Moderating Effect of Gearing Ratio on the Relationship between Loyalty Programs and Financial Performance of Selected Firms in Service Industry in Kenya

Simple item page
dc.contributor.authorKiarie John, Kirori Gabriel N. & Wachira David
dc.date.accessioned2024-05-09T06:50:49Z
dc.date.available2024-05-09T06:50:49Z
dc.date.issued2019-08
dc.descriptionJournal Article
dc.description.abstractThe purpose of the study was to determine the moderating effect of gearing ratio on the relationship between loyalty programs and financial performance of selected firms in service industry in Kenya. The study employed explanatory research design which is non-experimental in nature. The target population was three (3) telecommunication firms (Safaricom, Airtel and Telkom Kenya), 49 supermarkets and 46 Five Star hotels. Since the population of telecommunication firms was small, the study used the census survey method. Purposive sampling was used to select 5 big Supermarkets and 16 Five Star hotels. Panel data analysis was used to link the relationship between the variables. Similarly, One-Way ANOVA was used to find out if the financial performance of the three service industries were different. Diagnostic tests which included normality tests, multicollinearity tests, panel unit root tests and fixed and random effect were carried out. The results further showed that gearing ratio have a negative and significant relationship with financial performance of service industry. The regression results revealed that gearing ratio improved the strength of the relationship between loyalty program and Financial Performance of the Selected Firms in Service Industry in Kenya. Since long term debt provides tax shield for the company, there is every tendency for the company to continue to grow debts, the effect of accumulating unnecessary debts should form regular policy discuss by the management and the directors, hence there should be high-powered committees of the managements and the board to review the debt portfolio from time to time. These committees should be firm on investment/divestment of any debt capital to ensure that the company stays afloat all the time without the fear of any litigation for not meeting up with all present and previous obligations.
dc.identifier.citationKiarie J., Kirori G, N., & Wachira D. (2019): Moderating Effect of Gearing Ratio on the Relationship between Loyalty Programs and Financial Performance of Selected Firms in Service Industry in Kenya. Journal of Economics, Vol 3(1) pp. 1-13.
dc.identifier.issn2617-5800
dc.identifier.urihttps://repository.daystar.ac.ke/handle/123456789/4577
dc.language.isoen
dc.publisherStratford Peer Reviewed Journals and Book Publishing
dc.relation.ispartofseriesVolume 3||Issue 1
dc.subjectLoyalty Programs
dc.subjectFinancial Performance
dc.subjectGearing Ratio & Kenya
dc.titleModerating Effect of Gearing Ratio on the Relationship between Loyalty Programs and Financial Performance of Selected Firms in Service Industry in Kenya
dc.typeArticle

Files

Original bundle
Now showing 1 - 1 of 1
Thumbnail Image
Name:
Moderating Effect of Gearing Ratio on the Relationship between Loyalty Programs and Financial Performance of Selected Firms in Service Industry in Kenya. Journal of Economics …(Wachira Muturi).pdf
Size:
430.39 KB
Format:
Adobe Portable Document Format
Download
License bundle
Now showing 1 - 1 of 1
No Thumbnail Available
Name:
license.txt
Size:
1.71 KB
Format:
Item-specific license agreed upon to submission
Description:
Download

Collections

Journal Articles