Intellectual capital is the difference in value between tangible assets (physical and financial) and market value. This contrasts with physical and financial forms of capital; all three make up the value of an enterprise. Measuring the real value and the total performance of intellectual capital's components is essential for any corporate head who knows how high the stakes have become for corporate survival in the Knowledge Economy and Information Age. So, the main point is how an organization can affect the firm's stock price using the leverage of intellectual assets.
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Famous quotes containing the words intellectual and/or capital:
“We are a race of tit-men, and soar but little higher in our intellectual flights than the columns of the daily paper.”
—Henry David Thoreau (1817–1862)
“Labor is prior to, and independent of, capital. Capital is only the fruit of labor, and could never have existed if labor had not first existed. Labor is the superior of capital, and deserves much the higher consideration.”
—Abraham Lincoln (1809–1865)