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The University Journal Volume 5 Issue 3 2023 ISSN: 2519 – 0997 (Print)
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Influence of Strategic Aggressiveness Posture on Transient Competitive
Advantage Adoption among Private Hospitals in Nairobi City County,
Kenya
1Veronicah Kaluyu and 2Lawrence Odollo
1 United Sates International University- Africa, Nairobi, Kenya
2Jomo Kenyatta University of Technology
Email: veroanuiodl@gmail.com
*Corresponding author
Cite: Kaluyu, V.K., & Odollo L., (2023). Influence of Strategic Aggressiveness Posture on Transient
Competitive Advantage Adoption among Private Hospitals in Nairobi City County, Kenya. The University
Journal, 5(3), 375-392.
Abstract
Hyper dynamic business environment has rendered the pursuit of sustained competitive
advantage untenable, hence the need to focus on transient competitive advantage which is a
combination of various factors, which result in the ability of the firm to adapt swiftly to a fast-
changing environment. This study’s’ purpose was to assess the influence of strategic
aggressiveness posture on adoption of transient competitive advantage. The precise objective of
the study entailed was to assess the influence of strategic aggressiveness posture on the adoption
of transient competitive advantage by private multi-practice hospitals in Nairobi City County,
Kenya. This study was guided by the dynamic capability theory of the firm and McGrath
transient competitive advantage theory. The study adopted a descriptive correlational survey
research design. The total target population was 400 hospital administrators from which a
sample size of 200 respondents was selected using Stratified random sampling method. To
enhance reliability and validity of study instruments, a pilot study was carried out whereby a
reliability coefficient of 0.7 was considered acceptable. Both descriptive and inferential data
analysis methods were used to analyze data. Analysis of data was done within acceptance
margin of error of 0.95. Regression beta coefficients were used to examine influence of the
independent variables on the dependent variable among private multi-practice hospitals in
Nairobi city County in Kenya. The study found out that that strategic aggressiveness posture had
a statistically significant influence on transient competitive advantage (β= 0.397(t=.000) and
with model prediction of R square 0.292 significant at F=.000). The study concludes that
strategic aggressiveness posture has a statistically significant influence on transient competitive
advantage among private multi-practice hospitals in Nairobi city County in Kenya. Thus the
study recommends the hospitals’ policy reviews to capture these areas for improvement: review
policy to revamp competition analysis, increase market assertiveness and soldier towards best
cost provision as well as adopt unpredictability in services differentiation.
Key words: Transient Competitive advantage, Strategic posture, Strategic aggressiveness,
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Introduction
A host of factors from technologies revolution, reduction in lead-time and life expectancy of
products, changing customers` habits, behavior, and demands, globalization among other factors
are creating hypercompetitive environments for firms (Pfannstiel, Rasche, 2017; Chang, Chiao,
& Tsai, 2017). This unpredictable and competitive environment has placed many firms at risk of
losing their markets or even exiting and closing their businesses (Pascuci, Meyer, & Crubellate,
2017).Many factors contribute to the health sector's complex environment, including the rise of
digital technologies related to how healthcare is delivered, such as telemedicine, changing patient
populations, and their needs, higher patient expectations, the development of medical
technology, medical staff turnovers, and the presence of many multi-practice hospitals
(Pfannstiel, Rasche, 2017; Mahasneh, Alnahdi & Bani-Hani, 2020). As a result, hospitals must
find the right strategic posture, and discover new ways to compete by identifying the necessary
means and processes for improvement; innovating, redesigning, and developing health services
(Chang, Chiao, & Tsai, 2017).
The health sector's challenges have been exacerbated by the COVID 19 pandemic, which has
increased the complexity and turbulence in both the business and health sectors. COVID-19 has
created an unprecedented level of uncertainty since its inception in 2019. The COVID-19
outbreak has posed a unique public health threat to most countries around the world, particularly
African countries such as Kenya because the government and most health facilities cannot detect
and respond to COVID-19 cases (Gilbert, Pullano, Pinotti, 2020). To cope with the current
unstable environment there is need for the firms to have the proper strategic posture.
McGrath (2013) proposed the idea of transient competitive advantage and a model to explain this
concept using six strategies to achieve TCA, which include: removing industry restrictions,
adopting new standards and supporting innovation activities, focusing on customer experience
and solutions. Further McGraith asserts that organizations that have mastered turbulent
environments have learned to continually free up resources in order to support the development
of new ones. Despite the potential of this idea to enable businesses to thrive in the 21st Century,
little attention in terms of practice and scholarship has been observed. Thus this study focuses on
strategic posturing and transient competitive advantage Kenya‟s Private healthcare system.
On the other hand, Igor Ansofs ideas on strategic posturing explain a firm strategy in terms of
change from a familiar environment to an unfamiliar world of new technologies, new
competitors, new consumer attitudes, new dimensions of social control, and above all, a
questioning of the firm's role in society to achieve competitive advantage (Ansoff, 1984; Ansoff,
Kipley, Lewis, Helm-Stevens, Ansoff, 2019). Consequently, Firms must respond to highly
turbulent environments by preparing for and anticipating all levels of turbulence through
proper and viable strategic planning, explicit aggressive strategies, and relevant organizational
capabilities to execute. Firms typically adopt specific strategic posture to achieve strategic goals.
This study investigated strategic posture variables such as customer orientation and strategic
aggressiveness.
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Despite the importance of strategic posturing due to turbulent business environment; scanty
literature exists on scholarly works focusing on strategic posture and adoption of transient
competitive advantage. Nevertheless, there are several scholars who have explored related
studies on strategic posture and the adoption of transient competitive advantage from different
geographical regions and times. Naamati, (2020) carried a study on strategic management as an
adaptation to changes in the ecosystems of public hospitals in Israel. The study established that
healthcare organizations in Israel have been undergoing a turbulent environment as a result of
government reforms in the public health services. To cope with this dynamic environment, health
facilities have been adopting strategic management, but full benefits are yet to be realized due to
various challenges such as inappropriate managerial strategies among others
In the United States of America, Akbar, Robert, Larry, Ferhat, Maziar, Anthony, and Neeraj,
(2019) carried a study on the effect of environmental instability on the hospital strategy-financial
performance relationship. The study established that the health care environment in America has
been experiencing rapid changes like registration of new regulations acts, change in consumer
expectations, and the emergence of new technologies and new sources of competition.
Pramudiana, (2017) carried a study on transient competitive advantages of Telkomsel an
Indonesian telecommunication company. The study established that themes, arena, customer
experience, and systemic innovation influence readiness and awareness of Telkomsel in
confronting hypercompetition and rapid change to convert to a firm that has transient advantage.
Regionally, there is also paucity of research focusing on Transient competitive advantage
especially in Africa. Attempted studies seem to focus of some underlying latent variables, for
instance, Naatu (2016) explored brand building for competitive advantage within the Ghanaian
adornments trade in a comparative study. The discoveries show that advancement, inside
branding, brand positioning/promotion, and customer introduction are the foremost critical
aggressive marketing components utilized by the companies to pick up a competitive edge.
Bosch and Rossouw (2021) conducted research on the strategic positioning of a motorcycle
manufacturer in South Africa during the fourth industrial era. Based on the study, in order to
maintain a competitive advantage, the motorcycle manufacturers must adopt technology and
innovation so as to fulfill the increased customer demands and expectations. The advent of fourth
industrial revolution has pushed firms to create more aggressive strategies so as to improve
quality, service, innovation, and speed, as well as cost competitiveness. On the other hand,
Agaba, Emenike, and Olutayo (2018) conducted a relative case study on the influence of product
innovation and pricing on competitive edge of beer products in Uganda. The study established
that product innovation and pricing have a significant effect on competitive advantage.
In Kenya, despite the importance of strategic posturing due to a turbulent business environment,
scanty local literature exists on scholarly works focusing on strategic posture and transient
competitive advantage. Wanyama, Wechuli, Ndombi, Otiso, and Wanyonyi (2018) carried out a
study to establish the effect of strategic management posture on the performance of the
commercial banks in Nairobi Kenya. The findings revealed that there was a strong positive
relationship between strategic management posture and the financial performance of commercial
banks in Nairobi.
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Mutua (2020) studied the use of customer service to gain a competitive advantage at Gertrude's
Children's Hospital in Kenya. The findings show that the hospital used a different customer
service strategy to stay competitive. Kang‟e in 2020, studied the influence of transient advantage
on performance; precisely, the role of innovative products, distribution models, market sensing
capability and strategic partnerships on performance in private health insurance firms.
Competition within the health industry in Kenya has required recognizable proof of the right
vital pose utilized by private clinics which can lead to appropriation temporal competitive
advantage to help them stay important and competitive. Further, challenges in Kenya‟s
healthcare system are characterized by new disease patterns; advanced technologies; market
competition, globalization, changing customers` habits and needs; inefficiency, low productivity
challenges, diverse workforce requirements, and change in law, policy, and governance
frameworks; more so, Brain drain is also noted among trained doctors who end up in other
countries due to lack of growth opportunities (Mwoka,2017).
Due to the myriad of challenges, hospitals and other healthcare providers must conduct business
differently to compete effectively in this volatile and competitive environment and thus ensure
their survival. As staged by COVID-19 pandemic, Hospitals in Kenya had a challenge of making
quick transitions to adapt to the changes in the business environment. Against this backdrop, this
study assessed the influence of strategic posture on adoption of transient competitive advantage.
Statement of the Problem
The 21st Century‟s, businesses landscape is marred with dynamic and surprising hyper
competition; thus businesses that adopt Transient competitive advantage have higher potential
for survival than those who ignore it. According to (McGrath, 2013), the idea of transient
competitive advantage has superseded sustainable competitive advantage and as such, businesses
should craft a new strategy by nurturing many transient advantages to adapt swiftly to business
environment changes. Conferring to UN-backed report, 3.5 billion people, accounting for more
than half of the world‟s population do not have access to basic health services. Alarmingly, out-
of-pocket healthcare expenditures force 100 million people to survive on $1.90 or less a day.
Arguably,
Healthcare providers around the world as well as in Kenya are facing different challenges as a
result of a turbulent and competitive market environment (Ginter, 2018). Particularly, the
healthcare industry in Kenya has become complex and challenging as it is characterized by new
disease patterns; advanced technologies; market competition, globalization, changing customers`
habits and needs; inefficiency, low productivity challenges, diverse workforce requirements, and
change in law, policy, and governance frameworks (Mwoka,2017).
More so, globalization has made it possible for Kenya patients to seek medical services from
other countries such as India, South Africa, and some European countries, which has exacerbated
the health sector challenges in Kenya. According to the Ministry of Health, approximately
10,000 Kenyans travel abroad for medical treatment each year, at a cost of at least shillings 10
billion in total, even though the country offers 90 percent of the procedures (Netherlands
Enterprise Agency, 2016). As a result of these challenges, hospitals and other healthcare
providers must conduct business differently to compete effectively in this volatile and
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competitive environment and thus provide quality service and ensure their survival as
demonstrated during COVID- 19 challenge.
Finally, there is a paucity of empirical studies that have explored this area both locally and
internationally. initial studies focused more on development of transient competitive advantage
theory (Muneer,2019 , Peranginangin,2015; McGrath,.2013).Progressively, recent studies
continue to present the concept of TA in organizations (Hawkins & Fryling 2017).Largely the
Studies posit that TA may be exceedingly synergistic and applicable in the face of fierce
competition and turbulent environments due to the nature of the value-creating strategy that
continually develops diverse and new advantages (Madhok & Marques 2014). As Pramudiana,
(2017) carried a study on transient competitive advantages of Telkomsel an Indonesian
telecommunication company, Zhang et al (2020) worked on transient competitive advantage in
high-speed rail projects in Singapore. Additionally, Kaharuddin,(2017) explored and measured
the transient competitive advantage readiness among hotels, and fashion industry at Bandung,in
Indonesia. Botes and Pretorius (2020) explored Management Perceptions of Competitive versus
Transient Advantage among South African business executives. Hite et. al (2020) studied
transient advantage and performance of private health Insurance sector in Kenya, none of these
studies has focused on strategic posturing and transient competitive advantage in Private
hospitals in Kenya.
It is against this backdrop that this study sought to bridge the empirical gap and contextual
challenges in Kenyan healthcare by focusing on strategic aggressiveness posturing and how this
may influence the adoption of transient competitive advantage in the turbulent landscape in
which Kenya's private multi-practice hospitals operate.
Objective of the Study
This study‟s general objective was to establish the influence of strategic aggressiveness posture
on the adoption of transient competition among Nairobi private multi-practice hospitals in
Kenya.
Literature Review
Theoretical Literature
This study explored theories of strategic posture and transient competitive advantage. The
theories used include: Dynamic Capabilities Theory to expound on the strategic aggressiveness
and Transient Competitive Advantage Theory (TCA) to guide on transient competitive
advantage adoption which is the study‟s dependent variable.
Dynamic Capabilities Theory
The Dynamic Capabilities View (DCV) is grounded on Schumpeter's (1934) advancement
theory, which positions that competitive advantage is attained by disrupting current assets and
recombining them into the supreme working capabilities in an organization. These capabilities
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allow organizations to create hypotheses around shifting customer preferences and the business
environment that propels innovation; and then realign resources and the activities they undertake.
The notion that a firm's acquisition of valuable, rare, inimitable, and non-substitutable (VRIN)
resources is a source of long-term competitive advantage (Teece, Pisano, & Shuen, 1997) is
extended by dynamic capabilities theory: More specifically, DCV theory depicts path-dependent
forms that allow firms to adapt to rapidly changing situations by building, coordinating, and
reconfiguring their asset and capability portfolios (Teece, Pisano & Shuen, 1997). According to
this viewpoint, competitive advantage happens when a firm implements an esteem making
methodology that is not simultaneously being executed by any current or potential competitors
(Barney, 1991). Thus this theory explains strategic aggressiveness as dynamic capabilities that
organizations can adopt.
Transient Competitive Advantage Theory (TCA)
According to McGrath, the intensely competitive climate has rendered most traditional strategic
viewpoints obsolete. For organizations to reach their congruence, adaptive organizations scan
their surrounding environment (i.e., consumers, competitors, and technology) as well as their
internal organizational skills connected with innovation, according to Garg et al. (2003). Indeed,
when customer groups and preferences change quickly, businesses are forced to change their
products and services and create "new competitive space" (Hamel and Prahalad, 1994), which is
why continuous learning about markets and customers; and being first to market with new
products or services, is valued.
McGrath (2018) proposed transient competitive advantage as a strategic approach that involves
exploiting short-lived opportunities in rapidly evolving competitive environments. The author
argues against relying on the theory of sustainable competitive advantage, which can lead to
organizational rigidity and inhibit innovation. To summarize, the transient advantage theory
opens the way forward within intense and hypercompetitive environments. It provides a design
framework useful in this study that explains the dependent variable transient competitive
advantage.
Empirical Literature
Various studies have attempted to test the concept of strategic posture and either transient
competitive advantage or with other antecedent factors, this section briefly explores these
empirical studies
Influence of Strategic Aggressiveness posture on the adoption of Transient Competitive
Advantage
Firms rely more on intangible resources to sustain competitive advantage because they are less
visible and more difficult for competitors to understand, purchase, imitate, or substitute, such as
strong brand names, tacit knowledge and skills, organizational culture, company reputation,
technical knowledge, unique business processes, and partnerships (Hoskisson, Hitt, Ireland &
Harrison, 2010). In order to create and sustain competitive advantage, firms should identify,
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formulate, and implement relevant strategies whose benefits cannot be imitated by competitors
(Bordella, Liu, Ravarini, Wu, & Nigam, 2012).
Diab (2014) also examined whether Jordanian private hospitals practice aggressive strategy as a
competitive advantage dimension to attain competitive advantage, using data collected from 200
managers. The results showed that Jordanian private hospitals used aggressive strategy
dimensions to achieve competitive edge. In a different study, Lindblom et al. (2013) carried out a
study on the performance of firms and aggressive marketing abilities on retail entrepreneurs so as
to analyze how market sensing capabilities among retail entrepreneurs influenced business
performance in Finland. The study variables were tested using structural equation modeling
(SEM) to establish how aggressive marketing capabilities affected profitability and growth.
According to the survey, the majority of retail entrepreneurs had aggressive marketing
capabilities that positively influenced performance.
Kungu, Desta, and Ngui (2014) discovered that equity banks used a variety of competitive
strategies, such as the combination strategy, differentiation strategy, cost leadership strategy, and
focus strategy; and that they possessed a variety of strengths that allowed them to survive in the
market and compete favorably against rival firms. Additionally, Kungu, Desta, and Ngui (2014)
promoted for more research into the aspects that affect the effectiveness of competitive strategies
when dealing with diminishing demand for banking services in Kenya.
In view of reviewed studies, none has addressed influence of Strategic Aggressiveness posture
on the adoption of Transient Competitive Advantage.
Conceptual Framework
From the reviewed literature the study variable relationships were hypothesized as demonstrated
in the conceptual Figure 1.
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Independent variable Dependent variable
Figure 1. Influence of Strategic Posturing on adoption of Transient Competitive Advantage
Methodology
The study was conducted using a descriptive correlational research design and guided by the
positivist research philosophy. The descriptive correlation design as posited by Creswell and
Creswell (2018), and Saunders et al. (2016), aided in the testing and explanation of the
associations between the strategic posture and transient competitive advantage. Besides,
Zikmund et al. (2013) argued that correlational design is appropriate when the study seeks to
establish a relationship between variables. The study's target population consisted of 400 hospital
administrators (KMPDC, 2022). Yamane (1967) sample size formula was used to compute a
sample size of 200 hospital administrators. The core data for this research was collected using a
questionnaire. The findings were summarized using descriptive statistics such as frequencies,
means, and standard deviations, and regression analysis.
Results
Response Rate
The study targeted 200 hospital administrators, however, the research managed to collect data
from 176 respondents out of the targeted a total sample of 200. This represent 88% response rate.
According to Mugenda and Mugenda (2003), the statistically significant response rate for
analysis should be at least 50%. The study‟s response rate was acceptable since it was above
50%.
STRATEGIC POSTURE
Strategic Aggressiveness
Marketing Assertiveness
Best-Cost Provider
Unpredictability in Services
Differentiation
TRANSIENT
COMPETITIVE
ADVANTAGE
Timely response to
environment changes
Flexibility in resource
allocation to
Systemic innovation
perspective
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Descriptive Analysis of Variable Measures
The dependent and independent variables had data collected in form of five point Likert scales.
All the Likert scales were analyzed using means and standard Deviations as demonstrated in this
section.
Adoption of Transient Competitive Advantage
On a scale of 1 to 5 where an average score of 1 means strongly disagree, 2 means disagree, 3
means neutral, 4 means agree and 5 means strongly agree. The respondents averagely rated the
following statements testing the Adoption of transient competitive advantage with mean of 3.5
and above; in their hospital, the business plan is easily adapted to adapt to emerging business
environmental challenges (Mean=3.7, SD= 1.114), Risk assessment is integrated in business
planning (Mean=3.84, SD=0.927), Continuous monitoring and feedback integration is part of
their business plan (Mean=3.92, SD=1.129), In their hospital, budgets are evaluated and
adjusted to meet current and emerging expenses (Mean=3.64,SD=1.165), Hired employees are
encouraged to multitask and accept job redesign (Mean=3.87, SD= 1.126), their hospital's
strategic plan incorporates innovation and adaptation to change as part of its strategic objectives
(Mean=3.76, SD=0.930), their hospital has embraced a culture of creative teams where ideas are
shared (Mean=2.71. SD=1.0430 and the human resource policies adopt creativity and innovation
as part of performance appraisal measures (Mean=3.33, SD=0.956). The results are as shown in
the Table 1.
Table 1. Adoption of Transient Competitive Advantage
N
Mean
Std.
Deviation
In my hospital, the business plan is easily adapted to
adapt to emerging business environmental challenges
176
3.70
1.114
Risk assessment is integrated in business planning
176
3.84
.927
Continuous monitoring and feedback integration is
part of the business plan
176
3.92
1.129
In my hospital, budgets are evaluated and adjusted to
meet current and emerging expenses
176
3.64
1.165
Our financial plans allow for reallocation of vote heads
to accommodate new opportunities
176
3.26
1.237
Hired employees are encouraged to multitask and
accept job redesign
176
3.87
1.126
My hospital's strategic plan incorporates innovation
and adaptation to change as part of its strategic
objectives
176
3.76
.930
My hospital has embraced a culture of creative teams
where ideas are shared
176
2.71
1.043
The human resource policies adopt creativity and
innovation as part of performance appraisal measures
176
3.33
.959
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Strategic Aggressiveness
On a scale of 1 to 5 where an average score of 1 means strongly disagree, 2 means disagree, 3
means neutral, 4 means agree and 5 means strongly agree. The respondents averagely rated the
following statements testing the Strategic aggressiveness with mean of 3.5 and below; In their
hospital, variety of marketing campaign methods are used to attract clients (Mean=3.5, SD=
1.080), the methods used in marketing target all types of clientele (Mean=2.66, SD=1.222),
Variety of advertisements are used consistently to expose hospital services to customers
(Mean=3.20, SD=1.202), their hospital is known as best cost provider in the region
(Mean=2.15,SD=0.845), their services are effectively managed to reduce process costs
(Mean=2.55, SD= 1.094), their clients enjoy best price offers in different seasons (Mean=2.22,
SD=0.945), their service offerings are changed often to meet customer needs (Mean=2.17,
SD=0.891), their competitors cannot keep track of our differentiation strategies (Mean=2.09,
SD=0.931), and there is intensive differentiation in our services to meet different generation
needs (Mean=1.70,SD=0.646). The results are as shown in the Table 2.
Table 2. Strategic Aggressiveness
N
Mean
Std.
Deviation
In my hospital, variety of marketing campaign
methods are used to attract clients
176
3.50
1.080
The methods used in marketing target all
types of clientele
176
2.66
1.222
Variety of advertisements are used
consistently to expose hospital services to
customers
176
3.20
1.202
Our hospital is known as best cost provider in
the region
176
2.15
.845
Our services are effectively managed to
reduce process costs
176
2.55
1.094
Our clients enjoy best price offers in different
seasons
176
2.22
.945
Our service offerings are changed often to
meet customer needs
176
2.17
.891
Our competitors cannot keep track of our
differentiation strategies
176
2.09
.931
There is intensive differentiation in our
services to meet different generation needs
176
1.70
.646
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Inferential Analysis
In this section both Pearson‟s correlation analysis and Linear regression analysis were conducted
to ascertain the relationships between study variables as well as how independent variables
influence the dependent variable. The results are illustrated in this section.
Correlation Analysis
Correlation tests in this analysis is treated as a pretest before regression analysis. In this study,
analysis was carried out to determine whether there were significant associations between
variables. The Pearson‟s product-moment correlation coefficient (r) was used to explore
relationships between the variables, the direction and their strength. It was important to assess
the nature of relationships existing between the variables before carrying out further analysis.
Normally, r ranges between ±1. Where r= +0.7 and above it indicates a very strong positive
relationship; r=+0.5 to below 0.7 is a strong positive relationship; r=0.3-0.49 is a moderate
positive relationship while r=0.29 and below indicates a weak positive relationship. Where r=0 it
indicates that there is no relationship and if less than 0 then a negative correlation between
variables exists (Esther- Smith, Thorge & Love, 1999). The results of correlation analysis are
presented in Table 3.
Table 3. Pearson’s Correlation Matrix of Independent Variables of the Composite Model
Y:Transient
Competitive
advantage
Adoption
X1: Strategic
Aggressivene
ss
VIF
Y:Transient
Competitive advantage
Adoption
Pearson Correlation
1.000
-
Sig. (2-tailed)
X1: Strategic
Aggressiveness
posture
Pearson Correlation
.540*
1.000
1.320
*. Correlation is significant at the 0.05 level (2-tailed)
The correlation analysis results revealed that there was a positive and a significant relationship
between Transient competitive adoption and strategic aggressiveness posture (r=0.540, p<0.005).
This finding is consistent with findings of Xu et. al (2022), in their study on Strategic
aggressiveness and the adoption of transient competitive advantage among Chinese firms where
findings show that firms with a more aggressive strategic posture have higher probability to
adopt transient competitive advantage in so as to gain a temporary edge over their competitors.
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Generally, correlations between the variables were strong (r=+0.5 to below 0.7) and (r=0.3-0.49)
which is a moderate positive relationship. None of the relationship tests had VIF of more than 10
meaning they were not highly correlated and thus suitable for further analysis using regression.
Regression Analysis
Linear regression analysis was run to test how the independent variables predicted the Dependent
variable; as well as to finally test if the independent variables had a statistically significant
influence on the dependent variable.
The results from the model summary table showed that R-square=0.292 indicating that strategic
aggressiveness predicts 29.2% of the adoption of transient competitive advantage. Choice as
shown in the Table 4
Table 4: Model Summary
Model Summary
Model
R
R Square
Adjusted R Square
Std. Error of the
Estimate
1
.540a
.292
.290
.36507
a. Predictors: (Constant), Strategic Aggressiveness
ANOVA Table for Linear Regression Between Strategic Aggressiveness and Adoption of
Transient Competitive Advantage
The ANOVA table results in this study showed that the linear regression model of Y = β0 +
β1X1 is significantly linear at (F=10.618, p=0.00). In this model Y is the Transient competitive
advantage adoption Choice, X1 is the Strategic Aggressiveness, β0 is a constant, and β1 is the
coefficient of X1 in the model
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Table 5: ANOVA
ANOVAa
Model
Sum of
Squares
df
Mean Square
F
Sig.
1
Regression
4.390
1
4.390
10.618
.001b
Residual
56.559
175
.319
Total
58.949
176
a. Dependent Variable: Transient Competitive Advantage Adoption
b. Predictors: (Constant), Strategic Aggressiveness
Coefficients for Linear Regression Between Strategic Aggressiveness and Adoption of
Transient Competitive Advantage
The coefficients tables indicate that the linear regression model Y = β0 + β1X1 is
Y=2.553+0.196X1. This means that, when other factors are held constant, an improvement in the
strategic aggressiveness by 1%, improves Transient Competitive Advantage Adoption Choice by
(beta = 0.397) 40 %. Thus strategic aggressiveness has statistically significant influence on
transient competitive advantage.
Table 6: Coefficients
Coefficients
Model
Unstandardized
Coefficients
Standardize
d
Coefficients
t
Sig.
B
Std. Error
Beta
1
(Constant)
2.553
.154
16.530
.000
Strategic
Aggressiveness
.196
.060
.397
3.258
.001
a. Dependent Variable: Transient Competitive Advantage Adoption
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Discussion
Influence of Strategic Aggressiveness posture on Adoption of Transient Competitive
Advantage by Private Multi-Practice Hospitals in Nairobi City County, Kenya
Systematically, there has been studies that have similar findings as that found in this study that
strategic aggressiveness has statistically significant influence on transient competitive advantage.
Hunt and Madhavaram (2020) advanced that strategic aggressiveness affects a firm's ability to
realize transient competitive advantage. The study findings showed that strategic aggressiveness,
which entails preemptive moves and aggressive resource deployment, assists firms gain and
sustain transient competitive advantage. Comparatively, the study observes that excessive
aggressiveness may lead to negative outcomes such as escalated competition and low profit
margins. Xu et al. (2022), in their study on Strategic aggressiveness and the adoption of transient
competitive advantage among Chinese firms found out that firms with a more aggressive
strategic posture have higher probability to adopt transient competitive advantage in so as to gain
a temporary edge over their competitors.
In Kenya, the adoption of TCA studies has been growing over the years, with firms seeking to
gain a competitive edge in the market. Based on Muchira and Oloko (2017), globalization has
led to increased adoption of TCA studies by firms in Kenya with firms concentrating on building
and leveraging their resources and capabilities to achieve competitive advantage. In a study by
Onyango and Ondiek (2022) companies in Kenya are investing in research and development to
develop new products and services, that are then used to attain a temporary competitive
advantages. Additionally, to Makau et al. (2019), proactive firms focus on creating and
exploiting opportunities in the market. specifically, the study asserts that proactive firms in
Kenya are investing in research and development, strategic partnerships, and mergers and
acquisitions to gain temporary competitive advantages.
Drawing from this study and these other studies, it can be deduced that Strategic aggressiveness
has a significant effect on the adoption of transient competitive advantage. Since transient
competitive advantage refers to a short-lived advantage that a company may have over its
competitors.
Conclusion
In this study, the study objective was “To assess the influence of strategic aggressiveness on
adoption of transient competitive advantage by private multi-practice hospitals in Nairobi City
County, Kenya”. Based on study findings, it is concluded that strategic aggressiveness (β=
0.397) had statistically significant influence on transient competitive advantage among private
multi-practice hospitals in Nairobi city County in Kenya. Therefore, the study rejects the null
hypothesis and upholds the alternative hypothesis that strategic aggressiveness has statistically
significant influence on transient competitive advantage.
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Recommendations
Observations from the descriptive analysis of strategic aggressiveness posture variable show that
the hospitals are not known as best cost providers in the region (Mean=2.15, SD=0.845), and that
their services are not effectively managed to reduce process costs (Mean=2.55, SD= 1.094),
more so their clients do not seem to enjoy best price offers in different seasons (Mean=2.22,
SD=0.945). Based on this assertions, the multi-practice hospitals need to address the issue of cost
of services to meet the consumer expectations at the same time break even and make their return
on investment margins
Although strategic aggressiveness posture had a positive influence on transient competitive
advantage, the mark of 40 % can still be improved so that the hospitals can leverage more on
transient competitive advantage in these turbulent and dynamic times. Future studies may study
other strategic postures such as customer orientation and technology adoption.
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