This website uses cookies to ensure you have the best experience. Learn more

Intellectual Capital Essay

1284 words - 5 pages

The term intellectual capital could be described as the capital or all the resources that determine the competitiveness and the value of an organization. In other words, intellectual capital could be described as the knowledge or property of an enterprise that can be used for some useful purposes of the businesses such as money making, increase in market base etc. Intellectual capital includes knowledge and skills developed by the organization for making particular goods or services or the skills of employees whose knowledge is critical for the continuous success of the company (Brooking, 1996). Some examples of intellectual capital are branding, goodwill, employee experience, trademarks, patents etc.
To prepare the paper on intellectual the organization selected is Wal-Mart. The stores of Wal-Mart have a goodwill position in all over the world for its lower prices of the products and services. The goodwill is the measure intellectual capital of Wal-Mart that helps to increase in the customer base and market base of the organization. Most of the customers like the products and services of the business because of its low cost services.
Use of Goodwill in Different Business Area
The management of Wal-Mart uses goodwill as the intellectual capital in its different business areas such as service, products, processes, strategies etc. The company has a reputation because of the lower cost, social responsibilities, customer satisfaction, involvement of quality and health aspects in producing goods and services etc. Following are the examples of different areas using goodwill intellectual capital –
Strategy – In order to enhance the reputation of the business in the eyes of consumers the management of Wal-Mart considers its goodwill while making the business strategies. The major strategy of the business to compete in the global market is to adopt the low cost strategy that causes an increase in its cost leadership in the industry. It also increases goodwill of the business as it provides high quality products with lower amount of cost. In order to enhance the effectiveness of goodwill it also uses different type of strategies in different types of market segments.
The green supply chain management strategy of the business is one of the important examples of the involvement of goodwill in making business strategy. The facilitation of the green logistic technologies in supply chain network is one of the unsustainable initiatives of Wal-Mart (Heying & Sanzero, 2009). It also includes the strategy of establishing discount stores at various locations across the globe that also increases the goodwill of the company. The goodwill is also an important factor in making the global strategies of the business.
Process – The process in a business is helpful to determine the business effectiveness. A business includes various types of processes. The supply chain process, change processes, manufacturing process are the some important processes that are...

Find Another Essay On Intellectual Capital

D. Carlucci, B. Marr et G. Schiuma : "The knowledge value chain: how intellectual capital impacts on business performance"

1016 words - 4 pages : how intellectual capital impacts on business performance » de D. Carlucci, B. Marr et G. Schiuma, s’inscrit. L’objectif de cet article étant de définir un « modèle interprétatif » expliquant les liens de cause à effet entre les investissements en gestion de connaissances et la performance.Pour les auteurs, la connaissance est un capital qui représente une valeur &eacute

Reading Analysis #4

594 words - 3 pages . Sunder’s cultural perspective on intellectual property rights illustrates ideas not fully developed in Boyle’s work, as well as introduces new ideas. Sunder asserts that the solely economic approach to intellectual property rights fails to recognize the inequalities between people in capital, knowledge, health, and power that can influence someone’s ability to create and claim intellectual property. These inequalities and their interactions with the

Competitive Strategy

5511 words - 22 pages 1 PERAN STRATEGIS INTELLECTUAL CAPITAL SEBAGAI VARIABEL ANTARA PENGARUH FINANCIAL CAPITAL TERHADAP KINERJA PERUSAHAAN. Moh. Nasih mhnasih@yahoo.com Fakultas Ekonomi Universitas Airlangga ABSTRACT According to the classical theory of the firm, a firm can create value and earn maximum profits through financial capital. This view is valid in a stable environment. In recent decades, environmental conditions getting really erratic. Therefore, the

MODERN ENTREPRENEURSHIP AND STRATEGIC MANAGEMENT

957 words - 4 pages become an intellectual capital. On the basis, capital companies today build their business success on their intellectual capabilities (which is especially true for small businesses, poor traditional forms of capital). Intellectual capital means intellectual property, which when materialized and / or formalized makes source revenues. Intellectual property is an intangible property, it has no solid form as property nor has obvious financial value

HUMAN CAPITAL

1652 words - 7 pages , maintained, and used by individuals. Human capital is an important part in organization. Human with all capabilities and abilities will produce a great work performance. There are six elements of human capital; intellectual, emotional, social, adversity, moral, and health. These elements cause an optimal work performance if supported by leadership and organizational structure which can provide a positive working environment. Intellectual

The Three Pillars of Intellectual Property

822 words - 3 pages The three pillars of intellectual property are the structural capital, human capital and the relational capital. Structural Capital The structural capital has been defined as supportive infrastructure, processes and databases of an organization which enables the human capital to function. It is usually subdivided into organizational, process and innovation capital. In any educational institution, the organizational capital, which is the

Management Activity Analysis in Small and Medium Sized Enterprise and Multinational Companies' Context

1511 words - 6 pages the focus of the business. Therefore, the development and management of intangible assets and knowledge are very much important. The core concept which has been used in this particular paper is knowledge management (KM) and intangible assets (IA). There is some misconception in the use of terms in the existing literature of the field. In addition to this, the intangible assets or intangible resources are also known as intellectual capital(IC

Knowledge Mangement: A Business Strategy

597 words - 3 pages Knowledge management is the main element of a business strategy that will allow an organization to increase the rate that it is able to handle new market challenges and opportunities. It does this by leveraging its most valuable resources; collective know-how, wisdom, talent and experience, or, intellectual capital. It gives the organization increased ability to find innovative solutions, compete and connect with its customers. This is the type

Explain fully why it is essential for organisations to continually train and develop their employees. How can the benefits you describe be measured?

2563 words - 10 pages ; economies of scale; improved labour-management relations', and chooses to benchmark the national human capital on the Labour Force Evaluation Measure (LFEM), which has been developed by the company Business Environment Risk Intelligence SA. The LFEM measures factors such as relative productivity, staff attitudes and technical skill." (J.Grey)Financially, intellectual capital addresses the most fundamental feature of a market economy: the sum of

tttt

1897 words - 8 pages Introduction Knowledge and information are recognized as the prime assets in the recent times. Intellectual capital is an important source of an organization's economic wealth and is, therefore, to be taken into serious consideration when formulating the firm's strategy (Bollen, Vergauwen, Schnieders, 2005). Intellectual property is a legal term referring to intangible property that is the creation of human intellect of technological know-how

Compare and analyse China against France on how IP is adopted to protect ICT innovation & entrepreneurship, from legal perspective

2712 words - 11 pages ] Available fromhttp://news.ifeng.com/gundong/detail_2013_04/12/24129837_0.shtml[Accessed: 16th March 2014]Kumar, S., & Ellingson, J. (2007). Adaptive IP strategies in China: a tactical analysis. Journal of Intellectual Capital, 8(1), 139-158.The Economist Intelligence Unit. (2007). [Online] Retrieved from http://www.eiu.comLiu, W. (2005). Intellectual property protection related to technology in China. Technological Forecasting and Social

Similar Essays

Intellectual Capital Essay

570 words - 2 pages 53) INTELLECTUAL CAPITAL AND THE GROWTH OF ORGANISATIONIn this era of modern world, Intellectual capital is a real business asset, although measuring it is a very subjective task. Companies spend millions annually training their employees in business-specific topics and also their expertise, knowledge and a firm's organizational learning ability in their staff. It is these things that we normally cannot put a price tag on. This capital employed

Engaging Intellectual Capital Essay

3803 words - 15 pages thinking (SSM) will be represented and the role that SSM and the knowledge can play in the creation of an organization's intellectual capital and social capital. In addition to that, this paper will illustrate the problems that may face the organization when applying such techniques.We are surrounded by systems. Even our bodies are made up of different systems. The planet is part of solar system. We connect to people in various groups: social

Knowledge Management To Intellectual Capital To Intellectual Property

3483 words - 14 pages Contents Page1.0 Introduction and Learning Objectives 22.0 Knowledge Management to Intellectual Capital toIntellectual Property 33.0 Legal Issues related to Intellectual Property 54.0 Legal Principles of Intellectual Property and InternationalIntellectual Property Rights Regimes 55.0 Recommendations 106.0 Conclusions 11Reference 131.0 IntroductionI am a Senior Project Manager in ISA Asia Pacific Private Ltd. I am in charge of Project Management

A Brief Overview Of Intellectual Capital And Analysis Of The Edvinsson/Malone Framework

3155 words - 13 pages A Brief Overview of Intellectual Capital and Analysis of the Edvinsson/Malone Framework Introduction Accounting is a science based on observation. As companies change, the way accountants observe companies must change. Traditional balance sheets, income statements, and statement of cash flows no longer adequately describe a company due to the rapid growth of knowledge-based companies, especially in technological sectors. The Internet