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This paper aims at exploring the extent and determinants of intellectual capital disclosure (ICD) in India.

Content of annual reports of 200 firms classified on their market capitalization is analysed using search terms to find out the extent and nature of disclosure. The period of study is 2010-11 and 2013-14. Paired t-test is used to see if there is any significant change in the level of disclosure between two time periods. The various determinants and their impacts are captured using a regression equation.

The analysis showed evidence that market capitalization, ownership and age of the firms are the major determinants of ICD in India. Performance, size and type of industry mattered only for large-cap firms. Disclosure levels are seen to increase with market capitalization. Human capital and external capital is highly reported by all categories of firms. The overall disclosure by all categories has significantly increased, whereas that of human capital and external capital has increased significantly only in small-cap and mid-cap firms.

This paper looks at size, market and performance-related variables and their impact on the extent of disclosure. It takes representative firms from three indices based on their market capitalization and evaluates them, thus making results and findings reliable. This is the first paper which takes a large cross section sample from across 12 sectors and also performs a longitudinal analysis. This paper is of interest to managers of firms who can affect the policies of their firms in making robust changes in disclosure practices.

The purpose of this paper is to study the relationship, if any, between the intellectual capital (IC) components, namely human, structural, and physical capitals with the traditional measures of performance of the company, namely profitability, productivity and market valuation.

Value added by IC (VAIC™) for top 25 firms in the drug and pharmaceutical industry in India, for a ten‐year period from 1996 to 2006 is estimated. The evaluation is done on the basis of the ranking obtained by each firm in the VAIC index estimated. The analysis of correlation and simple linear multiple regression is done for the set of variables representing the performance of the firm and IC.

The domestic firms seem to be performing well and efficiently utilizing their IC as seen by the VAIC rankings. The empirical analysis found that the human capital was the one which was seen to have the major impact on the profitability and productivity of the firms over the period of study. Though there is a growing importance and efficiency in the utilization of the intellectual resources in the Indian pharmaceutical industry, the reflection of the same in creating an impact on the financial performance of the industry is seen to be missing in the empirical analysis.

The results suggest that in Indian scenario, the market is under developed and yet to reflect the performance of the firms especially in terms of the efficiency parameters and more so in terms of IC efficiency. The stakeholders still perceive the performance of the firm in terms of tangible assets and less in terms of intangible assets. This opens up vistas for further exploration of the findings to prove/disprove the same in other industries.

The paper has strong theoretical foundations, which have a proven record and applications. The methodology adopted has been research tested. There is an urgent and immediate need that the policy makers and corporate decision makers wake up to the need and start taking up the voluntary disclosures of IC, so that the perception among the stakeholders regarding value creation in the firm may get even more transparent.

This is one of the pioneering and seminal attempts to evaluate the IC and its relationship with the traditional measures of corporate performance in Indian pharmaceutical industry. This paper adds to the existing literature, provides a new dimension of performance measurement for knowledge industries in emerging economies and would evoke further research interests to explore different aspects of IC management and measurement in these economies.

This study is a response to the paucity of research into early internationalising firms based in India. We seek to explore the internationalisation of small and new Indian firms and the decision-making process of their entrepreneurs/managers.

The study uses original, primary data gathered from in-depth, semi-structured interviews conducted with the managers of six such firms to explore the factors that might facilitate, motivate, or impede the efforts undertaken by young Indian firms to embark upon a process of early internationalisation.

Our findings suggest that, in line with their counterparts from other countries, the early internationalisation of small firms from India is driven primarily by the search for more favourable demand conditions overseas and is facilitated by new technologies. However, we find no evidence suggesting that the emergence of early internationalising firms from India is driven by the search for more favourable production conditions or by the direct international experience and exposure of their founders. In line with prior scholarly work, our research suggests that government support is an important facilitator of early internationalisation of small firms.

The study provides insights into the internationalisation process of INVs from India and contributes to broadening our understanding of the behaviour of firms under a set of specific institutional conditions. Based on our findings, we develop a conceptual framework which can be useful for further empirical testing. Our study is also one of the few to be conducted on a sample of INVs from India.

This study aims to examine the impact of intellectual capital (IC) and its three components (human, structural and relational capital) on corporation performance in the Chinese transportation industry. In addition, this study also investigates auditor characteristics (both Big-N and non-Big-N auditors) as a moderating role to examine the relationship between IC and corporate performance.

The data include 398 firm-year observations of transportation companies listed on the Shanghai and Shenzhen Stock Exchange from 2011 to 2020. Value-added intellectual coefficient (VAIC) model and its modified version (MVAIC) are applied to measure IC efficiency. Finally, the fixed effects regression analysis is used to mitigate the endogeneity issue. To investigate the moderating effect of auditor characteristics, the authors divide the samples based on the clients audited by Big-4 and non-Big-4 firms.

This study reveals that IC can enhance firm performance in China’s transportation sector. Overall, findings indicate that on the whole, IC has a positive and significant impact on corporation profitability and productivity. Human capital and physical and financial assets (capital employed) play highly important roles, but structural capital has no significant impact. The authors also found that auditor characteristics play an important moderating role in the connection between IC and corporate performance. For example, the positive association between IC and corporate performance is more pronounced when Big-4 auditors audit client firms. At the same time, the authors found a negative relationship between IC and firm performance when non-Big-4 auditors audit client firms.

Managers must understand that several components of IC have a total effect on corporate financial performance. Therefore, managers can dedicate more resources to such components based on the performance outcomes to emphasize their business strategies.

This study is the first empirical analysis of the impact of IC and its components on corporation performance in the transportation sector in China, an emerging market. Previous studies mainly focus on developed countries’ high technology and financial industries sectors but the impact of IC in transportation industry largely remains unknown. Thus, the present findings contribute to IC literature by revealing several underlying mechanisms by which the components of IC help achieve good firm performance.

This study aims to empirically investigate the relationship between intellectual capital (IC) and corporate performance (CP), including financial, market and sustainability performance. The research also investigates the mediating role of earnings management practices (EM) in the IC and CP relationship.

The empirical connection between IC and CP for 795 nonfinancial listed Indian firms is examined for 17 years using industry and year-fixed effect panel regression models. The research has also used Baron and Kenny’s four-step model to examine the role of EM as a mediator between IC and CP.

IC plays a crucial part in improving the financial, market and sustainability performance of Indian firms. The empirical findings further claim that EM practices partially mediate the connection between IC and CP. However, the mediation effect of EM depends on its magnitude and direction, i.e. income-increasing (decreasing) EM practices. The study also claims that sustainability performance-oriented firms practice less EM.

Managers and policymakers can use the findings of this study to their advantage by focusing on the significance of IC in the Indian context and their efforts to improve financial, market and sustainability performance while limiting earnings management practices.

The research uncovers a novel facet of the IC–CP relationship where EM mediates between the two. To the best of our knowledge, this is the first study that analyzes the impact of IC on CP through the lens of mediation using both accrual and real earnings management.

Intellectual capital (IC) is a paramount resource for competitiveness in the knowledge-based financial sectors of the economy. As financial technology advances, specifically in the banking industry, it is vital to understand the effect of IC on financial performance. This study aims to investigate the effect of IC on return on equity (ROE), with a unique emphasis on the moderating role of board attributes. Previous studies have overlooked this moderating role.

The study sample consists of 17 banks and a panel data set spanning 2016–2021, extracted from annual reports. Antel Pulic’s value-added intellectual coefficient (VAIC) model is used to compute IC. To analyze the data, a generalized least squares analysis is conducted. The robustness of the analysis is ensured by using the two-stage least squares (2SLS) econometric technique.

The findings indicate that both the VAIC and human capital efficiency (HCE) have a significant impact on the ROE of banks. In terms of moderation, it is observed that board size (BS) exerts a negative effect on the association between VAIC, HCE, structural capital efficiency and ROE. Additionally, BS positively compounds the connection between capital employed efficiency and ROE. Similarly, the presence of independent directors (IND) significantly moderates the effects of VAIC and its components on the ROE of banks in Pakistan.

Banks should focus on the HCE for a higher ROE. Moreover, banks ought to prioritize appointing more independent directors in the boardroom for effective utilization of IC and greater ROE.

The findings of the study, which analyzed data from Pakistan’s banking sector, are original and provide additional insights into the literature on IC and board attributes.

The purpose of this paper is seek to analyze how models emanating from the managerial discourse of intellectual capital (IC) relate to how firms disclose IC in accordance with International Financial Reporting Standards Business Combinations (IFRS3) in financial statements.

A qualitative and quantitative analysis of the purchase analyses disclosed by Swedish listed companies in their financial statements during the first year of application of IFRS3 is conducted.

Five main findings result from this investigation. First, the relevance of IC in business combination is confirmed. Second, only a few intangibles are specifically identified and most of them are included within goodwill. Third, a large variety of labels are used when disclosing intangibles. Fourth, synergies represent the most frequent explanation of the goodwill generated by the business combination. Finally, the models examined for guiding firms' reporting on intangibles in the annual report need to be further developed.

The research is an investigation of the first year of application of a new accounting principle which underlies the analysis of intangibles and which represent an opportunity to concretely apply the otherwise mainly theoretical studies carried out by the IC community.

The paper aims to find out the information content of performance measures from accounting and value-based measures that best explain the total shareholder return.

To achieve this aim, static and dynamic panel data regression analysis is applied to the sample of 56 Indian companies taken from the Nifty Midcap 100 Index, between 2012 and 2019.

It is found that accounting-based measures have more relative information content in predicting total shareholder return as compared to value-based measures. Economic value added (EVA) and cash value added (CVA) do not add to the information content provided by accounting-based measures. A combination of accounting-based measures and value-added intellectual coefficient (VAIC) adds marginally to the information content provided by accounting-based measures in explaining the total shareholder return. Dynamic panel regression analysis shows that return on assets (ROA), return on capital employed (ROCE), return on equity (ROE) and EVA have a significant impact on total shareholder return.

In this study, along with EVA, other measures from value-based measures, i.e. CVA are empirically tested to explain the total shareholder return. Intellectual capital efficiency computed by VAIC is also empirically tested along with accounting-based measures, EVA, CVA and market value added (MVA). To bring robustness to findings, data are tested by using dynamic panel regression analysis.

The purpose of this paper is to analyze the relationship between firms’ intellectual capital (IC), financial performance (FP) and market value (MV) as well as the relationship between ownership concentrations on IC performance.

A large sample of non-financial listed firms belonging to 14 countries in Western Europe, for the period between 2004 and 2015, was investigated using the GMM system (1998) dynamic estimator and the effect of lagged explanatory variables on firm’s FP and MV.

The results reveal that IC is an important resource for firms’ value creation. Human capital is found to be a key factor of firms’ wealth. Results show that capital employed efficiency positively impacts on firms’ FP in the short run. The impact of IC components on firms’ MV may not be immediate. The structural capital positively affects firms’ FP in the long run. Also, the results reveal that ownership concentration and owners’ management involvement constrain firms’ IC performance.

The current study contributes to IC research by exploring a large sample of firms across countries in Western Europe using econometric modeling. Considering that the effect of IC on firms’ FP needs time to be realized, thus to be measured, the effect of lagged explanatory variables on performance was tested, using dynamic panel estimators, specifically the GMM system (1998) dynamic estimator.