Intellectual Capital: Corporate Culture essay

Home
Free Essays
Business
Intellectual Capital: Corporate Culture essay

Place an order

← Google Takes on the World

Intellectual Capital: Human Capital →

Intellectual Capital: Corporate Culture. Custom Intellectual Capital: Corporate Culture Essay Writing Service || Intellectual Capital: Corporate Culture Essay samples, help

Affiliate

Program

Refer our service to your friends!

Limited time Offer

Earn 10% from all orders made by people you bring

Your people also get 17% discount for their first order

Intellectual capital refers to knowledge which can be exploited through money-making ventures by a company. Intellectual capital embodies both skills and knowledge developed by a company on how to make products. A corporate culture embodies the organization's core values, beliefs and behaviors based on people's interpretation of experiences, either individually or as groups.One of the ways through which corporate culture can increase a firm's market value is the generation of incremental innovation. Radical business innovation has been noted to propel many new market entrants into positions of successful market driven entities (Kumar, Scheer & Kotler, 2000). Kumar, Scheer and Kotler studied 25 pioneering companies (such as IKEA, Tetra Pak and Body Shop) whose business success was based on radical innovation made possible by investment in intellectual by the companies.Market driven processes are extremely excellent channels through which new market entrants can transform their focus from a niche market to the mass market. They can introduce unique business systems that increase their market value without incurring heavy advertising costs. However, the ability for a company to revolutionize the industry and reap vast rewards depends on the nature of corporate culture. The corporate culture should stimulate employees to take high risks.

5% OFF

for more than

15 pages

10% OFF

for more than

30 pages

15% OFF

for more than

50 pages

According to Chen, Cheng & Hwang (2005) a firm's intellectual capital has a positive impact on a firm's market value and financial performance. Therefore, a company's corporate balance sheets can give an indication of the value that a corporate culture is adding to the company. Additionally, Chen, Cheng and Hwang found out that investors may attach different value on the three main elements of value creation efficiency: human capital, physical capital and structural capital.

Want an expert to write a paper for you?

Type of assignment

Title of your paper

Academic level

Pages

Timeframe

Spacing

Currency

Total price

* Final order price might be slightly different depending on the current exchange rate of chosen payment system.

Order now

However, determining the exact level of influence of corporate culture on a company's market value may not be as straightforward as it seems. One may find it difficult to attribute different elements of increase in market value to specific aspects of corporate culture, especially in newly established companies that bring new, innovative structures into the industry. This is because there are many confounding variables that need to be put into consideration.

Intellectual Capital: Corporate Culture. Custom Intellectual Capital: Corporate Culture Essay Writing Service || Intellectual Capital: Corporate Culture Essay samples, help

Stay Connected

Live Chat Order now

Intellectual Capital: Corporate Culture essay

Intellectual Capital: Corporate Culture. Custom Intellectual Capital: Corporate Culture Essay Writing Service || Intellectual Capital: Corporate Culture Essay samples, help

Intellectual Capital: Corporate Culture. Custom Intellectual Capital: Corporate Culture Essay Writing Service || Intellectual Capital: Corporate Culture Essay samples, help

Related Business essays