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Intellectual Capital and Corporate Performance: Evidence From Banking Industry of Bangladesh

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  • Md Nur Nabi
  • Qijie Gao
  • Md Takibur Rahman
  • Shaun O. Britton
  • Mohammad Muzahidul Islam

Abstract

Intellectual capital (IC) is about the greatest competitive weapon for an organizational development. It becomes the most significant factor in the organization’s economic life. Therefore, the purpose of this paper is to examine the relationship between intellectual capital (IC) and corporate performance of the banking industry. This study used econometric models against five years of panel data from 2012 to 2016 of commercial banks in Bangladesh. The empirical study revealed a positive and significant relationship between value added intellectual capital (VAIC) and banks’ performances. Further, only capital employed efficiency (CEE) as a component of VAIC has a significant relationship with banks’ performance. In addition, structural capital efficiency (SCE) has a very high degree of moderating power on CEE which can be transformed into corporate performance. This study enriches the existing literature of IC and corporate performance and it may be beneficial for the sustainable economic performances of banking industry of Bangladesh.

Suggested Citation

  • Md Nur Nabi & Qijie Gao & Md Takibur Rahman & Shaun O. Britton & Mohammad Muzahidul Islam, 2020. "Intellectual Capital and Corporate Performance: Evidence From Banking Industry of Bangladesh," International Journal of Human Resource Studies, Macrothink Institute, vol. 10(1), pages 234259-2342, December.
  • Handle: RePEc:mth:ijhr88:v:10:y:2020:i:1:p:234-259
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    References listed on IDEAS

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    Cited by:

    1. Md. Sohel Rana & Syed Zabid Hossain, 2023. "Intellectual Capital, Firm Performance, and Sustainable Growth: A Study on DSE-Listed Nonfinancial Companies in Bangladesh," Sustainability, MDPI, vol. 15(9), pages 1-23, April.

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    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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