Intellectual Capital and Value Creation- Is Innovation Capital a Missing Link?
By William S. Chang, J. Hsieh. 2011
110 citations recorded by the source corpus.
The purpose of the research is to examine the role of innovation capital in the creation of value for business organizations. Taking an intellectual capital (IC) perspective, the paper considers R&D investment and its impacts on the companies’ operating, financial, and market performance. To investigate the different components of intellectual capital using financial measures, a modified Value Added Intellectual Coefficient (VAIC TM ) is used for analysis. Empirical study is conducted on 367 Taiwan semiconductor companies using Pearson correlation and linear multiple regression whereas financial information is generated from a third party database from Taiwan Economic Journal. The result shows that a company’s IC in general has a negative impact on its financial and market performance. However, the association between innovation capital which captured by R&D expenditure efficiency (RDE) and companies’ operating, financial and market performance is significant. The results provide a different perspective apart from extant research.
Subfields: Economics and Econometrics, Strategy and Management
View Paper: https://www.semanticscholar.org/paper/2c54030e674b3959cbd7e069f8e1f2e0900047c4
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In Strategy and Management
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Citations in the corpus
- Intellectual capital and financial performance: an evaluation of the Australian financial sector (2013, background): “…al., 2005; Kujansivu, 2005; Shiu, 2006; Bramhandkar et al., 2007; Chang, 2007; Gan and Saleh, 2008; Ting and Lean, 2009; Zéghal and Maaloul, 2010; Chang and Hsieh, 2011a, b; Clarke et al., 2011; Ståhle et al., 2011; Wang, 2011; Maditinos et al., 2011; Pal and Soriya, 2012; Mehralian et al.,…”
- The Impact of Intellectual Capital on Firm Performance: A Modified and Extended VAIC Model (2020, background): “However, some IC studies (e.g. Chen et al., 2005; Chang & Hsieh, 2011) have shown a positive relationship between innovation capital and financial performance indicators, namely, ROA and ROE.”
- The impact of the intellectual capital efficiency on commercial banks performance: Evidence from the US (2016, background): “However, the worst-case scenario is found in Chang and Hsieh (2011).”