EXAMINING THE IMPACT OF PRODUCT DEVELOPMENT STRATEGIES ON THE PERFORMANCE OF REAL ESTATE COMPANIES IN NAIROBI CITY COUNTY, KENYA
Abstract
Purpose of Study: This study was conducted with the aim of investigating the influence of product development strategy on the performance of real estate firms in Nairobi City County, Kenya. The study was anchored on Ansoff Growth Matrix Model.
Statement of the Problem: The ever-changing business environment requires firms to configure their internal capabilities with the turbulent external environmental forces. However, firms are faced with a challenge of ensuring that the formulated growth strategies are aligned with the mission and vision statements.
Methodology: The study adopted a descriptive research design and target all the 89 real estate companies within Nairobi City County. Using census approach, all the 89 targeted real estate firms were included in the study and the key respondents were the managers of these firms. The study collected primary data using structured questionnaire which was administered to the respondents with the help of two research assistants.
Result: The findings revealed a positive and significant relationship between product development strategy and performance of real estate firms in Kenya (β =.355, p=.000<.05).
Conclusion: Based on the findings, the study concludes that product development strategy has positive and significant influence on performance of real estate firms in Nairobi City County.
Recommendation: The study thus recommends that real estate firms in Nairobi should consider fostering the culture of innovation and continuous improvement in product offerings. Managements of real estate firms in Nairobi should develop or upgrade properties with features and amenities that cater to these varied needs, such as environmentally friendly design, smart home technology, shared amenities for communal living, or affordable housing options for lower-income groups.
Keywords: Product Development Strategies, Real Estate Companies, Performance, Nairobi City County, Kenya.
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