CHAPTER FOUR

DATA PRESENTATION, ANALYSIS ANDDISCUSSION OF RESULTS

4.0 Introduction
In this chapter the results of the data analysis, followed by interpretations are presented. The data
were collected and then processed in response to the problems posed in chapter 1 (problem
statement) of this thesis. Four fundamental goals drove the collection of the data and the
subsequent data analysis. Those goals were to determine the effect of trust, commitment,
information sharing and specific investments on firm competitiveness. These objectives were
accomplished. The findings presented in this chapter demonstrate the potential for merging
theory and practice. Data were obtained from self-administered questionnaires, completed by top
management of all the 15 textile firms in Kenya.
4.1 Demographic Information
Although it was not part of the purpose of the study, this set of data was intended to describe
demographic variables of the sample and to assess for any influence on the research findings.
The demographic data consisted of Gender, highest level of education, Current employment
status, Firm size and Firm existence. Table 4.1 shows that there were more males 137 (55.2%)
than female 111(44.8%) employees in the company. Under the highest level of education
attained, a majority 100 (40.5%) of the employees had degree, followed by masters 80 (32.3%).
46 employees had diploma representing 19% and12 employees with certificate covered 4.75%
and the least was PhD which represented 3.5%. The result registered under current employment
status indicated that 148 (59.7%) were employed by companies, 60 (24.2) were self-employed
and 40 (16.1%) represented other areas. Under firm size, 54 (33.3%) of the companies had more
than 800 employees. There was a tie between companies that employed less than 100 employees

and 500- 800 employees who represented 26 (16%). The least was represented by 200500employees. For firm existence, 61 (37.7%) of the respondents said it existed between 1-5
year, 44 (27.2%) said it existed between 6-10 years and 34 (21%) thought it existed for more
than 11 years . 23 (14.2%) thought it existed for less than a year.
Table 4.1

Demographic Information

Gender
highest level of education

Current employment status

Firm size

firm existence

Source; (Survey Data, 2013

Table 4.1indicated that

Male
Female
Total
Secondary

Frequency Percent
137
55.2
111
44.8
248
100
2
0.8

Certificate
Diploma
Degree
Masters
PhD
Total

12
46
100
80
8
248

4.7
19
40.5
32.3
3.5
100

Self employed
Company employed
Others
Total
Less than 100 employees
100-200 employees
200-500 employees
500-800 employees
More than 800 employees

60
148
40
248
26
10
5
26
54

24.2
59.7
16.1
100
16
6.2
3.1
16
33.3

Total
Less than a year
1-5 years
6-10 years
11 years and above
Total

162
23
61
44
34
162

100
14.2
37.7
27.2
21
100

Table 4.2

Organizational Capital

Mean
()

Std.
Deviation

Skewness

Kurtosis

Knowledge artifacts(data,document etc) in the

organization are stored and indexed in
databases

4.18

0.779

-1.201

1.848

Our database is updated promptly whenever

new information or data is created

4.13

0.67

-1.285

3.582

The company encourages free talks and

discussions between colleagues

4.07

0.674

-1.198

3.098

Company culture contains valuable ideas/ways

of doing things

4.1

0.831

-1.251

1.612

4.24
4.1265

0.619
0.39006

-0.365
-0.844

0.213
0.327

Organizational Capital

The results in table 4.2 above indicated that the management agreed that company culture
contains valuable ideas/ways of doing things (= 4.24, = 0.619), they also agreed that
knowledge artifacts(data,document etc) in the organization are stored and indexed in
databases (= 4.18, = 0.779). Apart from that, they agreed that databases are promptly
updated whenever new information or data is created (= 4.13, = 0.67), and that the
company encourages free talks and discussions between colleagues (= 4.07, =0.674).
Since all the are less than from the findings above, it shows that has less deviations.
The findings above also give a skewness of -0.844 which is less than one. This data
therefore represents a normal distribution.

Table 4.3

Human Capital

Mean

Std.
Deviation Skewness Kurtosis

Employees are recruited placed and employed

in the right jobs

4.41

0.494

0.354

-1.898

Employees are very highly skilled in their jobs.

4.2

0.855

-1.057

0.698

Employees are widely considered the best in

the industry.

4.36

0.532

-0.19

0.7

Our employees are confident in their ability to

provide knowledge that others consider
valuable

4.03

0.881

-1.166

1.017

3.91
4.1877

0.948
0.44815

-1.109
-0.215

0.989
-0.721

Our employees develop new ideas and

knowledge
Human Capital

Source; (Survey Data, 2013

The management agreed that their employees are recruited placed and employed in the right jobs (=
4.41, =0.494), and that their key employees are widely considered the best in the industry (= 4.36,
=0.532). They also agreed that these employees are very highly skilled in their jobs (= 4.20, =0.855)
and that employees are confident in their ability to provide knowledge that others consider valuable (=
4.03, = 0.881). However, they were neutral that their employees develop new ideas and knowledge (=
3.91, = 0.948)

Table 4.4 Social Capital

Mean

Std.
Deviation Skewness Kurtosis

Thought on whether it is important to share information

and ideas with colleagues for better performance

4.42

0.495

0.328

-1.916

Knowledge sharing among colleagues is considered

normal in my company

3.94

1.035

-1.453

1.756

The company provides all the necessary help and support

and resources to enable employees to share ideas and
knowledge resources,

4.26

0.585

-0.869

3.532

The company supports and encourages employees to

share knowledge with persons outside the organization

4.44

0.498

0.226

-1.974

4.14
4.1698

0.595
0.41641

-0.049
-0.668

-0.254
0.339

Our employees partner with customers, suppliers,

alliance partners etc to develop solutions
Social Capital

Under social capital, the finding on table 4.4 shows that the company supports and
encourages employees to share knowledge with persons outside the organisation
(= 4.44, = 0.498). With a mean of 4.42 and of 0.495, the management thought
on whether it is important to share information and ideas with colleagues for better
performance. The company also provides all the necessary help, support and
resources to enable employees to share ideas and knowledge resources (= 4.26,

= 0.585), and their employees partner with customers, suppliers, alliance partners
etc to develop solutions (= 4.14, = 0.585). Although not strongly supported,
knowledge sharing is considered normal among colleagues in the company
(=3.94, = 1.035). The data reveals that sharing of information is fundamental in
the company as evidenced by a mean of 4.1698. This was supported by skewness
of -0.668 and kurtosis of 0.336 implying a normal distribution.

Table 4.5

Firm performances
Std.
Mean Deviation Skewness Kurtosis
4.05
0.825
-1.906
5.095

The firm has increased its profit margin.

The firm has added asset.
There has been an increase in the number of employees
The firm has increased its sale growth
Firm performances
Source; (Survey Data, 2013

4.09

0.52

-1.215

6.858

4.25

0.58

-0.856

3.664

4.333

0.4028

-0.556

0.201

4.6 Correlation Results

Table 4.7

Correlation results

Firm performance

Firm
performance
1

Organizational
capital

Human
capital

Social
Capital

0
Organizational capital
.401**
1
(0.000)
0
Human capital
.310**
.176*
(0.000)
(0.025)
Social capital
.572**
.462**
(0.000)
(0.000)
** Correlation is significant at the 0.01 level (2-tailed).
* Correlation is significant at the 0.05 level (2-tailed).
Source; (Survey Data, 2013)

1
0
.250**
(0.001)

1
0

4.7 Regression Results

Table 4.8

Model Summary

Adjusted R
Std. Error of
DurbinR
R Square
Square
the Estimate
Watson
.712
0.508
0.495
0.10285
2.1
Predictors: (Constant), Organizational Capital, Human Capital and Social Capital
Dependent Variable: firm performance
Source; (Survey Data, 2013)
4.7.1

Analysis of Variance for Testing Goodness of Fit

Table 4.9

ANOVA

Sum of
Mean
Squares
Df
Square
F
Sig.
Regression
1.712
4
0.428
40.452
.000
Residual
1.661
157
0.011
Total
3.372
161
Dependent Variable: firm performance
Predictors: (Constant), Organizational Capital, Human Capital and Social Capital
Source; (Survey Data, 2013)

4.7.3

Hypothesis Testing

Table 4.10

Coefficients of Estimates
Unstandardized
Standardized
Coefficients
Coefficients
B
Std. Error
Beta
t
2.414
0.159
15.223

(Constant)
Organizational
Capital
0.095
0.023
Human Capital
0.066
0.019
Social Capital
0.203
0.028
Dependent Variable: firm performance

Source; (Survey Data, 2013)

0.24
0.201
0.421

4.109
3.554
7.206

Sig.
0.000
0.000
0.001
0.000

Collinearity
Statistics
Tolerance VIF

0.916
0.979
0.921

1.091
1.021
1.086