Chemain, Flovia Chepkemoi2025-08-012025-08-012025-03https://ir-library.ku.ac.ke/handle/123456789/31008A Research Project Subitted to the School Of Business, Economic and Tourisim in Partial Fulfilment of the Requirement for the Award of the Degree of Masters of Business Administration (Strategic Management) of Kenyatta University, March, 2025; Supervisor: 1.Abel Gwaka AnyieniPublic hospitals in Kenya, particularly those in West Pokot County, face persistent challenges in improving efficiency, service quality, and patient satisfaction within a setting of limited resources and dynamic healthcare needs. Despite ongoing innovation initiatives, noticeable performance gaps remain, highlighting a critical need to assess how innovation strategies influence hospital performance. The general objective of this study was to evaluate the influence of innovation strategies on the performance of public hospitals in West Pokot County. Specifically, the study sought to: determine the effect of product innovation on hospital performance; assess the impact of organizational innovation on performance; examine how process innovation influences performance; and evaluate the role of market innovation in enhancing hospital outcomes. Each objective was analyzed independently. Product innovation was assessed based on new services or treatments introduced to improve patient care. Organizational innovation focused on changes in management structure and internal processes. Process innovation evaluated improvements in service delivery mechanisms, while market innovation involved strategies aimed at responding to patient preferences and external competition. A combination of open- and closed-ended questionnaire items was used to gather primary data from a stratified random sample of participants drawn from the target population. Data were collected using the drop-and-pick method and analyzed through descriptive and inferential statistics, with findings presented using charts and tables. The study was guided by four key theoretical frameworks: The Diffusion of Innovation Theory, which explains how new ideas spread; the Resource-Based Theory, which highlights the role of internal assets in gaining a competitive edge; the Knowledge-Based Theory, which emphasizes knowledge as a core strategic resource; Goal Setting Theory, which emphasizes the importance of setting measurable objectives and the Theory of Performance, which links innovation to outcomes. Findings revealed that all four innovation strategies product, organizational, process, and market had a positive and statistically significant impact on hospital performance. This indicates that innovation is a strong driver of improved hospital outcomes. The study recommends that hospital management strengthen internal communication systems to facilitate better understanding and implementation of innovation strategies. Furthermore, actively engaging patients to understand their needs and preferences can lead to more effective market innovations, ensuring services are aligned with user expectations and ultimately enhancing performance.enThesis