Background: Information technology has aided in the effectiveness of online marketing by enhancing the capacity to advertise new and existing services at any time and from any location. It has aided in the connection of some to the ground, hence expanding the user base.
The goal of this study was to see how technical orientation affected the performance of conventional and Islamic banking in Kenya.Methodology: A mixed methods research strategy based on descriptive, non-experimental, and causal methodologies was used in this study. This research used data from a census that included all 43 commercial banks operating in Kenya as of December 31, 2016. Islamic banks, which offer Shariah-compliant products and services, are included in the commercial banks. The primary data gathering instrument in this study was a questionnaire. The original data acquired from the surveys was reviewed for omissions, legibility, and consistency before being processed for analysis, which began with coding and cleaning. Both descriptive and inferential statistics were used to analyse the processed data. For statistical analysis and display tables of the results processed in Microsoft Excel, Stata version 15 was utilised. To reveal the distribution trends, descriptive analysis was performed on the observed indicators and reported as frequency, percentages, mean, and standard deviation. Because the data was in the form of observed indicators of bigger constructs, composite latent constructs were formed using multivariate dimension reduction techniques (factor analysis). After dimension reduction, the latent constructs were used in statistical modelling.
Technical Orientation was identified as an independent variable and facet of Strategic Orientation, according to the findings. Services, Products, and Research & Development were regarded to be the three dimensions. After factor analysis dimension reduction of the indicators, the latent construct technical orientation was used as an independent variable in a regression model fitted against firm performance, which revealed that it was not a significant level-2 random covariate but had a significant coefficient estimate at the respondent level (level-1). The coefficient of technical orientation on level one performance was determined to be 0.828, implying that increasing the levels of TO by a unit will raise the banks performance by 0.828 regardless of the banking system.
Conclusion: According to the study, the Kenyan banking sector should embrace technology in order to tap into an untapped market through innovations that allow users to complete financial transactions at their leisure.
Author (S) Details
Saleh Anyango Osore
Jomo Kenyatta University of Agriculture and Technology, Kenya.
Patrick Karanja Ngugi
Jomo Kenyatta University of Agriculture and Technology, Kenya.
Kennedy Ogollah
Jomo Kenyatta University of Agriculture and Technology, Kenya.
View Book :- https://stm.bookpi.org/MPEBM-V1/article/view/2025
No comments:
Post a Comment