Market Entry Strategies and Internationalization Performance of Selected Deposit Money Banks in Nigeria.

Abstract

This study examined the relationship between market entry strategies and internationalization performance of selected deposit money banks operating within the Federal Capital Territory (FCT) of Abuja, Nigeria. Specifically, the study investigated how entry mode selection, digital adaptation level, and regulatory compliance efficiency influence foreign market penetration rate, cross-border transaction growth, and brand recognition index. A structured questionnaire was administered to 102 respondents, with 94 valid responses retrieved and analysed. Employing Pearson Product-Moment Correlation, the study found that all independent variables had statistically significant positive relationships with the respective dimensions of internationalization performance. Entry mode selection had a strong correlation with foreign market penetration rate, digital adaptation level was significantly related to cross-border transaction growth, and regulatory compliance efficiency was positively associated with brand recognition. These findings are consistent with extant literature, including the works of Aversa et al. (2021) and Watson et al. (2018), which highlight the critical role of strategic categorization and digitalization in successful market entry. The study concludes that adopting appropriate entry strategies, embracing digital transformation, and ensuring regulatory compliance are pivotal for enhancing the global competitiveness of Nigerian banks. It recommends that bank managers develop integrative internationalization frameworks that are adaptive, digitally-driven, and regulatory-compliant to navigate the complexities of foreign markets effectively.