ENTREPRENEURIAL STRATEGIES AND SUSTAINABILITY OF FAITH BASED ENTERPRISES IN NYERI CATHOLIC ARCHDIOCESE
Abstract
Purpose of the Study: The purpose of this study was to assess the relationship between entrepreneurial strategies and the sustainability of faith-based enterprises in the Nyeri catholic archdiocese.
Statement of the Problem: Despite the continual efforts by FBEs in Kenya to eradicate poverty, improve people’s health, protect the environment and continue with their promotion of works towards sustainable development, they're faced with myriad challenges that affect their overall sustainability approach. Very few local FBEs have strong financial, monitoring and evaluation systems. These occur as a result of the shortage of skilled personnel, poor management, over-dependence, and poor financial control practices.
Research Methodology: The study targeted all the 22 enterprises within the Archdiocese of Nyeri. The units of analysis were managers and assistant managers in those faith based enterprises, census was used to enumerate all the respondents. The questionnaire was the key data collection instrument used and therefore the data collected was analyzed using quantitative approach. The researcher employed qualitative data, descriptive and inferential statistics.
Result: The result of the study indicated that the four predictor variables (cost leadership strategy, innovation/creativity, revenue diversification and financial management practices) explained 72.5% of the variation in sustainability of faith based enterprises in Nyeri Catholic Archdiocese. The outcomes showed that cost leadership strategy, innovation, income diversification, and fiscal management performance were agreeable variables in enlightening the sustainability of faith-based enterprises in the Catholic archdiocese of Nyeri. The study recognized that there was a positive and significant relationship between; leadership in costs and sustainability (β =.252, p=0.018), creativity and sustainability (β =.163, p=0.001), revenue broadening and sustainability (β =.620 p=0.000), fiscal administration practices and sustainability of religion based businesses in the catholic archdiocese of Nyeri (β =.540 p=0.023).
Conclusion: The study concluded that the majority of the religion based enterprises in Nyeri Catholic Archdiocese have adopted entrepreneurial strategies to an excellent extent and therefore the adoption has enabled most of the enterprises to enhance on their profits, increase market share, improve on their sustainability, create more capital for business growth and reduce competition from the market place.
Recommendation: The study recommended that the faith based enterprises in Catholic Archdiocese of Nyeri should research on and implement entrepreneurial strategies that will enable them to price their products/services more competitively than rivals for them to extend their client base hence achieve sustainability.
Keywords: Entrepreneurial, Strategies, Sustainability, Faith Based, Enterprises, Catholic Archdiocese
References
Bielefeld, W., & Cleveland, W. S. (2013). Faith-based organizations as service providers and their relationship to government. Nonprofit and Voluntary Sector Quarterly, 42(3), 468-494.
Cnaan, R. A., & Curtis, D. W. (2012). Religious congregations as voluntary associations. Nonprofit and Voluntary Sector Quarterly, 20, 1-27.
Haghighinasab, M., Sattari, B., Ebrahimi, M., & Roghanian, P. (2013). Identification of Innovative Marketing Strategies to Increase the Performance of SMEs in Iran. International Journal of Fundamental Psychology & Social Sciences, 3(2), 26-30.
Hoskisson, R. E., Hitt, M. A., & Ireland, R. D. (2001). Strategic management: Competitiveness and globalization.
Isaga, N. (2012). Entrepreneurship and the growth of SMEs in the furniture industry in Tanzania (Doctoral dissertation, Amsterdam: Vrije Universiteit).
Kaliappen, N., Hilman, H., & Abdullah, O. Y. (2013). Enhancing organizational performance through strategic alignment of cost leadership strategy and competitor orientation. Middle-East Journal of Scientific Research, 18(10), 1411-1416.
Kariuki, D. M. (2013). Factors influencing management of children’s home: a case of Methodist church in Imenti north, Kenya (Doctoral dissertation, University of Nairobi).
Kuswantoro, F., Rosli, M. M., Abdul, R., & Ghorbani, H. (2012). Impact of distribution channel innovation on the performance of small and medium enterprises. International Business and Management, 5(1), 52-61.
Magano, E. (2001). A community development project management model in a deprived community in Moretele, Mpumalanga (Doctoral dissertation, University of Johannesburg).
Makanyeza, C., & Dzvuke, G. (2015). The influence of innovation on the performance of small and medium enterprises in Zimbabwe. Journal of African Business, 16(1-2), 198-214.
Muasa, S. M. (2014). Cost leadership strategy and sustainable competitive advantage of Naivas supermarket limited in Kenya (Doctoral dissertation, University of Nairobi).
Ndesaulwa, A. P., & Kikula, J. (2016). The impact of innovation on performance of small and medium enterprises (SMEs) in Tanzania: A review of empirical evidence. Journal of Business and Management Sciences, 4(1), 1-6.
Odekunle, S. O. (2001). Training and skill development as determinant of workers’ productivity in the Oyo State public service. Unpublished Ph. D Thesis, University of Ibadan.
Ogula, P. A. (2005). Research methods.
Olarinmoye, O. O. (2014). Accountability in faith-based organizations in Nigeria. Transformation, 31(1), 47-61.
Porter, M. E., & Strategy, C. (1980). Techniques for analyzing industries and competitors. Competitive Strategy. New York: Free.
Prajogo, D. I. (2007). The relationship between competitive strategies and product quality. Industrial management & data systems.
Serrano Berthet, R. (1996). Who knows what's best for the poor?: demand-driven policies and rural poverty in northeast Brazil (Doctoral dissertation, Massachusetts Institute of Technology).
von Schnurbein, G., & Fritz, T. M. (2017). Benefits and drivers of nonprofit revenue concentration. Nonprofit and Voluntary Sector Quarterly, 46(5), 922-943.
Wafula, D. S. (2012). Faith and other related factors affecting project financing: the case of faith based organizations in Kilifi County, Kenya (Doctoral dissertation, University of Nairobi, Kenya).
Wandera, T. V., & Sang, P. (2017). Financial Management Practices and Sustainability of Non-Governmental Organizations Projects in Juba, South Sudan. International Journal of Finance, 2(4), 38-57.
Wanyoike, J. K., & Orwa, B. H. (2016). Strategic Management Practices and Sustainability of Faith Based Organisations: An Empirical Study of Anglican, Diocese of Thika Joseph Kuria Wanyoike. International Journal of Education and Research, 4(1), 169-186.
Weber, M. (2009). The theory of social and economic organization. Simon and Schuster.
Yan, W., & Sloan, M. F. (2016). The impact of employee compensation and financial performance on nonprofit organization donations. The American Review of Public Administration, 46(2), 243-258.
