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This Research which was anchored on upper echelons theory has established that diversity in top management affect organizational strategy and as such organizational performance. It was also established that top managers'compensations affect organizational behaviors. Before the study there was no literature that had sought to examine the influence of diversity in top management and compensation in tandem, or their interactive effects in shaping organizational strategy. The existing literature portrayed influence of diversity in top management teams as double-edged sword because of the conflicting empirical findings on organizational performance.