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Purpose

The purpose of this study is to assess how telecommunications companies in Nigeria leverage intellectual capital as a strategic resource for creating competitive advantage.

Design/methodology/approach

A previously published research instrument was administered and survey data were collected from 320 managers in 29 telecommunications companies.

Findings

Hypotheses related to the relationship of human, structural and customer capital and its influence on business performance were tested. Results show that Nigerian telecommunications companies have mostly emphasized the use of customer capital, exemplified by market research and customer relationship management to boost their business performance.

Practical implications

The over‐emphasis on customer capital to the detriment of other intellectual capital components is found to be undermining the productivity of Nigerian telecommunications companies.

Originality/value

This is the first published study of intellectual capital development in Nigeria.

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