EFFECT OF STAKEHOLDERS' ENGAGEMENT ON SUSTAINABLE GROWTH OF LISTED FIRMS IN NIGERIA

This study empirically investigated the effect of stakeholders’ engagement on sustainable growth of consumer goods firms in Nigeria. The study is vital as it portrays the extent to which stakeholders’ engagement influences firms’ sustainable growth. In order to determine the relationship between stakeholders’ engagement (SE) and firms’ sustainable growth, SE’s key proxy variables were used in the study, namely; shareholders participation, customers’ engagement, government engagement and host community engagement while sustainable growth on the other hand was represented by sustainable growth rate. Four hypotheses were formulated to guide the investigation and the statistical test of parameter estimates was conducted using panel least squares regression model operated with E-Views.12. Ex Post Facto design was adopted and data for the study were obtained from the Nigerian Exchange Group Factbook and published annual financial reports of listed consumer goods firms on Nigerian Exchange Group (NGX) with data spanning from 2014-2023. The findings generally indicate that shareholders participation, customers’ engagement, government engagement and host community engagement have positive and significant influence on sustainable growth (SG) at 1% significant level. Based on this, the study concludes that stakeholders’ engagement ensures corporate sustainable growth in Nigeria. The study therefore suggests above all that managers of listed firms in Nigeria should look for more effective ways to engage stakeholders. Specifically, shareholders should be engaged through active participation in the organization's operational decisions and monitoring of the management operations system which would likely transform to reasonable returns on their investments. Also, firms’ should accept and treat customers’ complaints with utmost priority and also create room for customers review in order to protect their interest which determines their loyalty. Corporate taxes on the other hand should be paid as and when due without any form of evasion as it’s through corporate taxes that government provide enabling environment for business sustainability in Nigeria. Finally, host communities should always be engaged through practices that promote environmental and social sustainability initiatives as this invariably ensures the attainment of profit motives of organizations leading to sustainable growth of these consumer goods firms in Nigeria