Capital Structure and Financial Performance of Quoted Manufacturing Firms in Nigeria (Published)
There is a divide of view on the relationship between capital structure and corporate financial performance. This study explored the effects of capital structure on financial performance of quoted manufacturing firms in Nigeria. The study used panel least square multiple regression to examine secondary data gathered from the 14 sampled organizations’ financial statements from 2011 to 2020. The null hypothesis that there is no statistically significant link between total-debt-to-total-equity and return on assets of manufacturing entities in Nigeria was accepted. The study rejected the second hypothesis relating to long-term-debt -to-total-assets. The study recommended that management of manufacturing corporations that are active on the stock market should strive to increase their long-term-debt-to-total-assets so as to improve their business operations and by extension, their financial performance. The study established that there is a beneficial link between capital structure and financial performance of manufacturing companies.
Citation: Akinrinola, O.O., Tomori, O.G., Audu, S.I. (2023) Capital Structure and Financial Performance of Quoted Manufacturing Firms in Nigeria, International Journal of Business and Management Review, Vol.11, No. 2, pp.29-47
Keywords: Capital Structure, Financial Performance, Manufacturing Firms, Return on Assets
Cash – Cash flow sensitivity of Pakistani Manufacturing firms (Published)
We investigated the model cash-cash flow sensitivity by proceeding the 165 Pakistani manufacturing firms data that published by the authentic government body state bank of Pakistan and these firms are listed in Karachi stock exchange. The observation period started from 2007 to 2010. This study disclose that Pakistani manufacturing firms try to escalate the cash holding level that beyond the firm cash flow level there should be two aspects of more holding first they hold for precautionary and second investment motives.
Keywords: Cash, Cash flow sensitivity, Manufacturing Firms, Pakistan
CROSS-BORDER MERGERS AND ACQUISITION AND INTERNATIONAL BUSINESS PERFORMANCE OF NIGERIAN MANUFACTURING FIRMS (Published)
The purpose of this study was to investigate the strategic motives for cross-border mergers and acquisitions, as well as, examines specific relationships between these strategic motives and international business performance (IBP) of Nigerian manufacturing firms that have implemented international mergers and acquisition as a strategic imperative in the past one decade. 462 senior and management staff of 13 Nigerian manufacturing companies, quoted on the Nigerian stock exchange was randomly selected from a business-to-business database maintained by a national list provider. Using the integrated conceptual framework of cross-border entry strategy by Du and Boateng (2012), factors manifesting international business performance were regressed on the strategic motives for Cross-Border Mergers and Acquisition (CBM&As). Findings based on the survey revealed that strategic motives positively affected international business performance of Nigerian manufacturing firms involved in CBM&As. Overall, the paper argue that an institution-based motive of CBM&As, in combination with transaction cost-analysis, resource-based views, and internalization views will not only help sustain a strategy tripod, but also shed significant light on the most fundamental questions confronting motives for cross-border mergers and acquisition. Hence, a model incorporating the key elements of each approach could present a more realistic and comprehensive picture of CBM&As strategies. The model also provides predictive implications on improved international business performance, given the activities of the strategic motives for CBM&As by Nigerian manufacturing firms.
Keywords: CBM&As, Cross-border Mergers and Acquisition, Institutional Theory, Internalization theory, International Business performance, Manufacturing Firms, Nigeria, Regression Analysis, Resource-Based View, Transaction Cost Analysis
Factors Influencing The Internationalization Of Nigerian Manufacturing Firms:An Empirical Analysis (Published)
The purpose of this study was to investigate the Critical Decision Factors (CDF) of internationalization by Nigerian manufacturing firms, as well as, examines specific relationships between these CDF and Perceived International Business Performance Measure (PIBPM). 566 management staff of 14 Nigerian manufacturing companies, with international presence was randomly selected from a business-to-business database maintained by a national list provider. Using the integrated conceptual framework of international business strategy by Peng (2006), factors manifesting PIBPM were regressed on the CDF, manifesting successful internationalization. However, multivariate analyses was mathematically represented in a single equation, and this equation is expected to be used by Nigerian manufacturing companies in composing strategies to optimize their management of international entry decisions and international business performance. Overall, the paper argue that an institution-based view of international entry decision, in combination with transaction cost- and resource-based views, will not only help sustain a strategy tripod, but also shed significant light on the most fundamental questions confronting international entry decisions. Hence, a model incorporating the key elements of each approach could present a more realistic and comprehensive picture of international business strategies. The model also provides predictive implications on improved international business performance, given the activities of CDF manifesting successful internationalization.
Keywords: Institutional Theory, International Performance, Internationalization, Manufacturing Firms, Nigeria, Regression Analysis, Resource-Based View, Transaction Cost Analysis