📄 Abstract
Strategic agility has become a critical organizational capability for firms operating in increasingly dynamic and uncertain markets. However, existing empirical evidence remains fragmented across global, regional, and local contexts, limiting a consolidated understanding of its overall effect on organizational performance. This study examines the effect of strategic agility on organizational performance in dynamic markets through a systematic literature review of global, regional, and local empirical studies. The study is anchored on Dynamic Capabilities Theory, the Resource-Based View (RBV), Open Innovation Theory, and Contingency Theory, which collectively explain how firms develop and deploy capabilities to respond to environmental change, leverage internal and external resources, and align strategies with contextual conditions. The review synthesizes findings from diverse contexts including developed economies, emerging markets, and African and Kenyan studies. Findings from the reviewed literature consistently indicate that strategic agility has a positive effect on organizational performance across different sectors and environments. Globally, strategic agility enhances performance through dynamic capabilities, exploration–exploitation learning, and openness to external knowledge, particularly in turbulent markets. Regionally, especially within emerging economies, strategic agility is strongly influenced by firm-level capabilities such as technological capability, networking capability, and leadership, which translate into improved performance and competitiveness. Locally, Kenyan studies confirm that strategic agility significantly improves organizational performance across sectors including banking, real estate, hospitality, cleaning services, and higher education, with key dimensions such as decision-making flexibility, technological capability, and resource reconfiguration emerging as critical drivers of performance. The review further reveals that strategic agility operates both as a direct determinant of performance and as a capability shaped by internal organizational resources and external environmental conditions. However, despite strong empirical support across contexts, the literature remains fragmented, with limited integration into a unified dynamic market framework that explains cross-context applicability. The study concludes that strategic agility is a multidimensional and universally relevant capability that enhances organizational performance in dynamic markets. It recommends that future research adopt integrative frameworks that combine global, regional, and local insights to better explain how strategic agility can be leveraged for sustained competitiveness in uncertain and rapidly changing environments.
🏷️ Keywords
📚 How to Cite:
Nyoro Wanyoike , NAVIGATING DYNAMIC MARKETS THROUGH STRATEGIC AGILITY: REVIEW OF EXTANT LITERATURE , Volume 13 , Issue 6, June 2026, EPRA International Journal of Economics, Business and Management Studies (EBMS) , Pages: 48 - 57 ,