Business Model and Market Performance of Listed Firms in Nigeria and South Africa

Market performance remains a central indicator of corporate valuation, investor confidence and long-term organisational sustainability, particularly in emerging capital markets exposed to economic uncertainty. This study examined the effect of business model disclosure on the market performance of listed firms in Nigeria and South Africa. The study adopted a longitudinal ex post facto research design and used secondary data obtained from published annual reports covering the period 2013-2024. From the population of firms listed on the Nigerian Exchange Group and the Johannesburg Stock Exchange as at 31 December 2024, 146 Nigerian firms and 260 South African firms met the census sampling criteria and were included in the final sample. Market performance was measured using Tobin's Q, while business model disclosure was assessed through five dimensions: business inputs, business activities, business outputs, business outcomes and business value delivery mechanism. Data were analysed using descriptive statistics, correlation analysis and fixed-effects regression with robust estimation. The results show that the Tobin's Q model is statistically significant, with an F-statistic of 8.72 and a probability value of 0.0000, indicating that business model components jointly influence market performance. Business inputs, business activities and business outcomes exert negative and statistically significant effects on Tobin's Q, while business outputs have a positive and statistically significant effect. Business value delivery shows a negative but statistically insignificant relationship. The study concludes that business model disclosure is relevant to market valuation, although its effect differs across disclosure dimensions. It recommends stronger, more credible and decision-useful business model reporting to improve transparency, investor assessment and market confidence in both countries.