An Empirical Test of the Effect of Intangible Capital on Financial Performance and Market Value in the Jordanian Companies

Dr. Abdelwahab Salameh Al Matarneh

An Empirical Test of the Effect of Intangible Capital on Financial Performance and Market Value in the Jordanian Companies

Dr. Abdelwahab Salameh Al Matarneh * §

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§ Accounting Department. Zarqa University a Jordan

An Empirical Test of the Effect of Intangible Capital on Financial Performance and Market Value in the Jordanian Companies

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Abstract

The effect of Intangible capital on the financial performance of all the companies is still poorly defined Intangible capital for all companies in the third millennium can be considered as a competitive advantage. In the modern era, organisations make use of two distinct sources for value creation and profit which are tangible and intangible resources. The main objective of this research thesis is to explore the effect of intangible capital on the financial performance and market value of Jordanian companies. For this reason, we are going to carry out an empirical study drawn from 51 listed companies in Amman Stock Exchange from 2007 till 2012. Intangible capital has been given more attention among the companies of developed nations such as USA, Italy, Australia and others. The results were analysed by using Palic method. The results achieved show that there is a significant relationship between intangible capital with market value and the financial performance of all the active companies. Applicable results of this study suggest the importance of intangible capital in financial performance of companies.

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Funding

No external funding was declared for this work.

Conflict of Interest

The authors declare no conflict of interest.

Ethical Approval

No ethics committee approval was required for this article type.

Data Availability

Not applicable for this article.

How to Cite This Article

Dr. Abdelwahab Salameh Al Matarneh. 2014. "An Empirical Test of the Effect of Intangible Capital on Financial Performance and Market Value in the Jordanian Companies". Global Journal of Management and Business Research - D: Accounting & Auditing GJMBR-D Volume 14 (GJMBR Volume 14 Issue D2).

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GJMBR Volume 14 Issue D2

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Journal Specifications

Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

Keywords

Financial Performance intangible capital Jordan market value value creation

Classification

GJMBR-D Classification JEL Code: M31

N20

Submission ReceivedDecember 11, 2013
Peer Review Double Blind
Handling Editor
Accepted January 3, 2014
Published January 15, 2014

Version of record

v1.2

Issue date

June 25, 2014

Language

English

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Article Matrices

Total Score: 153

Country: Jordan

Subject: Global Journal of Management and Business Research

Authors: Dr. Abdelwahab Salameh Al Matarneh (PhD/Dr. count: 1)

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Publish Date: 2014 01, Wed

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Total Views: 1.3K

Total Downloads: 62

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