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Going digital and intangible: intangible investments effects on a company’s success

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  • Eva Erjavec

Abstract

This paper empirically examines the success factors resulting from intangible capital, including computer-based information, as the main drivers of knowledge-based digital growth. The data were collected via a survey on investment in intangible capital and digital technologies. The Stata SEM package was used to estimate the model. The results show that investing in intangible capital has a positive impact on corporate success relative to the competition, and that investing in intangible assets, combined with business agility, enables rapid responses to competitive pressures and improves business performance. Companies operating in highly competitive markets, where intangible capital is a key success factor, would be well advised to focus on investing in intangibles when designing their business strategies.

Suggested Citation

  • Eva Erjavec, 2023. "Going digital and intangible: intangible investments effects on a company’s success," Ekonomista, Polskie Towarzystwo Ekonomiczne, issue 3, pages 275-294.
    • Handle: RePEc:aoq:ekonom:y:2023:i:3:p:275-294
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    More about this item

    Keywords

    investments; business performance; digitalisation; Intangible capital; competition pressure;
    All these keywords.

    JEL classification:

    • E22 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Investment; Capital; Intangible Capital; Capacity
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D

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