Talent Retention and Competitive Advantage of Star Rated Hotels in Rift Valley and Western Region, Kenya

The demand for both local and international visitors has seen local investors in the hospitality industry in Kenya jostle for market share. The arrival of the international hotel brands such as Best Western, Pullman and Park-In among others has increased competition as hotels scramble to provide quality products and services to their customers. Consequently, this sought to explore the influence of talent retention on competitive advantage of star rated hotels in Rift Valley and Western region, Kenya. The study was anchored on human capital theory. The study used simple random sampling to select a sample size of 62 respondents. The study adopted a correlational research design and data was collected using a questionnaire and analyzed quantitatively using both descriptive and inferential statistics. Prior to the actual data collection exercise, the study conducted pilot testing which involved both validity and reliability testing. The findings were presented in tables. The findings revealed that talent retention had a positive and significant influence on competitive advantage of star rated hotels in Rift Valley and Western Region, Kenya (P=0.000). The study concluded that hotel's talent retention strategies are generally effective especially enhancing a minimal employee turnover, a positive corporate image, and the use of succession planning and growth opportunities to retain talent. In view of the findings, the study recommends for the strengthening of the internal talent pool by investing in employee development programs. Encourage internal mobility and provide clear career progression paths to retain and motivate top talent. Keywords: Talent Retention, Competitive Advantage, Star-Rated Hotels, Rift Valley, Western Kenya