Corporate Strategy and Financial Performance: Evidence from Selected Non-Life Insurance Company in Nigeria
1 Department of Insurance, Faculty of Management Sciences, Lagos State University
* Corresponding author: olufemi.abass@lasu.edu.ng
* Corresponding author: olufemi.abass@lasu.edu.ng
Abstract
The study investigates the nexus between corporate strategy and financial performance of
insurance companies in Nigeria. The first ten (10) largest non-life Insurance companies are
selected from the population of 48 using market share as the basis for the selection. The study
utilizes secondary data extracted from the financial statements and annual Nigerian Insurers
Association (NIA) Digest of individual insurance companies in the sample. Simple and multiple
regressions are employed to analyze the data gleaned for this purpose. The study reveals a
significance influence of pricing strategy on underwriting profit and market penetration on profit
after tax of the companies respectively. In the same vein, the study’s findings reveal that pricing
strategy and market penetration have joint significant influence on profit after tax of selected
non-life insurance companies in Nigeria. It concludes that the capitalization of these firms on the
combination various strategies will help improve their financial results. The paper therefore
recommends that the non-life insurance companies in Nigeria should carefully consider the
adoption of both pricing and market penetration strategies in order to boost their financial
results.
Keywords
Corporate Strategy
Market Penetration
Pricing Strategy
Underwriting Profit.
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How to Cite
Adebowale, A. O., Jerry, O. T., & Bukola, S. A. (2023). Corporate Strategy and Financial Performance: Evidence from Selected Non-Life Insurance Company in Nigeria. Bayero Business Review, 7(2), 106-118. https://doi.org/10.67894/bbr.2023.fk8ddv8q
A. O. Adebowale, O. T. Jerry, and S. A. Bukola, "Corporate Strategy and Financial Performance: Evidence from Selected Non-Life Insurance Company in Nigeria," Bayero Business Review, vol. 7, no. 2, pp. 106-118, November 2023. doi: 10.67894/bbr.2023.fk8ddv8q
