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Internal capabilities, national governance and performance in African firms

Tunyi Tunyi Abongeh, Henry Agyei-Boapeah, Geofry Areneke, Jacob Agyemang

Research in International Business and Finance, Volume: 50, Pages: 18 - 37

Swansea University Author: Tunyi Tunyi Abongeh

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Abstract

We explore the relations between firms’ internal capabilities, national governance quality (NGQ) and performance in the African context using a dataset comprised of 11,183 firm-year observations (1490 unique firms from 15 African countries over a 17-year period). Our study offers new insights into h...

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Published in: Research in International Business and Finance
ISSN: 0275-5319 1878-3384
Published: Elsevier BV 2019
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URI: https://cronfa.swan.ac.uk/Record/cronfa65115
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first_indexed 2023-11-26T11:23:29Z
last_indexed 2023-11-26T11:23:29Z
id cronfa65115
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spelling v2 65115 2023-11-26 Internal capabilities, national governance and performance in African firms eefe2792c8eed5b49feede33981dfa53 Tunyi Tunyi Abongeh Tunyi Tunyi Abongeh true false 2023-11-26 BAF We explore the relations between firms’ internal capabilities, national governance quality (NGQ) and performance in the African context using a dataset comprised of 11,183 firm-year observations (1490 unique firms from 15 African countries over a 17-year period). Our study offers new insights into how interlinkages between firms’ internal and external environment, shape corporate success. Specifically, we find that (1) firms’ internal capabilities (captured by financial resource-availability and growth prospects) are critical enablers of performance in both weak and strong institutional environments, (2) individual firms perform well in environments where their peers performs well, (3) NGQ directly enhances aggregate firm performance, and in tandem, the performance of individual firms, and (4) NGQ moderates the capability-performance nexus, by enhancing the translation of growth opportunities into profitability. The results highlight the critical role of firm-level financial resource availability and growth prospects in shaping corporate success in this challenging institutional environment. Journal Article Research in International Business and Finance 50 18 37 Elsevier BV 0275-5319 1878-3384 Firm performance, National governance quality, Internal capabilities, Africa 31 12 2019 2019-12-31 10.1016/j.ribaf.2019.04.009 http://dx.doi.org/10.1016/j.ribaf.2019.04.009 COLLEGE NANME Accounting and Finance COLLEGE CODE BAF Swansea University Not Required 2024-01-03T11:22:40.6393170 2023-11-26T11:23:03.1284689 Faculty of Humanities and Social Sciences School of Management - Accounting and Finance Tunyi Tunyi Abongeh 1 Henry Agyei-Boapeah 2 Geofry Areneke 3 Jacob Agyemang 4
title Internal capabilities, national governance and performance in African firms
spellingShingle Internal capabilities, national governance and performance in African firms
Tunyi Tunyi Abongeh
title_short Internal capabilities, national governance and performance in African firms
title_full Internal capabilities, national governance and performance in African firms
title_fullStr Internal capabilities, national governance and performance in African firms
title_full_unstemmed Internal capabilities, national governance and performance in African firms
title_sort Internal capabilities, national governance and performance in African firms
author_id_str_mv eefe2792c8eed5b49feede33981dfa53
author_id_fullname_str_mv eefe2792c8eed5b49feede33981dfa53_***_Tunyi Tunyi Abongeh
author Tunyi Tunyi Abongeh
author2 Tunyi Tunyi Abongeh
Henry Agyei-Boapeah
Geofry Areneke
Jacob Agyemang
format Journal article
container_title Research in International Business and Finance
container_volume 50
container_start_page 18
publishDate 2019
institution Swansea University
issn 0275-5319
1878-3384
doi_str_mv 10.1016/j.ribaf.2019.04.009
publisher Elsevier BV
college_str Faculty of Humanities and Social Sciences
hierarchytype
hierarchy_top_id facultyofhumanitiesandsocialsciences
hierarchy_top_title Faculty of Humanities and Social Sciences
hierarchy_parent_id facultyofhumanitiesandsocialsciences
hierarchy_parent_title Faculty of Humanities and Social Sciences
department_str School of Management - Accounting and Finance{{{_:::_}}}Faculty of Humanities and Social Sciences{{{_:::_}}}School of Management - Accounting and Finance
url http://dx.doi.org/10.1016/j.ribaf.2019.04.009
document_store_str 0
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description We explore the relations between firms’ internal capabilities, national governance quality (NGQ) and performance in the African context using a dataset comprised of 11,183 firm-year observations (1490 unique firms from 15 African countries over a 17-year period). Our study offers new insights into how interlinkages between firms’ internal and external environment, shape corporate success. Specifically, we find that (1) firms’ internal capabilities (captured by financial resource-availability and growth prospects) are critical enablers of performance in both weak and strong institutional environments, (2) individual firms perform well in environments where their peers performs well, (3) NGQ directly enhances aggregate firm performance, and in tandem, the performance of individual firms, and (4) NGQ moderates the capability-performance nexus, by enhancing the translation of growth opportunities into profitability. The results highlight the critical role of firm-level financial resource availability and growth prospects in shaping corporate success in this challenging institutional environment.
published_date 2019-12-31T11:22:42Z
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score 11.013731