Effect of Technological Capabilities on Transient Competitive Advantage among Hospitals in Kenya

Abstract

This research aimed to address a significant gap by empirically examining the link between technological capabilities and transient competitive advantage, a topic largely overlooked in the Kenyan healthcare sector. The study combined descriptive and correlational research designs. The target population comprised 476 top managers of private hospitals, with a calculated sample size of 247. Probability sampling techniques, including stratified random sampling were used in determining the sample participation per hospital. Data collection was then done using questionnaire guide. Confirmatory Factor Analysis (CFA) and Structural Equation Modelling (SEM) were used to analyse the relationship between technological capabilities and transient competitive advantages. Results indicate a 84.6% response rate, revealing variations in private hospitals’ transient competitive advantage and technological capabilities. The validity and reliability tests demonstrate a satisfactory assessment of the data collection instruments. The SEM analysis reveals a significant positive impact of technological capabilities on transient competitive advantage (path coefficient = 0.943). The study concludes that technological capabilities are pivotal in shaping transient competitive advantage in Kenyan private hospitals, emphasizing the need for strategic investments in technology, partnerships, innovation, and a market-oriented approach. The study recommends healthcare practitioners to invest in strategic technology investments, partnerships, foster innovation, and a market-oriented approach for continuous adaptation.