IDEAS home Printed from https://ideas.repec.org/a/rnd/arjebs/v15y2023i4p87-105.html
   My bibliography  Save this article

Corporate Strategies and Financial Performance among Foreign Commercial Banks in Bujumbura, Burundi

Author

Listed:
  • Jean Oxas Shingiro
  • Olawumi Dele Awolusi

Abstract

This study investigated the relationship between corporate strategies and financial performance among foreign commercial banks in Burundi. The study used cross-sectional descriptive research design using a quantitative approach. The target population was 219 employees including technical staff and management. A sample size of 142 respondents was determined and simple random sampling was used to select the respondents. The questionnaire was used as the main data collection instrument and data was analyzed using linear and multiple regression analysis. The study revealed that corporate strategy significantly affects the financial performance of foreign commercial banks in Bujumbura (Adjusted R2=0.281, p=0.000). In addition, it was found that competitive strategy significantly affects the financial performance of foreign commercial banks in Bujumbura (Adjusted R2=0.147, p=0.000). Similarly, the study revealed that operational strategy significantly affects the financial performance of foreign commercial banks in Bujumbura (Adjusted R2=0.229, p=0.000). The study concluded that corporate strategies significantly affect financial performance. The study made the following recommendations: management of foreign commercial banks should employ the use of a total quality management system, should make use of a customer relationship management system, should employ advanced and constant methods of market research, and continuously develop new processes of delivering quality services to their customers.

Suggested Citation

  • Jean Oxas Shingiro & Olawumi Dele Awolusi, 2023. "Corporate Strategies and Financial Performance among Foreign Commercial Banks in Bujumbura, Burundi," Journal of Economics and Behavioral Studies, AMH International, vol. 15(4), pages 87-105.
    • Handle: RePEc:rnd:arjebs:v:15:y:2023:i:4:p:87-105
    DOI: 10.22610/jebs.v15i4(J).3659
    as

    Download full text from publisher

    File URL: https://ojs.amhinternational.com/index.php/jebs/article/view/3659/2384
    Download Restriction: no
    File URL: https://ojs.amhinternational.com/index.php/jebs/article/view/3659
    Download Restriction: no
    File URL: https://libkey.io/10.22610/jebs.v15i4(J).3659?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Caldart, Adrian A. & Ricart, Joan E., 2006. "Corporate strategy in turbulent environments: Key roles of the corporate level," IESE Research Papers D/623, IESE Business School.
    2. Yuxiao Zhang & Mingyue Fang & Ting Jiang & Huihua Nie, 2016. "Contractual Hazard, Political Hazard and FDI Ownership Structure in Joint-venture Enterprises in China," Review of Development Economics, Wiley Blackwell, vol. 20(1), pages 14-24, February.
    3. Adesoga Dada Adefulu, 2015. "Promotional Strategy Impacts on Organizational Market Share and Profitability," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 11(6), pages 20-33, December.
    4. Pouryousefi, Sareh & Frooman, Jeff, 2017. "The Problem of Unilateralism in Agency Theory: Towards a Bilateral Formulation," Business Ethics Quarterly, Cambridge University Press, vol. 27(2), pages 163-182, April.
    5. Cristina Villar & José Pla-Barber & Fidel León-Darder, 2012. "Service characteristics as moderators of the entry mode choice: empirical evidence in the hotel industry," The Service Industries Journal, Taylor & Francis Journals, vol. 32(7), pages 1137-1148, January.
    6. Olawumi D. Awolusi & Josue Mbonigaba & Christian K. Tipoy, 2018. "Mineral resources endowment and economic growth in Southern African countries," International Journal of Diplomacy and Economy, Inderscience Enterprises Ltd, vol. 4(1), pages 59-79.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Arvanitis, Spyros & Hollenstein, Heinz & Stucki, Tobias, 2016. "Does the explanatory power of the OLI approach differ among sectors and business functions? Evidence from firm-level data," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 10, pages 1-46.
    2. Souto, Jaime E., 2015. "Business model innovation and business concept innovation as the context of incremental innovation and radical innovation," Tourism Management, Elsevier, vol. 51(C), pages 142-155.
    3. Guanchun Liu & Chien-Chiang Lee & Yuanyuan Liu, 2020. "Growth path heterogeneity across provincial economies in China: the role of geography versus institutions," Empirical Economics, Springer, vol. 59(2), pages 503-546, August.
    4. Qun Bao & Yanling Wang & Hongjun Xie, 2019. "From Honeymoon To Divorce: Institution Quality And Foreign Investors' Ownership Consolidation In China," Economic Inquiry, Western Economic Association International, vol. 57(1), pages 372-390, January.
    5. Conti, Giuliano & Lo Turco, Alessia & Maggioni, Daniela, 2014. "Spillovers through backward linkages and the export performance of business services. Evidence from a sample of Italian firms," International Business Review, Elsevier, vol. 23(3), pages 552-565.
    6. Jell-Ojobor, Maria & Hajdini, Ilir & Windsperger, Josef, 2022. "Governance of international franchise networks: Combining value creation and value appropriation perspectives," Journal of Business Research, Elsevier, vol. 139(C), pages 267-279.
    7. Kristelle Marjori Matira & Olawumi Dele Awolusi, 2020. "Leaders and Managers Styles towards Employee Centricity: A Study of Hospitality Industry in United Arab Emirates," Information Management and Business Review, AMH International, vol. 12(1), pages 1-21.
    8. O. Makgati Meladi Makgati & Olawumi D Awolusi, 2020. "The Influence of Information Communication Technology (ICT) integration on teaching and learning in South African Schools," Journal of Education and Vocational Research, AMH International, vol. 10(2), pages 47-64.
    9. Martha Mumbi Simwanza & Olawumi Dele Awolusi, 2020. "Customer Experience Monitoring: A Study of Zambian Banks," Journal of Education and Vocational Research, AMH International, vol. 10(2), pages 1-17.
    10. Hugo-Alberto Rivera-Rodríguez & Sergio-Andrés Pulgarín, 2017. "Business Coevolution: Considerations from the Mobile Telecommunication Sector in Latin America Economy," Asian Social Science, Canadian Center of Science and Education, vol. 13(4), pages 147-147, April.
    11. Mohr, Alex & Batsakis, Georgios, 2018. "Firm resources, cultural distance and simultaneous international expansion in the retail sector," International Business Review, Elsevier, vol. 27(1), pages 113-124.
    12. EZENTA, Ogemdi Nneoma, Ph.D & ODEH, Joseph, 2024. "Service Quality and Brand Switching Behaviour of Flour Users in Federal Capital Territory, Nigeria," International Journal of Research and Scientific Innovation, International Journal of Research and Scientific Innovation (IJRSI), vol. 11(6), pages 656-666, June.
    13. Linda Woo & Sung Gyun Mun & Kwanglim Seo, 2023. "How do hotels expand into new markets? The relationship between hotel agglomeration and entry mode," Tourism Economics, , vol. 29(8), pages 2183-2199, December.
    14. Wang, Yibo, 2023. "Exploring resource endowment and human capital impact on regional energy efficiency in China in the context of COP26," Resources Policy, Elsevier, vol. 81(C).
    15. Chahal, Hardeep & Gupta, Mahesh & Bhan, Namrita & Cheng, T.C.E., 2020. "Operations management research grounded in the resource-based view: A meta-analysis," International Journal of Production Economics, Elsevier, vol. 230(C).
    16. Liu, Guanchun & Hu, May & Cheng, Chen, 2021. "The information transfer effects of political connections on mitigating policy uncertainty: Evidence from China," Journal of Corporate Finance, Elsevier, vol. 67(C).
    17. Felix Akinlade Babatola & Oluwatoyin Odunayo Fabiyi & Ayodeji Sikiru Animasaun, 2023. "Marketing Strategies and Sales Performance of Non-Durable Product During and After Covid 19 Pandemic in Nigeria," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 7(11), pages 1968-1979, November.
    18. Anne-Wil Harzing & Markus Pudelko, 2016. "Do We Need to Distance Ourselves from the Distance Concept? Why Home and Host Country Context Might Matter More Than (Cultural) Distance," Management International Review, Springer, vol. 56(1), pages 1-34, February.
    19. Olutayo Akanji Olatunji & Olawumi Dele Awolusi, 2020. "Performance evaluation and improvement among salesmen in the Nigerian fast moving consumer goods sector," Journal of Social and Development Sciences, AMH International, vol. 10(4), pages 12-29.
    20. Ting Liu & Ye Huang, 2024. "The influence of subnational corruption on the conversion of foreign proprietorship: Stumbling block or lubricant? Evidence from Sino-foreign joint ventures," Asia Pacific Journal of Management, Springer, vol. 41(1), pages 135-170, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:rnd:arjebs:v:15:y:2023:i:4:p:87-105. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Muhammad Tayyab (email available below). General contact details of provider: https://ojs.amhinternational.com/index.php/jebs .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.