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INSTITUTIONAL DETERMINANTS OF CHARITABLE FUNDS GENERATION BY LOTTERY ORGANIZATIONS: A CASE OF KENYA CHARITY SWEEPSTAKE

Kwasi Odero Amos - Masters of Business Administration, Moi University, Kenya

Dr. Michael Nyagol - Moi University, Kenya

Prof. Thomas Cheruiyot - Moi University, Kenya


ABSTRACT

The purpose of this study was to assess the factors affecting generation of charitable funds by the KCS. Specifically, the study assessed the effect of four key aspects namely: distribution and marketing channels; the existing legislative framework; competition from new entrants in the lottery business; and the cost and pricing structure of its tickets. The study used a descriptive research design in which the target population was all staff, ticketing agents, and the top management of KCS in Nairobi region. The study also covered key informants drawn from the Betting Control and Licensing Board, and the Office of Vice President & Ministry of Home Affairs. A census was conducted on the KCS staff’ category of the target respondents. Simple random sampling was then used to draw samples from authorized KCS ticket vendors. The study used a sample size of 20% of the 326 agents which is equivalent to 65 agents/vendors. Purposive sampling was used to sample key informants. Structured questionnaire were used to collect data from KCS staff and authorized ticket vendors/agents. The study used interview guides to collect data from key informants.  The data was analyzed using both qualitative and quantitative techniques. The study established that distribution and marketing channels affect the generation of charitable funds (mean score, 1.73). The study established that according to 75% respondents, pricing structure of KCS tickets influenced the consumers purchase decision. The study concludes that distribution and marketing channels and product pricing affect the generation of charitable funds by lottery organization. The study recommends that KCS management ensure that the ticket vending outlets are located in areas such as next to public meeting points and along busy town streets. The study also recommends that the government controls the number of lottery firms in the country.


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