A Study On The Value Of Intangible Asset Improving Enterprise Performance Illustrated By The Case Of Royal Flush

Intangible asset is accounting for a larger part of the enterprise’s total asset, having been taken seriously by the senior managers increasingly. Moreover, for some innovative and technological enterprises, intangible asset is the core competitiveness and the motive force of sustainable development. However, like the brand value, customer satisfaction, human resources and so on, which play significant roles in the enterprise’s development can’t be reflected in the balance sheet, resulting in the managers’ difficulty of an overall recognition and effective management of the enterprise’s intangible asset, together with the setup of intangible asset operation strategy.This article analyzed how the intangible assets promoted the company’s performance. The intangible assets were classified into five categories which were brand value, client relations, marketing channel, patent technology and intellectual capital. Furthermore, advertising input, main business income, customer satisfaction, research input and employee’s training were used to describe the five intangible assets numerically according to their definitions. And CSMAR was used to collect data of the thirty companies listed in Growth Enterprises Market from computer application services industry from 2012 to 2014 and regression analysis was conducted to get the influence coefficients of intangible assets to the company’s total intangible assets. An empirical study was conducted on Royal Flush, consisting of large quantities of intangible assets. It is concluded that: first, there is a positive correlation between the value of intangible asset and the enterprise’s performance; second, a reasonable-effectively intangible asset value evaluation was conducive to the allocation of resources, to the focus on central link creating additional value for the company and the cultivation of core competitiveness of the company; third, promoting non-financial performance so as to further enhance financial performance through cultivating and improving intangible asset can create more revenue with less capital investment, achieving excellent performance.