Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China
Intellectual capital (IC) is reckoned as a significant driving force of competitive advantage and financial sustainability of any organization. The study’s objective is to explore the nonlinear effect of IC and its components on financial performance (FP) of China’s listed shipping companies over a...
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| Format: | Article |
| Language: | English |
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Wiley
2021-01-01
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| Series: | Complexity |
| Online Access: | http://dx.doi.org/10.1155/2021/9004907 |
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| _version_ | 1832560572636332032 |
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| author | Jian Xu Yi Zhang |
| author_facet | Jian Xu Yi Zhang |
| author_sort | Jian Xu |
| collection | DOAJ |
| description | Intellectual capital (IC) is reckoned as a significant driving force of competitive advantage and financial sustainability of any organization. The study’s objective is to explore the nonlinear effect of IC and its components on financial performance (FP) of China’s listed shipping companies over a six-year period (2014–2019). The modified Value Added Intellectual Coefficient (MVAIC) model is used to systematically assess IC. The empirical results show an inverted U-shaped relationship between the aggregate IC and FP (measured through return on assets). Regarding IC components, human, relational, and innovation capitals have an inverted U-shaped relationship with FP, while the quadratic relationship between structural capital and FP is not significant. In addition, physical capital has a U-shaped relationship with FP. This study will offer some new insights for corporate managers to improve firms’ FP by effectively utilizing their IC resources. |
| format | Article |
| id | doaj-art-02cf8cbe2ad1440ba69ef793b609b585 |
| institution | Kabale University |
| issn | 1076-2787 1099-0526 |
| language | English |
| publishDate | 2021-01-01 |
| publisher | Wiley |
| record_format | Article |
| series | Complexity |
| spelling | doaj-art-02cf8cbe2ad1440ba69ef793b609b5852025-02-03T01:27:08ZengWileyComplexity1076-27871099-05262021-01-01202110.1155/2021/90049079004907Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in ChinaJian Xu0Yi Zhang1School of Management, Qingdao Agricultural University, Qingdao 266109, ChinaSchool of Management, Qingdao Agricultural University, Qingdao 266109, ChinaIntellectual capital (IC) is reckoned as a significant driving force of competitive advantage and financial sustainability of any organization. The study’s objective is to explore the nonlinear effect of IC and its components on financial performance (FP) of China’s listed shipping companies over a six-year period (2014–2019). The modified Value Added Intellectual Coefficient (MVAIC) model is used to systematically assess IC. The empirical results show an inverted U-shaped relationship between the aggregate IC and FP (measured through return on assets). Regarding IC components, human, relational, and innovation capitals have an inverted U-shaped relationship with FP, while the quadratic relationship between structural capital and FP is not significant. In addition, physical capital has a U-shaped relationship with FP. This study will offer some new insights for corporate managers to improve firms’ FP by effectively utilizing their IC resources.http://dx.doi.org/10.1155/2021/9004907 |
| spellingShingle | Jian Xu Yi Zhang Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China Complexity |
| title | Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China |
| title_full | Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China |
| title_fullStr | Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China |
| title_full_unstemmed | Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China |
| title_short | Exploring the Nonlinear Effect of Intellectual Capital on Financial Performance: Evidence from Listed Shipping Companies in China |
| title_sort | exploring the nonlinear effect of intellectual capital on financial performance evidence from listed shipping companies in china |
| url | http://dx.doi.org/10.1155/2021/9004907 |
| work_keys_str_mv | AT jianxu exploringthenonlineareffectofintellectualcapitalonfinancialperformanceevidencefromlistedshippingcompaniesinchina AT yizhang exploringthenonlineareffectofintellectualcapitalonfinancialperformanceevidencefromlistedshippingcompaniesinchina |