COMPETITIVE POSITIONING STRATEGIES AND EMPLOYEE COMMITMENT OF FINANCIAL INSTITUTION

Abstract

In today’s dynamic business landscape, strategic positioning approaches have become essential instruments for improving organizational performance and strengthening employee commitment. This study investigated the relationship between strategic positioning approaches specifically innovation and differentiation strategies and dimensions of employee commitment, namely affective and continuance commitment, within financial institution, Nigeria. Grounded in the resource-based view theory, the study adopted a qualitative survey approach based on an extensive review of existing literature. The findings indicated a significant positive association between innovation strategy and affective commitment, as well as between differentiation strategy and continuance
commitment. The study concludes that strategic positioning approaches not only enhance firms’ market standing but also promote stronger emotional attachment and sustained professional commitment among employees. It is recommended that organizations institutionalize continuous innovation practices and strengthen service differentiation efforts to maintain employee loyalty and
engagement. This study contributes to the existing body of knowledge in strategic management and organizational behavior by linking strategic positioning approaches with workforce retention within Nigeria’s insurance industry.