Strategic Innovations and Telecommunication Mobile Network Operators in Machakos County, Kenya
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Date
2023
Authors
Mutheu, Makau Nancy
Mwasiaji, Evans
Journal Title
Journal ISSN
Volume Title
Publisher
IAJIST
Abstract
Telecommunications industry globally play
a crucial role in not only facilitating societal
communication, but also in enabling
economic and social development through
the provision of required infrastructure and
digital services to entities for data
transmission in a globalized business
environment. In Kenya, the
Communication Authority's 2021-2022
Annual report shows that it has promoted
competition in the market and facilitated
increased placement of 4G transceivers for
mobile telephone service provision. Despite
this, leading telecommunication firms in
Kenya have most recently reported losses
and or a large number of dormant
customers. In its 2019-2020 annual report,
the Kenya Communications Authority also
indicated that Safaricom PLC which has the
most subscribers in the country had a
decline in its market share in June 2019.
Given market challenges and importance of
the telecommunications sector, some
studies have recommended that strategic
innovation is critical in adapting to
changing circumstances, achieving a
competitive advantage and superior
organizational performance results. This
study therefore sought to establish a link if
any between strategic innovations and
performance of telecommunication mobile
network operators in Machakos County,
Kenya. The balanced score card anchored
the dependent variable. The unit of analysis
was Airtel Kenya, Safaricom PLC and
Telkom Kenya, while the unit of
observation was 45 management staff. A
structured questionnaire was used to
generate data that were analyzed using
descriptive statistics, while regression
analysis was conducted in examining the
nature of relationship between the study
variables. This study with an 82.22%
response rate, established a positive
relationship between functional integration,
market focus, technological adoption and
the performance of telecommunication
mobile network operators in Machakos
County, Kenya. The study’s position is that
effective adoption of the three strategic
innovations leads to better organizational
performance by telecommunication mobile
network operators in terms of the four
balanced score card dimensions. The study
therefore recommends that there is need for
telecommunication mobile network
operators to undertake stakeholder
management to support full integration of
strategic innovations for continuous
performance improvement. There is also
need for additional studies on market focus
in isolation from technological adoption
and functional integration for having the
least positivity. The expected study output
is enhanced performance in support of
overall growth of the telecommunication
sector for social and economic development
in Kenya.
Description
Article
Keywords
Strategic Innovations, Performance, Telecommunication Mobile Network Operators
Citation
Mutheu, M. N. Mwasiaji, E. (2023). Strategic innovations and telecommunication mobile network operators in Machakos County, Kenya. International Academic Journal of Information Systems and Technology, 2(1), 321-341.