Acta academica karviniensia 2019, 19(1):34-46 | DOI: 10.25142/aak.2019.003

THE INFLUENCE OF INTANGIBLE ASSETS ON COMPANY PERFORMANCE

Olga Hasprová, Zdeněk Brabec, Jiří Rozkovec
Technická univerzita v Liberci, Ekonomická fakulta, Studentská 1402/2, 461 17 Liberec

Intangible assets play an increasingly important role in business management as their proportion on total assets is rising. Their recognition and measurement in financial statements is often complicated and is dependent on the requirements of a given accounting regulation. Intangible assets also influence company performance in a considerable way. Therefore, the aim of this article is to analyse the disclosure of intangible assets, as well as, the relationship between intangible assets and given ratios describing company performance. To do so financial statements of large companies located in selected regions of the Czech Republic, which were published in years 2010 – 2015, are analysed. The established hypotheses are tested using the methods of the trend analysis and the simple regression. The results of this research confirm that the amount of intangible assets disclosed by analysed companies does change over time. In addition to that, it can be concluded that the existence of intangible assets does positively influence company performance measured by the given ratios.

Keywords: big companies, company performance, Czech Republic, intangible assets.
JEL classification: M41, M48

Received: September 2, 2018; Revised: November 9, 2018; Accepted: March 6, 2019; Published: March 19, 2019  Show citation

ACS AIP APA ASA Harvard Chicago Chicago Notes IEEE ISO690 MLA NLM Turabian Vancouver
Hasprová O, Brabec Z, Rozkovec J. THE INFLUENCE OF INTANGIBLE ASSETS ON COMPANY PERFORMANCE. Acta academica karviniensia. 2019;19(1):34-46. doi: 10.25142/aak.2019.003.
Share...
Download citation
  • BibTeX (.bib)
  • Bookends (.ris)
  • EasyBib (.ris)
  • EndNote (.enw)
  • EndNote 8 (.xml)
  • ISI WoS (.isi)
  • Medlars (.medlars)
  • Mendeley (.ris)
  • MODS (.xml)
  • Papers (.ris)
  • RefWorks (.txt)
  • RefManager (.ris)
  • RIS (.ris)
  • MS Word (.xml)
  • Zotero (.ris)
    • Open full article

    References

    1. BLOMQUVIST, K. et al., 2004. Towards Networked R&D Management: The R&D Approach of Sonera Corporation as an Example, R&D Management, 34(5), 591-603. ISSN 1467-9310. Go to original source...
    2. CANDELIN-PALMQVIST, H., B. SANDBERG and U. MYLLY, 2012. Intellectual property rights in innovation management research: A review, Technovation, 32(9-10), 502-512. ISSN 0166-4972. Go to original source...
    3. CLAUSEN, S. and S. HIRTH, 2016. Measuring the value of intangibles. Journal of Corporate Finance, 40(2016), 110-127. ISSN 0929-1199. Go to original source...
    4. COLLEY, J. R. and A. G. VOLKAN, 1988. Accounting for goodwill, Accounting Horizons, 2(1), 35-41. ISSN 0888-7993.
    5. CORRADO, C., C. HULTEN and D. SICHEL, 2009. Intangible capital and US economic growth. Review of income and wealth, 55(3), 661-685. ISSN 1475-4991. Go to original source...
    6. ČADA, K., 2009. Oceňování nehmotného majetku. Praha: Oecomica. ISBN 978-80-245-1187-0.
    7. DOBIÁŠ, I., 2008. Vádemékum komercializace poznatků výzkumu a vývoje. Praha: Czech Knowledge Transfer Office při Inženýrské akademii ČR a Svaz průmyslu a dopravy ČR. ISBN 978-80-254-3305-8.
    8. GU, F. and W. WANG, 2005. Intangible Assets, Information Complexity, and Analysts´ Earnings Forecasts. Journal of Business Finance & Accounting, 32(9&10), 1673-1702. ISSN 1468-9957. Go to original source...
    9. HALL, B. H. and D. KIM, 2000. Valuing Intangible Assets: The Stock Market Value of R&D Revised, Working Paper, Berkeley, CA and Cambridge, MA: University of California at Berkeley and Harvard University.
    10. HASPROVÁ, O. et al., 2016. Výkonnost podniku v závislosti na účetních, finančních a daňových faktorech. Liberec: Technická univerzita v Liberci. ISBN 978-80-7494-309-6.
    11. HASPROVÁ, O. and Z. BRABEC, 2014. The Importance of Intangible Assets in a Company Engaged in the Development of Advanced Technologies. Proceedings of the SGEM International Multidisciplinary Scientific Conferences on Social Sciences and Arts SGEM 2014, Volume II., 769-776. ISBN 978-619-7105-26-1.
    12. HASPROVÁ, O., Z. BRABEC and J. ROZKOVEC, 2018. Intangible assets disclosed by public universities in Czech Republic. Journal of International Studies, 11(1), 67-79. ISSN 2306-3483. Go to original source...
    13. HELMERS, C., C. SCHULTE and H. STRAUSS, 2009. Business R&D expenditure and capital in Europe, EIB Papers, 14(1), 36-61. , ISSN 0257-7755 Go to original source...
    14. HOLYOAK, J. and P. TORREMANS, 2013. Intellectual Property Law. Hampshire: Oxford University Press. ISBN 978-0-19-964331-8. Go to original source...
    15. IASB, 2014, International accounting standard 38: Intangible assets, London: IASCF.
    16. JAC, I., J. SEDLAR and A. ZAYTSEV, 2015. Specificity of Forming the Incremental Value of a High-Technology Enterprise on the Basis of Implementing Innovative Managerial Techniques. Proceedings of the 12th International Conference Liberec Economic Forum, 272-285. ISBN 978-80-7494-225-9.
    17. JONES, S., 2011. Does the Capitalization of Intangible Assets Increase the Predictability of Corporate Failure? Accounting Horizons, 25(1), 41-70. ISSN 0888-7993. Go to original source...
    18. KRIZOVA, Z., 2016. Reporting of Intangibles in Different Reporting Systems. Proceedings of the 3rd International Multidisciplinary Scientific Conferences on Social Sciences and Arts SGEM 2016, Volume III., 321-328. ISBN 978-619-7105-74-2.
    19. KRSTIC, J. and M. DORDEVIC, 2010. Financial Reporting on Intangible Assets: Scope and Limitations. Economics and Organization, 7(3), 335-348. ISSN 0354-4699.
    20. LEV, B., 2001. Intangibles: Management, Measurement, and Reporting. Washington D.C.: Brookings Institution Press. ISBN 978-0-81-570093-7.
    21. LEV, B., 2003. Remarks on the Measurement, Valuation, and Reporting of Intangible Assets. Economic Policy Review, 2003(Sep), 17-22.
    22. LEV, B., 2004. Sharpening the Intangible Edges, Harvard Business Review, 82(6), 109-116. ISSN 0017-8012.
    23. MALÍKOVÁ, O. and M. ČERNÍKOVÁ, 2013. Environmental Impact Identified from Company Accounts in the Czech Republic, WIT Transactions on Ecology and the Environment, 179, pp. 695 - 703. ISSN 1743-3541.
    24. MINGALEVA, Z. and I. MIRSKIKH, 2013. The Problems of Legal Regulation and Protection of Intellectual Property. Procedia-Social and Behavioral Sciences, 81, 329-333. ISSN 1877-0428. Go to original source...
    25. NAKAMURA, L. I., 2001. What is the US Gross Investment in Intangibles?:(at Least) One Trillion Dollars a Year! Federal Reserve Bank of Philadelphia
    26. SABOLOVIC, M., 2011. Kvantitativní analýza trendu vývoje hodnoty nehmotného majetku v České republice. Ekonomický časopis, 59(10), 1018-1032. ISSN 0013-3035.
    27. SALOJÄRVI, S., P. FURU, and K. E. SVEIBY, 2005. Knowledge management and growth in Finnish SMEs. Journal of knowledge management, 9(2), 103-122. ISSN 1367-3270. Go to original source...
    28. SEDLACEK, J., 2010. Analysis of the Development of Intangible Assets in the Czech Enterprises and their Impact on Financial Position and Performance. Ekonomickýčasopis, 58(4), 375-391. ISSN 0013-3035.
    29. SEDLACEK, J., P. VALOUCH, E. HYBLOVA and Z. KRIZOVA, 2014. Changes in Property and Ownership Structure of Companies as a Consequence of Mergers in the Czech Republic. InzinerineEkonomika-Engineering Economics, 25(2), 152-159. ISSN 2029-5839. Go to original source...
    30. SMITH, G. V., 1996. Trademark Valuation. New York: John WileySons. ISBN 978-0-47-114112-9.
    31. SVEIBY, K. E., 1989. The Invisible Balance Sheet. Stockholm: Affarfgarblen. ISBN 91-85804-22-3.
    32. SVOBODA, P., H. BOHUSOVA and L. SEMERADOVA, 2017. Intangible assets in Pharmaceutical Companies in the Czech Republic. Proceedings of the 14th International Scientific Conference European Financial Systems 2017, Part 2.,391-399. ISBN 978-80-210-8609-8.
    33. STOLOWY, H. and A. JENY-CAZAVAN, 2001. International accounting disharmony: the case of intangibles. Accounting, Auditing and Accountability Journal, 14(4), 477-496. ISSN 0951-3574. Go to original source...
    34. TREXLER J., 2017. Indexy spotřebitelských cen v roce 2016. Statistika a my, 2017(2), 14-15. ISSN 1804-7149.
    35. WYATT, A. and M. A. ABERNATHY, 2003. Framework for Measurement and Reporting on Intangible Assets. Working Paper No. 12/03. Intellectual Property Research Institute of Australia, Melbourne. ISSN 1447-2315.

    Return to the content