Intellectual capital efficiency : evidence from Bangladesh

The study investigates associations, first, between a firm's intellectual capital and market value, and second, between a firm's intellectual capital and financial performance in the context of Bangladeshi companies selected from three different industries - banking, textiles, and pharmaceuticals. This was investigated through applying Ante Pulic's (1998) framework of Value Added Intellectual Coefficient (VAIC). Most of the previous analyses on intellectual capital focused only one industry, although Pulic informed that VAIC is a standardized measure that could be applied over a range of companies of different sizes, taken from different sectors and across different countries. Findings from this study should assist to determine if Bangladeshi firms appear to continue relying on traditional resources for wealth creation, or if they are shifting towards a greater reliance on intellectual capital factors of production in determining profitability and market valuation. -- intellectual capital valuation ; human capital ; structural capital ; VAIC ; Bangladesh