INFLUENCE OF CONTEXTUAL FACTORS ON CUSTOMER EXPERIENCE MANAGEMENT AND ORGANIZATIONAL COMPETITIVENESS OF MOBILE TELECOMMUNICATION SERVICE PROVIDERS IN KENYA

Abstract

One of the most important questions faced by business leaders in the strategic management process
is a choice of how to adopt a market penetration strategy whereby a firm gains more usage from
existing customers and also seeks to attract customers from existing competitors. The mobile
service industry has recently experienced a quick succession of mobile service innovations, in
deciding on the optimal timing of each service launch, carriers need to consider a complex array
of technological, regulatory, and strategic factors. In spite of wide-ranging research on market
penetration strategy, very little empirical research has observed the relationship between the
market penetration strategies and competitiveness in mobile telecommunication sector. Based on
this background, this study sought to investigate market penetration strategy and competitiveness
of mobile telecommunication service providers in Kenya. The study population consists of all the
mobile Service providers in Kenya which according to a list obtained from Communications
Commission of Kenya as at July 2010 are four. Given the small number of firms a census study
was conducted. The data for this study was collected from primary sources using a semi-structured
questionnaire. The findings of the study revealed that contextual factors as extraneous variables
influence both the independent and the dependent variable directly. This study is significant since
it is hoped that findings and recommendation of the study will provides a greater understanding of
appropriate contextual factors influences customer experience management and organizational
competitiveness. In this sense, the study will contributes to knowledge in terms of effective
strategy implementation and its contribution to organizational performance.