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Measuring the value of intangibles is not easy, because they are critical but usually invisible components of the innovation process. Today, access to nonsurvey data sources, such as administrative data and repositories captured on web pages, opens opportunities to create intangibles based on new sources of information and capture intangible innovations in new ways. Intangibles include ownership of innovative property and human resources that make a company unique but are currently unmeasured. For example, intangibles represent the value of a company's databases and software, the tacit knowledge of their workers, and the investments in research and development (R&D) and design. Through two case studies, the challenges and processes to both create and measure intangibles are presented using a data science framework that outlines processes to discover, acquire, profile, clean, link, explore the fitness-for-use, and statistically analyze the data. The first case study shows that creating organizational innovation is possible by linking administrative data across business processes in a Fortune 500 company. The motivation for this research is to develop company processes capable of synchronizing their supply chain end to end while capturing dynamics that can alter the inventory, profits, and service balance. The second example shows the feasibility of measurement of innovation related to the characteristics of open source software through data scraped from software repositories that provide this information. The ultimate goal is to develop accurate and repeatable measures to estimate the value of nonbusiness sector open source software to the economy. This early work shows the feasibility of these approaches. [ABSTRACT FROM AUTHOR]

Sir David Tweedie, IVSC President and David Herbinet, Global Audit Leader of Mazars respectively state the followings in 2017 Report of Brand Finance: 'If purchased brands can be put on the balance sheet, however, there is no logic in banning internally generated brands being shown as assets' and 'Improved financial reporting on brands and intangibles is essential and with appropriate valuation methodologies'. These expressions are strong criticism to IAS 38. In other words, if the reported value significantly differs from the market value is it is not possible to talk about the meaningfulness of financial reporting. The paradigm which aims reporting based on fair value cannot be fully adopted for intangibles. This situation is also contradictory to the Decision Usefulness Theory. In this study, lack of widely accepted and objective methods in valuation of intangibles will be evaluated and the subject will be examined from the theoretical point of view. [ABSTRACT FROM AUTHOR]

This paper aimed to analyze the value relevance of disclosing research and development (R&D) expenditures in Brazil's capital market between 2011 and 2015. The study has a documental and quantitative approach and examined a population of 440 public companies listed in B3. Applying Ohlson's model (1995), data were collected concerning earnings, net revenue, equity, R&D expenditures (2011-2015) and market value (2010-2015), composing a sample of 1,241 observations. These data come from financial statements, explanatory notes and Economatica® database. The analysis used linear regressions with panel data estimation with fixed effects. The hypotheses were rejected because the R&D expenditure disclosure and the investment in R&D expenditures are not value relevant. We concluded that R&D expenditures disclosure and the value applied in R&D activities do not indicate a greater probability to gain competitive advantage in the context of the Brazilian capital market. [ABSTRACT FROM AUTHOR]

There is a wide-spread and growing dissatisfaction with the relevance and usefulness of financial report information, particularly among investors and corporate executives. The dissatisfaction is corroborated by extensive research which consistently documents a growing gap between capital market indicators and financial information, more so for reported earnings. The reported earnings of most firms no longer reflect enterprise performance. I trace the deterioration of the usefulness of financial information to: (1) the abandonment by accounting standard-setters of the traditional income statement (matching) model in favour of a balance sheet (asset valuation) model, and (2) standard-setters’ failure to adjust asset recognition rules to the fundamental shift in corporate value-creating resources from tangible to intangible assets. I conclude this paper with change proposals to restore the usefulness of financial information to investors. [ABSTRACT FROM AUTHOR]

This paper examines the reliability of survey data for research on U.S. businesses, including sole proprietorships, partnerships, S corporations, and C corporations. We examine all surveys that ask questions about these businesses and compare outcomes across surveys and with aggregated administrative data. We document large inconsistencies in business incomes, receipts, and number of returns. We highlight problems due to non-representative samples and measurement errors. Non-representativeness is reflected in undersampling of businesses, especially in categories of owners with low total incomes. Measurement errors arise because respondents do not refer to relevant documents when answering survey questions and also because some questions are framed in a manner that is confusing to respondents. Finally, we discuss the implications for statistics of interest, such as returns and valuations of ongoing private businesses, as well as the implications for research that studies positive and normative questions pertaining to businesses. [ABSTRACT FROM AUTHOR]

Prolific research examining the impact of a good corporate reputation on financial performance has bestowed equivocal findings. Despite this inclusivity, corporate reputation continues to gain impeccable importance in sustaining superior performance. Corporate reputation has emerged as an important asset in emerging markets such as India, where firms are facing competition at the global level. An endeavor has been made through current study to re-examine the reputation–performance liaison in a different economic setting deploying a different measure of corporate reputation. Panel regression technique has been applied on top 500 Indian companies constituting Bombay Stock Exchange (BSE) 500 index to observe the impact of corporate reputation on subsequent financial performance during the period ranging from April 1, 2002 to March 31, 2012. The findings of the study reveal that past reputation (captured through listing age) has a significant positive impact on all three measures of financial performance (return on assets [ROA], return on equity [ROE], and asset turnover ratio [ATR]). Hence, the results are in line with previous studies that consider reputation as a strategic resource necessary to enhance firm performance. The study bears significant implications for corporate managers that they should manage the reputation of their organization effectively and use it as a strategic tool to gain competitive advantage. [ABSTRACT FROM AUTHOR]

This paper studies the relationship between CSR reputation and long-run stock returns. A valueweighted portfolio based on the "100 Best CSR companies in the world" from Reputation Institute shows annual abnormal returns of 2.74% and 1.98% respectively by controlling both Carhart four factors and Fama French five factors. This superior returns are robust after controlling for a vector of firm characteristics (Brennan, Chordia, & Subrahmanyam, 1998). Also, the abnormal returns are found to decrease as time goes, especially after the CSR lists appear since 2013. The paper also indicates that companies with good CSR performance are more likely to have positive earning surprises, which can partially explain the superior returns. The paper has three implications. First, it demonstrates that CSR reputation can positively contribute to a firm's superior equity performance. Second, the paper finds that the CSR lists help the market correct its mispricing of intangibles like CSR reputation. The abnormal returns decrease as the market gradually learns about firms' CSR reputation. Third, the paper contributes to the socially responsible investing (SRI) screens, a guidance for investors who would like to do well by doing good. [ABSTRACT FROM AUTHOR]

In their article, the authors emphasize the importance of measuring intellectual capital. The difference between the company's market and book value is intellectual capital, which has been present within knowledge-based society for decades. A number of economists have made suggestions related to its measurement; however, no unified standpoint has been developed. Therefore, currently its value does not appear in financial statements. The reason for this is the fact that while the recorded book value of enterprises is tangible, the value of intellectual capital is difficult to quantify, it is a so-called hidden value. In the scope of their study, the authors discuss the relevance of measuring intellectual capital by describing their results provided by Baruch Lev's knowledge capital valuation. [ABSTRACT FROM AUTHOR]

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In this paper, we first provide evidence that existing measures of business incomes and valuations based on widely-used surveys such as the Survey of Consumer Finances are mismeasured. We then develop a theory disciplined by U.S. national accounts and business census data to measure net incomes and private business sweat equity--which is the value of time to build customer bases, client lists, and other intangible assets. We estimate an aggregate sweat equity value of 0.65 times GDP, with little cross-sectional dispersion in valuations when compared to business net incomes and large cross-sectional dispersion in rates of return. Our estimate of sweat equity is close to the estimate of marketable fixed assets used in production by private businesses, implying a high ratio of intangible to total assets. We use the model to evaluate the impact of greater tax compliance of private businesses and lower tax rates on the net income of both privately held and publicly traded businesses. We find larger sectoral and aggregate effects from the tax policy experiments relative to studies that abstract from private business and, in particular, the accumulation of sweat capital. Finally, we show that our results are robust to including non-pecuniary benefits of business ownership. [ABSTRACT FROM AUTHOR]

Articulo de revisión

Los intangibles son los activos más valiosos de las compañías. Sin embargo, los métodos tradicionales de valuación de marcas, desarrollados en el siglo XX, no incorporan los riesgos asociados con la globalización, el empoderamiento de los consumidores y las mayores exigencias de la sociedad a las empresas. Se propone una metodología para cuantificar los riesgos del “diálogo social” y su impacto en la reputación y en los negocios de las marcas e industrias, así como para calificar la calidad de sus políticas de sostenibilidad. De esta manera se miden más acertadamente los riesgos de marca y se obtiene una valuación que refleja las condiciones de operación del siglo XXI.

Los cambios profundos que han impactado sobre el mercado de la comunicación y la gestión de marca en los albores del siglo xxi han llevado a hablar de la aparición de un nuevo paradigma. Ese cambio sustancial, que transforma las relaciones tradicionales entre emisores y receptores, reclama una redefinición de los escenarios profesionales, de los agentes de la comunicación, así como de los receptores, a la hora de relacionarse con la información y con las marcas. El presente estudio se realizó en el mercado español, prestando especial atención a los procesos de creación y gestión de contenidos, a través de una investigación cualitativa que combina tres técnicas –Delphi a expertos del mundo de los medios, marketing y publicidad; grupos de discusión con expertos en comunicación, marcas y medios, y entrevistas en profundidad a usuarios avanzados en nuevas tecnologías. El objetivo principal de este artículo es mostrar una visión panorámica sobre el discurso de las marcas tanto de producto como corporativas, así como clarificar qué esperan y cómo reciben los públicos de interés estas comunicaciones. Los principales hallazgos señalan una gran conciencia de cambio de los principales agentes, así como una percepción de protagonismo por parte de los públicos, que han acabado por asumir que la construcción de marca los afecta personalmente. Far-reaching changes that affected the communication and brand management market at the dawn of the 21st century led to talks about the birth of a new paradigm. This significant change, which transformed relationships between senders and receivers, demands a redefinition of scenarios for professionals and communication agents, as well as for receivers taking an interest in the information and brands. This study was carried out on the Spanish market, focusing largely on the creation and management of content through qualitative research combining three methods - Delphi for media, marketing and advertising experts, discussion groups with communication, branding and media experts, and in-depth interviews for advanced users of new technologies. The main objective of this article is to provide a panoramic view of brand discourse for both products and companies, in addition to clarifying what public interest groups expect and how they receive such communications. The main findings show that the principal agents are very aware of this change, and that the interest groups see themselves as protagonists and have accepted the fact that brand building affects them personally.

La finalidad del presente artículo es establecer la fuerte vinculación que existe entre el conocimiento y los activos intangibles, siendo que estos son los grandes desconocidos en la valoración de las empresas y en el cálculo de las cuentas nacionales, en especial el PIB y la productividad. Fue el investigador Robert Solow, en 1956, uno de los primeros en señalar la importancia del conocimiento en el crecimiento económico, expresando que este es una función de capital, trabajo y conocimiento. Desde la década de 1990 viene creciendo la inquietud sobre la necesidad de analizar y medir los diferentes tipos de activos intangibles para incluirlos, con su justo valor, tanto en las cuentas nacionales como en los estados financieros de las empresas. Pero dichos activos tienen unas características muy especiales, las cuales hacen de su valoración monetaria una difícil tarea. Es impostergable profundizar su análisis y estudio para que no sigan siendo ignorados o minimizados en las prácticas cotidianas de las empresas y los mercados.

La Responsabilidad Social Corporativa (RSC) puede afectar positivamente a la rentabilidad final de la empresa y generalmente tiene relación con la visión del negocio a largo plazo. Esto afecta de igual forma a la empresa convencional como a la familiar. Teniendo estos aspectos como punto de partida esta investigación se divide en dos grandes bloques, el primero se centra en una recopilación de la información en base al trabajo de campo, a través de la aplicación de entrevistas personales en profundidad. La segunda parte de la investigación trata del análisis y detección de los diferentes intangibles en el sector turístico y comercial identificados por los turistas y visitantes. The management of intangibles on Corporate Social Responsibility family tourist business Abstract Corporate Social Responsibility (CSR) can positively affect the overall profitability of the company and usually has to do with the vision of long-term business. This applies equally to conventional or familiar companies. Taking these aspects as a starting point this research is divided into two main groups, one focusing on a compilation of information based on fieldwork, through the application of in-depth interviews. The second part of the research deals with the analysis and detection of different intangibles in the tourism and commercial sectors identified by tourists and visitors. Keywords: Corporate Social Responsibility; intangibles; family business; tourism.

Existe una tendencia progresiva y cada vez más generalizada, que consiste en la desmaterialización de las comunicaciones, de los activos financieros, del comercio, y en general, de las relaciones humanas. Un caso particular, que es el que concierne a la presente investigación, es el de los “Activos Intangibles” que cobran cada vez mayor dimensión e importancia. Tradicionalmente, los activos intangibles se circunscribieron a las marcas, patentes y franquicias, pero en la actualidad, abarcan muchos más aspectos que enriquecen el valor de la organización. Para empezar, haciendo una analogía simple, podríamos decir que los activos intangibles vienen a equivaler al “espíritu” o a la “simpatía” que posee la organización y le confiere superioridad y prestigio. Muchas son las coordenadas que se pueden analizar con respecto a los intangibles, pero un aspecto de máximo interés es el que concierne al holismo en la organización. Efectivamente, el holismo consiste en la virtud por la cual “el todo es mayor que la suma de las partes”, expresado en otras palabras, el conjunto organizacional tiene una mayor trascendencia sistémica que lo que cada componente individual aporta o produce.