THE Effect of Customer Involvement Strategy on Financial Performance of Commercial Banks in Nakurucity, Kenya
Downloads
Organization performance relies on the strategic innovation practices employed by a firm. Organizations are opting for strategic innovation as a response to increasing business environment turbulence and complexity, among them, customer involvement strategy. This study sought to assessthe effect of customer involvement strategyon financial performance of Commercial Banks in Nakuru City, Kenya. The research adopted a descriptive research design, targeting 320 staff working at commercial banks in NakuruCity, with a sample size of 178 respondents. The findings established that customer involvement strategies plays a vital role in influencing the banks financial performance positively. The researcher recommends that banks should focus on assimilating customer’s retention strategies which is important in telling the frequent customers, and hence being in better position to understand their needs since they are able to interact with them. Consequently, through this, the customer’s opinions are taken in to account by the banks decision makers, which facilitates improvement in service delivery, translating to improved financial performance.
Abetti, P. A. (2005). Case Study: The creative evolution of Steria: From French venture to European leader without loss of entrepreneurial spirit and control (1969–2004). Creativity and Innovation Management, 14(2), 191-204.
Arthur, S. M. (2017). Sustainable supply chain: Maintaining a competitive advantage in retail organizations (Doctoral dissertation, Walden University).
Auernhammer, J., & Hall, H. (2014). Organizational culture in knowledge creation, creativity and innovation: Towards the Freiraum model. Journal of Information Science, 40(2), 154-166.
Bamel, U. K., &Bamel, N. (2018). Organizational resources, KM process capability and strategic flexibility: a dynamic resource-capability perspective. Journal of Knowledge Management.
Greer, C. R., Carr, J. C., &Hipp, L. (2016). Strategic staffing and small‐firm performance. Human resource management, 55(4), 741-764.
Kothari, R., Buddhi, D., &Sawhney, R. L. (2008). Comparison of environmental and economic aspects of various hydrogen production methods. Renewable and Sustainable Energy Reviews, 12(2), 553-563.
Lynch, P., Walsh, M. M., & Harrington, D. (2010). Defining and dimensionalizing organizational innovativeness.
Nasution, F. N., &Rafiki, A. (2018). The effect of CRM on organization performance: A study of medium enterprises in Indonesia. Journal of Entrepreneurship Education, 21(1), 24-49.
Ngari, J. M. K., &Muiruri, J. K. (2014). Effects of financial innovations on the financial performance of commercial banks in Kenya.
Rahim, R. A., bin Ahmad Tajuddin, M. A., Bakar, K. B. H. A., & Rahim, M. N. B. A. (2015). Migrant Labour and Issues on Outsourcing System in Malaysia. In SHS Web of Conferences (Vol. 18, p. 01003). EDP Sciences.
Schwab, K. (2018, November). The global competitiveness report 2018. In World Economic Forum (Vol. 671).
Soltani, Z., Zareie, B., Milani, F. S., &Navimipour, N. J. (2018). The impact of the customer relationship management on the organization performance. The Journal of High Technology Management Research, 29(2), 237-246.
Tavassoli, S., &Karlsson, C. (2015). Persistence of various types of innovation analyzed and explained. Research Policy, 44(10), 1887-1901.
Tidd, J. (2001). Innovation management in context: environment, organization and performance. International journal of management reviews, 3(3), 169-183.
Trott, P., (2012). Innovation risks of outsourcing in pharmaceutical new product development. Technovation, 32(2), 99-109.
White, M. A., &Bruton, G. D. (2010). The management of technology and innovation: A strategic approach. Cengage Learning.
Zikmund, W. G., Babin, B. J., Carr, J. C., & Griffin, M. (2010). Business Research Methods, South Western. Cengage Learning.
Zikmund, W. G., D'Alessandro, S., Winzar, H., Lowe, B., &Babin, B. (2014). Marketing research. Sydney: Cengage Learning.
