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Focus strategy-firm structure fit and performance of star rated hotels in Kenya

The purpose of this study was to examine the influence of focus strategy-firm structure fit on the performance of star-rated hotels in Kenya. The study adopted the positivism research philosophy and descriptive-correlative research design. Multi-stage sampling that included proportionate stratified sampling and simple random sampling was used. The sample consisted of 267 general managers and functional managers from Kenya’s three, four and five star rated vacation and town hotels as in 2018. 253 managers responded out of which 59 respondents were found to represent hotels pursuing a focus strategy. Structural equation modeling was used for hypothesis testing. The study concluded that focus strategy-firm structure fit has a significant influence on the performance of star-rated hotels in Kenya. The study recommends that a hotel’s pursuit of focus strategy be internally consistent with its organizational structure.