Research On Knowledge-Intensive Business Valuation On Intellectual Capital

As the society has stepped into the era of knowledge economy,the intellectual capital is playing a more important role in creating business value.Studies have shown that intellectual capital is the main reason of the difference between market value and book value.Especially for knowledge-intensive enterprises,the value of intellectual capital cannot be ignored.However,the traditional methods of evaluation only focus on tangible assets and cannot reflect the value creation of intellectual capital.Although there are some literatures studying on the intellectual capital and its contribution to company value,the relevant research is still very limited.Therefore,it is of great significance to find a new evaluation method to incorporate the intellectual capital into the process of enterprise value evaluation.In this paper,the main components of intellectual capital are analyzed to construct the index system of intellectual capital measurement based on the review of relevant theoretical research of intellectual capital and the theory of the value creation of intellectual capital.The principal component analysis method is used to evaluate the enterprise intellectual capital value synthetically.Taking the listed companies in Shanghai and Shenzhen Stock Exchange as research samples,the electronic and information industry is chosen to represent the knowledge-intensive industry.Based on the intellectual capital,companies are classified into four types.An empirical test is conducted on the relationship of intellectual capital and corporate value of each type.Then a case study is selected to evaluate the feasibility of the enterprise value evaluation model based on the intellectual capital.A method combined of theoretical analysis,empirical analysis and case analysis is used to acquire the new evaluation model.The main innovation point lies in the measurement of intellectual capital of the enterprise which is based on the analysis of the principal component analysis of the intellectual capital index system.Compared with the value-added coefficient method,we can easily understand the main elements of the intellectual capital by using this method.Besides,the correction coefficient of the market method is calculated based on the relationship of the intellectual capital and corporate value.A specific case is selected to assess the rationality of the results of the new valuation method.The feasibility of the valuation model based on the intellectual capital provides a new way for the valuation of company value.