INNOVATION CAPABILITY AND FINANCIAL PERFORMANCE IN PORT HARCOURT’S COMMERCIAL BANKS

Abstract

This study investigates the relationship between corporate entrepreneurship initiatives and organizational performance in deposit money banks in Port Harcourt. Using a cross-sectional survey design, questionnaires were distributed to 126 respondents from 21 deposit money banks. The research instrument was validated and tested for reliability. Five hypotheses were tested using Spearman Rank Correlation Analysis via SPSS version 20. Results revealed a low positive relationship between corporate entrepreneurship initiatives and organizational performance, significantly moderated by organizational culture. The study concludes that while entrepreneurship initiatives contribute to performance, their effectiveness depends heavily on the prevailing banking culture. Based on these findings, it is recommended that banks regularly update their strategies, foster an innovative spirit among management, and reform banking culture to align with international commercial banking standards for enhanced performance.