Value Creation and Business Models: Refocusing the Intellectual Capital Debate
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Citations
Non-financial Reporting. Conceptual Framework, Regulation and Practice
Developing Evaluation Frameworks for Business Models in China’s Rural Markets
Specific Business Models in the Wind Energy Field in the European Union: Comparative Study on Romania and Germany
Forward-Looking Intellectual Capital Information in Integrated Reporting: An Empirical Analysis
Business Model Creativity: A Horizontal Insight Model
References
Theory of the firm: Managerial behavior, agency costs and ownership structure
Firm Resources and Sustained Competitive Advantage
Dynamic capabilities and strategic management
The Nature of the Firm
A Resource-Based View of the Firm
Related Papers (5)
Frequently Asked Questions (12)
Q2. What future works have the authors mentioned in the paper "Value creation and business models: refocusing the intellectual capital debate" ?
In terms of future research, much remains to be done. Further research should investigate the extent and nature of reporting of constituent concepts. The authors suggest that empirical research into accounting narratives ( including IC narratives ) that is theoretically-informed by the management literature on strategy and business models is a fruitful line of inquiry.
Q3. What is the requirement for directors to include an explanation of their business model in the annual report?
Since 2010, the UK Corporate Governance Code, which is mandatory for listed companies under Stock Exchange rules, requires directors to include an explanation of their business model in the annual report (FRC, 2010).
Q4. What are the pre-requisites for assets to be recognised on the balance sheet?
the pre-requisites for assets to be recognised on the balance sheet are that (i) it is probable that expected future economic benefits attributable to the asset will flow to the entity and (ii) the cost of the asset can be measured reliably.
Q5. What is the relevant factor for determining the cost of assets?
it is concluded that historic cost is likely to be most relevant for assets intended for use or creation within the firm, while market prices (fair value) are likely to be most relevant for assets intended for exchange in the market.
Q6. What is the implicit view underpinning the top-down approach to business reporting reform?
The implicit view underpinning the top-down approach to business reporting reform is that an organisation’s business model is central to an integrated reporting framework and that a clear articulation of this model can assist in the identification of unnecessary detailed disclosures.
Q7. What is the role of non-financial reporting in the business reporting package?
Non-financial reporting 15 plays a key role in such models, seeking to overcome the limitations of the traditional reporting model, especially in relation to intangibles (p.37).
Q8. Why did the IC report become part of the narrative reporting debate?
Not surprisingly, due to the stringent criteria for balance sheet recognition, the external reporting of IC became part of this narrative reporting debate.
Q9. What is the key element to be discussed in the financial statements?
The non-mandatory Management Commentary Practice Statement issued by the IASB (2010, § 30) identifies ‘human and intellectual capital resources’ as among the key elements to be discussed in order to provide a context for the financial statements.
Q10. What is the robust finding in the accounting literature concerning analyst and investor needs?
one of the most robust findings in the accounting literature concerning analyst and investor needs is that these users want, first and foremost, information to help them assess the quality of management, which is a key human capital resource (ICAEW, 2009, p.43).
Q11. What is the main contribution of this conceptual paper?
The main contribution of this conceptual paper is to identify and discuss the key features of these literature strands and their linkage to contemporary debates on narrative reporting.
Q12. What is the difference between the initial IC models and frameworks?
The initial IC models and frameworks proposed in the management literature (discussed in section 2) gave way to a more narrative-based (rather than quantitative measure-based) approach to IC reporting in the business reporting package.