Effect of Business Strategies on Transient Competitive Advantages of Large-scale Manufacturing Companies in Kenya

This study examines the effect of business strategies on transient competitive advantages (TCA) in large-scale manufacturing firms in Kenya. It was motivated by the need to understand how strategic posturing in a dynamic environment, driven by technological advancements, influences competitiveness. A correlational research design was employed, targeting 857 firms. Data were collected through structured questionnaires from 267 managers in operational, marketing, and IT departments, with a response rate of 76.8%. Descriptive statistics, correlation analysis and regression analysis were used in data analysis. The results revealed that corporate, business, and functional-level strategies have significant beneficial effects on TCA, with corporate-level strategies showing the strongest effect (β = 0.415, p = 0.001), followed by business-level strategies (β = 0.236, p = 0.002), and functional-level strategies (β = 0.084, p = 0.02). The regression model explained 37.4% of the variance in TCA, indicating that improving strategic alignment can enhance a firm’s competitive advantage. The study concludes that large-scale manufacturing firms in Kenya need to better align their business strategies to harness the full potential of digital transformation, innovation, and resource optimisation. It recommends that policymakers and industry leaders foster a supportive environment for strategic alignment with digital transformation initiatives to enhance competitiveness and growth.