How does strategic planning influence the performance of financial institutions? An empirical study of Ethiopia

Abstract

This research investigates the impact of strategic planning (SP) on the performance of financial institutions in Ethiopia. The study also investigates the mediating role of strategic innovation (SI) and the moderating role of a political environment (PE). The study used cross-sectional research that relied on surveys. This study expands the knowledge edge in the field of strategic management through the discovery that SP affects the performance of financial institutions directly and indirectly through the mediation of SI; and the PE has a moderating role in the relationship between SP and performance, which has a positive and significant effect.

Keywords

• Strategic planning
• Strategic innovation
• Political environment
• Financial institutions
• Ethiopia