PHD-Department of Tourism Management

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    Risk Exposure and Management Strategies as Determinants of Customers’ Satisfaction In Selected Golf Clubs Within Nairobi City and Kiambu Counties, Kenya.
    (2022) Mwangi, Paul Nderitu; Moses Ngatia Miricho; Vincent Nyamari Maranga
    Risks have been reported to hamper operation and customer satisfaction in various service-based organizations. In golf clubs, the main objectives are to enhance quality and safe services and facilities, which in turn satisfy and attract customers (golfers). For a golf clubs management to achieve customer satisfaction, they must examine operational risks and make decisions to counter their effects. Today golf clubs are experiencing poor management practices, weak governance, and difficulties related to membership growth. This study investigated risk exposure and management strategies as determinants of the customer satisfaction in selected golf clubs within golf clubs in Nairobi City and Kiambu Counties, Kenya. This study had five specific objectives as follow; to evaluate the influence of risk exposure on customer satisfaction, to examine the relationship between the management strategies and customers satisfaction, to establish the relationship between corporate governance and customers satisfaction, to establish the relationship between environmental conservation strategies and customer satisfaction and, to investigate the moderating effects of demographic factors on the relationship between risk exposure and management strategies and customer satisfaction. The cross-sectional descriptive survey was adopted where questionnaires, interviews, observation checklists and secondary sources provided the data. The study population was 31,159 individuals comprising of clubs’ captains, golf managers, professional trainers, customers, and caddies where a sample of 799 respondents was drawn. The qualitative data was ordered, coded, then, summarized into themes while descriptive and inferential analyses were conducted on the quantitative data. Descriptive analysis was conducted on demographic data. Regressions analyses were employed to determine the relationships existing between variables. In addition, multiple regression analyses were applied to establish the impact of the predictors on the study’s dependent variable. Regression analysis assisted in determining relationships between the four predictors and customers’ satisfaction. The findings indicated significant influences of risk exposure to customer satisfaction with p=0.017<0.05. It was also established that risk management strategies and customer satisfaction had a statistically significant relationship with p=0.008<0.05. Further analysis established significant relationships between corporate governance and customer satisfaction with a p=0.045<0.05. Environmental conservation strategies and customer satisfaction had a statistically significant relationship established by p=0.003<0.05. Additionally, the findings established that golf industry context indicators and customers had no statistically significant relationship with a p=0.866>0.05. Based on the analysis, the R-value was established as 0.829 denoting a high correlation between the predictors and dependent variable. A resulting R2 (Square) value obtained was 0.687, indicating that risk exposure and management strategies explained 68.7% of Customer Satisfaction. The ANOVA results showed the f-statistics = 11.715 and p=0.000<0.05 denoting that the model of regression obtained was significant statistically. Multiple regressions established that all the β-values (beta) were positive indicating positive and significant relationship existed between the study variables. This study recommended that the golf clubs’ management formulate and implement effective risk management policies for ultimate customers (golfers) satisfaction. The study further recommended that good corporate governance; effective risk management and conservation strategies ought to be implemented as part of customers’ satisfaction goal within the golf clubs.
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    Opinion Leadership in Online Travel Communities and the Purchase of Hotel Products and Services in Kenya
    (Kenyatta University, 2020) Mengo, Nyabisi; Esther Kagure Munyiri; Mary Mutisya Mutungi
    Opinion leaders are individuals who influence opinions, behaviour, beliefs, and purchase decisions of people in their social circles. Opinion leaders have been studied extensively in a traditional offline context, but little attention has been given to them online especially in high involvement products like hospitality. The main objective of this study was to investigate opinion leaders in an online context and their influence on the purchasing of the hotel product in Kenya. Specific objectives were to discover who opinion leaders in an online travel community are; investigate personal characteristics travel opinion leaders display online; explore their online communication behaviour; and to explore the role of non-opinion leaders and the moderating effect of management responses to reviews in influencing the purchase of hotel products in Kenya. The research was carried out on mainly TripAdvisor within the context of Kenya as a destination. An explanatory sequential design was used with two phases: a quantitative phase followed by the qualitative phase. The quantitative phase used three methods to achieve the objectives: expert identification, sociometry, and an experiment. Purposive, census and random sampling techniques were used. Respondents for expert identification were 563, with 368 from the experiment and 131 from sociometry. The qualitative phase used content analysis of information from TripAdvisor. Instruments used were semi-structured questionnaires and observation checklists. Data analysis involved the use of descriptive statistics where correlation, regression, ANOVA, Seven-degree index and content analysis were used to analyse relationships between variables. Findings endorse the robustness of the Seven-degree index as a tool for measuring opinion leadership in online communities. Destination Kenya travel opinion leaders are mainly male (54.7%) baby boomers (51%) who shun self-disclosure online (66%) and travel mainly for business (39%). Opinion leaders influence other customers during purchase of hotel products even though their effect is relatively small (β=0.265). They are more trusted and are considered more reliable than other travellers due to their expertise in travel and consistency in providing reliable information. Non-opinion leader reviews are only trusted by other customers if their reviews occur in large numbers (β=0.257). Management responses have no intervening effect with opinion leaders (F (1,321) = .192, p = .661). Customers trust opinion leaders more than management; when management responds to opinion leader reviews. Opinion leaders are more likely to use rational and logic words, and score highly in systematic and rational thinking. The study proposes marketers include online opinion leaders in integrated marketing communications as they are a key influential group online. It is important to understand opinion leaders and how they behave online as it will help in designing subliminal marketing campaigns and behavioural targeting that resonate with opinion leaders, which in turn targets other customers of similar characteristics. This would lead to achieving Vision 2030 and SDG goals in Tourism, in areas such as Development of Niche Products, Destination Marketing Programmes, and Marketing Kenya.
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    Governing Landscapes through Partnerships: Lessons from Amboseli, Kenya
    (Wageningen University, 2021) Mugo, Tabitha Njeri
    This study focuses on the Kenyan Amboseli landscape, which comprises the Amboseli National Park and six neighbouring Maasai community Group Ranches, namely Mbirikani, Kuku, Kimana, Eselengei, Ologulului-Ololorashi Ologulului, and Rombo. Over the past five decades, Amboseli has been facing persistent conservation and development challenges. These include changing land tenure and land-use; humanwildlife conflicts (HWCs); poaching of wildlife; unplanned and uncoordinated development; loss and fragmentation of wildlife habitats; inadequate and unequal benefits for local communities; high levels of poverty; and a conservation-development nexus policy void. To mitigate these challenges, various policy interventions, mostly in the form of varied partnership arrangements between actors drawn from communities, governments, market, and conservation organizations, have been initiated – with mixed outcomes. This thesis specifically explores two landscape-wide partnerships, the Amboseli Ecosystem Trust (AET) and the Big Life Foundation (BLF). The Amboseli Ecosystem Trust is a landscape-based partnership that seeks to bring together governmental agencies, communities, private investors, and civil society with the aim of simultaneously achieving conservation and development goals. The Big Life Foundation (BLF), a partner and member of the AET’s Board of Trustees and the successor of the Maasailand Preservation Trust (MPT), is a partnership between the Mbirikani Group Ranch community members and a tourism investor-based conservation NGO. BLF’s projects cover a large part of the Amboseli landscape in Kenya and adjacent areas in northern Tanzania....
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    Employee Retention Factors on Career Sustainability in Travel and Tour Companies in Mombasa County, Kenya
    (Kenyatta University, 2019-01) Bitok, Kipkosgei
    Career sustainability studies are gaining momentum especially on how employees can develop ways to achieve them. Employees in organizations that have mechanisms for employee retention can experience higher career sustainability. However, there is limited literature that can provide more understanding on the link between employee retention and career sustainability. The tourism organizations are also facing a challenge in holding their best employees in order to keep trend with the current competition. The specific objectives of this study were to establish the relationship between intrinsic and extrinsic motivation on career sustainability, to assess the effect of employee retention strategies on career sustainability in the travel and tour companies, and to establish the moderating effect of employee engagement on the relationship between employee retention and career sustainability among employees in the travel and tour companies. This study was grounded on Super’s Self-Concept Theory, Herzberg’s Two-Factor Theory and Maslow’s Hierarchy of Needs Theory. The target population was comprised of 2,800 employees from 121 tour operator companies and 40 travel agent companies in the county. Using mixed research methods; stratified random sampling technique was used to select respondents to participate in the study. Interview schedules were conducted on 20 human resource managers and questionnaires administered to 350 tours and travel agency company employees. Four questionnaires were not filled fully, thus 346 fully filled questionnaires were used in the analysis. Descriptive statistics indicated that the male gender was highly represented at 62% than the females owing to the high number of tour guides who are predominantly male. The means from the analysis of career sustainability factors showed that employees have more desire to achieve success in their career [3.63], and improve their income [3.65]. Correlations of intrinsic factors and career sustainability indicated that employees with challenging job tasks [r = 0.572, n = 346, p<0.05] and freedom to make and implement own decisions [r = 0.641, n = 346, p<0.05] had a higher career sustainability. Content analysis showed that career sustainability would highly improve when employees are provided with commendations for completing tasks in time (5) and having good working relationships with their supervisors or co-workers (7). Multivariate regression was used to analyze the quantitative data and all the null hypotheses were rejected and the alternative hypotheses accepted. The study findings showed that intrinsic motivation factors [r = 0.651, n = 346, p = 0.000] and employee retention strategies [r = 0.788, n = 346, p = 0.000] have a stronger influence on career sustainability than extrinsic motivations [r = 0.615, n = 346, p = 0.000]. Furthermore, the findings demonstrate that employee engagement has a moderator influence on the relationship between employee retention and career sustainability [r = 0.667, n = 346, p=0.000]. The study recommends that tour operator and travel agent company employees should be intrinsically motivated with challenging work that center on short-term wins, and be extrinsically motivated through forging effective interpersonal working relationships with their supervisors, peers and subordinates. This study provides a platform for policy makers to assess and compare levels of career sustainability among employees in the tours and travel sector with other sectors in the tourism industry in Kenya.
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    Contribution of Educational Tourists’ Consumer Behaviour to Sustainable Tourism Development in Selected Universities in Nairobi Metropolis, Kenya
    (Kenyatta University, 2019-04) Jebet, Bitok Jane
    Educational tourism enables potential learners to acquire new knowledge from programmes in foreign locations. Educational tourism started with the wealthy and upper class in Europe with participants engaging in study tours for many years in European countries between the seventeenth and nineteenth centuries. In recent years students are taken from Europe other parts of Europe, South pacific, Middle East, Africa and to all major attractions globally. Africa has a high potential of this market due to its rich biodiversity and beautiful varied scenery. The programmes include outbound, faculty-led study abroad programmes. The students were referred to as international, overseas or foreign. Africa recognizes educational tourism as a promising niche‟ market segment to cushion out the fluctuating numbers of other market segments. The region receives about 14% foreign scholars yearly to add to those existing in their institutions of learning. Kenya receives approximately 50,000 of the students distributed as 1% admissions to public universities and 12% to private universities, a constant 200,000 international students annually. The study purposed to establish the contribution of educational tourists‟ consumer behaviour on sustainable tourism development in Nairobi metropolis, Kenya. The specific objectives of the study were to; evaluate the effects of the consumer behaviour of educational tourists, determine their understanding of sustainable tourism, find out tourist activity options available for them and the effects of consumer behaviour and their activity options on sustainable tourism development in Kenya. This study used the survey design utilizing both quantitative and qualitative data and the mixed method model. 345 international students, 6 heads of ISLCs and 15 representatives of CBTOs were sampled from a target population of 2890 respondents. Open and close ended questionnaire, an interview guide and a focus group discussion were used to collect data. Pretesting was done to reduce errors on the variables. Validity of factor loadings >0.5 were accepted and a Cronbach alpha coefficient of >0.7 was accepted for the reliability of the questionnaire. Data was analyzed through descriptive statistics, Chi-square, other cross tabulations and regression. Data was presented through tables, charts, graphs and qualitative reporting. The response rate for questionnaires was 330 at 95.7%, 6 interview guides at 100% and 12 focus group discussions at 86.7%. The first null hypothesis was rejected after Chi-square tests were carried out on 12 consumer factors where; 11 factors yielded P<0.05. The second null hypothesis was also rejected when a summary crosstab was generated on the understanding of sustainable tourism by educational tourists at 0.019 (P<0.05) on the average rate of responses from the social-cultural, economic and environmental impacts. The respondents felt that the activity options available influenced the understanding of sustainable tourism environment as indicated by the impacts on the environment at 0.029 (P<0.05) and the economic impacts at 0.301 (P>0.05). A regression model indicated the P-value for the model was 0.000 (P<0.05). This study concludes that the consumer behaviour of international students is significant in determining the choice of destination by the students. Strong policies should govern sustainable tourism practices. Kenya‟s institutions of higher learning should improve and increase the hostel capacity within its campuses. Tourism as a course should be incorporated in all levels of study curricular in Kenya.
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    Role of Brand Perceptions and Entrepreneurial Self-Efficacy on Place Brand Equity in Western Kenya Tourism Circuit
    (Kenyatta University, 2019-07) Ndubi, Edgar Otsembo
    Many destinations have open up to and invested in the tourism industry leading to heightened competition between them. This has brought to fore the concept of place brand equity, where destinations seek to highlight their value to not only visitors, but also residents and investors. Tourism destinations have therefore developed strategies to enhance their brands. In Kenya, the National Tourism Blueprint 2030 recognizes that the tourism industry plays an important role in Kenya‟s economy. It also acknowledges that various tourism circuits in Kenya are at different levels of tourism development, which is attributed to each circuit‟s place brand equity. The purpose of this study therefore, was to examine the role of brand perceptions and entrepreneurial self-efficacy in influencing place brand equity in the WKTC. The study was guided by the four specific objectives:- to determine the influence of tourism entrepreneurs‟ brand perceptions on place brand equity; to evaluate the relationship of customers brand perceptions on place brand equity; to explore the influence of entrepreneurial self-efficacy on place brand equity and to investigate the moderating effect of the industry context on the relationship between entrepreneurial-self efficacy and place brand equity. The study employed a cross sectional descriptive survey design, using a mixed methods approach. Secondary sources, questionnaires and interview schedules were to collect data. The study‟s sample size was 316 managers of various tourism enterprises, and 309 customers to tourism enterprises in the four Counties Kakamega, Kisumu, Kisii and Busia in the WKTC. Ten (10) interviews were held with key tourism public sector officials and industry stakeholders. The overall response rate was 79.75% and was deemed to be appropriate for the study. Data collected was analyzed in SPSS 21, using descriptive statistics to infer variable characteristics. Pearson correlation was used to infer pattern of relationship between the variables used in the study while regression analysis was used to determine significant variable predictors and test hypothesis. Directed content analysis using NVivo 12, was used to analyze qualitative data. The results of the Pearson correlation coefficient analysis r=0.588, p=0.000, adjusted R2=0.343 showed that 34.3% variation in place brand equity can be explained by customer brand perceptions with the most significant predictors being brand awareness and brand loyalty. The regression analysis coefficient R=0.842 and adjusted R2=0.706 showed that 70.6% of variation in place brand equity can be explained by tourism entrepreneur brand perceptions, entrepreneurial self-efficacy and the moderating effect of industry context. The findings of the study show that tourism entrepreneurs brand perceptions; customers brand perceptions; entrepreneurial self-efficacy and the moderating effect of industry context, statistically significantly influence place brand equity in the WKTC. Industry context on its own did not statistically significantly influence place brand equity in the Western Kenya Tourism Circuit. The study also identified 14 predictor variables with the most significant (p=≤0.000≤0.05) contribution to the model. These predictor variables could be used by destination stakeholders in managing the WKTC‟s place brand equity based on the impact (coefficient) of each of them and the prevailing circumstances. The study recommends that the WKTC County Governments and the national government spearhead development and management of the WKTC destination brand. This will enhance awareness about WKTC and improve loyalty to the destination. Tourism entrepreneurs in the region also need to take advantage of the numerous resources such Lake Victoria and cultural heritage that abound in the region in order to enhance the WKTC brand. The study suggests further research on place brand equity in other tourism circuits.
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    The Determinants of Collaboration and Partnerships Arrangements in Tourism Development among Industry Organisations in Nairobi County, Kenya
    (Kenyatta University, 2015) Kariuki, Albert Chege
    Collaboration and partnerships arrangements among stakeholder organisations are among the central themes of sustainable tourism development in destinations. These collaborative arrangements have become critical as a result of the realisation that, no single stakeholder organisation can dictate the future of this dynamic and often fragmented industry, more so especially in relationship to study area, the Nairobi County. The purpose of this study was to evaluate the effectiveness of stakeholder collaboration and partnerships arrangements among tourism industry organisations as a tool of enhancing tourism development in Kenya. Specific objectives were; to determine the scope of collaborative arrangements that exists among stakeholder organisations in tourism development, to examine the intensity of the relations that exists in different collaborative arrangements among tourism organisations and their influence on tourism development, to evaluate the prerequisites of effective collaborative arrangements among stakeholder tourism organisation and to explore the potential for Public Private Partnerships (PPPs) as a model of collaborative arrangements among tourism organisations in Kenya. The study adopted a mixed method research design, and specifically QUAL + quan mixed method design type. The population of the study was thirty three stakeholder organisations in Kenya. The study adopted qualitative and quantitative primary data collection methods, using semi-structured interviews, participant observation and questionnaires as data collection instruments. Secondary data was collected through content analysis of various books, journals and websites. The secondary data analysis process started at the beginning of the research and involved a critical review of literature mainly from journals, books, various government and private sector organisations documents and reports. Primary quantitative data was analysed using descriptive statistics and presented in frequencies, percentages, charts and cross tabulation. Further, primary data was subjected to inferential statistics using correlation and chi square tests. The finding of the study shows that, the existing collaboration and partnerships arrangements in tourism industry in Kenya are not well structured and designed, and have not achieved acceptable thresholds as model of collaborative arrangements. The study recommends the adoption of formal PPPs models as the best practice of collaborative arrangements in tourism development in Kenya.
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    Vulnerability and Adaptation of The Tourism Sector to Climate Change in Nairobi, Coast and Central Tourist Circuits in Kenya
    (Kenyatta University, 2015) Munyiri, E. K.
    Tourism heavily relies on climate as a resource but is highly climate-sensitive. Evidence has shown that a certain amount of climate change has occurred. Africa is considered as one of the most vulnerable regions in the world to the effects of climate change. At a local scale, Kenya‘s substantial arid and semi-arid and coastline increases its vulnerability. In addition, overreliance of a lean natural resource base for tourism puts the sector into increasing risk. Documentation of vulnerability and adaptation of Africa and more so tourism to climate change is limited. Different stakeholders agree that there is need to improve response initiatives geared towards mitigation and adaptation. This study seeks to assist tourism and other stakeholders reduce vulnerability and improve adaptation efforts. To facilitate this, a critical review of relevant literature was undertaken and a comprehensive countrywide bottom-up approach assessment of vulnerability and adaptation of tourism to climate change was carried out. This was done by exploring the impacts of climate change on the tourism sector from both supply and demand side and the resultant adaptation practices, analyzing the policy framework in Kenya and estimating the vulnerability level, using explanatory sequential design. Through triangulation, information was sought from tourists, hotel managers and tourism / climate change experts from three major tourism regions in Kenya. A total of 36 hotel managers and 352 tourists filled questionnaires whose results were verified by 20 experts. Further, tourists numbers were compared against precipitation over a 40 year period. Content analysis, Chi-Square, ANOVA, correlation and regression are among the statistical methods used for data analysis. Results generally indicated that climate change impacts are currently affecting the tourism sector in the country and that the supply side is more affected by these impacts than the demand side. Sensitivity of tourism to climate change depends on the type of indicators; the source market; the purpose of travel; the age of tourists; the class of accommodation facilities and marital status. Exposure depends on the type of climate change indicators; the geographical location of tourist facilities and the nature of occurrence of the indicators. Furthermore, although the industry has put commendable efforts towards adaptations, the sector is faced by several challenges such as lack of information and finances. Policy analysis shows that although Kenya has made commendable efforts towards formulating policies on climate change, most content of these policies is not based on primary research. The regression coefficients of determination for the perception of the tourists concerning importance of weather and climate change indicators is explained by 78.9% of the variance (Radj = 0.789), while that of that of the hotel managers is explained by 97.9% of the variance (Radj = 0.979). From the regression analysis, it can be concluded that vulnerability depends on direct indicators, general indicators, indirect indicators and weather factors and magnitude of impacts on resources, infrastructure; facilities; activities; and services. Further, a Vulnerability Scoping Diagramme (VSD) for tourism was constructed in order to describe the current vulnerability of tourism to climate change impacts in Kenya. Generally, the tourism sector in the country is found to be highly sensitive, highly exposed, with moderate adaptive capacity and therefore highly vulnerable. Finally, a conceptual model for vulnerability assessment for the tourism sector was developed. Further research is suggested on the implications of climate change policies on tourism operators and the economic impacts of climate change on tourism resources.
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    Positioning the gastronomic identity of kenya’s coastal strip: perspectives of guests on the region’s signature foods using an integrated approach
    (2014-08-20) Wekesa, Pepela Anthony
    Though gastronomy had developed considerably through the ages due to the benefits it brought to destinations, not all destinations, Kenya included, had capitalised on the potential opportunities it provided as a tourist attraction. Additionally, not all destinations that had tried to use food in their marketing activities did it effectively. This study, therefore, looked at prospects of positioning the Kenyan coastal culinary scene by first segmenting the prospective market, distinguishing the region‟s gastronomy from those of other destinations, targeting the key components that would improve it, and then positioning it with a view of enabling the coastal strip include the region‟s signature foods as a part of its destination cluster. The study sought to; determine the areas of commonality in the way guests perceived gastronomy and chose food outlets at the Kenyan coastal strip (KCS) based on their demographic and psychographic profiles, establish their level of satisfaction to the quality of the region‟s signature foods, and distinguish their perception of the region‟s gastronomic identity. The study adopted a cross sectional analytical design which was conducted in the Northern circuit of Kenya‟s coastal strip. The population consisted of individuals who visited the eateries and service providers in the region. While a total of 359 guests were approached, a response rate of 89.7% was achieved, accounting for 322 questionnaires. An interview schedule that targeted 18 gastronomic service providers had a 100% response rate. An observation check-list was also used. These research instruments were pre-tested to adduce their validity and reliability and then updated before the actual collection of data. The collected data was screened and analysed using Chi-square independent test based on Monte Carlo Exact Test, Cross tabulations, Mann Whitney, Kruskal Wallis, and Multinomial logistic regression. Data was presented by use of graphs, tables, pie-charts and percentages, while qualitative data was presented by verbatim quotations and a manual content analysis. The results indicated a gastronomic market actually existed in the Kenyan coastal region. A significant difference existed between the guests‟ demographic profile and their physiological inclination (χ2 = 30.557, df = 7, p = 0.0001; α = 0.05) as well as their phenomenological inclination (χ2 = 196.742, df = 87, p = 0.0001; α = 0.05). Further the guests‟ physiological inclination reliably predicted their phenomenological inclination (χ2 67.975, df = 3, p = 0.0001; α = 0.05). While a Significant difference was not found (χ2 = 4.537, df = 4, P = 0.338) among guests with a physiological inclination, it was found for guests with phenomenological inclination (χ2 = 15.885, df = 1, p = 0.000; α = 0.05) in as far as their distinction of the regions gastronomic identity was concerned. It was therefore recommended that in order to take advantage of the existing gastronomic product and position the region as a gastronomic tourism destination; gastronomic guests could be segmented by either their physiological or phenomenological inclinations. In regards to their physiological inclination, the needs of neophilic guests could be targeted in deciding the quality and level of appeal (taste and appearance respectively), and distinction of the Kenyan Coastal Signature Foods (KCSF) from what was partaken of from other regions. In terms of the guests‟ phenomenological inclination, the quality of the KCSF could be adduced based on the diversionary and recreational guests‟ texture and taste needs. The guests with an experimental affinity could be used to distinguish the KCSF based on appearance smell and texture. As such, all the sensory qualities of the KCSF could be used to position the Kenyan coastal strip as a destination cluster.
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    Perspectives of Hotel Investors on Kenya’s Competitiveness as a Tourism Investment Destination
    (2014-02-26) Ndivo, Rayviscic Mutinda; Manyara, Geoffrey; Khayiya-Ombwori, Rosemarie
    Kenya‘s social-economic development goals envisages an almost complete turnaround to her tourism industry including a number of high-capital investments. However, concerns exist as to the country‘s ability to attract such investment into her tourism industry with a number of reports showing the country as not being investor-favourable. In line with this concern, this study sought to explore the perspectives held by the hotel investors on the country‘s competitiveness as a tourism investment destination. The study was carried out in both Nairobi and the Kenya‘s coast circuit encompassing Mombasa Island, South Coast and North Coast. Further, the study adopted a cross-sectional survey based on an embedded study approach that involved 24 hotel companies operating 3 to 5 star hotels in Kenya, 5 investment consultancy firms, and 2 government investment promotion agencies. Primary data were collected using both interviews and unstructured questionnaires. Thematic data analysis was used to analyse the data. The identified themes were coded for further descriptive and inferential statistical data analysis. The study further revealed five main categories of factors cited by the three respondent groups as being determinants of the choice of an investment destination by the hotel companies in Kenya. These ranked as follows: (1st) Political and Regulatory factors (34%), (2nd) Economic factors (38%), (3rd) Marketing-related factors (28%), (4th) Destination resource endowment (21%), and (5th) Infrastructure (16%). In addition, the study found out that the most significant source of information for investment decision making was feasibility studies (cited by 95.8 % of all respondents). This was followed by the government reports on the performance of the tourism industry (58.3%) and the media reports from both the local and international media organizations (identified by 41.7%) of the respondents). The study found out that though the fully-owned subsidiary mode was the most preferred (75%), only a weak positive correlation existed between the mode and the local chain ownership type (R=0.19) and the local independent ownership type ( R=0.20). On Kenya‘s investment climate, the study found out that though the country was perceived as having strengths in key areas necessary to the success of hotel investments including a relatively stable political environment, government support for the sector, availability of qualified manpower and, infrastructure; the country was perceived as having the following key weaknesses: (1) High cost of doing business (25.5 %); (2) Political instability/uncertainty (15.3%); (3) Unfavourable business-related policies (13.6%); (4) Infrastructure (9.3%; (5) Corruption (9.3%); and (6) Insecurity (8.5%). In terms of the future investment plans, majority of the respondents (43%) indicated that they looked forward to establishing new hotel units within the country. The other major future investment plans were indicated as ―concentrating on the current business‖ (25%) and ―expanding operations into the East African region‖ (21%). The study further found out that the Kenyan Coast and Nairobi were the most popular hotel investment destinations. This study thus recommends that the government, together with other industry stakeholders, champion efforts geared towards attracting and retaining hotel investments. Specific attention should be focused on addressing the constraints limiting the competitiveness of the country as a tourism investment destination. More so, there is need for action to be taken to open up all tourism-rich regions in the country for both tourism and related investments. Further, deliberate efforts should be dedicated to ensuring the success of EAC integration as a means towards expanding investment opportunities for local tourism investors.