Moderating Effect of Regulatory Policies on the Relationship between Intellectual Capital and Firm Value of Nigerian Listed Industrial Goods
DOI:
https://doi.org/10.5281/zenodo.15307911Keywords:
intellectual capital, human capital, structural capital, relational capital, regulatory policies, firm value, industrial goods industry, nigeriaAbstract
This study examines the moderating effect of regulatory policies on the relationship between intellectual capital and firm value of listed industrial goods firms in Nigeria. Intellectual capital, comprising human, structural and relational capital, is increasingly recognized as a strategic asset for value creation. The study adopted an ex-post facto research design, utilizing secondary data from listed industrial goods firms in Nigeria, covering the period of five years 2020 to 2024. Data were sourced from annual reports available through the Nigerian Exchange Group (NGX). Multiple regression analysis was employed, incorporating interaction terms to assess the moderating influence of regulatory policies on the relationship between the components of intellectual capital and firm value. The findings revealed that human capital, structural capital, and relational capital each positively and significantly influence firm value. Furthermore, the interaction between regulatory policies and the components of intellectual capital showed a significant moderating effect indicating that regulatory policies strengthen the positive relationship between intellectual capital and firm value. Specifically, regulatory policies were found to enhance the effectiveness of human capital and structural capital in driving firm value, while their moderating effect on relational capital was positive but less pronounced. Conversely, firm age remained statistically insignificant. The study concludes that regulatory policies is a pivotal aspect component in enhancing the efficacy of intellectual capital on firm value within Nigeria’s industrial goods sector. It recommends that firms not only invest in human resource development, technological infrastructure and stakeholder engagement but also align their intellectual capital strategies with prevailing regulatory frameworks to maximize firm value.
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