Thesis:
Influence of strategy implementation on performance of Multinational flower firms in Kenya

Abstract

Multinational flower export firms are key players in Kenya’s horticultural industry, contributing significantly to the country’s gross domestic product and foreign exchange earnings. Despite their economic importance, many of these firms face persistent performance challenges. These include erratic customer orders, volatile market conditions, unrealistic delivery schedules, premature harvesting, and high freight costs. Such challenges have resulted in financial losses and, in some cases, the closure or exit of firms from the market. In light of these concerns, this study examined the influence of strategy implementation on the performance of multinational flower firms in Kenya. Specifically, it aimed to assess the effect of strategic resource allocation, top management commitment, organizational structure, and organizational culture on firm performance. The study was anchored on several theoretical frameworks, including the Resource-Based View (RBV), Institutional Theory, Upper Echelons Theory, Cameron and Quinn’s Organizational Culture Theory, and the Economic Model of Firm Performance. A descriptive research design was adopted to provide detailed insight into the phenomenon under investigation. The target population consisted of 455 departmental heads from 91 multinational flower firms certified by the Flower Council of Kenya. Using Taro Yamane’s formula, a sample of 213 respondents was selected through purposive sampling. Data was collected using structured questionnaires. To ensure instrument quality, validity was assessed through content and construct validity, while reliability was tested using Cronbach’s alpha coefficient. A pilot study involving 10% of the sample was also conducted to refine the tools. Data analysis was conducted using the Statistical Package for Social Sciences (SPSS). Descriptive statistics (such as means and percentages) and inferential statistics (including regression analysis) were employed to test relationships among variables. Out of the 213 questionnaires distributed, 197 were returned, resulting in a response rate of 92.5%. The results indicated that all four variables strategic resource allocation, top management commitment, organizational structure, and organizational culture had a statistically significant positive influence on the performance of multinational flower firms. Based on these findings, the study concluded that effective strategy implementation is driven by prudent resource management, committed leadership, well-structured organizational systems, and a culture that supports innovation and adaptability. The study recommends that multinational flower firms invest in robust strategic resource planning, cultivate strong and visionary leadership, establish clear and responsive organizational structures, and foster inclusive and performance-oriented cultures. These elements are vital for building resilience and enhancing competitiveness in the ever-evolving global flower export market. Lastly, the study suggests that future research could adopt longitudinal approaches to examine the long-term impact of strategy implementation on firm performance and consider contextual factors such as government policy, climate change, and global trade shifts that may affect strategic outcomes.

Cite this Publication
Sira, S. A. (2025). Influence of strategy implementation on performance of Multinational flower firms in Kenya. Mount Kenya University. https://erepository.mku.ac.ke/handle/123456789/7440

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Mount Kenya University