THE INFLUENCE OF INTELLECTUAL CAPITAL ON ROMANIAN COMPANIES‘ FINANCIAL PERFORMANCE

Abstract

This article aims to theoretically and empirically argue the influence of intellectualcapital on financial performance at microeconomic level. Based on data collected from thefinancial statements of companies listed at Bucharest Stock Exchange, present study analyses thecorrelation between intellectual capital and its components, calculated by using the VAIC method,and financial performance, calculated by using Return on Equity. Several regression models arebeing used. The results support the proposed hypothesis, proving that there is a significant positivecorrelation between intellectual capital and financial performance. By extrapolating it can be saidthat the role of intellectual capital is important in achieving competitive advantages by companiesfrom emerging economies where performance is usually strongly determined by the physical capitalemployedintellectual capital, financial performance, value added intellectual coefficient, Bucharest StockExchange