International Marketing Strategy and Firm Performance of Tour Firms in Kenya
The objective of this study was to determine the relationship between international marketing strategy and performance of tour firms in Kenya. International marketing strategy was measured along the dimensions of competitive pricing, product, distribution and promotion. The primary data was collected from CEOs and or MDs and Marketing Manager, Business or Operations Manager. Others were Head of IT, Director Client Relations and Senior Tour Consultants. The population comprised of the 270 firms that were members of Kenya Association of Tour Operators (KATO) as at December 2016. Data was collected using both primary and secondary sources. Primary data was collected through a self-administered questionnaire while secondary data was collected through various publicly available sources. Reliability test was tested through Cronbach alpha and if the reliability coefficient was greater than 0.7, the instrument was considered reliable. Data analysis was done through descriptive statistics while simple and multiple regression was used to test the relationships of the hypotheses. The results showed that international marketing strategy has an influence that is significant on firm performance. Correlation analysis revealed that the relationship between firm international marketing strategy and firm performance is strong, positive and statistically significant. The result was that 46.5% of variation in firm performance was explained by changes in international marketing strategy. The model was also found to be of overall significance (F=81.773, p-value=0.000). The study further found that competitive pricing, product, promotion and distribution channel explained 52.3% of firm performance which meant that 47.3% would be explained by other factors. Competitive pricing and promotion on firm performance were found to be individually positive and statistically significant. The study has made contribution to theory, policy and practice. It has also stated recommendations and has additionally made suggestions for future research.
Keywords: International Marketing Strategy, Firm Performance, Tour Firms & Kenya.
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