Benjamin Nzomo Mwikya, Darius Oloo Otieno, Matata Kilungu, Scholastica Nkirote Ratanya

Abstract

The global hospitality industry faces difficulties brought on by globalization, changing consumer preferences, and technology breakthroughs that have a negative impact on market share, productivity, and sales. The challenging conditions that Kenyan hotels are facing in the midst of uncertainty have prompted an investigation into the effect of turnaround strategies, in particular, on the performance of four-star hotels in the coastal region in terms of repositioning strategies. The study investigates the relationship between the implementation of a repositioning strategy on Performance of Four-star Rated Hotels using a descriptive research design based on market-based view theory. The target population comprised 319 managers, with 177 randomly selected through stratified random sampling. Data collection involved questionnaires and the drop-and-pick method, while SPSS 27 processed the data. Findings revealed a moderately strong positive linear relationship (R=0.579) between repositioning strategy implementation on performance of Four-star Rated Hotels in the coastal Region of Kenya. The statistical model underscores the significant influence of repositioning strategies, explaining 33.5% of performance variations (R-squared=0.335). This study provides valuable insights for navigating challenges in the Four-Star Rated Hotels in the Coastal Region of Kenya.

Key words: Turnaround Strategies; repositioning strategy; market-based view; four-star rated hotels and Performance