The effect of intellectual capital to firm valuation and sectorial practices from IMKB

In today?s world many scientists stress that pioneering change, or statedanother way, creating change before others is important for success..There are manyexamples which can allow us to see the advantages of taking this view as a principleof working. For instance, while it has taken 15 years to reach 50 million televisionusers, internet users had reached 50 million in only 5 years. While the total number ofmobile telephones sold worldwide in 1994 was 26 million, this figure reached 500million only 5 years later in 1999. Only one years? delay in Motorola?s switching fromanalog to digital technology caused it to lose its leadership in the market, which itheld until 1997, to Nokia, one of Europe?s fastest growing advanced technologycompanies which produced only snow tires and plastic boots until just 10 yearsbefore that time.In the rapidly changing business environment of today in which failure to keepup with or create a change can not only shrink but even destroy many companies,new management principles have been to come into effect.In the globalizing world companies are becoming real powers with not onlytheir financial strengths but the information and technology they produce as well. Forthis reason, knowledge and intelligence has become one of the key assets owned bymodern businesses which possess competitive strength. Since the beginning of the1990?s, many businesses have realized that intellectual capital is a strategic factor inattaining competitive advantage over competitors, company growth and innovation.As a result of this, the popularity of intellectual capital has grown, resulting inbusinesses to invest relatively more capital into information based hardware andequipment as compared to other capital investments. In this time, knowledge hasbecome the key component of assets produced, bought and sold, making thedevelopment, sharing and selling of intellectual capital one of the most importanteconomic responsibilities of individuals, businesses and governments.The purpose of this study is to contribute to the measurement of intellectualcapital factors and the expression of their value, and analyze their effect on companyvalue. In this analysis, Ante Pulic?s Intellectual Added Value Coefficient Method willbe used. The study is composed of three main sections.