Influence of Innovation Capability on the Competitive Advantage of Private Universities in Kenya

Aim: Private universities in Kenya face declining program quality, limited research output, low graduate employability, and weak global rankings, despite rising enrollment, challenges that stem from their limited use of innovative capabilities. This study aimed to determine the influence of innovation capability on the competitive advantage of private universities in Kenya. Methods: This study employed a descriptive research design. The target population was 33 chartered private universities in Kenya, which act as the unit of analysis. A Census survey was conducted on all the 33 private universities registered with the Kenya National Association of Private Colleges. The unit of observation comprised registrars, the DVCs of Academic Affairs, Finance and Administration, and Research and Extension in private universities. Primary data was gathered using semi-structured questionnaires. The data was analyzed using SPSS 28 version, where correlation and regression analysis were conducted. Results: The findings from correlation analysis revealed that there was a strong and statistically significant positive relationship between innovation capability and the competitive advantage of private universities in Kenya (r = 0.825, p = 0.000). Further, results from regression analysis demonstrated that innovation capability had a positive and significant influence on competitive advantage (β = 0.762, p = 0.000). This implies that enhanced innovation capability among private universities leads to improved competitive advantage within the higher education sector in Kenya. Conclusion: It was concluded that supporting innovation through the introduction of current academic programs, the adoption of updated teaching methods, and ongoing improvement in administrative procedures considerably improves the competitiveness of Kenya's private institutions. Recommendations: It is recommended that private universities enhance innovation by adopting emerging technologies, fostering interdisciplinary collaboration, and supporting research and development to sustain competitiveness and meet evolving stakeholder needs.