IMPACT OF MERGER AND ACQUISITION ON THE PERFOMANCE OF DEPOSIT MONEY BANKS IN NIGERIA

Osifalujo, Babatunde Bunmi and Olufemi, O Omotilewa

Department of Accountancy

Moshood Abiola Polytechnic, Abeokuta Ogun State

Email: osifalujobabatunde@gmail.com

ABSTRACT

 Low capital base, insolvency, and business distress among other factors have contributed to recent failure of banks in Nigeria. Banks all over the world now adopt mergers and acquisitions as a strategy to improve their performance. This study examined the impact of mergers and acquisition on the performance deposit money bank in Nigeria. The research used capital structure, asset profile, total deposit and profit after tax of the selected bank to measure the performance and effect of merger and acquisition of the bank in both pre and post merger and acquisition period. Data were collected from the published financial statements of the bank namely former Intercontinental Bank Plc and Access Bank (now Access Bank Plc) from 2005 to 2017 and the model was formulated using ordinary least square method. It was revealed that For both the pre-merger and post-merger periods, it was revealed that the access bank performed better. In the post – merger and acquisition period as asset profile and total deposit has no significant effect on the profit after tax of access bank in Nigeria, while capital structure has a significant effect on profit after tax of access bank plc.  While in the pre-merger and acquisition capital structure, asset profile and total deposit have no significant impact on profit after tax of access bank plc. The study concludes that mergers and acquisitions have a significant impact on the performance of deposit money bank in Nigeria. Therefore, the study recommended that banks can merge or acquire each other , as this has proved to become a strategy for rescuing ailing or weak ones and could provides a platform that would enhance financial performance

Keywords: Merger, Acquisition, Financial Performance, Deposit Money Banks.

EXPERIMENTAL STUDY OF THE EFFECT OF DETERGENT CHARACTERISTICS VARIATION ON USERS’BRAND LOYALTY AMONG UNDERGRADUATE STUDENTS OF THE UNIVERSITIES IN MAKURDI METROPOLIS

¹Kwahar Nguwasen & ²Onov Phillip

¹Department of Business Administration, Federal University of Agriculture, Makurdi

²Department of Economics, Benue State University, Makurdi

E-mail: ngu.kwahar@gmail.com/phixoyoung@gmail.com

ABSTRACT

The study was conducted on the analysis of the effect of detergent characteristics variations on brand users’ loyalty among undergraduate students of the Universities in Makurdi metropolis of Benue State. The aim was to analyze detergent characteristics variations combination that will achieve the best users’ brand loyalty in the study area. The 3x3x3 factorial experimental design was used for the study. This involves three independent variables each varied in three dimensions. The population of the study comprised all users of detergents among undergraduate students of the Universities in Makurdi metropolis of Benue State. These Universities are the Federal University of Agriculture Makurdi and Benue State University Makurdi. The sample of 270 was selected from the target population: 135 students from Federal University of Agriculture Makurdi and 135 students from Benue State University Makurdi. An 18-item self-developed instrument: “Detergent Users Loyalty Inventory” (DULI) was used for data collection. Three-way Analysis of Co-variance (ANCOVA) was used to test the Hypotheses by comparing the effect of the differences in product characteristics variation on brand loyalty. Pre-manipulation scale scores were used for pre-test or as covariate. In particular, the independent measures (between-groups) ANCOVA was used since the study dealt with different subjects under different conditions. The main and interactional effects in ANCOVA result were all significant; the study therefore went further to make use of Fisher’s Least Significant Difference (LSD) to locate the mean differences and sizes. The study found that the overall best brand loyalty level can be achieved only when there is a simultaneous increase in price, size and quality (Mean =178.01). Similarly, other economically optimal brand loyalty levels can be achieved at maintained size, price decrease and quality increase (Mean=177.80) and maintained size, maintained quality and price decrease (Mean =177.30). It was however observed that consumers of detergents in Makurdi metropolis of Benue State responses were in line with the tradition of maximum utility at lowest cost which though good for the rational users, is detrimental to the sustainability of the business.  Detergent Users want both quality and size increase as prerequisite for price increase. This though quite plausible to detergent users, can only be achieved at a loss to the producers. To solve market disequilibrium problems, the study recommended mutual benefits to both the producers and users of detergent. Thus, in view of precarious economic conditions, producers should increase the quality of detergents and the decrease size as prerequisite for price increase(Mean=90.81).This, though with low loyalty level vis-à-vis the best loyalty levels, will be mutually beneficial as it will attract a significant level of loyalty from the detergent users and at the same time, provide a window for producers to achieve high level of profitability.

Keywords: Product Characteristics, Product Characteristics Variation, Brand Loyalty, Detergents Users, Makurdi Metropolis.

PRODUCT DEVELOPMENT AND COMPANY PROFITABILITY FOR SUSTAINABLE DEVELOPMENT OF A NATION IN THE 21ST CENTURY

Saidu Aliyu Baba, Bello Bababtunde Sikiru

and Abdullahi Ibrahim

Department of Marketing

School of Business and Management

Federal Polytechnic, P.M.B 55 Bida

Email:saidualiyubaba@gmail.com

ABSTRACT

It is said and believesthat nothing happens until something is sold, that is true to an extent, and something has to be has to be produced; therefore one talks of selling something. The significance of new product cannot be overemphasized for company’s profitability, because, needs, wants and desire of consumers keep changing overtime, also products pass through some stages in their life, which at diminishing stage, consumer no longer patronize them, leading to profit erode, as such, companies must either produce new products, by abandoning old ones, renovate them to meet the changing needs or enter new market segment (i.e. turnaround), that is when the required profit can be generated and companys growth and national development be achieve, on this note, this paper intends to highlight on the significance or benefits of producing new product for companys growth and national development. From the write up, it was discovered that developing new product by companies enables them to grab investment opportunities, produce the require product to meet needs and desires of the target market within their limited resources and leads to the development of a nation in several ways such as, sources of employment, provision of infrastructural facilities, the writer therefore makes the following recommendations, establishment and research and development department by the company should be a priority, companies should adopt turnaround strategy in the life cycle of a product and effective survey of competitors strategies.