionnaire and data collection sheet to take care of both the primary and secondary data respectively. Data collected was analyzed using multiple regression model. The research finding depicted that product innovation had a direct influence on the profitability of commercial banks listed at the Nairobi securities which was significant. Process innovation had significant influence on profitability of commercial banks listed at the Nairobi securities and technological innovation had a direct influence on the profitability of commercial banks listed at the Nairobi securities exchange which was significant The management of commercial banks listed at NSE, Kenya reap manifold advantages for one, the management are able to appreciate the banking evolution process of the banking industry and have an insight on the logic of lowering operating costs which has been a threat in the old dispensation of conventional banking where many branches are needed for profitability increase. Policymakers will also benefit from the research findings. For instance, central bank of Kenya which is the oversight body for commercial banks will be able to focus on an online regulatory framework to set standards to eliminate cybercrime issues hence protect the interest of the depositors in a seamless manner. The academicians are amongst the beneficiaries of this endeavor for the commercial banks adopting the innovative approach in banking gives the former new tools for applying in financial management and a base for areas of further research which in return positively contribute to the existing body of knowledge.