Business, Management and Accounting
4 years ago

Investing in Intellectual Capital Boosts Financial Performance by 40% for Nigerian Firms

2 views
SSRN Electronic Journal
Empirical Examination of Integrated Component of Intellectual Capital on Financial Performance: Study of Select Service and Non-Service Firms in Nigeria
Emmanuel Ikechukwu Okoye, Nkechi Nympha Aroh, Amaechi Egbunike

Paper Summary

The study looked at how different aspects of intellectual capital (like knowledge, relationships, and innovation) affect the financial performance of companies in Nigeria. By analyzing data from annual reports, the researchers found that these components of intellectual capital together contribute about 40% to the variation in financial performance. This means that investing in intellectual capital can significantly improve a company's financial success.

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