Effect of Liquidity Management Strategies on Sustainability of Table Banking Groups in Uasin Gishu County, Kenya.
Journal Title: International Journal of Finance Accounting and Economics - Year 2018, Vol 1, Issue 1
Abstract
Financial management strategies are crucial determinants of sustainability of table banking groups. It enables groups set clear goals, efficient utilization of resources, proper decisions in sourcing of finances and dividends decision making. The main purpose of this study was to establish the relationship between liquidity management strategies and sustainability of table banking groups in Uasin Gishu County, Kenya. The study was founded on liquidity preference theory and life cycle theory. The study adopted the descriptive survey research design. The target population were all table bank groups in Kenya. The accessible population was 538 registered table bank groups in Uasin Gishu County. A sample of 230 groups was involved in the study. Two stage sampling technique was used to narrow down the sub-counties. Purposive sampling technique was used to select 3 sub-counties out of six sub-counties in Uasin Gishu County. Simple random sampling technique was used to select respondents for the actual study. Self-administered questionnaires were used to collect data. Both descriptive and inferential statistics were used for data analysis. Descriptive statistical tools included frequencies, percentages, mean, variance and standard deviations. Inferential statistics included Pearsons Product Moment Correlation and multiple regression analysis. Findings were presented in tables, charts and graphs. The study established that liquidity management strategies positively and significantly influence sustainability of table banking groups (β=0.535; p < 0.05). It was concluded that proper financial management strategies could enable table banking groups to enhance their sustainability. The study is expected to guide organizational policy makers and investors as well as financial advisors and consultants on financial management strategies. The study recommended that risk management strategies should be incorporated in financial management strategies. It was also recommended that theories anchored this study should be applied so as to enhance sustainability.
Authors and Affiliations
DR. Kimani E. Maina
Keywords
Related Articles
- EP ID EP311372
- DOI -
- Views 121
- Downloads 0
Do Board Processes Affect Firm Performance of State Owned Sugar Companies in Kenya? Exploring the Role of Use of Knowledge
Firms with strong financial performance are able to survive in the dynamic business environment. Financial stability of firms enables them to compete globally. Corporate governance is plays a significant role on the fina...
Effect of Non-Performing Loans on Financial Performance of Commercial Banks in Kenya
Commercial banks in Kenya have suffered significant loan repayment default problems resulting into decreased employment levels and liquidity problems. Interest rate changes have also contributed to non-performing loans....
E-procurement and Organizational Performance. Is e-invoicing Significant. Evidence from Public Hospitals in Uasin Gishu County, Kenya
chain units has made it possible to conduct procurement practices effectively as compared to the manual methods of recording procurement and general conducting of procurement functions. However, the performance of hospit...
Effect of Risk Management on Corporate Governance in Savings and Credit Co-Operative Societies in Nairobi County- Kenya
Corporate governance an integral part of the firms in both the public and the private sectors. Saccos need to improve their corporate governance in order to compete globally. The purpose of this study was to establish th...
Corporate Governance and Financial Performance of Savings and Credit Co-Operatives in Embu County, Kenya
Corporate governance is of great importance for financial performance. Corporate governance issues have attracted public interest in the financial sector both locally and internationally after waves of corporate rip-offs...