School of Business & Economics
http://ir.jooust.ac.ke/handle/123456789/33
2024-03-28T00:58:00ZA stochastic model of relationship between board demographics and firm diversification strategies in emerging markets: NSE, Kenya
http://ir.jooust.ac.ke/handle/123456789/208
A stochastic model of relationship between board demographics and firm diversification strategies in emerging markets: NSE, Kenya
Museve, Elijah; Tenai, Joel; Nyangweso, Philip
Several researches have been conducted examining or interrogating dividend policies, diversification strategies, and corporate governance in firms. Empirical studies have also shown that agency problem
continue to exist where there is lack of alignment of managers interest with those of the shareholders in terms of resource management and returns on the investment. The literature review has revealed that there is no single study that has specifically looked at the board demographics on relationship between firm diversification strategies and dividend payout. This research will be carried out on all firms listed at Nairobi Securities Exchange for the period 2004 to 2014. NSE is targeted since it is a regional investment hub with the highest number of listed firms (63) comparable to other East Africa Region Countries and perfectly fit the definition of emerging markets by Kumar and Tsetsekos, (1999). Firms trading at NSE are regulated by the Capital Markets Authority(CMA),an independent public agency charged with the responsibility of regulating and facilitating the development of orderly, fair and efficient capital markets in Kenya. The study will use panel data relating to the firms’ and which will be obtained from the CMA. The study will focus on moderating role of board demographics on relationship between diversification strategies and dividends pay-out in emerging markets: NSE, Kenya. Causal research design will be used in the research. Data will be analysed using hierarchical linear modeling (HLM) for measuring structural differences in financial behavior of firms’ and vector autoregression analysis (VAR) a system of dynamic linear relations for aggregate effect of independent variables on the dependent variable. This study will be guided by agency theory, free cash flow hypothesis and RBV theory.The study findings will be important to the managers of listed corporate organizations as it will provide a basis of converging the interest of managers with those of shareholders when pursuing value maximization strategies, to the academic field, it will generate new knowledge to the existing theory of finance and form the basis for future research while to the investors to make informed decision of buying into diversified firms. In addition it will illuminate on the role of corporate governance on adoption of investment opportunities and their effect on dividend pay-out. Lastly it will help the policy makers at CMA and NSE in formulating sound proactive governance policies on the diversification strategies pursued by listed firms in line with the shareholders wealth maximization principle and the realization of government’s 2030 vision of making Kenya a middle income economy.
1st JOOUST Scientific Conference
2015-06-24T00:00:00ZEffects of strategic planning on organizational efficiency of tea factories in Kisii county- Kenya
http://ir.jooust.ac.ke/handle/123456789/205
Effects of strategic planning on organizational efficiency of tea factories in Kisii county- Kenya
Areri, David M.; Anyango, Maria; Okelo, Bernad N.
Strategic planning may be characterized as a systematic effort to produce fundamental decisions and actions
that shape and guide what a business organization is, what it does, and why it does it. This study seeks to assess the effects of organizational efficiency on tea factories in Kenya. Tea was introduced in Kenya in 1903 and the cultivation of the crop has expanded rapidly in terms of area planted and volume of Tea produced. Expansion of tea growing in different Agro-Ecological zones and under different socio-economic conditions calls for joint efforts in the tea research and development, technology and information transfer research on tea was initiated in Kenya by Brook Bond Limited in 1949, as a department within its local company, the African Tea holdings Limited. Recently revenues from Tea in Kenya have dropped significantly by KShs 16 billion in 2014 which was a 14% from the previous year. The decline was attributed to the oversupply of the cash crop in the global market and poor quality of the crop. Despite of this little has been documented regarding the extent to which strategic planning in the management of tea in terms of growth, production and distribution. This study therefore sought to investigate the effect of strategic planning on the efficiency of tea producing factories. This study employed a descriptive survey design. The total population in this study has been 624 employees of 6 Tea factories within Kisii County. The population has been sampled proportionally and each sampled employee is issued with a questionnaire. Descriptive and inferential statistics has been used to analyze data. Data has been presented in form of percentiles, weighted averages, pie charts and frequency distribution Tables. The findings from this study provides valuable insights to the Government, the stake holders, scholars and researchers can rely on in their collective endeavor of addressing the effects of strategic planning in the improvement on production and distribution of tea in Kenya.
1st JOOUST Scientific Conference
2015-06-24T00:00:00ZGovernment spending in agriculture and financing and private investment in Kenya: 1970-2012
http://ir.jooust.ac.ke/handle/123456789/203
Government spending in agriculture and financing and private investment in Kenya: 1970-2012
Oyieke, Samuel
The need for efficient utilization of public resources has been the focus of government expenditure policy. The problem is with regard to where such expenditures can generate maximum benefit to the economy andhow to finance this expenditure. This study sought to provide empirical evidence on the effect of government expenditure on agriculture and its financing and the growth of private investment.The study used time series data on government expenditure on agriculture, domestic debt, external debt, taxation and private investment for the period 1970-2012. The error correction model was used as the basic econometric model. To control for the investment and expenditure environments, the study included political risk and exchange rate as control variables. The study found that investment in agriculture positively and significantly affected private sector growth. A Kenya shilling invested in agriculture led to 1.265 shillings growth in private investment. Domestic debt financing was found to have a significantly negative effect on private investment. A shilling of domestic debt used to finance expenditure, led to -1.476 shilling decline in private investment. The study observes that any disruption in the private sector growth will adjust back to the growth path within one year at a rate of 65%. The study recommends that the government should intensify investment in the agricultural sector. This investment should not be financed from domestic tax revenue as this has a negative effect on private investment.
1st JOOUST Scientific Conference
2015-06-24T00:00:00ZInfluence of entrepreneurship on small and medium enterprises: a case study of smes owned by females in Kisii town, Kisii County, Kenya
http://ir.jooust.ac.ke/handle/123456789/201
Influence of entrepreneurship on small and medium enterprises: a case study of smes owned by females in Kisii town, Kisii County, Kenya
Barongo, Jackline B.; Anyango, Maria; Okelo, Bernad N.
1st JOOUST Scientific Conference
2015-06-24T00:00:00ZInfluence of leadership styles on staff retention in state corporations in Kisii County, Kenya
http://ir.jooust.ac.ke/handle/123456789/191
Influence of leadership styles on staff retention in state corporations in Kisii County, Kenya
Gekonde, Ibrahim N.; Anyango, Maria; Okelo, Bernad N.
Leadership is the most important aspect of the management. It is the trust and faith leaders should have in the staff to build the air of harmony and peace for smooth state corporation operations. In Kisii County, there is low productivity and employee performance in most of the state corporations. Further, a large number of managers operate in the organizations without keen interest on their actions on retention of staff in the state corporations. The purpose of this study has been to determine the influence of leadership styles on retention of staff in state corporations in Kisii County, Kenya. The specific objectives of the study are: to find out the leadership styles used in state corporations, to determine the level of staff retention in state corporations and to establish the influence of leadership styles on staff retention in state corporations in Kisii County. This study seeks to employ a conceptual framework in which the independent variable is the leadership styles used in state corporations whereas retention of staff in state corporations becomes the dependent variable. The study adopts a descriptive survey design. The target population consists of seven state corporations in Kisii County; seven (7) managers/ principals, seven (7) HODs and 726 employees in the state corporations. The study employs purposive sampling and simple random sampling techniques to select the sample. Purposive sampling is also used to sample key informants like the managers/principals and HODs of the institutions. Simple random sampling is used to select the employees in the state corporations. Sample size for the employees can be determined in accordance with Morgan matrix. Questionnaires and interview schedules is used to collect data from respondents. The reliability and validity of the outcome of this study can be ensured. In this study both qualitative and quantitative data has analyzed. The data is organized, presented, analyzed and interpreted using descriptive statistical techniques. The findings may assist policy makers to come up with strategies of sensitizing other stakeholders and managers on successful management. The study findings enable managers and their HODs to improve on their leadership styles to retain the staff.
1st JOOUST Scientific Conference
2015-06-24T00:00:00ZLinking farmers to markets through modern information and communication technologies in Kenya
http://ir.jooust.ac.ke/handle/123456789/89
Linking farmers to markets through modern information and communication technologies in Kenya
Mukhebi, Adrain W.; Kundu, J.; Okolla, A.; Wambua, M.; Ochieng, W.; Fwamba, G.
This paper highlights a market information and linkage system (MILS) developed and tested by the Kenya Agricultural Commodity Exchange Limited (KACE) that increases the efficiency of agricultural markets to work better for smallholder farmers and other small and medium sized agro-enterprises (SMEs). The MILS involves harnessing modern information and communication technologies (ICTs) to empower farmers with low-cost reliable and timely market information to enhance the bargaining power of the farmer for a better price in the market place, and to link the farmer to markets more efficiently and profitably. The components of the KACE MILS are (www.kacekenya.com): Rural based Market Information Points (MIPs) which are information kiosks located in rural markets, District-level Market Information Centres (MICs), Mobile Phone Short Messaging Service (SMS), Interactive Voice Response (IVR), Internet based database system, rural FM radio and the Central Coordinating Hub in Nairobi. KACE has adopted a business approach to the provision of its services: users pay for the services. For instance it charges: placement fees per initial offer or bid (US$ 1.5-15), commissions on concluded deals (0.5%-5%), subscriptions to price information recipients (US$ 65 for 6 months or US$ 125 for 12 months), fees to visiting foreign groups (US$ 2,000-5,000/visit) and revenue sharing agreements with SMS and IVR service providers. When the KACE MILS services are scaled out and widely used by many farmers and SMEs across Kenya, the system will generate sufficient revenue to sustain its services without reliance on development partner funding. To enhance the financial sustainability of the MILS services further, KACE has recently initiated two innovations: franchising MIPs and MICs to local entrepreneurs, and establishing a virtual trading floor to improve the matching of offers and bids through a rural-based FM Radio program. A recent study of the impact of the KACE MILS concluded that the proportion of farmers and traders that say their incomes has increased and their bargaining positions have improved is very high (75% farmers and 60% commodity traders). Furthermore, the study concluded that it was clear that during the years in which the KACE MILS has been operational, market integration improved for two commodities studied (i.e. maize and beans). This study also highlights the challenges faced by the KACE MILS, including poor infrastructure that imposes high transport costs to markets, high costs of mobile phone calls and SMS and small quantities of produce of varying quality offered.
2007-01-01T00:00:00Z