Strategic Flexibility and Customer Retention: An investigation of Deposit Money Banks in Nigeria (Published)
This research was conducted to investigate the influence of strategic flexibility on customer retention in deposit money banks in Nigeria. The study aimed at ascertaining the extent to which strategic flexibility can serve as a good predictor of customer retention in deposit money banks in Nigeria, given heightened competition and environmental turbulence in recent times. The survey research design was adopted for the study. The study had an infinite population. A sample size of 440 respondents sourced from ten deposit money banks in the Tier-1, Tier-2 and Tier-3 categories of banks in Nigeria was administered with copies of the questionnaire. Out of this number, 294 copies of the research instrument were returned. This amounted to 66.82% response rate. Data analysis was done with simple regression technique. Findings of the study indicated that with an R2 value of 0.370, there was a significant positive influence of strategic flexibility on customer retention in deposit money banks in Nigeria. Based on this result, it was concluded that strategic flexibility can determine customer retention in deposit money banks in Nigeria. In line with this result, it was recommended that deposit money banks in Nigeria should employ its capability in the area of strategic flexibility in its drive towards retaining customers in an increasingly competitive and turbulent banking space.
Keywords: Customer retention, Deposit Money Banks, Nigeria, organizational agility, strategic flexibility
Determinants of Retained Earnings of Deposit Money Banks in Nigeria (Published)
The study examined the determinants of retained earnings of deposit money banks in Nigeria. Retained earnings were the dependent variable, while total assets and total deposits were the independent variables of the study. The study adopted an ex-post-facto research design, covering the period between 2010 and 2019. Secondary data were extracted from the annual reports and accounts of sampled deposit money banks in Nigeria. Spearman Covariance analysis was used for the test of hypotheses. From the data analysis, total assets and total deposits have a strong and positive relationship with retained earnings. This implies that total assets and total deposits can be used to predict the retained earnings of deposit money banks in Nigeria. The study, therefore, recommends that deposit money banks in Nigeria should strive to increase their asset base by investing in land and buildings and also ensure that every asset at their disposal is effectively and efficiently managed to yield more profit and subsequently increase their retained earnings for further investments and/or recapitalization. They should engage in promotions and other programmes that will encourage customers to keep their cash with them. This will provide them with additional funds to provide loans and make other investments to increase their revenue and retained earnings.
Keywords: Deposit Money Banks, Nigeria, Total Assets, retained earnings, total deposits