Strategic Management Process and Economic Sustainability of Community Based Tourism in the Coast Region of Kenya

Abstract

The general objective of the study was to assess strategic management process influencing economic sustainability of community-based tourism in the coast region of Kenya. The specific objectives were; To determine the influence of strategy formulation on economic sustainability of community based tourism in the coast region of Kenya; To establish the influence of strategy implementation on economic sustainability of community based tourism in the coast region of Kenya; To assess the influence of strategy evaluation on economic sustainability of community based tourism in the coast region of Kenya; and To identify the contribution of stakeholder management to economic sustainability of community based tourism in the coast region of Kenya. Both descriptive and quantitative research designs were used with the target population being 220 members of community-based tourism units. A sample of 193 members were identified using stratified random sampling method. The study used a combination of structured questionnaire and focus group discussions as the main tools for primary data collection while literature review was used to collect secondary data. The Statistical Package for Social Sciences (SPSS version 20) was used in computing and analysing research findings. The test for the reliability of research instruments was done using Cronbach’s alpha where all the variables of the study registered reliability coefficients higher than 0.70 which is considered "acceptable.” The Kaiser-Meyer-Olkin (KMO’s) measure of sampling adequacy and Bartlett’s test of Sphericity were used to test the validity. The factor analysis was used in establishing the influence of each variable on sustainability of community-based tourism and the KMO value for each variable indicated strong correlations while the Bartlett’s test was found to be significant. The test for normality was performed using Skewness and Kurtosis in order to determine the distribution curve and the study results met the normal distribution criterion. The test for linearity was done using the Pearson’s r the results of which showed that the study variables were normally distributed and hence no significant differences at 95% confidence level. The tolerance and variance inflation factor for each variable of the study were within the acceptable ranges and hence multicollinearity was not an issue. Correlation analysis was used in testing the relationship between quantitative variables and from the study results it showed that all independent variables had a positive and statistically significant relationship with sustainability of community based tourism. The hypotheses were tested using the probability (P) value method at 95% confidence level where all the Null Hypotheses were rejected confirming that strategic management process had statistical significant influence on sustainability of community based tourism in the coast region of Kenya. Information from the thirteen community groups confirmed that strategic management process have a positive influence on sustainability of community based tourism and that enterprises require strategy formulation, strategy implementation, strategy evaluation, and stakeholder management for continued sustainability of their enterprises. The results from the study will go towards contributing to the development of appropriate policies and measures on the sustainability of community based tourism for the overall development of community based tourism in the coast region of Kenya.