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The purpose of this study is to investigate the structural relationships among intellectual capital (INCAP) dimensions and business performance (BUPER) in upper‐upscale hotels. This study classified INCAP into three dimensions: human capital (HUCAP), organizational capital (ORCAP) and customer capital (CUCAP). This study applied a structural equation modeling to investigate the proposed model and hypotheses. The results showed that HUCAP affects ORCAP and CUCAP and that ORCAP influences CUCAP. INCAP dimensions, with the exception of HUCAP, directly affect BUPER; however, HUCAP indirectly affects BUPER via ORCAP and CUCAP. This study helps upper‐upscale hotel managers identify relevant INCAP dimensions and their indicators to enhance BUPER. Copyright © 2012 John Wiley & Sons, Ltd.