Intrapreneurship and Performance of Commercial State Corporations in Kenya

Abstract

Satisfactory performance of the state corporations is crucial to the social economic development of any country. However, their performance has been observed to be unsuitable in a number of ways. The main purpose of this study was to establish the influence of intrapreneurial competencies on performance of Commercial State Corporations in Kenya. The study adopted the following objectives; to examine how Pro-activeness relates to Kenya’s commercial State owned Corporations performance, to determine the influence of level of innovation on their performance of commercial state corporations in Kenya, to examine the relationship between reward system and performance of commercial State Corporations in Kenya, to determine the effect of aggressiveness on performance of commercial State Corporations in Kenya and to establish the moderating influence of organizational structure on the relationship between intrapreneurial competencies and performance of state corporations in Kenya. The study was guided by five theories, namely: Resource based view theory, creative theory of entrepreneurship, Institutional. theory, Schumpeter’s innovation theory and theory of corporate entrepreneurship. To obtain a full description of a single phenomenon within its context survey was used as a tool for data collection. The study used causal research design. According to the presidential task group report on state corporations, the studied population in Kenya comprised of 55 commercial state firms and this what the researcher used in this study. For the purpose of this study, a census of the entire 55 commercial state corporation in Kenya was used. The researcher used questionnaires to get the required information from the respondents. The data collected after sorting was coded, and statistical package for social sciences (SPSS version 22) analyzed it. Data was analyzed using descriptive and inferential statistics and results presented in form of tables and graphs. A simple multivariate linear regression was carried out in order to ascertain independent factors effects on the dependent variable. The response rate was 89.09%. The study found that proactiveness, reward system, level of innovativeness and competitive aggressiveness individually significantly influence performance. From the results, it was evident that organization structure acts as a moderator in the relationship that exists between intrapreneurship and performance (financial and non-financial). The study concluded that intrapreneurial competencies affected the performance of commercial state organizations. The results supported resource Based theory, creative theory entrepreneurship, institution theory, Schumpeter innovation theory and theory of corporative entrepreneurship. The results provided a basis upon which management of state corporations would enhance their performance through entrapreneurship. The study recommended that management of commercial state corporations should embrace and understand dimension of intrapreneurial competencies.