STRATEGIC MANAGEMENT PRACTICES AND PERFORMANCE OF MILK PROCESSING FIRMS IN NAIROBI CITY COUNTY, KENYA: CASE OF BROOKSIDE DAIRY LIMITED

Abstract

Strategic management plays a critical role in organisations. Intense competition and other factors have necessitated applying strategic management practices in various industries. These practices focus on the factors that lead to the failure or success of different organizations. This study investigates the influence of strategic management practices and performance of milk processing firms in Nairobi City County, Kenya. The study employs descriptive research to collect and analyse data. This study utilises a census approach to collect data from all the respondents. Moreover, questionnaires were also utilised to gather from the respondents. The study ensured that informed consent, confidentiality, and anonymity were observed during data collection and processing. The correlation analysis findings showed that the Pearson coefficient was within the range of 0.5 and 0.8, and the correlation coefficient was 0.873, indicating that a strong and positive relationship existed between strategic management practices and the performance of milk processing firms. The findings showed that the adjusted R2 was 0.749, signifying that strategic management practices and prospects explained 74.9 % of the variations in the performance of milk processing firms. Notably, the major findings from the study indicate that strategic management practices significantly influence firm performance. Each independent variable in the study plays a role in the performance of firms in this industry. The study, therefore, concluded that environmental scanning, strategy formulation, strategy implementation, and strategy evaluation significantly influence milk processing firms' performance in Nairobi City County.