The purpose of this study was to establish the competitive intelligence practices adopted by private hospitals in Mombasa and their effect on organizational performance. The general objective of the study was to determine the effect of competitive intelligence practices on performance of The Aga Khan hospital Mombasa. The specific objectives were; to analyze the effect of strategic alliance intelligence practice, market intelligence practice, technological intelligence practice and product differentiation practice on organizational performance of The Aga Khan hospital Mombasa. The study used descriptive research design. The study targeted 52 departmental heads of Aga Khan Hospital. Primary data was obtained through use of questionnaires. Quantitative data collected using a questionnaire was analyzed by the use of descriptive statistics while the qualitative data was analyzed using content analysis. In addition, the researcher conducted a multiple regression analysis so as to determine the relationship between the hospitals performance and the competitive intelligence practices. The study found that the hospital employed new market intelligence as a competitive intelligence. Product intelligence influenced the performance of the hospital to a great extent. The hospital-initiated activities to obtain information on technology advancement in the industry to a very great extent. Mergers in the industry and strategic alliance enhanced the performance of the company to a very great extent. The study concludes that the hospital employed new market intelligence as a competitive intelligence. Product intelligence influenced the performance of the hospital to a great extent. The hospital-initiated activities to obtain information on process automation in the firm, interconnected technology in the company, integrated systems in the industry and new software in the industry. The study recommends as follows: Aga Khan Hospital should continuously invest in marketing research to gather as much information as possible in order to remain competitive; that Aga Khan Hospital should strive to maintain existing customers and acquire new ones; that Aga Khan Hospital should make use of technology intelligence among other intelligences to increase their competitiveness in terms of innovation, customer satisfaction and market orientation; that Aga Khan Hospital should review its strategic alliances and joint ventures and maintain those that are relevant and profitable.