An Assessment Of The Relationship Between Competitive Strategies And Performance Of Savings And Credit Co Operative Societies: A Case Of Mwalimu National Sacco

Abstract

Savings and Credit Cooperative Societies have significantly contributed to the growth of Kenyan economy through empowering members to save, access credit and mobilize resources for instance in Kenya today it is a requirement for all public service vehicles operators to be members of a SACCO. However, a majority of the SACCOs in the recent past have faced a number of challenges in retaining membership, mobilizing resources and consequently reduction in share capital. This study assessed the relationship between Competitive Strategies and the performance of Mwalimu National Sacco. The objectives that guided the study were to establish the relationship between marketing strategy and the performance of Mwalimu National SACCO Society, determine the relationship between low cost strategy and the performance of Mwalimu National SACCO Society, establish the relationship between product differentiation strategy and the performance of Mwalimu National SACCO Society and to determine the moderating role of SACCO size on performance of Mwalimu National SACCO. The study was carried out at Mwalimu National Sacco head office at Nairobi Kenya. Descriptive survey design was used. The study targeted a total of three hundred (300) employees of the Mwalimu National Sacco. The researcher adopted Yamane (1967) formula to obtain a sample which was two hundred and fourteen (214). The sample size of 214 was then apportioned to the various strata which are cadres of staff namely Managers, Accountants, Tellers, Human Resource and Marketing officers. Stratified sampling technique was used to obtain a representative sample. Primary data was collected using structured questionnaires. They were administered through drop and pick method. Secondary data was obtained from relevant literature review of annual reports, financial statements. Validity of data collection instrument was ascertained by use of my supervisors and research experts. Reliability was calculated by using split half method. Cronbach alpha was be calculated and it was above 0.6, deeming the research instrument reliable (Creswell, 2016). Data was analyzed by use of, descriptive statistics (mean, frequencies and percentages), multiple regression model and Pearson Product Moment Coefficient. Data analysis was aided by Statistical Package for Social Sciences (SPSS).Frequency tables were used to present the data. The study findings indicated that there was a positive relationship between competitive strategies and the performance of Mwalimu National SACCO. The study recommended that Mwalimu National SACCO should encourage integration of competitive strategies in its operations to enable employees to feel incorporated in the workplace and to boost SACCO performance.