Consumer Goods Companies Research Articles

IMPACT OF STOCK PRICE FLAKINESS ON DEVELOPMENT OF NIGERIAN EXCHANGE GROUP

This study is aimed to investigate what is happening in the Nigeria Stock Market under its new name, “Nigeria Exchange Group”, with respect to the uncertainty nature of share price behaviour in the capital market. Hence, the month end stock prices of four listed consumer companies from the period January 2017 to December 2022 were used as proxies. The study made use of the Autoregressive Conditional Heteroskedasticity (ARCH) to estimate and find out the presence of the volatility. The study identified the presence of volatility in all the four consumer stock prices used, while the volatility of stock price was then regressed against stock prices to determine their certainty. The results however revealed that out of the four consumer goods companies, only two consumer goods companies’ stock prices were predicted by volatility, while past stock prices predicted current stock prices implying that the market does not follow a random walk. The study therefore recommended that activities of corporate insiders should be critically scrutinized to reduce the predictability of stock prices. Also, that Information should be made available and in clear terms to stakeholders and all investors in particular. Also, that policy makers should carefully review their economic policies in their use of the Nigerian bourse as a barometer to measure performance in the general economy to avoid misleading the investing public.

Physical Distribution Practices and Marketing Performance of Selected Fast Moving Consumer Goods Companies in South-South Region of Nigeria

This study was designed to investigate the influence of physical distribution practices (transportation management, warehousing management, communication and information systems, and order processing) on the marketing performance of selected fast-moving consumer goods (FMCG) companies in the south-south region of Nigeria. The survey research design approach was adopted using a structured questionnaire to collect data from 247 selected FMCG sales representatives involved in the distribution of FMCG products in the south-south region of Nigeria. Stratified random sampling was employed. The data gathered was analysed using percentages and frequency tables. The formulated hypotheses were tested using a multiple regression approach. Findings from the study revealed a strong positive influence between the independent variables (transportation management, warehouse management, communication and information systems, and order processing management) and the dependent variable (marketing performance). The researchers suggest that FMCG companies should prioritise transportation management to facilitate better and more efficient movement of goods and people, thereby improving their marketing performance. Given the limitations of this study, the researchers presented practical implications and directions for future research.

Operationalization of ESG-Integrated Strategy Through the Balanced Scorecard in FMCG Companies

The increasing focus on sustainability and climate change mitigation necessitates that corporate strategies not only build competitive advantage but also contribute to the creation of sustainable operations. The purpose of the article is to present, based on the analyses of the development of the strategic targets of leading Fast-Moving Consumer Goods (FMCG) companies, a method for operationalizing an ESG-adapted corporate strategy within FMCG companies using the Balanced Scorecard (BSC). ESG, encompassing environmental, social, and governance factors, requires a shift in both strategic management theory and practice. The author explores how ESG metrics can be integrated into the traditional BSC framework alongside financial, customer, and business processes and learning and growth perspectives to align with the growing importance of sustainability. The study identifies specific measures that contribute to a successful transition toward sustainable business practices. The findings demonstrate that the BSC, when adapted to incorporate ESG considerations, is an effective tool for strategy implementation and operational management in FMCG companies. While the proposed framework focuses on the FMCG sector, it has potential applications across other industries. The article makes important theoretical contributions, though it would benefit from further empirical research, sector-specific comparisons, and a more detailed examination of external ESG factors that impact corporate strategy.

Sustainable Supply Chain Management Practices and Financial Sustainability of Listed Consumer Goods Firm in Nigeria

Purpose: The significance of sustainable supply chain management practice to the financial sustainability necessitated this study which aimed to evaluate the effects of sustainable supply chain management practices on financial sustainability of listed consumer goods firms in Nigeria. In the course of the study, the primary objectives of the study were to determine the effect of supplier relationship management on the financial sustainability of listed consumer goods firms in Nigeria and to evaluate the effect of lean supply chain practices on the financial sustainability of listed consumer goods firms in Nigeria. Methodology: The population of this study comprised of all the twenty-one (21) listed consumer goods firms under Nigerian Exchange Group (NGX). The sample for this study comprised of forty (40) respondents selected from each of the three chosen consumer goods companies, totaling One hundred and twenty (120) respondents. The study adopted both purposive and stratified random sampling techniques. Primary data was collected through electronic questionnaires distributed via Google Forms. Descriptive statistical tools, including measures of central tendency such as mean, and measures of variability such as standard deviation, was employed for data analysis. Findings: The result of the analysis reveal that: (i) with the result of hypothesis one; the results revealed that F-statistics stands at 3.478 with a p-value < than 0.05 at 0.033. This implies that the positive effect of supplier relationship management on financial sustainability of listed consumer gods firms is significant. (ii) For hypotheses two, the results revealed that F-statistics stands at 3.133 with a p-value < than 0.05 at 0.04. This implies that the positive effect of lean supply chain practices on financial sustainability of listed consumer gods firms is significant. Originality/ Value: No research was found regarding the sustainable supply chain management practices and financial sustainability during the time period of 2024. Conclusion and Recommendations: The study concluded that sustainable supply chain management practices enhance financial sustainability of consumer goods firms in Nigeria. The study recommended that firms should prioritize building strong relationships with suppliers, integrate sustainability considerations into their operations, implement lean supply chain practices, strengthen internal controls to mitigate fraud risk, invest in employee training, foster collaboration and knowledge sharing, and regularly monitor and evaluate performance.

The economic impact of social media marketing: A study of consumer goods in emerging markets

The economic impact of social media marketing on consumer goods in emerging markets has become increasingly significant, driven by rapid digital adoption and the growing influence of online platforms. This study explores how social media marketing strategies employed by consumer goods companies contribute to economic growth in these regions. By leveraging data from various emerging markets, the research examines the role of social media in enhancing brand visibility, consumer engagement, and market penetration. The study highlights the ability of social media to reach vast audiences at relatively low costs, enabling companies to build brand awareness and foster consumer loyalty in markets where traditional advertising channels may be less effective or accessible. Through targeted advertising, influencer partnerships, and interactive campaigns, social media marketing has proven instrumental in driving sales and expanding market share for consumer goods companies. This, in turn, has stimulated local economies by increasing consumer spending, creating jobs, and encouraging competition. Furthermore, the study discusses the multiplier effect of social media marketing on economic development, particularly in how it helps local businesses integrate into the global economy. By providing a platform for smaller companies to compete with established brands, social media has democratized access to markets and facilitated the growth of entrepreneurial ventures in emerging economies. However, the study also acknowledges the challenges and limitations of social media marketing in these contexts, such as digital divides, varying levels of internet penetration, and the need for culturally sensitive content. The findings underscore the importance of adapting social media strategies to the specific characteristics of emerging markets to maximize their economic impact. In conclusion, social media marketing has become a powerful tool for driving economic growth in emerging markets by enhancing brand presence, increasing consumer demand, and fostering competitive business environments. As digital ecosystems continue to evolve, the role of social media in shaping economic landscapes in these regions is expected to expand further, offering significant opportunities for consumer goods companies and local economies alike.

Mediating Effects of Earnings after Tax: Cost of Good Sold, Sales Growth, and Dividend Payout Ratio

The research aims to analyze the mediating effect of Earning After Tax on the influence of Cost of Good Sold (COGS) and Sales Growth on the Dividend Payout Ratio (DPR). This research uses a descriptive verification method with a quantitative approach. The research method uses classical assumption, associative, and path analyses. The analysis in this research is supported by the use of SPSS for Windows version 23. The data is secondary data from the Indonesian Stock Exchange website (www.idx.co.id). Based on the research results, it was concluded that there is a significant influence between the Cost of Good Sold (COGS) on the Dividend Payout Ratio (DPR) in consumer goods industry companies listed on the Jakarta Islamic Index (JII) for the 2011-2019 period with the results t count > t table (2.075 > 2.042) so Ha is accepted. There is an insignificant influence between Sales Growth on the Dividend Payout Ratio (DPR) in consumer good industry companies listed on the Jakarta Islamic Index (JII) for the 2011-2019 period because t count < t table (1.458 < 2.042), so Ho is accepted. There is a significant influence between Earning After Tax (EAT) and the Dividend Payout Ratio (DPR) in consumer goods industry companies listed on the Jakarta Islamic Index (JII) for the 2011-2019 period. Ha is accepted with the results t count > t table (4.237 > 2.042). Meanwhile, the Cost of Good Sold (COGS) influences the Dividend Payout Ratio (DPR) through Earning After Tax (EAT) Z value (2.702) and p-value 0.006 < 0.050. Moreover, Sales Growth influences the Dividend Payout Ratio (DPR) through Earning After Tax (EAT) Z value (2.178) and p-value 0.0296 < 0.050.

Sector-Specific Strategies: How Consumer Goods Companies Navigate Tax Avoidance

Sector-Specific Strategies: How Consumer Goods Companies Navigate Tax Avoidance

Improving Customer Experience Through Differentiation Capability: The Rise of Competition Among Africa’s Consumer Goods Companies

Competitive advantage is one of the essential components of customer satisfaction and business growth, but the COVID-19 pandemic has had a substantial influence on consumer behavior, while also giving rise to intense competition within the business environment in Africa, making competitive advantage and customer experience a challenge. Consequently, firms have been compelled to make strategic choices such as differentiation capability to navigate these challenges. The study therefore examines the effect of differentiation capability on the customer experience of selected consumer goods companies listed in Nigeria the biggest economy in Africa. The research adopted a cross-sectional survey method, and a total of 20 consumer products firms were identified and evaluated based on their capitalization criteria and continuous dividend payments. From this group, seven companies were chosen for further analysis. The sample size of 378 was determined using the Research Advisor Table, with a confidence level of 95% and a margin error of 5%. To address the issue of non-response, appropriate measures were taken, leading to the inclusion of an additional 113 respondents, representing 30% of the original sample. This adjustment resulted in a final sample size of 491. A total of 491 questionnaires were sent to the respondents, resulting in a response rate of 97.76%. The hypothesis was examined by regression analysis. The results of the study indicate that differentiation capability is an effective tool that is statistically significant and positive to customer experience (β =0.842, t = 29.782, p<0.05); The research findings indicate that applying differentiation capability in a firm helps attain a stronger competitive position and has a favorable impact on customer experience. This research, therefore recommends that there is a need for technology adoption to cut production costs and establish a durable competitive advantage.

BOARD CHARACTERISTICS AND AUDIT QUALITY OF LISTED CONSUMER GOODS FIRMS IN NIGERIA

The study investigates the effects of board characteristics on the audit quality of publicly traded listed consumer goods firms in Nigeria from 2013 to 2022. An ex-post facto research approach was used in this study. For data analysis, the panel regression technique was used in the study. The study's findings revealed that board independence and board financial expertise have a positive and significant effect on the audit quality of Nigerian listed consumer goods companies. However, board gender diversity had a negative and insignificant effect on the audit quality of Nigerian-listed consumer goods companies. The study concludes that boards with more independent members who are not influenced by management may improve the audit process efficacy. To improve audit quality, listed consumer goods firms should focus on retaining board independence and guaranteeing the presence of directors with significant financial experience. While the relationship between board gender diversity and audit quality is still uncertain, it is critical to promote diversity and inclusivity on corporate boards in order to build a more robust governance structure. Continuous monitoring and research in this area will contribute to a better understanding of the relationship between gender diversity and audit quality.

The Influence of Institutional Ownership on Firm Value with Dividend Policy and Investment Decisions as Intervening Variables (a Study on Consumer Goods Companies on the Indonesia Stock Exchange)

Performance is measured by company valuation to attract investors. This study examines the effects of institutional ownership on firm value in three ways: 1) directly, 2) indirectly with dividend policy as an intervening variable, and 3) indirectly with investment decisions as an intervening variable. From 279 consumer goods manufacturing companies listed on the Indonesia Stock Exchange until 2023, 52 were selected via purposive sampling. Using the Sobel Test, it was found that: 1) Institutional Ownership positively and significantly impacts Firm Value, 2) Dividend Policy does not mediate the effect of Institutional Ownership on Firm Value, and 3) Investment Decisions do mediate the effect of Institutional Ownership on Firm Value

Modelling the Impact of Intellectual Capital on Firm Sustainability: A Case of Indonesian Consumer Goods Companies

Modelling the Impact of Intellectual Capital on Firm Sustainability: A Case of Indonesian Consumer Goods Companies

Implementing Project Management Integrated with ITIL: Case Study in a Fast-Moving Consumer Goods Company

At the last phase of an IT project, it will transfer to the operations team. It is critical to ensure the change management process integrated between project and operations is working smoothly. The study highlights lessons from implementing project management integrated with ITIL. This research is conducted on a multinational Fast-Moving Consumer Goods (FMCG) company that has already implemented project management integrated with ITIL. The study adopts PMBOK and ITIL frameworks, previous studies, and guided interviews, which are then analyzed using socio-technical aspects. This research can enrich existing literature, especially regarding IT project management and service areas. The study concludes that implementing project management integrated with ITIL brings a steadier process to IT projects. One of the socio-technical aspects changed, and the others should be adjusted. Each implementation phase results in different Socio-Technical Systems (STS) components. Nevertheless, as a whole implementation project, the company has already completed all components required.

Matching inventory and demand in a Fast Moving Consumer Goods company: A Decision Support System

Demand fulfilment and its core, order promising, is a key business function that directly impacts the company’s ability to generate revenue through sales. For companies operating under a Make-To-Stock (MTS) production strategy, it is tantamount to matching both on-hand and projected stock to customer demand. The prevalent manner to carry out this task is to use either First-Come-First-Served policies, or simple allocation rules embedded in commercially available software. However, order promising is, in general, quite complex due to uncertainties both in demand and supply, and it can become extremely challenging when demand exceeds the stock. Therefore, several contributions have established the advantages of order promising using optimisation models and/or sophisticated algorithms. However, these works assume that customers can be clustered according to their profitability/importance and it remains open to test whether this also holds for homogeneous customers. Furthermore, due to the exploratory nature of most studies, they assume rather stylised scenarios (such as e.g. single product-orders, partial shipments) that do not clarify how model-based order promising would perform in a realistic setting.In this paper we present a decision framework for order promising in a Fast Moving Consumer Goods (FMCG) company in the brewery sector where customers cannot be clustered and that incorporates many realistic features (such as e.g. multi-product orders, on-full delivery, or perishability constraints). The decision framework relies on several iterations of a MILP model that allocates the stock to customer and reserves some portion of the stock for orders arriving later on. These functionalities are embedded in a Decision Support System (DSS) that also helps with the renegotiation of the orders that cannot be served. Results reported from the usage of the DSS show its ability to obtain high service levels and to favourably compare to other order promising policies. Furthermore, in order to analyse the instance sizes that can be solved in reasonable time, and the parameters that influence the performance and results of the MILP model, an extensive computational experience has been carried out using a testbed that covers a wide range of business scenarios.

HOW DO DIFFERENT DEBT LEVELS INFLUENCE THE FINANCIAL PERFORMANCE OF FMCG COMPANIES IN INDIA?

This study examines the impact of capital structure on the financial performance of Fast-Moving Consumer Goods (FMCG) companies listed on the Bombay Stock Exchange (BSE) from 2011 to 2021. It focuses on how varying levels of short-term, long-term, and total debt influence key financial metrics such as Return on Assets (ROA), Return on Equity (ROE), Earnings Per Share (EPS), and Tobin’s Q. Using regression models with panel data, the research evaluates the relationship between debt ratios and financial performance, utilizing both fixed and random effects models. The findings reveal that higher levels of debt, especially long-term debt, negatively impact financial performance. Short-term debt is more commonly used in the FMCG sector, but overall, debt tends to reduce profitability and shareholder value. Notably, Earnings Per Share (EPS) had the highest average among the performance indicators, though all debt ratios demonstrated significant negative correlations with ROA, ROE, EPS, and Tobin’s Q. The study also highlights that larger and older firms are more effective at managing the negative effects of debt, performing better financially than smaller or younger firms. It recommends that FMCG companies prioritize internal funding over debt, as high debt levels can lead to financial strain. Future research could explore the impact of capital structure in other industries or include macroeconomic factors.

Effect of Intellectual Capital on Financial Performance of Listed Consumer and Industrial Goods Companies in Nigeria

The study examined the effect of intellectual capital on the financial performance of listed consumer and industrial goods firms in Nigeria from 2013 to 2022. The population of the study consisted of thirty-two (32) listed consumer and industrial goods firms on the Nigeria Exchange Group, from which a sample twenty-six (26) firms was chosen using the purposive sampling technique. The study used secondary data that was taken from the companies'financial statements, and it employed a longitudinal panel research design. The results showed that capital employed by the listed consumer and industrial goods firms in Nigeria has a positive and significant effect on the financial performance. However, the study found that human capital has no significant effect on the financial performance of listed consumer and industrial goods firms, while structural capital has a negative but significant effect on the financial performance. The study recommends that listed consumer and industrial goods firms should strategically invest to optimize capital employed as this will improve the financial performance.

EXCHANGE RATE AS A MODERATING VARIABLE: EFFECT ON STOCK PRICES

This study aims to determine the effect of financial ratios and assets on stock prices with exchange rates as moderating variables. In this study, the variables used are Return On Asset (ROA), Earning Per Share (EPS), and Fixed Asset Value. The data used in this study are secondary data from the IDX and the company's annual report. The population used in this study are consumer good industry sector companies listed on the Indonesia Stock Exchange in the 2018-2022 period. The analysis technique is the MRA (Moderated Regression Analysis) test using SPSS software version 29. The results showed that EPS, Fixed Assets and Exchange Rates affect stock prices, while ROA does not affect stock prices. The moderating variable test in this study shows that Exchange Rate can moderate EPS.

The Influence of Ownership Structure on Sustainability Report Disclosure in Indonesian Consumer Goods Companies: The Mediating Role of Firm Size

The Influence of Ownership Structure on Sustainability Report Disclosure in Indonesian Consumer Goods Companies: The Mediating Role of Firm Size

Accounting Conservatism, Intellectual Capital, Capital Structure in The Financial Performance of Consumer Good Companies

Accounting Conservatism, Intellectual Capital, Capital Structure in The Financial Performance of Consumer Good Companies

Review Paper: “A Study on Consumer Buying Behaviour Towards HUL Products

This Study Investigates Consumer Buying Behavior Towards Products Manufactured By Hindustan Unilever Limited (HUL), One Of The Leading Fast-Moving Consumer Goods (FMCG) Companies In India. The Research Aims To Understand The Factors Influencing Consumers' Purchasing Decisions, Their Perceptions Of HUL Products, And Their Attitudes Towards The Brand. A Mixed-Methods Approach Is Employed, Utilizing Both Quantitative Surveys And Qualitative Interviews To Gather Data From A Diverse Sample Of Consumers. Analysis Of The Findings Reveals Key Demographic Trends, Including Age, Income Level, And Geographic Location, That Impact Consumer Preferences. Additionally, The Study Identifies Significant Factors Such As Brand Loyalty, Product Quality, And Pricing Strategies That Influence Consumer Behavior Towards HUL Products. The Implications Of These Findings For HUL's Marketing Strategies Are Discussed, Along With Recommendations For Enhancing Customer Satisfaction And Loyalty. This Research Contributes To The Existing Literature On Consumer Behavior In The FMCG Sector And Provides Valuable Insights For HUL And Other Companies Operating In Similar Markets.

Corporate Governance and Ceo Characteristics on Financial Reporting Quality: Evidence from Consumer Goods Companies in Asean

Objective: The purpose of this study is to obtain empirical evidence regarding the effect of corporate governance (board size, board independence, audit committee size, audit committee independence) and CEO characteristics (CEO age, CEO duality, and CEO gender) on financial reporting quality. Method: This study conducted content analysis and linear regression analysis on 258 consumer goods sector companies listed on the Osiris and Bloomberg databases for the period 2018-2021. Results and Discussion: The results obtained revealed that board size and CEO gender have a positive effect on financial reporting quality. In contrast, board independence and CEO duality have a negative effect on financial reporting quality. Meanwhile, audit committee size, audit committee independence, and CEO age have no effect on financial reporting quality. Research Implications: The research on financial reporting quality explains useful implications for companies to make economic decisions and avoid fraud that happens to a company. Originality/Value: Authors find that no studies have investigated the effect of corporate governance and CEO characteristics in the ASEAN context. This study provides empirical data about the effect of corporate governance and CEO characteristics on financial reporting quality and how these different compositions and characteristics can facilitate the transition to manipulate and affect the financial reporting quality.