Abstract:
This study was attempted to investigate the impact of Marketing Strategies on Financial
Performance of Listed Insurance Companies in Sri Lanka. The objectives of this study
is to identify the impact of Product Related Strategies on the Financial Performance, to
identify the impact of Price Related Strategies on the Financial Performance, Place
Related Strategies on the Financial Performance and to identify the impact of
Promotion Related Strategies on the Financial Performance of listed Insurance
Companies in Sri Lanka.
In this study literature part explained independent variables, dependent variable and the
relationship between those variables clearly defined by using previous literature
reviews. Conceptual model is developed based on the existing literature. Few studies
have been done in the area of marketing strategies and its contribution to the value of
the firm. This study sets out to extend the evidence by investigating the marketing
strategies of insurance companies in Sri Lanka. In this study panel data sets of Sri
Lankan insurance sector were used to investigate the impact of marketing strategies on
financial performance of listed insurance companies in Sri Lanka using the Random
Effects model. Random Effect model has selected by using the results of Hausman Test.
For the purpose of this study, 100 observations over the period 2009 to 2018 were
included. Annual reports, especially the profit and loss accounts and balance sheets of
the selected insurance companies have been used to obtain the data. Return on Assets
(ROA) was considered as proxies for financial performance
Findings of this research indicates that, Sri Lankan insurance companies, in general,
product related strategy, price related strategy and promotion related strategy have a
significant positive relationship with financial performance while place related strategy
has a significant negative relationship with financial performance. Further these
findings would be both conceptually and practically appealing for insurer to apply
knowledge management practice in their institutions Findings of this study help
decision makers be aware of the importance of marketing strategies as a key factor that
can enhance a firm's ability to maintain their competitive position
