Empirical Research on the Impact of Intellectual Capital as a Determinant of the Growth of Market Value of Companies

Ana Milijić – Innovation Center, University of Niš, University Square 2, Niš, Republic of Serbia

Andrija Popović – Innovation Center, University of Niš, University Square 2, Niš, Republic of Serbia

Nevenka Vojvodić-Miljković – Faculty of Business Economics and Enterpreneurship, Mitropolita Petra 8, Beograd, Serbia

7th International Scientific-Business Conference – LIMEN 2021 – Leadership, Innovation, Management and Economics: Integrated Politics of Research – CONFERENCE PROCEEDINGS, Online/virtual, December 16, 2021, published by the Association of Economists and Managers of the Balkans, Belgrade; Printed by: SKRIPTA International, Belgrade, ISBN 978-86-80194-54-7, ISSN 2683-6149, DOI: https://doi.org/10.31410/LIMEN.2021

Abstract

The development of information and communication technolo­gies and the creation of knowledge bases has resulted in a large number of incremental and radical innovations in various spheres. The condition for the survival of companies in the knowledge economy is to meet the increas­ingly sophisticated needs of consumers. In order for companies to follow this trend, it is necessary to constantly improve (innovate) their products and/or services and create added value for the consumer, which is a source of creat­ing and maintaining a competitive advantage in the market. As innovations “repose” in the knowledge of individuals, companies invest a significant amount of financial resources in the education of their employees because they represent a part of the intellectual capital of the company. The subject of this paper is the analysis of the relationship between investment in R&D and market cap. The aim is to show how investing in research and develop­ment affects the market value of companies.

LIMEN Conference

Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-Non-Commercial 4.0 License (https://creativecommons.org/licenses/by-nc/4.0/) which permits non-commercial use, reproduction and distribution of the work without further permission. 

References

Edvinsson, E. (1997). Developing Intellectual Capital at Skandia, Long Range Planning, Vol. 30, No. 3

Erickson, S. & Rothberg, H. (2009). Intellectual capital in tech industries: a longitudinal study. Electronic Journal of Knowledge Management, 7(5), 559–566

Field, A. (2009). Discovering Statistics Using SPSS. 3rd edition, London: Sage.

Hassaneen, T. (2010). Intellectual Capital Reporting in Knowledge Economy – the relevance of Corporate Governance, VDM Verlag Dr Muller, p. 4.

Jovetić, S. (2015). Merenje performanski preduzeća. Kragujevac: Ekonomski fakultet Univer­ziteta u Kragujevcu

Krstic, B. (2014). Upravljanie intelektualnim kapitalom, Ekonomski fakutet u Nišu, Niš

Milijić, A., Popović, A. (2020). Measuring Performance of Intellectual Capital as a Determi­nant of the Innovation Activity in Enterprises, PaKSoM

Milijić, A., Popović, A., (2021). The Impact Of Intellectual Capital On The Market Value And Performance Of The Company, 5th International Scientific Conference on Economics & Management EMAN 2021.

Roos G., Pike S., Fernstrom L., (2005). Managing Intellectual Capital in Practice, Butter­worth-Heinemann

Steward, T. (1997). Intellectual capital: the new wealth of organizations, p. 10

Steward, T. (2001). The Wealth of Knowledge – Intellectual Capital and the Twenty-First Cen­tury Organization, Currency, New York

Sullivan, P. (1998). Introduction to Intellectual Capital Management, In: Sullivan P., ed. Prof­iting from intellectual capital: extracting value from innovation, John Wiley & Sons, pp. 3-18.

Sveiby, K. E. (1997) The New Organizational Wealth – Managing & Measuring Knowl­edge-Based Assets, Berrett – Koehler Publishers, Inc., San Francisco