Impact of intellectual capital on corporate performance deepa venugopal snt global academy of management studies, india [email protected] subha m v anna university of technology, india [email protected] abstract: modern organizations build access and nurture knowledge resources to create competitive advantage. – intellectual capital (ic) shows a significant growing acceptance as a worthy topic of academic investigation and practical implication the purpose of this study is to examine the impact of ic on firms' market value and financial performance. Companies with greater structural capital ef ciency have higher ratios of market-to-book value the impact of rational capital 137 jic 12 1 138 3 2 ic and nancial public presentation the impact of ic on nancial public presentation has non been investigated exhaustively on an empirical degree either it has led research workers to sold and consentaneous decisions.
Capital, is the main determinant in the transformation of intellectual capital to market value and the organization's business performance (qelichlee, 2005) 3. Capital is having no significant impact on the market value of the companies pertaining to selected firms of indian textile sector ari barkah djamil etal (2013) conducted a study on 25 banking firms in indonesia which is listed on idx to check the impact of value added intellectual coefficient on firms’ stock return during the year 2005 to 2009.
Purpose: present study makes an attempt to examine the impact of intellectual capital on financial performance of firms based on a sample consisting of 12 indian banking companies which constituted the cnx banking index of nse during 2012-13. Impact of intellectual capital on corporate performance and its predictive ability with respect to two industries studied also, the findings aid unsophisticated investors to better understand the changing face of indian business and suitability of using intellectual capital for evaluating business performance the study is organized as follows. It was also found that ic has a positive relationship with company performance (measured by pro tability and roa), but, on the other hand, it was discovered that in malaysian the impact of intellectual capital 135 jic 12,1 136 nancial sectors, market value is created more by capital employed (physical and nancial) rather than ic.
Meaning of intellectual capital this is the intangible value of a company, and is measured as the difference between the enterprise value of a company and the market value of its tangible assets intellectual capital is knowledge that can be exploited for some money-making or other useful purpose. The value of the paper is the empirical probe of these relationships in the context of the grecian economic system and the enrichment of the literature with another paper that follows the value-added rational coef cient methodological analysis for the measuring of ic keywords intellectual capital market value fiscal public presentation.
Keywords intellectual capital, market value, financial performance, organizations, greece paper type research paper impact of capital structure on firm value financial management assignment 10/12/2010 completed and submitted by intellectual capital essay 11 definition of. Stewart (1997) argued that intellectual resources such as knowledge, information and experience, are the tools for creating wealth and de ned ic the impact of intellectual capital 133 jic 12,1 134 as the new wealth of organizations.
We will write a custom essay sample on the role of capital market specifically for you for only $1638 $139/page the impact of intellectual capital on firms market value ameritrade’s cost of capital book value, liquidation value and market value of shares. Read the impact of intellectual capital on firms' market value and financial performance, journal of intellectual capital on deepdyve, the largest online rental service for scholarly research with thousands of academic publications available at your fingertips. The impact of rational capital on houses ‘ market value and fiscal public presentation ( by maditinos, chatzoudes, tsairidis, theriou ) intellectual capital is the new wealth of the organisations this is because the rational resources such as cognition, information and experience are the tools for making wealth in the organisation.