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The Impact of Intellectual Capital on the Indian Real Estate Sector Profitability and Productivity


Affiliations
1 Haryana School of Business, Guru Jambheshwar University of Science and Technology, Hisar, Haryana, India
     

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To meet the global competition, the general concentration of Indian corporate is on physical and intellectual capital. The intellectual capital resources keep on changing the effect on the company's performance. The organisations that expect most recent change and rebuild their intangible resource base may increase additional competitive advantage in the economy. There is no doubt that booming companies across all industry sectors are utilising intellectual capital to gain economic advantage. The objective of this paper is to examine the IC and its components, known as human capital, structural capital, and customer capital, and their interrelationship with the performance of the Indian real estate sector to illuminate whether value created by tangible intensive firms can be evaluated better utilizing by IC for the time of 2005 to 2015. VAICTM developed by Ante Pulic (1998) is used as a methodology. Pearson Correlation and OLS regression are used to find relationships between variables that are explaining value creation activity. The finding of this study reveals that value added intellectual coefficient indicated a positive and significant association with the profitability of the Indian real estate sector.

Keywords

Intellectual Capital, Real Estate, Capital, Firms Value; JEL Codes: O34, R30, E22, G31.
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  • The Impact of Intellectual Capital on the Indian Real Estate Sector Profitability and Productivity

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Authors

Karam Pal Narwal
Haryana School of Business, Guru Jambheshwar University of Science and Technology, Hisar, Haryana, India
Nisha Yadav
Haryana School of Business, Guru Jambheshwar University of Science and Technology, Hisar, Haryana, India

Abstract


To meet the global competition, the general concentration of Indian corporate is on physical and intellectual capital. The intellectual capital resources keep on changing the effect on the company's performance. The organisations that expect most recent change and rebuild their intangible resource base may increase additional competitive advantage in the economy. There is no doubt that booming companies across all industry sectors are utilising intellectual capital to gain economic advantage. The objective of this paper is to examine the IC and its components, known as human capital, structural capital, and customer capital, and their interrelationship with the performance of the Indian real estate sector to illuminate whether value created by tangible intensive firms can be evaluated better utilizing by IC for the time of 2005 to 2015. VAICTM developed by Ante Pulic (1998) is used as a methodology. Pearson Correlation and OLS regression are used to find relationships between variables that are explaining value creation activity. The finding of this study reveals that value added intellectual coefficient indicated a positive and significant association with the profitability of the Indian real estate sector.

Keywords


Intellectual Capital, Real Estate, Capital, Firms Value; JEL Codes: O34, R30, E22, G31.

References