Abstract:
Globally, security challenges are widely recognized as major obstacles to human safety, investment, and environmental stability. In response, governments around the world are implementing various strategies to mitigate the negative impact of insecurity, such as fostering a more favorable business environment for private security companies to compete on equal footing. Despite these efforts, many private security firms have struggled to stay afloat, with several failing due to their inability to withstand intense business competition. This study aimed to examine the relationship between competitive strategies, responsiveness, and the performance of private security firms in Uasin Gishu County, Kenya. The research was guided by the following objectives: to assess the impact of differentiation strategy on the performance of private security firms, to investigate the effect of cost leadership strategy, to explore how customer focus strategies influence firm performance, and to analyze the role of responsiveness strategies on the overall performance of these firms. The study was based on three key theories: Porter's Generic Competitive Strategies theory, Contingency theory, and the Resource-Based View theory. A combination of simple and stratified sampling techniques was employed, and the sample size was determined using the Taro Yamane (1967) formula, adjusted for a 15% non-response rate. The final sample size consisted of 156 respondents from a target population of 198. Questionnaires were used as the primary data collection tool. To ensure the validity of the instruments, consultations with field supervisors were sought, and reliability was assessed using Cronbach‘s Alpha, where a coefficient of 0.7 or higher was deemed acceptable. Data analysis involved both descriptive statistics (such as frequencies, percentages, means, and standard deviations), which were presented in tables and charts, as well as inferential statistics through multiple regression analysis. The findings revealed that all four competitive strategies—differentiation, cost leadership, customer focus, and responsiveness—had a significant impact on the performance of private security firms. While other factors also influence performance, it was evident that competitive strategies were the primary drivers of a firm's success. The study concluded that private security firms in Uasin Gishu County should enhance their strategic capabilities to improve their performance. These findings provide valuable insights for potential entrepreneurs in the private security industry, as well as for security managers and supervisors seeking to remain competitive and optimize performance.