Theses and Dissertations
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Item Relationship between macroeconomic factors and the stock market development in Kenya(KCA University, 2025) Karanja, Grace N.Stock markets constitute an essential component of modern economic systems, serving as mechanisms for capital allocation, savings mobilization, and the promotion of economic development. They offer corporations a structured avenue to raise capital for expansion, enhance market liquidity, facilitate price discovery, and contribute to both the creation and distribution of wealth. In Kenya, the interplay between macroeconomic indicators and stock market development warrants comprehensive investigation, particularly in light of the growing significance of financial markets in the country’s economic architecture. This study sought to examine the relationship between selected macroeconomic variables specifically Gross Domestic Product (GDP) growth, inflation, interest rates, and exchange rates and their influence on the development of the Kenyan stock market. The investigation was anchored in prominent theoretical models such as the Efficient Market Hypothesis (EMH), Arbitrage Pricing Theory (APT), and the Three-Factor Model. These frameworks offered foundational perspectives for interpreting the interactions between economic fundamentals and financial market performance. Using a mixed-methods approach, the study combined quantitative analysis with time series data from 2000 to 2023 on a quarterly basis. The statistical analysis was conducted using STATA 12, employing a multiple linear regression model under the ordinary least squares (OLS) methodology to identify significant relationships among the variables of interest. Primary data sources included financial disclosures from listed firms on the Nairobi Securities Exchange (NSE), macroeconomic data from the Central Bank of Kenya and the Kenya National Bureau of Statistics, as well as exchange rate information obtained from the International Monetary Fund (IMF) and the World Bank. The analytical process commenced with a descriptive statistical assessment, encompassing measures such as the mean, variance, skewness, and kurtosis. Thereafter, diagnostic tests were conducted to ensure the fulfillment of OLS assumptions, including tests for stationarity, multicollinearity, and serial correlation. To capture both short-term dynamics and long-term equilibrium relationships, the study applied advanced econometric techniques, including Vector Error Correction Model (VECM), the Johansen Cointegration Test, and Granger Causality analysis. Furthermore, the Impulse Response Function (IRF) and Forecast Error Variance Decomposition (FEVD) were utilized to evaluate the dynamic temporal responses of the variables. The findings of the study yielded valuable insights for policymakers, investors, and financial analysts by elucidating the macroeconomic determinants of stock market performance in Kenya. The results also served to inform strategic financial decision-making, enhance risk management frameworks, and support the formulation of sound economic policies. Additionally, this study aimed to contribute to the broader academic discourse on financial market development within the context of emerging economies.Item Marketing strategies and performance in Nairobi’s central business district pastry shops(KCA University, 2026) Njeru, Joy N.This study examined the effect of marketing strategies on the operational performance of bakeries within Nairobi’s Central Business District. Using a mixed-methods approach, data were collected from a purposive sample of 48 bakeries, achieving a 91.7% participation rate after four bakeries (8.3%) declined due to restructuring, confidentiality concerns, or staffing shortages. The analysis focused on four key areas: digital marketing and social media usage, customer retention programs, promotional effectiveness, and operational performance measures. Results indicated that 64% of bakeries actively used digital marketing channels such as Instagram, Facebook, Google Ads, and SEO, while 36% had no visible online presence, potentially limiting their reach to digitally inclined consumers. Structured loyalty programs were adopted by 42% of bakeries, with the remainder relying on informal retention approaches. Seasonal promotions were utilized by 55% of respondents, yielding average sales increases between 10% and 30% depending on the campaign type. Operational performance tracking varied, with 48% employing measurable KPIs like daily sales, wastage rates, and delivery punctuality, while others relied on qualitative assessments such as freshness and customer satisfaction. The study identified significant operational challenges, including high rental costs (71%), ingredient price inflation (65%), competition from chains (49%), and seasonal workload spikes. The findings underscore the need for greater adoption of digital marketing, structured loyalty systems, standardized performance metrics, and innovative growth strategies such as subscription models and corporate catering partnerships. Inferential statistics show that customer acquisition strategies, product positioning, branding, and sales tactics all have a significant positive effect on the performance of pastry shops in Nairobi’s Central Business District. Shops that invest in creative customer acquisition methods such as social media marketing, loyalty programs, and promotions experience improved visibility and higher sales. Effective product positioning through quality, packaging, and differentiation enhances competitiveness and customer loyalty. Strong branding builds trust, recognition, and emotional connection with customers, driving repeat purchases. Lastly, structured sales tactics like upselling, discounts, and personalized selling boost profitability, customer satisfaction, and sustainable business growth. These insights offer practical guidance for enhancing competitiveness and sustainability within Nairobi’s urban bakery sector.Item Auditor characteristics and financial sustainability of county governments in Kenya(KCA University, 2025) Kiarie, Anthony N.Auditors play a central role in advancing financial sustainability within public sector institutions, particularly county governments. Their characteristics, including professional experience, independence, ethical orientation, and risk disposition, significantly shape the quality of financial reporting, accountability, and transparency, which are essential for sustainable fiscal management. This study investigated the effect of auditor characteristics on the financial sustainability of county governments in Kenya. Guided by legitimacy theory, stewardship theory, and inspired confidence theory, the research focused on four specific objectives: to assess the influence of auditors’ professional experience, independence, ethical orientation, and risk attitude on financial sustainability. A descriptive research design was employed, targeting all 47 counties in Kenya. A sample of 123 respondents was selected, and data were obtained through structured questionnaires utilizing a five-point Likert scale. Instrument reliability was verified through a pilot test, yielding a Cronbach’s alpha of 0.7. Data analysis was conducted using SPSS, applying both descriptive and inferential statistics, including multivariate regression and structural equation modeling. The findings established that auditors’ professional experience, independence, and ethical orientation exert a positive and statistically significant effect on financial sustainability, while auditors’ risk attitude demonstrated a negative but statistically insignificant effect. The study emphasizes the importance of strengthening auditors’ technical competencies, safeguarding their independence from political interference, and promoting high ethical standards as key strategies for enhancing accountability and fiscal discipline. It concludes that sustained investment in auditor capacity-building, coupled with institutional reforms to support professional autonomy and integrity, is vital for improving governance and ensuring long-term financial sustainability within devolved government units.