The Study of Association between Intellectual Capital and Market Price-to-Book Ratio

• Main Authors: Wan-Chun Yen, 顏萬春
• Other Authors: 余霆, 鄒翊
• Format: Others
• Language: zh-TW
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/75035820166959137030

碩士 === 中原大學 === 會計研究所 === 96 === Abstract Following the rapid development of the knowledge-based economy, invisible assets of a company have often become the key factor in determining the achievements of the company’s operation, including intellectual capital such as manpower, public relationship and company structure. As the traditional financial report fails to reflect the true value of an enterprise, thereby resulting in insufficient provision of financial data, this study has utilized the conceptual structure of intelligent capital to explore the effects of R&D, advertisement and expenses on manpower, on the enterprise. It is expected that investors can obtain more relevant financial data for making the correct decisions. This study took the period from 2001 to 2005 as the study duration, and companies registered in the stock market from various industries in Taiwan were selected as the targets of discussion, accounting for a total of 445 companies as the effective samples. Meanwhile, the significance related to intellectual capital, industry and corporate value (market-to-book value), is discussed, and the empirical results of this study are described as follows: In terms of innovative capital, RD, RDS and MBR have showed positive significant effect, which indicates that companies with higher RD and RDS also possess greater amplitude of MBR improvement. In terms of manpower capital, the SS showed negative significant effect, which indicates that for companies with higher SS, the MBR will not increase accordingly; instead, it will be reduced as a result. In terms of capital for measurement procedures, the AS showed positive significant effect, indicating that adequacy of AS investment affects the improvement of MBR to a great extent. In terms of capital for customer measurement, the SG showed positive significant effect, indicating that corporate value increases when customers’ satisfaction towards the product increases and customers are willing to place further orders. This study found that difference in industrial structure contributed by R&D, advertisement and expense on manpower towards the valuation of an enterprise can act as guidance when the enterprise executes relevant investment on invisible assets, thus helping the enterprise to generate maximum market value.