Intellectual capital: A source of value creation and competitiveness

• Main Author: Trivić Nada
• Format: Article
• Language: English
• Published: University of Novi Sad - Faculty of Economics, Subotica 2016-01-01
• Series: Anali Ekonomskog fakulteta u Subotici
• Subjects: intellectual capital; knowledge; resources; competitive advantage
• Online Access: https://scindeks-clanci.ceon.rs/data/pdf/0350-2120/2016/0350-21201636025T.pdf

In modern conditions, the material form of value creation is more and more the result of intangible factors, so that material production is increasingly based on knowledge. Increasing share of knowledge in the newly created value is the main feature of the new economy, 'the knowledge economy'. In the knowledge economy, the most important economic resource for achieving competitive advantage is no longer capital, natural resources, or labor, but knowledge and intellectual capital inherent in it. In order to efficiently use the power of intellectual capital, it is necessary to understand its essence, role, and the way in which it creates value. 'Intellectual capital' refers to intangible resources, such as innovation, competence, teamwork, image, customer loyalty. Furthermore, the term 'intellectual capital' is a new view of the company's resources, and a new approach to the company value. Intellectual capital includes intangible or invisible resources, and it is estimated that it now generates almost 80% of economic value; competitive advantage is based on it, and value creation and company value result from the power of intellectual capital.