Resource Optimization and Sustained Competitive Advantage of Private Healthcare Providers in Kenya
DOI:
https://doi.org/10.47941/ajss.3526Keywords:
Resource Optimization, Sustained Competitive Advantage, Private Healthcare Providers, Organizational CultureAbstract
Purpose: This study investigated influence of resource optimization on sustained competitive advantage of private healthcare providers in Kenya, guided by the Resource-Based View (RBV) Theory. The study also sought to establish the moderating effect of organizational culture on the relationship between resource optimization and sustained competitive advantage.
Methodology: Adopting a descriptive cross-sectional research design, the study targeted senior managers of private healthcare providers within Nairobi Metropolitan. Both descriptive and inferential statistical analyses, including correlation, regression, and moderation tests, were employed to evaluate the relationship between resource optimization and sustained competitive advantage.
Findings: The findings revealed resource optimization as a significant and strong predictor of sustained competitive advantage. Healthcare organizations that adopted capability, cost and technology optimization reported improved returns on investments, customer satisfaction and market share. Furthermore, the study established that organizational culture significantly moderates the relationship between resource optimization and sustained competitive advantage. Healthcare institutions that fostered positive cultures characterized by teamwork, role clarity, and customer-centric values experienced amplified benefits from their resource optimization efforts. This finding affirms that while resource optimization is critical, its effectiveness is enhanced within supportive cultural environments that promote collaboration and strategic alignment. The study concludes that effective resource optimization, reinforced by a strong organizational culture, is essential for private healthcare providers seeking to maintain long-term competitive advantage in Kenya’s dynamic healthcare sector.
Unique Contribution to Theory Practice and Policy: It recommends that healthcare leaders institutionalize comprehensive resource optimization strategies, invest in modern technologies, and cultivate organizational cultures that support efficient resource utilization. Policymakers are also urged to incentivize healthcare providers demonstrating excellence in resource optimization and cultural alignment to strengthen the sector’s capacity for sustained competitive advantage.
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Copyright (c) 2026 Mwenemeru Eunice Mugure, Dr. Jared Deya, Prof. Allan Kihara
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