Valuation of Intellectual Capital

It is assumed that companies like Facebook (market value: $100 Billion ) and Google atomic number 18 highly rated and that they are focusing on beating their rivals with their talented capital of the United States. But how can these knowledge companies measure their value, which mostly depends on their intangible assets and which is hardly benefiting from their tangible assets?
With the change from an industrial decree to an development and service economy (see appendix 1) the success of companies present tense does not only depend on physical and financial but also on intangible assets, such as intellectual capital (IC), which is becom-ing more and more important to work value as well as an competitive usefulness for organisations. Therefore IC is one of the major forces that is driving organizational per-formance and income. Mostly it is referred to intellectual capital when there is a galactic gap between market value and book value.
In this term story the methods to value intellectual capital result be examined with the aim of providing an initial selection of the most joint methods to find out what they measure or assess and bear witness its main properties. The questions which arise are: Why do we open to measure intellectual capital and how can we do so? Is it even possi-ble to grab something what is intangible?




After the introduction, chapter 2 gives a definition to what is meant by the term intellec-tual capital before movement to what kind of capital is existent in organisations. Chap-ter 3 provides information on why it is important to valuate intellectual capital and which problems occur. In the next chapter three methods of measuring intellectual capi-tal are outlined. Focus will be on the most car park methods, Tobins Q, Balanced Scorecard as well as Skandias Navigator, even if there are further methods to be men-tioned. Having presented the different methods, a comparison and evaluation of the methods is done. This term paper concludes with the summary of the key findings...If you want to get a wax essay, order it on our website: Ordercustompaper.com



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