Intellectual Capital and Firm Performance of Listed Firms in Nigeria: Moderating Role of Corporate Governance

Adesanmi Timothy Adegbayibi

doi:10.14710/jab.v10i1.36415

DOI: https://doi.org/10.14710/jab.v10i1.36415

Intellectual Capital and Firm Performance of Listed Firms in Nigeria: Moderating Role of Corporate Governance

*Adesanmi Timothy Adegbayibi - Department of Accounting, Adekunle Ajasin University, Nigeria

Received: 3 Feb 2021; Revised: 14 Mar 2021; Accepted: 18 Mar 2021; Available online: 31 Mar 2021; Published: 31 Mar 2021.

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

BibTex Citation Data :

@article{JAB36415,
    author = {Adesanmi Adegbayibi},
    title = {Intellectual Capital and Firm Performance of Listed Firms in Nigeria: Moderating Role of Corporate Governance},
    journal = {Jurnal Administrasi Bisnis},
  volume = {10},
    number = {1},
    year = {2021},
    keywords = {Corporate Governance; Firms’ Performance Intellectual Capital; Non-financial Firm},
    abstract = { The low performance of Nigerian firms despite investment in intellectual capital is a major concern. While studies have shown that corporate governance practices strengthens the subsisting relationship between investment in intellectual capital and performance in the  developed economies, this moderating effect in Nigeria is yet to be adequately explored as research focus is limited to possible effects of intellectual capital and performance. It is against this background, this study investigated the moderating role of corporate governance on the relationship between intellectual capital and performance of listed non-financial companies in Nigeria. The study adopted ex-post facto research design, and data were drawn from the audited annual reports of fifty (50) listed non-financial firms for a period of 2007 to 2017. Multiple regression techniques were employed to test the relationship among the variables. The results of the study revealed that both intellectual capital and corporate governance drive financial performance as the relationship is found significant in all components. The study concluded that corporate governance moderated the effect of investment in intellectual capital on financial performance. The study recommends that Board of directors should adopt measurable corporate governance mechanism which strengthens and helps in investment strategy that increases and improves performance. Also, there is need to entrench corporate governance as a control strategy and impetus towards attaining organization’s goals. },
   issn = {2548-4923},   pages = {1--12}  doi = {10.14710/jab.v10i1.36415},
    url = {https://ejournal.undip.ac.id/index.php/janis/article/view/36415}
}

Citation Format:

Abstract

The low performance of Nigerian firms despite investment in intellectual capital is a major concern. While studies have shown that corporate governance practices strengthens the subsisting relationship between investment in intellectual capital and performance in the developed economies, this moderating effect in Nigeria is yet to be adequately explored as research focus is limited to possible effects of intellectual capital and performance. It is against this background, this study investigated the moderating role of corporate governance on the relationship between intellectual capital and performance of listed non-financial companies in Nigeria. The study adopted ex-post facto research design, and data were drawn from the audited annual reports of fifty (50) listed non-financial firms for a period of 2007 to 2017. Multiple regression techniques were employed to test the relationship among the variables. The results of the study revealed that both intellectual capital and corporate governance drive financial performance as the relationship is found significant in all components. The study concluded that corporate governance moderated the effect of investment in intellectual capital on financial performance. The study recommends that Board of directors should adopt measurable corporate governance mechanism which strengthens and helps in investment strategy that increases and improves performance. Also, there is need to entrench corporate governance as a control strategy and impetus towards attaining organization’s goals.

Fulltext View|Download

Keywords: Corporate Governance; Firms’ Performance Intellectual Capital; Non-financial Firm

Article Metrics:

Article Info

Section: Articles

Language : EN

In Vol 10, No 1 (2021)

Recent articles

Konflik Peran Ganda Perempuan Bekerja: Studi Pendahuluan Manajer Perempuan Bank BUMN di Provinsi Jawa Barat Pengaruh Manajemen Talenta terhadap Employee Engagement dan Work From Home sebagai Variabel Moderasi Cause-Related Marketing Sebagai Kampanye Solidaritas dan Dampaknya Pada Perilaku Konsumen di Masa Pandemi Covid-19 More recent articles

Most cited articles

Pengaruh E-Service Quality dan E-Security Seals Terhadap E-Satisfaction Melalui Keputusan Pembelian Konsumen E-Commerce (Studi Kasus pada Konsumen Lazada Indonesia) Pengembangan Pariwisata Berbasis Budaya dan Kearifan Lokal Pengaruh Nilai Pelanggan dan Kualitas Layanan Terhadap Loyalitas Pelanggan, Melalui Kepuasan Pelanggan Pada Pelanggan Bus Efisiensi (Studi PO Efisiensi Jurusan Yogyakarta-Cilacap) Pengaruh Keselamatan Dan Kesehatan Kerja Terhadap Prestasi Kerja Karyawan Pada PT. PLN (Persero) APJ Semarang More cited articles

Last update:

Blockchain Driven Supply Chain Management
Sajid Nazir, Muhammad Junaid, Mahmood Ali, Muhammad Saad. Management for Professionals, 2023. doi: 10.1007/978-981-99-0699-4_12
THE PERFORMANCE OF THE FINANCIAL SECTOR DURING THE COVID-19 PANDEMIC
Enni Savitri, Nik Herda Nik Abdullah, Putri Nabila Musfi. Business: Theory and Practice, 23 (2), 2022. doi: 10.3846/btp.2022.16670
Does corporate governance spur bank intellectual capital in an emerging economy? A system GMM analysis from Ethiopia
Abdu Mohammed Assfaw, Dhiraj Sharma. Future Business Journal, 10 (1), 2024. doi: 10.1186/s43093-023-00298-x
Intellectual capital efficiency and market-based financial performance: Evidence from listed conglomerate companies
Eniola Ayisat Sulaiman, Abubakar Sadiq Kasum, Wasiu Ajani Musa. Corporate and Business Strategy Review, 2 (2), 2021. doi: 10.22495/cbsrv2i2art4

Last update: 2024-12-23 19:00:03

No citation recorded.

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Starting from 2022, the author(s) whose article is published in the Jurnal Administrasi Bisnis (JAB) attain the copyright for their article and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution-ShareAlike 4.0 International License. By submitting the manuscript to JAB, the author(s) agree with this policy. No special document approval is required.

The author(s) guarantee that:

their article is original, written by the mentioned author(s),
has never been published before,
does not contain statements that violate the law, and
does not violate the rights of others, is subject to copyright held exclusively by the author(s), and is free from the rights of third parties, and that the necessary written permission to quote from other sources has been obtained by the author(s).

The author(s) retain all rights to the published work, such as (but not limited to) the following rights:

Copyright and other proprietary rights related to the article, such as patents,
The right to use the substance of the article in its own future works, including lectures and books,
The right to reproduce the article for its own purposes,
The right to archive all versions of the article in any repository, and
The right to enter into separate additional contractual arrangements for the non-exclusive distribution of published versions of the article (for example, posting them to institutional repositories or publishing them in a book), acknowledging its initial publication in this journal (Jurnal Administrasi Bisnis).

Suppose the article was prepared jointly by more than one author. Each author submitting the manuscript warrants that all co-authors have given their permission to agree to copyright and license notices (agreements) on their behalf and notify co-authors of the terms of this policy. Jurnal Administrasi Bisnis (JAB) will not be held responsible for anything that may arise because of the writer's internal dispute. Jurnal Administrasi Bisnis (JAB) will only communicate with correspondence authors.

Authors should also understand that their articles (and any additional files, including data sets, and analysis/computation data) will become publicly available once published. The license of published articles (and additional data) will be governed by a Creative Commons Attribution-ShareAlike 4.0 International License. Jurnal Administrasi Bisnis (JAB) allows users to copy, distribute, display and perform work under license. Users need to attribute the author(s) and Jurnal Administrasi Bisnis (JAB) to distribute works in journals and other publication media. Unless otherwise stated, the author(s) is a public entity as soon as the article is published.