IDEAS home Printed from https://ideas.repec.org/a/ijr/journl/v2y2014i3p84-93.html
   My bibliography  Save this article

The Effect of Outsourcing Cost on Corporate Performance: A Study of Nigerian Brewery Industry

Author

Listed:
  • Ifurueze M.S.K CAN, Acti

    (Department of Accountancy, Anambra State University, Nigeria)

  • Ekezie Chineze Abigail

    (Department of Accountancy, Anambra State University, Nigeria)

Abstract

Outsourcing as common phenomena in the corporate world especially in the developing country and in industry where human resource development is at low ebb has its merit and demerit. This paper therefore examined the effect of outsourcing on corporate performance measured by profitability. Various objectives and reasons for outsourcing were highlighted. Data was collected from external and internal source. Two hypotheses were postulated and Regression analysis was run to determine the relationship between the variables. The result showed that outsourcing has a significant effect on corporate profitability. The study further reveal that despite the positive benefit of outsourcing which includes service standardization, increase in service quality and effectiveness, corporate organization need put a standard cost control policy in place to benefit fully from outsourcing practice.This paper opens up new insights for policy makers to improve corporate performance in Nigeria.

Suggested Citation

  • Ifurueze M.S.K CAN, Acti & Ekezie Chineze Abigail, 2014. "The Effect of Outsourcing Cost on Corporate Performance: A Study of Nigerian Brewery Industry," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 2(3), pages 84-93, March.
    • Handle: RePEc:ijr:journl:v:2:y:2014:i:3:p:84-93
    as

    Download full text from publisher

    File URL: http://tesdo.org/shared/upload/pdf/papers/IJEER,%202_3_,%2084-93.pdf
    Download Restriction: no
    File URL: http://www.tesdo.org/journal_detail.php?paper_id=61&expand_year=2014
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Outsourcing; Corporate performance; Service standardization; Labor productivity;
    All these keywords.

    JEL classification:

    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • M55 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Contracting Devices

    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:ijr:journl:v:2:y:2014:i:3:p:84-93. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Dr. Muhammad Shahbaz (PhD Applied Economics) (email available below). General contact details of provider: https://edirc.repec.org/data/tesdopk.html .

    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.