Nigerian Telecommunication Sector Research Articles

Alternative clean energy for sustainable growth and development of the Nigerian telecommunications sector

Telecommunications plays a crucial role in facilitating the transmission of voice, data, and multimedia over extended distances. This paper explores the significance of telecommunications, particularly in Nigeria, the largest ICT market in Africa, where telecom and internet usage hold substantial importance. However, the sector's heavy reliance on fossil fuels has resulted in environmental challenges. This research underscores the imperative to transition to clean energy sources, aligning with the commitment of the Nigerian Communications Commission. The paper presents a case study of a solar hybrid system designed to enhance Base Transceiver Station (BTS) coverage, emphasizing notable challenges such as elevated costs and the industry's familiarity with fossil fuels. The optimal power configuration for a BTS, as identified in the study, features a 16kW PV (photovoltaic) array, 14kW Diesel Generator (DG), 32kWh Battery Energy Storage System (BESS), and Utility, achieving the lowest Levelised Cost of Energy (LCOE) at $0.255/kWh. The production summary for the Solar PV array is 24,767 kWh/year (76%), the Diesel Generator is 1,250 kWh/year (4%), and the Utility is 6,503 kWh/year (20%). Consequently, the total estimated production is 32,520 kWh/year, constituting 100% of the energy requirement for the BTS. The study proposes solutions to challenges, including local clean energy component production, capacity building, and regulatory alignment. In conclusion, the adoption of clean energy is deemed essential for sustainability, with recommendations for policy adoption and efficient equipment utilisation.

Brand Image and Customer Purchase Intention in Nigeria’s Telecommunications Sector

This study examines the effect of brand image on consumer purchase intentions in the Nigerian telecommunication sector. A survey was administered to a sample of 1,000 individuals in Katsina State, Nigeria revealing their level of familiarity and knowledge of the leading telecommunication brands in the country. The survey data was analyzed using structural equation modelling to examine the effect of brand image on consumer purchase intentions in Nigerian telecommunication sector. Results showed that brand image had a positive and significant effect on consumer purchase intentions in Nigerian telecommunication sector. The findings of this study provide valuable insights into consumer behaviour and could assist marketers in developing efficient strategies to improve consumers’ purchase intentions for their brand. Implications of the findings and future research directions were discussed.

Talent Enrichment and Operational Sustainability in the Nigerian Telecommunication Sector

Organisations are striving towards improved operational modes that enhance responsiveness to customer needs. One of the strategically considered means is talent enrichment practices for employees who are talent repository for firms. This study examined the empirical link between talent enrichment and operational sustainability. A sample of 216 employees the telecommunication sector in Nigeria was surveyed using questionnaire instrument. The data showed a positive and significant relationship between the constructs examined. This was noticeably strong with targeted skill mapping and operational effectiveness measured by quality service delivery, process improvement and timelines in service delivery. It is clear from the findings that talent enrichment remains a strategic imperative that engenders effective and efficient operations in work organisations. The findings hold strong theoretical implications in terms of operationalization of the variables that has been hitherto viewed as unidimensional. Its value-driven implication in terms of managerial policy is underscored.

Corporate Social Responsibility & Brand Loyalty in The Nigerian Telecommunication Industry

The existing literature on Corporate Social Responsibility with regards to consumer responsiveness towards the organization is currently split and filled with inconsistencies. This reality makes theory building quite difficult. Therefore, further studies will be necessary to build theory consensus and update the existing literature. This study attempts to evaluate the effects of corporate social responsibility on brand loyalty in a developing nation such as Nigeria, with special focus on its telecommunication industry. Data gathering was carried out through the distribution of 386 questionnaires to the customers of the four largest mobile telecommunication firms in Nigeria. Simple linear regression was used in testing the formulated hypothesis. Findings from the hypothesis testing reveals there is no significant relationship between corporate social responsibility and brand loyalty in the Nigerian telecommunication sector. However, favorable price point, good quality service and good customer care were some of the attributes the customers emphasized on as regards to what determines their brand loyalty. Based on the findings from this study, firms are recommended to integrate CSR policies into their core operations. CSR should be focused on providing solutions to Nigeria’s social economic challenges. A concise policy should be initiated to ensure clear information and reporting channels are duly released to every stakeholder group. Without diligent reporting of CSR activities, customers can easily assume the firms do not engage in CSR practices.

Managers’ Emotional Intelligence Skills and Organisational Performance in Selected Telecommunication Companies in Lagos State, Nigeria

This study examines emotional intelligence skills and organisational performance in the Nigerian telecommunication sector. To achieve the objective of the study, survey research design was used for data collection. The study relied heavily on quantitative method by using a structured questionnaire which was administered on the employees of three selected telecommunication companies, MTN Nigeria, Airtel and Globacom at their Head offices respectively. The study adopted stratified sampling technique to administer Five hundred and thirty-three (533) questionnaires with three hundred and forty-two (342) (i.e. 64 percent) valid responses. The Cronbach’s Alpha reliability test of all the variables indicated 0.87. Data gathered were analyzed through descriptive and inferential statistics. The findings revealed that Managers’ emotional intelligence skills have no significant effect on organisational performance. The implication of this finding is that most managers in private sector tends to be interested in regulations, monitoring and evaluating subordinate’s performance without caring for their feelings and emotions. Therefore, it is recommended that the telecommunication companies should expose their managers to trainings that focus on the acquisition of emotional intelligence skills all in a bid to achieve their corporate objectives.

STRATEGIC ADVANTAGE OF SERVICE DIFFERENTIATION ON THE COMPETITIVE SUSTAINABILITY OF TELECOM FIRMS IN NIGERIA

This study examined the strategic advantage of service-differentiation on the competitive sustainability of firms in the Nigerian telecommunication sector. The specific aims was to ascertain the effect of excellent service-quality on the market share of telecom firms in Nigeria; and as well assess the effect of service differentiation on the Nigeria’s telecommunication firms’ public perceived image. Survey design was utilized and data was gathered through a closed-end structured questionnaire designed on 5-point Likert Scale. The main source of data was primary source and the target population consisted of staff of four main GSM telecomm firms (MTN, GLO, 9Mobile, and AIRTEL) in South west part of Nigeria. A sample size of 207 was drawn from the study population of 488. The formulated hypotheses were tested through Z-test statistics and Simple Linear Regression Coefficient at 0.05 significance level. The findings revealed that excellent service-quality impacted positively (i.e. increased) on the market share of telecommunication firms in Nigeria. The study further shows that service differentiation positively affected (i.e. enhanced) on the Nigeria’s telecommunication firms’ perceived image. It was concluded that there is a strategic advantage of service-differentiation on competitive edge and sustainability of Nigeria telecom firms. The study recommends that the Nigerian telecom organizations should concentrate on providing customers with a lifetime delivery value in order to continue to enjoy survival and effective operations in the sector. JEL: L80, L90, L96 Article visualizations:

An Overview of Multi-Operator Global Systems for Mobile Communications Base Stations in the Context of Nigerian Telecommunication Sector

The number of users of the Global System of Mobile Telecommunications (GSM) in the world is growing at an exponential rate; with more than 146 million users in Nigeria alone. There is a continuous need to install GSM supporting infrastructure to take care of increasing users in terms of service delivery. As at December 2013, the number of base transceiver stations (BTS) was 28,289; whereas by projection Nigeria needs additional 33,000 BTSs by 2018. However, there are serious technical challenges militating rapid installation of base stations, such as environmental congestion, high capital expenditure (CAPEX), multiple regulations and taxation, anti- competitive practices among a number of operators. In order to address these challenges, infrastructure sharing has been proposed, and adopted by some GSM operators. This paper presents an overview of GSM infrastructure sharing.

Impact of Foreign Direct Investment on the Performance of Nigerian Telecommunication Sector (1986 - 2014)

Impact of Foreign Direct Investment on the Performance of Nigerian Telecommunication Sector (1986 - 2014)

Determinants of Foreign Direct Investment in the Nigerian Telecommunication Sector

This paper investigated the key determinants of FDI in the Nigerian telecommunication sector. The study made use of data from 1986 to 2014. Annual data on infrastructure, government expenditure, trade openness and market size, were sourced from the World Development Indicators (WDI) of the World Bank. FDI flow into telecommunication sector, foreign exchange rate, interest rate and inflation, were sourced from Central Bank of Nigeria Statistical Bulletin. Data were analyzed using graphs, t-test and Autoregressive Distributed Lag (ARDL). The results showed that the key determinants of FDI in the sector are market size and trade openness (t = 5.75 to 9.05; p < 0.05) on positive side, as well as Inflation and real interest rate (t = -0.05 to -4.03; p < 0.05) on negative side. The study therefore concludes that the key determinants of FDI flow into the Nigerian telecommunication sector are market size, trade openness, government expenditure, inflation and interest rate.

Social Media Usage and Firm Performance: Reflections from the Nigerian Telecommunication Sector

This study examines the relationship between social media usage and firm performance in the Nigerian telecommunication sector. A sample size of 76 people was determined from a population of 95 employees comprising customer service personnel, supervisors, and managers of four telecommunication outlets operating in Rivers State, Nigeria. The Pearson Product Moment Correlation Coefficient statistical technique was used to analyze data collected with the aid of the Statistical Package for Social Sciences computer software version 22. The study revealed that social media usage has a significant positive correlation with performance measures of profitability and market share. It was recommended that management of these firms need to give adequate attention to their social media platforms and use them extensively in rendering customer service, and for advertisement and promotion of their services which will elevate their performance.

A Hidden Markov model-based approach in brandswitching (A case study of the Nigerian telecommunication sector)

In this work, we considered a Hidden Markov Model for the Telecommunication Industry in Nigeria. There are five major mobile service providers presently in Nigeria: MTN, AIRTEL, GLOBACOM, ETISALAT and NITEL. We proposed a model for decision making in this sector by examining the rationale behind customers’ brand switching. Our sample comprises of 512 respondents from a total population of 37,083 persons in the University of Benin, which consists of academic staff, non-academic staff and students; using proportional allocation to size in the stratified random sampling. As part of the decision making using the proposed model, we observed a set of marketing strategies and then applied our model to project the mobile service providers that stand a chance of relevance in the sector. Our result suggests that, if subscribers of different networks decide to switch from their current network based on these rationales [Price, Service Quality, Brand loyalty, Price and Trust] in a consecutive period of five years, the best marketing strategies for the mobile service provider [GLOBACOM] in the first three years are Price, Service Quality and Brand loyalty respectively. While the mobile service provider [MTN], should invest in the Pricing System and increase the level of Trust existing between them and their subscribers in the fourth and fifth year respectively.Keywords: Hidden Markov Models; Brand switching; Telecommunication Sector

A review of the legal and regulatory frameworks of Nigerian Cybercrimes Act 2015

As a sequel to the liberalization of the Nigerian telecommunication sector in late 1990s, Nigeria experienced tremendous growth in telecommunications usage and internet penetration because of the proliferation of Internet Service Providers (ISPs) and Cybercafés. Consequently, fraudsters started using the internet, instead of the regular mails and fax to perpetrate crimes on cyberspace. International and domestic reports adjudged Nigeria as major global hub of cyber criminal activity, being one of the countries with the highest rates of cybercrime perpetration in the world. The Nigerian government became alarmed with the misuse of the cyberspace by the fraudsters and based on the quest to tackle the menace inaugurated in 2003 a Presidential Committee and subsequent initiatives to investigate the activities of these fraudsters on cyberspace and fashion out a legal and regulatory framework to circumvent the menace of cybercrime. Unfortunately, it took the Nigerian government over a decade to enact a cybercrime legal and regulatory framework after being exposed to the severe negative implications for national economic development, national security, international relations and also human rights and human security. This paper examines Nigeria's legal and regulatory response to cybercrime. It espouses an analysis of the adequacy of the legal and regulatory frameworks in existence to curtail cybercrime in Nigeria.

Political economy of Huawei’s market strategies in the Nigerian telecommunication market

The growing internationalization of Chinese telecommunication companies’ business operation beyond the shore of Asian region is reconfiguring the global markets of telecommunication, and information and communication technologies in terms of chain of distribution, competition, and partnership. This is particularly evident in the African telecommunication markets where Huawei is now challenging the European and American multinational companies’ market dominance in telecommunication infrastructures, network expansion, and equipment supply. This article examines the political economy of Huawei’s business strategies and engagement in the Nigerian telecommunication sector, which is the biggest telecommunication market in the West African region.

An Overview of Multi-Operator Global Systems for Mobile Communications Base Stations in the Context of Nigerian Telecommunication Sector

The number of users of the Global System of Mobile Telecommunications (GSM) in the world is growing at an exponential rate; with more than 146 million users in Nigeria alone. There is a continuous need to install GSM supporting infrastructure to take care of increasing users in terms of service delivery. As at December 2013, the number of base transceiver stations (BTS) was 28,289; whereas by projection Nigeria needs additional 33,000 BTSs by 2018. However, there are serious technical challenges militating rapid installation of base stations, such as environmental congestion, high capital expenditure (CAPEX), multiple regulations and taxation, anti- competitive practices among a number of operators. In order to address these challenges, infrastructure sharing has been proposed, and adopted by some GSM operators. This paper presents an overview of GSM infrastructure sharing.

Selective Competence Renewal and Organizational Performance in the Nigerian Telecommunication Sector

This study primarily is a scientific in-road into deeper understanding of the strategic implication of selective competence renewal influence on organizational performance in the telecommunication sector of Nigeria. This attempt underscores the role of employee competencies and skills in the characteristic competitive business environment. The study has used the questionnaire primarily as the instrument for obtaining data having confirmed its validity and reliability with a cronbach alpha value of 0.81. The data were analyzed inferentially and it was shown that selective competence renewal is a strategic competitive component of organizational politics at the macro level that ensures agility, improved service delivery and innovative practices. It was concluded based on the findings that selective competence renewal encourages and strengthen firms from competitiveness. It has also been recommended based on the findings that organization should promote skill/competencies enhancement programmes that are targeted at value adding and encourage knowledge sharing among work members.

An Analysis of the Influence of Informal Grouping Dynamics on Organizational Performance in the Nigerian Telecommunication Sector

There is exponential growth in number of studies focused on performance of firms considering the increased level of competitiveness. Much of the studies so far had shown concern for factors within the environment of organization and how they link performance. This notwithstanding, this study is focused on behavioural dynamics of informal grouping and its link with performance in the telecommunication subsector of the Nigerian economy. The survey instrument was used in generating data from a sample of 112 sample subjects. From the inferential analysis, a strong positive and significant relationship exists between informal group dynamics and performance. Value reinforcement behavior dimension has more weight with ρ = 0.412 amongst other dimensions of informal group dynamics. It was concluded that informal groups are social network within work organizations that ultimately serve as a strategic means of enhancing performance through innovativeness and responsiveness. It was therefore recommended that informal groups should subsist at work in as much as their existence is regulated by organizational policies.

Political Risk and Foreign Direct Investment in Africa: The Case of the Nigerian Telecommunications Industry

Foreign direct investment (FDI) flows are expected to be influenced by political risk factors. However, studies that evaluate the relationship between political risk and FDI flows in sub-Saharan Africa (SSA) are scarce. This study examines the impact of political risk on FDI flows in an SSA context using the 12 political risk components published as the International Country Risk Guide (ICRG) by the Political Risk Services (PRS) Group with the Nigerian telecommunications sector as a case study. The study finds that political risk has a significant influence on the inflow of FDI into developing economies in SSA such as Nigeria and that the 12 components affect FDI in different ways. Irrespective of the political risk rating, a consistent improvement in composite political risk enhances FDI inflow. Among the 12 components, corruption, law and order, democratic accountability, and investment profile were found to have significant influences on FDI inflow into the Nigerian telecommunications sector. Corruption, in particular, explains nearly two-thirds of the FDI inflow. © 2015 Wiley Periodicals, Inc.

Deregulation of the Nigerian Telecommunication Sector: Interrogating the Nexus Between Imperialism and Development

This study investigates the deregulation of the Nigerian Telecommunication Sector within the precinct of Imperialism and development. This is premised on the fact that Nigeria’s Telecommunication sector has not only been moribund over the years but has more importantly been dominated by foreign and local bourgeoisies after its deregulation in 1999. In view of this, the study borrows from Structural Imperialism which argues that the elites in the Centre and Periphery states connive, indeed conspire to undermine development in the latter. It relies heavily on the use of secondary data, by virtue of the nature of the work, thus probing the dynamics of these Centre/Periphery trajectories. Findings reveal that certain levels of development have been recorded in the Telecommunication sector particularly in terms of contribution to the Nigerian economy through the ubiquitous provision of telecommunication lines, especially the mobile phones. Similarly, jobs have been created within this sector in terms of its contribution to Nigeria’s GDP profile. However, beneath these efforts, the predatory and materialistic character of the foreign and local bourgeoisie, a permanent feature of the post-colonial Nigerian state remains the greatest bane of the growth of this sector. The study concludes that until this “unholy alliance” between the foreign and local bourgeoisies is demolished, the deregulation effort of the federal government will remain a mirage. To this end, it recommends an immediate measure to increase the legislative oversight of the regulatory body, Nigerian Communication Commission (NCC) over the activities of the foreign mobile operators in Nigeria, while not neglecting, indeed promoting the indigenous operators of the telecommunication services in the country. DOI: 10.5901/mjss.2015.v4n1p173

Competition in the Nigerian Telecommunications Industry

A certain means of improving the Nigerian socio-economic environment is through the introduction of healthy laissez faire, free market economy, and competitive economic environment that is strongly rooted equal and easy access to raw materials, workforce, imported raw materials and machineries for production and distribution that would be available to all businesses and manufacturers. There must be rules that eschew nepotism, monopoly, and/or oligopoly. History has always shown that research, development, and innovation thrive in an economic environment founded on freedom, equality and unhindered capacity. This work, therefore, examines and appraises the rules and regulations that have been instituted to encourage healthy competition and forestall antitrust practices among Nigerian businesses. Further, it proffers suggestions for improvement of the Nigerian antitrust rules, in view of multiplicity of legislation covering similar/ identical subject matters. This work reviews the efficacy of the rules promoting competition, within the context of the Nigerian telecommunication sector, and argues for harmonization of all legislation prohibiting anti-trust acts, in order to set definite and coherent standards for all stakeholders. The work further examines the need for necessary reforms that would discourage anti-trust practices and help to achieve the Nigerian government’s goal of attracting foreign investment. In addition, the author looks at the expeditious passage of the Federal Competition Commission Bill 2005 (FCCB) and the setting up of the Federal Competition Commission (FCC), whose aim is to regulate, prevent and punish anti-competitive practices, regulate Mergers, Takeovers and Acquisitions, and protect regulated industries, in every sector and location in Nigeria. In the end, the accompanying suggestions for reform will invariably impact Nigeria’s economic, social, and political competitiveness at the global stage.

Looking towards Europe: Regulation of Dominance in Nigerian Telecommunications

Nigeria is yet to enact generally applicable competition laws. However, in the telecommunications sector, sector-specific competition rules were enacted with the regulator taking steps including determination of dominance in selected markets to enforce these rules. These developments are important in Nigeria as they could provide good domestic references for future application of both general competition law in Nigeria and sector-specific application of competition rules in other network industries in the country. Furthermore, with regulatory determinations of dominance relatively rare in national communications sectors of African countries, Nigerian regulatory decisions are likely to be of interest to operators and regulators in other countries within the Sub-Saharan Africa region. This article critically analyzes regulation of dominant positions in the Nigerian telecommunications sector. It identifies the relevant legal provisions on dominant positions in Nigerian telecommunications and shows that while the Nigerian Communications Commission's (NCC) approach in this area appears to be influenced by European Union (EU) law, the Nigerian rules have developed and are applied in a way different from the application of comparable EU rules. Furthermore, the article also identifies a need for revision of the applicable regulations to stipulate the basis for market selection and refine criteria for identification of the relevant market for purposes of dominance analysis. The article further identifies specific issues with the NCC's application of criteria for single dominance assessment including; an apparent misapplication of the market shares criterion; very little of the NCC's assessment is backed by available data and supporting evidence; and the entire assessment focused on application of its six criteria to the retail aspects of the mobile markets with the wholesale market is completely ignored. With regards to International Internet Connectivity market, this article argues that NCC's decision to rely only on ex-post regulatory intervention in line with the practice in other jurisdictions failed to appreciate the differences in the legal basis for regulatory action between Nigeria and the EU for instance. The EU has separate provisions for sector-specific ex ante regulation and general ex post competition laws, while Nigeria only has sector-specific prescriptive regulations governing dominant positions. This entails that reliance only on as yet nonexistence ex post basis for regulatory intervention would leave Nigerian service providers without a remedy.