Abdullahi Dubat, Dr. Ismail Shale Noor


The performance of state Commercial Corporation is indicated by such factors as their contributions to social welfare, job creation, general economic empowerment and improvement of lives of the poor. However, despite the interest in the sector and the subsidies that have flowed into some of the mission-oriented state Commercial Corporations, it seems that most state Commercial Corporation struggle with the challenge of remaining viable over the long-term. The general objective of the study was on effect of strategic dynamic capability on performance of commercial State Corporation in Nairobi city county, Kenya. Specifically, the study seeks to establish effect of strategic innovations capability on performance of commercial state corporations in Nairobi City County, Kenya and to assess effect of quality service capability on performance of commercial state corporations in Nairobi City County in Kenya. The study adopted a descriptive survey research design. A total of 165 management level employees working in state corporations were targeted. The study used primary data that was collected by use of questionnaires.  A questionnaire is a research instrument consisting of a series of questions for the purpose of gathering information from respondents. Descriptive statistics were used to summarize data and make general observations about the data on the relationship between managerial capabilities and Performance of commercial state corporations in Kenya. The study also employed inferential statistics to draw conclusions on the proposed hypotheses formulated in the study. To test the strength of the causal relationships between variables in the study, Pearson’s product moments correlation was used. Results show that there is a strong significant relationship between strategic innovation and corporation’s performance. In addition, the study found that there is a strong significant relationship between quality service capability and corporation’s performance.


 Key Words: Strategic Dynamic Capability, Performance of Commercial State Corporation, Strategic Innovations Capability and Quality Service Capability


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