KNOWLEDGE SHARING AND COMPETITIVE ADVANTAGE OF COMMERCIAL BANKS IN KENYA
Abstract
Purpose: The study aimed to investigate the impact of knowledge sharing on the competitive advantage of commercial banks in Kenya.
Methodology: A quantitative approach was utilized, targeting 10 tier-1 banks registered under the Central Bank of Kenya. A purposive sampling design was employed to select these banks. Data were collected from three middle-level management representatives from each bank using structured questionnaires, and secondary data were obtained from annual reports. Descriptive statistics were used for data analysis.
Results: The findings revealed a significant positive correlation between knowledge sharing and competitive advantage, with a coefficient of 0.62 for ROA. This indicates that effective knowledge-sharing practices are strongly associated with improved financial performance in the banks. The results suggest that banks that prioritize knowledge sharing enhance their operational efficiencies and responsiveness to market demands.
Conclusion: The study concludes that knowledge sharing has a significant impact on the competitive advantage of commercial banks in Kenya
Recommendation: The study recommends that banks should prioritize the cultivation of a knowledge-sharing culture, invest in systems and training to facilitate collaboration, and regularly assess the effectiveness of their knowledge management strategies.
Keywords: Knowledge sharing, competitive advantage, commercial banks, Kenya, Return on Assets (ROA)
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