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dc.contributor.authorNdungu, Patrick Mungai
dc.date.accessioned2021-03-02T07:58:30Z
dc.date.available2021-03-02T07:58:30Z
dc.date.issued2019-06
dc.identifier.urihttp://ir-library.ku.ac.ke/handle/123456789/21679
dc.descriptionA Research Project Submitted to School of Business in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Business Administration in Finance of Kenyatta University. June 2019en_US
dc.description.abstractNon-banking financial firms in Kenya have registered a decline in financial performance as which is a major hindrance in the realization of Vision 2030. This has led to a lower economic development and loss of jobs in Kenya, which is associated with social injustices. This study examined the relationship between corporate social responsibility and financial performance of non-banking financial institutions. The main objective of the study was to examine the relationship between corporate social responsibility and financial performance of non-banking financial institutions. The specific objectives were to assess the influence of corporate governance, community commitment and affirmative action on financial performance of non-banking financial institutions in Kiambu County, Kenya. The study was anchored on the Instrumental Theories, Integrative Theories and Ethical Theories. The study adopted a descriptive research design. The target population comprised of 60 Non-Banking Financial institutions in Kiambu County, Kenya. The sample size was computed using the formula by Hosmer, Lemeshow and May (2008) and Shirgaonkar, Maclver and Patankar (2008) and yielded a convenient sample size of 38 Non-Banking Financial Institutions in Kiambu County Kenya. Quantitative and qualitative data was collected by use of a semi-structured questionnaire that was administered using drop and pick later method. The collected data was analyzed using descriptive as well as inferential statistics. The multiple regression analysis was applied to determine the effect of CSR on financial performance. On financial performance, findings demonstrated that the profitability of the non-bank financial institutions as reflected in their return on assets was good. Nonetheless, the study indicated that some firms could be struggling with poor financial performance condition while others performed exemplary well. As explained by R Square, the Coefficient of Determination, 74.83 percent of variation in financial performance of non-bank financial institutions (the dependent variable) was explained by variability in corporate social responsibility variables: Corporate Governance, Community Commitment and Affirmative Action. To that end, other predictors not included in the model explained only 25.17 percent of variation in financial performance. Multiple linear regression analysis results indicated that corporate governance was a statistically significant determinant of financial performance. Notably, corporate governance yielded the highest positive effect on financial performance among all CSR variables. Regression analysis results also established that community commitment and affirmative action were also positive, statistically significant predictors of financial performance. Notably, affirmative action yielded the least effect on financial performance among all CSR variables. Recommendations were made, the study recommends that the underperforming non-bank financial institutions to consider benchmarking on other players to learn ways to build their capacity to deliver better financial results. The study also makes recommendations on need to improve the practice of preserving organizational knowledge and sharing the same with other members of the organisation, which was found to be deficient in the firms. The study further recommends that the firms review the implementation of apprenticeship-training programs, which was found to be poorly executed.en_US
dc.language.isoenen_US
dc.publisherKenyatta Universityen_US
dc.subjectCorporate Social Responsibilityen_US
dc.subjectFinancial Performanceen_US
dc.subjectSelecteden_US
dc.subjectNon-Banking Financial Institutionsen_US
dc.subjectKiambu Countyen_US
dc.subjectKenyaen_US
dc.titleCorporate Social Responsibility and Financial Performance of Selected Non-Banking Financial Institutions in Kiambu County, Kenyaen_US
dc.typeThesisen_US


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