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INTELLECTUAL CAPITAL, INNOVATION, AND PERFORMANCE: EMPIRICAL EVIDENCE FROM SMEs

Author

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  • KARL-HEINZ LEITNER

    (Austrian Institute of Technology, Donau-City-Strasse 1, 1220 Vienna, Austria)

Abstract

This research paper examines the relationship between intellectual capital, product innovation and performance based on a study of Austrian firms covering a 10-year period. It is argued that intellectual capital enhances a firms ability to successfully realise innovations and thus contributes positively to its performance. Our study found that human capital and structural capital were both significantly associated with performance in product innovating firms, but that each had a different impact on this performance. While human capital had a positive impact on profitability and growth in the long run, contrary to expectations, structural capital had a negative effect on profitability and growth indicating that apparent strength can turn into a weakness over time. In addition, the study found that human capital and structural capital had no joint effect on the performance of product innovating firms.

Suggested Citation

  • Karl-Heinz Leitner, 2015. "INTELLECTUAL CAPITAL, INNOVATION, AND PERFORMANCE: EMPIRICAL EVIDENCE FROM SMEs," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 19(05), pages 1-27.
    • Handle: RePEc:wsi:ijimxx:v:19:y:2015:i:05:n:s1363919615500607
    DOI: 10.1142/S1363919615500607
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    Citations

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    Cited by:

    1. Dimitry Doronin & Shen Lei & Shan SYED HAMAD HASSAN, 2022. "Mediation Effect of Knowledge Sharing Quality on Employee Creativity," International Business Research, Canadian Center of Science and Education, vol. 15(2), pages 1-75, February.
    2. Lujing Liu & Jiyue Zhang & Jian Xu & Yiqun Wang, 2022. "Intellectual Capital and Financial Performance of Chinese Manufacturing SMEs: An Analysis from the Perspective of Different Industry Types," Sustainability, MDPI, vol. 14(17), pages 1-17, August.
    3. Wadim Strielkowski & Aida Guliyeva & Ulviyya Rzayeva & Elena Korneeva & Anna Sherstobitova, 2021. "Mathematical Modeling of Intellectual Capital and Business Efficiency of Small and Medium Enterprises," Mathematics, MDPI, vol. 9(18), pages 1-21, September.
    4. Jinsong Zhang & Yiding Wang, 2022. "How to Improve the Corporate Sustainable Development?—The Importance of the Intellectual Capital and the Role of the Investor Confidence," Sustainability, MDPI, vol. 14(7), pages 1-17, March.
    5. Pearl Abredu & Cai Li & Frank Kofi Essien & Isaiah Agbenu Akanbi Adegoke, 2023. "Unleashing Potential: Overcoming Bottlenecks and Catalyzing Innovations in Intellectual Capital Intellectualization of Small and Medium-Sized Enterprises in Jiangsu During the Post-Industrial Era," SAGE Open, , vol. 13(4), pages 21582440231, December.
    6. Umer Ayub & Abdul Rashid Kausar & Mubashar Majeed Qadri, 2017. "Linking Human Capital and Organisational Innovative Capabilities of Financial Institutions: Evidence from a Developing Country of South Asia," Journal of Information & Knowledge Management (JIKM), World Scientific Publishing Co. Pte. Ltd., vol. 16(04), pages 1-23, December.
    7. Jian Xu & Yue Shang & Weizhen Yu & Feng Liu, 2019. "Intellectual Capital, Technological Innovation and Firm Performance: Evidence from China’s Manufacturing Sector," Sustainability, MDPI, vol. 11(19), pages 1-16, September.

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