Modified Value-Added Intellectual Capital (MVAIC): Contemporary Improved Measurement Model for Intangible Assets.

Abstract

The purpose of this study is to explain the new measurement model for intangible asset named Modified Value-Added Intellectual Capital (MVAIC).This measurement model measured intangible asset in a robust way. MVAIC is a broadly measure of Intellectual capital based on previous VAIC model. However, MVAIC included relational capital efficiency (RCE). The value of relational capital is obtained from the amount of expenses incurred for marketing. The advantage of MVAIC is that it can measure intellectual capitals related to the company's relationship with external parties from a broader perspective. In the context of this relationship, it can be measured by means of monetization, that is, introducing the company to the public through marketing and providing economic benefits that can be provided in the form of services or commodities. This study systematically includes all the past literatures on the measurement model for intangibles. The researcher suggested to use MVAIC measurement model for future studies as it provides better results.

Intellectual capital and financial performance: A comparative study

“…In addition to being a pillar of IC, RC may also serve as a mediator between HC and IC. As a result, researchers have proposed using MVAIC to compute SCE and RCE ( Tiwari and Vidyarthi, 2018 ; Saddam and Jaafar, 2021 ). The study also utilized a modified and improved VAIC to better represent the outcomes of SCE and RCE.…”

Does intellectual capital efficiency measured by modified value-added intellectual coefficient affect the financial performance of insurance companies in Ethiopia?

“…To achieve the stated objectives this study employed OLS Panel data multiple regressions since panel data offer a quick and affordable way to monitor how people's opinions and behaviors change over time, and it can improve model parameter inference accuracy while simplifying computation and statistical inference [37,38]. Hence, the following regression model was used by the researchers with some modifications depending on prior studies on the issue under investigation such as [24,31,35,[39][40][41][42][43].…”