Dynamic Capabilities and Strategic Renewal in Nigerian Banks Amid Fintech Disruption

This study investigates how dynamic capabilities enable strategic renewal in Nigerian commercial banks confronting fintech-driven market disruption. Dynamic capabilities theory provides the primary theoretical lens, with emphasis on sensing, seizing, and reconfiguration capacities. The research employs a qualitative multiple-case design involving six Nigerian commercial banks at different stages of digital transformation. Data were collected through in-depth interviews with digital strategy directors, innovation officers, and chief technology officers, supplemented by documentary analysis of digital strategy reports and product launch announcements. Thematic analysis guided by dynamic capabilities constructs was applied. Findings indicate that banks demonstrating superior sensing capabilities, characterized by systematic monitoring of fintech innovations, customer digital behavior shifts, and regulatory signals, initiate strategic renewal earlier and with higher precision than those with reactive monitoring approaches. Seizing capabilities, measured by the speed and effectiveness of new digital product launches, are strongly linked to the organizational authority granted to innovation units and the quality of strategic experimentation cultures. Reconfiguration of legacy IT infrastructure is identified as the most challenging and strategically consequential renewal activity. The research concludes that Nigerian commercial banks must deliberately cultivate all three dynamic capability dimensions to achieve sustainable strategic renewal in the fintech era. Keywords: dynamic capabilities, strategic renewal, commercial banks, fintech disruption, Nigeria.