Strategic Leadership and Competitive Advantage of Small and Medium Enterprises in Nairobi City County
- June 1, 2022
- Posted by: RSIS
- Categories: Business Administration, IJRISS
International Journal of Research and Innovation in Social Science (IJRISS) | Volume VI, Issue V, May 2022 | ISSN 2454–6186
Agnes Wanja Nyawira*, David Kiiru
Kenyatta University, Department of Business Administration
*Corresponding Author
Abstract: Enterprises derive competitive advantage from the implementation of strategic plans creatively and innovatively. A way of achieving a competitive advantage in an organization is to apply strategic leadership in the implementation process. This study evaluates the influence of strategic leadership on the achievement of competitive advantage among SMEs in Nairobi county. The study derived its guide mainly from the Porter five theory on achievement of competitive advantage among firms. The study was a cross-sectional survey that included 186 top and middle-level managers, who participated in the study by responding to online questionnaires as well as hand-delivered. Data for the study was analyzed through descriptive and inferential analysis. With a response of 164 respondents, the results of the study revealed that strategic leadership had a positive and significant influence on the competitive advantage of small and medium firms in Nairobi County. The study recommended frequent training of the employees on leadership, ethics, and integrity issues. The study further recommended that the employees should be aware of the goals, vision, and objectives of the organization at all times to enhance competitive advantage among SMEs in Nairobi City County.
Key Words: Strategic Plans Implementation, Strategic Leadership, Competitive Advantage, Small and Medium Enterprises.
I. INTRODUCTION
The global business environment has become very dynamic and complex that organizations must keep changing their plans to remain competitive in their market to edge out their competitors. One of the ways is through strategically implementing plans that are relevant, unique, and realistic to achieve a competitive advantage. Strategic management allows organizations to push their competitiveness level above that of their rivals by aligning their operations. The efficacy of the process of implementing a strategy determines its success and therefore developing a capable organization becomes the top priority of the implementation process. It entails nurturing and building competencies and skills, developing an internal structure in the organization that is responsive, and ensuring that people selected to fill key positions are appropriate (Aladwani, 2003).
