FIRM CHARACTERISTICS AND FIRM VALUE OF QUOTED CONSUMER GOODS FIRMS IN NIGERIA

ABSTRACT The Nigerian business landscape has witnessed dynamic changes, with firms operating in an environment characterized by various challenges and opportunities. As companies strive to thrive in this complex environment, understanding the factors that influence firm value becomes crucial for strategic decision-making and sustainable growth. This study examines firm characteristics and firm value of quoted consumer goods firms in Nigeria. The population comprises all twenty-one quoted consumer goods firms in Nigeria and filtering criteria were used to arrive at seventeen (17) sampled firms covering the periods of 2012 to 2022. The data were analysed using Descriptive Statistics, Pearson Correlation, Shapiro-Wilk Normality Test, Variance Inflator Factor, Heteroscedasticity test, Breusch-Pagan Lagrangian Multiplier test, Hausman specification test and Random Effect Regression. The study revealed that both profitability and liquidity have significant positive effects on firm value (FV) of quoted consumer goods firms in Nigeria. The study also found that firm size has a significant positive effect on firm value (FV) of quoted consumer goods firms in Nigeria. The study recommends among others, that the consumer goods firms in Nigeria should prioritize measures that contribute to sustained profitability, such as cost management, product innovation, and market expansion. The study also recommends that the investors and decision-makers should ensure continuous monitoring and adaptation of liquidity management strategies of 2:1 to navigate the evolving business landscape and optimise firm value over time.

0 19 May, 2026

pg: 9

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