Business Administrationhttp://repository.chuka.ac.ke/handle/chuka/4282022-04-14T19:17:18Z2022-04-14T19:17:18ZEffect of Leverage on Performance of Non-financial Firms Listed at the Nairobi Securities ExchangeMukaria, Henry KimathiMugenda, Nebat GaloAkenga, Grace Melissahttp://repository.chuka.ac.ke/handle/chuka/159372024-02-06T13:35:12Z2015-08-13T00:00:00ZEffect of Leverage on Performance of Non-financial Firms Listed at the Nairobi Securities Exchange
Mukaria, Henry Kimathi; Mugenda, Nebat Galo; Akenga, Grace Melissa
Managers strive to maximise shareholder wealth by making rational financing decisions regarding optimal capital
structure which would minimise its cost of capital. In attempt to magnify the return to shareholders, managers employ the use
of debt. When excessive debt financing is employed by a firm, it increases the cost of financing and the financial risk of the
firm leading to decreasing the return on equity as a result of financial distress. Do the various debt equity ratio levels lead to
different financial performance when compared for high levered and low levered firm, high growth and low growth firm or
large and small firms? A causal research design was used to establish the cause and effect relationship between financial
leverage and the financial performance of the firms. The target population was 61listed firms on the Nairobi securities
exchange by December 2013.Purposive sampling was used to select 38 non-financial companies. Financial companies were
eliminated because the company’s capital structures have specific characteristics affected by industry regulatory requirements.
Secondary data was obtained from published financial statements of the sampled companies for the six year period from 2008
to 2013.Ordinary Least Square method was used to establish the cause effect relationship among variables; Hypotheses were
tested at 5% significance level using t-statistic. The study found that there was no significant difference in financial
performance between highly levered and lowly levered firms and that there existed a negative relationship between Leverage
and firm’s performance. There were also no significant differences in financial performance between high growth levered firms
and low growth levered firms and that there existed a negative relationship between a firm’s growth opportunity and financial
leverage ratio. There was no significant difference in financial performance between large levered firms and small levered
firms. The findings of this study may act as a policy guideline to finance managers involved in managing firms on the
contribution of financial leverage and its association with return on equity to maximise shareholder wealth.
2015-08-13T00:00:00ZANALYSIS OF THE VOLATILITY OF REAL EXCHANGE RATE AND EXPORTS IN KENYA USING THE GARCH MODEL: 2005-2012.WASSEJA, MOHAMMED MUSTAPHAMWENDA, SAMWEL N.MUSUNDI, SAMMY W.NJOROGE, ELIZABETHhttp://repository.chuka.ac.ke/handle/chuka/159332024-02-06T12:48:55Z2015-08-16T00:00:00ZANALYSIS OF THE VOLATILITY OF REAL EXCHANGE RATE AND EXPORTS IN KENYA USING THE GARCH MODEL: 2005-2012.
WASSEJA, MOHAMMED MUSTAPHA; MWENDA, SAMWEL N.; MUSUNDI, SAMMY W.; NJOROGE, ELIZABETH
The real exchange rate has proven to be an important factor in international trade because it is expected that exports respond to real exchange
rate movements with respect to the characteristics of the importing and exporting countries. Exchange rate volatility increases uncertainty of
profits on contracts denominated in foreign currency and subsequently dampens trade and economic growth. This study investigated how real
exchange rate volatility affected exports of key Kenyan commodities to the European Union and United Kingdom, namely; tea, coffee and
horticulture to the European Union. The presence of exchange rate volatility was determined using the GARCH model. A Bounds testing and
Autoregressive Distributed Lag model was used to establish the presence of a long run relationship between exchange rate volatility and
commodity exports. Findings revealed that exchange rate volatility affected tea exports to the UK and horticulture exports to the European Union.
Foreign income played an important role in explaining tea and coffee exports to the UK and EU respectively.
2015-08-16T00:00:00ZDENOTATIVE MEANINGS OF NAMES GIVEN TO BUSINESSES IN CHOGORIA TOWN: A PRAGMATIC ANALYSISKinegeni, Mr. Loyford KariukiAtieno, Dr. Christinehttp://repository.chuka.ac.ke/handle/chuka/156252023-07-13T09:09:07Z2019-01-01T00:00:00ZDENOTATIVE MEANINGS OF NAMES GIVEN TO BUSINESSES IN CHOGORIA TOWN: A PRAGMATIC ANALYSIS
Kinegeni, Mr. Loyford Kariuki; Atieno, Dr. Christine
Naming is an important aspect of our everyday life. Practically everything in the world has a
name. This Article sought to provide a pragmatic analysis of names given to businesses in
Chogoria town, Tharaka Nithi County in Kenya. The objectives of the study was to establish the
denotative meanings of business names in Chogoria town. The study adopted a descriptive
research design and used the Frame Semantic Theory to explain how encyclopedic knowledge
can be used to arrive at the meanings of these business names. Literature was reviewed on
meaning, naming, other studies on the same and how context determines meaning. Stratified
sampling and purposive sampling were used to sample thirty business names from the various
business types in the area of study to determine those names that would help achieve the
objective. Interview schedule was used as the data collection instrument. The data was analyzed
using the thematic analysis.
2019-01-01T00:00:00ZSTRATEGIC MANAGEMENT PRACTICES AND PERFORMANCE OF NATIONAL HOSPITAL INSURANCE FUND IN NAIROBI CITY COUNTY, KENYAKarimi, Catherine K.Kavindah, Dr. Lucyhttp://repository.chuka.ac.ke/handle/chuka/156142023-07-11T14:00:56Z2021-06-11T00:00:00ZSTRATEGIC MANAGEMENT PRACTICES AND PERFORMANCE OF NATIONAL HOSPITAL INSURANCE FUND IN NAIROBI CITY COUNTY, KENYA
Karimi, Catherine K.; Kavindah, Dr. Lucy
In the corporate world, the business environment is rapidly changing necessitating organizations to adopt strategic management practices that give them a competitive edge and lead to improved performance. National Hospital Insurance Fund has instituted strategic management practices in bid to boost overall organizational performance as well as improve service efficacy and productivity. However, the current practices have not attained the envisaged results. As much as various scholars have pointed out adoption of strategic management approaches such as strategic planning and strategic formulation often have a tendency to trigger improved organizational performance, limited studies have attempted to prove that these practices can actually yield tremendous results, considering the role of NHIF in the Kenyan populace. The general objective of the study was to determine the influence of strategic management practices on performance of National Hospital Insurance Fund in Nairobi City County, Kenya. The study’s specific objectives were to determine the influence of; strategic planning practices, strategic formulation practices, strategic implementation practices and strategic evaluation practices on performance of NHIF in Nairobi City County, Kenya. The study was anchored on dynamic capability theory, Management by objective theory and Congruence Model Theory, which was useful in supporting the variables of the study. The study employed a longitudinal descriptive research design which was appropriate for a single organization, which in this case was the National Hospital Insurance Fund. The study’s target population comprised of 250 employees from NHIF head office hailing from human resource, administration, research and development, marketing, finance and strategic department. Stratified simple random sampling technique was utilized to choose respondents to get a sample size of 153 respondents. The data was acquired from primary and secondary sources. Primary data was collected through structured (close-ended) questionnaires. Self-administration and drop and pick methods were adopted for questionnaires administration. Collected data was analyzed using Statistical Packages for Social Science. Both descriptive and inferential statistics were used. Descriptive statistics were limited to frequency, percentage, mean and standard deviations. Inferential statistics were limited to Product moment correlation and regression modelling. The research findings were presented using tables. Multiple regression model was adopted to test the strength of the relationship between variables. From the regression model, the findings indicate that study variables significantly influenced performance of National Hospital Insurance Fund. Coefficient of adjusted determination was 0.734 which translates to 73.4%. This indicates that variations in dependents variable was explained by the independent variables (strategic planning practices, strategic formulation practices, strategic implementation practices and strategic evaluation practices). The residual of 26.6% could be explained by other factors beyond the scope of the current study. The study concluded that strategic management practices influence performance of National Hospital Insurance Fund. Further, the study recommend that National Hospital Insurance Fund should ensure that its strategic formulation practices are completely working with negligible hitches as this contributes emphatically towards the improvement of its exhibition regarding the development of client base, upheld hospitals and National Hospital Insurance Fund commitment.
2021-06-11T00:00:00Z