Corporate Governance and Survival of Telecommunication Firms in Port Harcourt, Rivers State.

Abstract

This study investigated the correlation between corporate governance and firm survival of telecommunication firms in Port Harcourt, Rivers State, Nigeria. The cross –sectional survey research design was applied. Data for the research was collected through questionnaire administered to 51 management staff of four telecommunications firms of which 44 were usable. The data was analysed by the use of Spearman Rank Order Correlation Co-efficient and hypothesis were tested by method of p value. The outcome of the hypotheses test indicates that there is a significant relationship between the dimensions of corporate governance (board independence and transparency) and the measures of the firms’ survival (adaptability and innovation). Based on the findings, it was recommended that the management and other decision makers in telecommunication firms should formulate policies that promote the adoption of independence of board members, so that the organization can quickly adapt to changes that arises within the industry they operate in and should promote transparent practices as this will instil confidence and trust amongst stakeholders and ensure business survival.

Keywords: Adaptability; Board Independence; Corporate Governance; Innovation; Organisational Survival; Transparency.

DOI: 10.7176/EJBM/12-10-08

Publication date: April 30^th 2020