DO INTANGIBLES DRIVE VALUE CREATION? EVIDENCE FROM LISTED CONSUMER GOOD FIRMS IN NIGERIA
Fred Favour Chisom , Ifeyinwa Jennifer, Anyasi , Eno Emmanuel Archibong and Abraham Edet Esio
Volume 5 Issue 2
Abstract
The study examines the impact of investment on intangible assets on Economic value added of listed consumer good firms in Nigeria. The ex post facto research design was adopted. The population of the study consists of all twenty-one listed consumer good firms and ten was used as the sample for the study based on the availability of data. The study span for a period of 15 years, from 2009-2023. Data for the study was obtained from secondary sources, which are the annual reports of these sampled firms. The data were analyse using the simple panel regression method with the aid of python software. The result of the analyses shows an R-squared of 0.23, F Statistics of 3.951, Beta of 0.396, Durbin Watson of 1.582 and P value of 0.049, it was concluded that investments on intangible assets in the previous year, has a low but moderate impact on Economic value added in the next year of listed consumer good firms in Nigeria. Therefore, it is recommended and concluded that firms should not only focus on investing on intangibles alone.as they contribute to value creation, but are just a piece of a big puzzle, variables such as firm size, financial structure, industry dynamics, management style amongst others can be added as control variables to better capture the dynamic nature of EVA. Keywords: Value Creation, Intangible Assets, Economic Value Added, Lagged Variable, Consumer Good, Firms
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