Effect of Passive Tower-Sharing Strategies on Organizational Performance of Mobile Network Operators in Kenya

Abstract

Mobile network operators (MNOs) in Kenya operate in an increasingly competitive environment characterized by high infrastructure investment costs and pressure to improve organizational performance. Telecommunication tower sharing has emerged as a strategic approach to reducing costs and enhancing operational efficiency. This study examined the influence of passive tower-sharing strategies on the organizational performance of mobile network operators in Nairobi County, Kenya.  The study adopted an explanatory research design targeting 235 managers from Safaricom, Airtel, Telkom, and Jamii Telecommunications Ltd. A sample of 148 respondents was determined using Yamane's formula, while stratified random sampling was employed. Primary data were collected using semi-structured questionnaires and analyzed using descriptive statistics and bivariate linear regression in SPSS.  The findings revealed that passive tower-sharing strategies had a strong positive and significant effect on organizational performance (β = 0.823, R² = 0.677, p < 0.05). The results indicate that tower-sharing enhances cost efficiency, network expansion, regulatory compliance, service quality, and overall organizational performance. The study concludes that passive tower-sharing strategies significantly improve the organizational performance of mobile network operators. It recommends that operators expand passive infrastructure-sharing arrangements, while the Communications Authority of Kenya strengthens regulatory frameworks that promote infrastructure sharing, fair competition, and efficient utilization of telecommunications resources.