Competitive Advantage Practices and Performance of Commercial Banks in Nairobi County Kenya

Abstract

Due to rising rivalry in the Kenyan banking sector in recent years, some banks have modified
important procedures to strengthen their competitive edge. As a result, this study concentrated
on the performance and competitive advantage strategies of commercial banks in Nairobi
County, Kenya, using Equity Bank, Kenya Commercial Bank, Absa, and Family Bank as
examples. In the recent past, a number of issues, including operating cost efficiency, capital
deficiency, and liquidity, have affected the performance of commercial banks. Finding out
how differentiation strategy, innovation, focus strategy, and cost leadership work was the aim
of the research. Among the theories used are the balanced scorecard model, resource-based
perspective, stakeholder, and Porter's Five Forces. Using a case study methodology, the study
asked respondents about the procedures that Nairobi County's commercial banks followed. It
also looked at how these approaches improve county performance