Intellectual capital and firm performance - An application of VAICTM model for the Vietnamese financial services sector
Abstract
This research applies the Value Added Intellectual Coefficient (VAICTM) model
by Pulic (2000) with the aim to empirically investigate the impact of value added
intellectual coefficient (VAIC), capital employed efficiency (CEE) and intellectual
capital efficiency (ICE) on the performance of the Vietnamese financial services firms.
The data used in the research is collected from 34 listed financial services firms on Ha
Noi Stock Exchange and Ho Chi Minh Stock Exchange for the period of 2009-2013. The
linear multiple regression is employed for the data analysis. The findings of this research
show that the value added intellectual coefficient has a significant positive impact on the
firm performance. In addition, capital employed efficiency and intellectual capital
efficiency are shown to be significant predictors of the firm performance. The findings
suggest that financial services firms should focus on improving their efficiency in the use
of key resources including tangible assets and intellectual capital to increase their
profitability. This research results may help the managers of financial services firms in
managing the company’s resources and formulating strategies to improve the firm
performance and competitiveness as well as better communicate with the stakeholders.