Abstract The importance of situation analysis in the project cycle cannot be overstated. This research was carried out in twelve sites where mariculture was practiced in Kilifi, Mombasa and Kwale Counties in the coast of Kenya. The general objective of the research was to assess the effects of situation analysis practices on implementation of mariculture projects in Kenya. The specific objectives were to:- examine the effect of stakeholder analysis on implementation of poverty alleviation mariculture projects, establish the effect of problem analysis on implementation of mariculture projects, and determine the effect of needs assessment on implementation of poverty alleviation mariculture projects. The research was based on quantitative research approach with a cross sectional survey design. Simple random sampling was used to select the number of subjects that represent the target population in the survey. Guided questionnaire administration was adopted to capture responses from members of organized mariculture groups. Factor analysis and regression analysis were conducted on the data collected from the questionnaire survey. Results showed that the poverty alleviation mariculture projects in Kenya are dominated by female actors compared to male actors. Factor analysis revealed that degree of success and degree to which the mariculture projects have addressed their objective of poverty alleviation were the most important measures of project implementation and were named effectiveness. Regression analysis showed that there was a significant positive relationship between stakeholder analysis and effectiveness (β = 0.726; t = 12.59; p = 0.000). Being the single most significant factor influencing mariculture project implementation, stakeholder analysis should be undertaken at the situation analysis stage so that it informs project design. It was concluded that improvements in situation analysis practices brought about by improvements in stakeholder analysis would address poverty among coastal fisher communities by improving implementation of poverty alleviation mariculture projects.