Formulation Strategy and Performance of Agribusiness Firms in Trans-Nzoia County, Kenya

Strategic formulation methods are now widely accepted as being crucial to anticipating and managing performance successfully as well as addressing new concerns that are likely to arise. This study examined the influence of formulation strategy on performance of agribusiness firms. The study was grounded in the understanding that effective strategic formulation is essential for organizational success, especially in the competitive and dynamic agribusiness sector. A mixed methods approach using an embedded research design was adopted to integrate both qualitative and quantitative data. The target population comprised 106 employees from five selected agribusiness firms, and using Slovin’s formula, a sample size of 84 respondents was determined. The findings revealed that strategy formulation was found to align to organizational internal capabilities, resulting in more focused and effective planning. The study concluded that strategic formulation practices have a significant and positive influence on the performance of agribusiness firms. It recommended that agribusiness firms institutionalize strategic formulation frameworks that incorporate continuous environmental analysis, and participatory strategy development. By adopting such practice, agribusiness firms can enhance productivity, service delivery, and profitability. The study contributes to the body of knowledge on strategic formulation in the agribusiness sector and offers practical implications for managers and policymakers. Keywords: Agribusiness, Competitive, Firms, Formulation, Strategy.