Intellectual Capital and Coporate Performance of Quoted Consumer Goods Manufacturing Companies in Nigeria

Abstract

This study investigated the effect of intellectual capital on corporate performance of selected consumer goods manufacturing companies in Nigeria from (2010-2019). Two research questions and two hypotheses were formulated for the study. Ex-post facto research design was employed in the study. The population of the study included all manufacturing firms quoted on the Nigerian Stock Exchange (NSE) as at 30th June 2020 with a sample size of Sixteen (16) consumer goods manufacturing companies randomly selected from the population sector. The study relied on secondary sources of data which was obtained from Annual reports of sampled companies as provided by individual companies and Nigerian Exchange Group (NXG) website. The Fixed effect panel least square regression analysis was employed in validating the hypotheses. The study revealed a significant positive effect of human capital on returns on assets. The findings also revealed a significant effect of structural capital on returns on assets which was used to proxy corporate performance. Consequent on the findings, the study therefore recommends amongst others that business executives and the entire stakeholders should begin to realize and treat intellectual capital as a very important business resource as it is a direct influencer of the firms’ corporate performance.