Big Data Analytics Influence on Financial Performance and Market Value: Intellectual Capital as a Proxy

Abstract

Big data (BD) analytics is emerging as a valuable innovative research area for academics and professionals, showing the substantial requirement in an information-motivated economy focused on knowledge for answers to the market issues. It isn’t simple to effectively utilize the emerging technology, and it’s actually more difficult to evaluate the BD involvement in enhancing company performance. Furthermore, empirical research exploring the effects on financial performance and market value of the BD remain limited. In evaluating its impact on firm value, this research suggested employing the companies intellectual (IC) capital as a substitute for the BD efficiency deployment. This research utilized the VAIC technique to determine IC, through its principal constituents: capital employed efficiency, structural capital efficiency, human capital efficiency and subsequently applied the SEM method to examine the model fit. The data in this research comprise 29 Moroccan firms registered on the Casablanca Stock Exchange (CSE). These firms are part of 8 sectors: Food producers and processors, banks, Insurance, building and construction materials, participation and promotion real estate, distributors, mining, hardware, software and IT services. The chosen information covering a period of six years, from 2013 to 2019. The test findings indicated that capital employed efficiency and human capital efficiency affect positively and significantly the financial performance and market value.

The Effect of Big Data on Firm Value: The Mediation Roles of Innovation and Financial Performances

“…Additionally, regulatory standards and the quality of the data are also taken into consideration as major problems. In 2020, Hasan et al Enhancing business financial performance is how all associations who have invested heavily in their Big Data strategy will reap the rewards (Nejjari and Aamoum, 2021). As a result, the followings are hypothesized.…”

“…On the one hand, they are working to overcome big data obstacles and reap the benefits, while on the other, they are having difficulty doing so (Alfityani et al, 2022). However, there have only been a few empirical studies analyzing the effects of big data analytics on financial performance (Nejjari and Aamoum, 2021). With the development of information technologies, many different types of data are now available, and data is regarded as one of the most precious commodities in operating automation systems (Hasan et al, 2022).…”

“…With the development of information technologies, many different types of data are now available, and data is regarded as one of the most precious commodities in operating automation systems (Hasan et al, 2022). In this regard, in recent decades, the relationship between the financial markets and technology advancement and all aspects of human life has deepened (Nejjari and Aamoum, 2021). Future innovation will be driven by big data technology, which has become a crucial component of the financial services sector (Barilla and Reynoso, 2020).…”