Firm orientations and performance of hotels in Nairobi, Kenya

The hotel industry has gone through turbulent times in the last two decades, like most sectors of the Kenyan economy, and this emanates from challenges within the tourism sector. The tourism sector under which hotels is found in Kenya has been facing numerous challenges which have posed a threat to their existence. The study findings revealed that market structure in terms of industry competition and market power, organizational structure, strategic orientation and market orientation had positive effects on the performance of hotels in this county. Various recommendations were proposed in order to improve the performance and competitive advantage of these hotels based on each objective. The study therefore concluded that if hotels in this county were to survive in the market especially during turbulent times and stiff competition, they had to orient their firms in such a way to gain sustainable competitive advantage and hence attain maximum performance.