Integrated Reporting - the intent and the reality in India

Posted 4 years ago

Integrated Reporting <IR> is a new approach to business reporting that lays stress on the ability of the business to create and sustain value in all timeframes. The need for <IR> has grown from a long felt lacuna in the current financial statements that businesses publish every quarter. These financial statements were designed by accountants to give a financial performance of the business for the reporting period in question. The Integrated Reporting Framework was first published in ......... Read the complete article

The Golden arches epitomize Intangible Business at its best!

Posted 7 years ago

The Golden arches - logo of the fast food giant McDonalds Corporation - has become the omnipresent logo that jostles both urban and rural landscapes alike, all over the world. Whether you are driving to work in your car, taking the subway, travelling across state borders on an interstate highway, taking a flight or even just leisure shopping in your neighborhood mall, you cannot escape the presence of this ubiquitous symbol, tempting you to step in and enjoy one of its lip smacking meals once......... Read the complete article

Capital Markets know the value of Intellectual Capital

Posted 7 years ago

Intellectual Capital of a business is defined simply, in theory, as the value of the intangible assets of the business. As far as theory goes, this definition is entirely correct. But it is in practice where this definition falls woefully short.  The latest accounting standards (read IFRS compliance) require every business to report the value of its intangible assets in its balance sheet. What gets reported however is the value of the intangible assets as is recognized under the accounting ......... Read the complete article

Intellectual Capital has the same connotation as Economic Moat

Posted 10 years ago

Economic Moat is a term that is very familiar to value investors worldwide. The legendary investor Warren Buffet is credited with having coined this term. Investopedia defines it to be the competitive advantage that one company has over other companies in the same industry. The wider the moat, the better it is for the company as it helps the company to keep the competition at bay.  Stockopedia identifies 5 advantages that companies with wide moat hold over the competition: Intangible......... Read the complete article

A proxy indicator for the Intellectual Capital of nations

Posted 11 years ago

I recently came across the book “Intellectual Capital of Nations” by Prof. Leif Edvinsson and Prof. Carol Yeh-Yun Lin and their associated research paper titled “National Intellectual Capital: comparison of the Nordic countries” which I downloaded from www.corporatelongitude.com. Both the research paper and the book present a comparative study by the authors on the Intellectual Capital of 4 leading nations in the world. Based on the outcomes of their study, the authors arrived at the conclusion ......... Read the complete article