Digital business model design and transient competitive advantage among manufacturing firms in Kenya.

Abstract

The manufacturing sector plays a critical role in Kenya’s economic development, yet its contribution to national output remains modest, partly due to limited competitiveness in an increasingly digitalized business environment. This study examines the influence of digital business model design strategies on the attainment of transient competitive advantage among large-scale manufacturing firms in Kenya. Anchored on strategic management and digital transformation perspectives, the study adopts a correlational research design to assess the relationship between digital strategy dimensions and competitive outcomes. The target population comprised 857 large-scale manufacturing firms, from which a sample of 348 firms was drawn, achieving a response rate of 76.8%. Data were analysed using Pearson correlation and bivariate regression techniques. The findings indicate a strong and statistically significant positive relationship between digital business model design strategies and transient competitive advantage, demonstrating that firms with well-integrated digital strategies are better positioned to respond to rapidly changing market conditions. Regression results further confirm that digital business model design is a significant predictor of transient competitive advantage. The study concludes that deliberate investment in digital transformation, innovative revenue models, and integrated customer engagement platforms is essential for sustaining competitiveness. It recommends the development of supportive policy frameworks and firm-level strategic alignment to enhance the effective implementation of digital business model strategies within Kenya’s manufacturing sector