Purpose: This study sought to establish the risk management strategies and performance of small agribusiness firms in Kiambu County.Methodology: The study employed descriptive research design. The population of the study was 11,120 small agribusinesses businesses (SME) in Kiambu County. The selection was done in random manner ensuring that all types of firms are considered. This was achieved through stratified random sampling. Data of the list of firms and type was obtained from the County office in-charge of industrialization. The study used both primary data. Primary data was gathered by use of closed ended questionnaires, which was self-administered. A multiple linear regression model was used to test the significance of the influence of the independent variables on the dependent variable. Data was analyzed mainly by use of descriptive and inferential statistics. SPSS was used to produce the descriptive and inferential statistics. Descriptive statistics included mean, and standard deviation. Inferential statistical techniques included correlation and regression analysis.Results: The study findings indicated that financial risk management strategy, operational risk management strategy, human resource risk management strategy, regulatory risk management strategy and disaster risk management strategy affected organizational performance. The study indicated that keeping previous record enables to forecast future risks, financial distress affects performance, keeping informed of various risks reduces the risk of poor performance and that having contingent measures to reduce financial risks improves the organizational performance.Unique contribution to theory, practice and policy: The study recommends that it is important for a company to reduce the volatility of earnings or cash flows due to financial risk exposure as the reduction enables the firm to perform better forecasts.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.
customersupport@researchsolutions.com
10624 S. Eastern Ave., Ste. A-614
Henderson, NV 89052, USA
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Copyright © 2024 scite LLC. All rights reserved.
Made with 💙 for researchers
Part of the Research Solutions Family.