THE ROLE OF VISIBLE INTANGIBLE ASSETS IN IMPROVING BUSINESS PERFORMANCE OF HOTEL COMPANIES
Keywords:
intangible assets, business performance, profitability, Serbia, hotel companies
Abstract
The dominance of the knowledge-based economy has led to the intangible assets being seen as a key factor in the development of hotel companies whose efficient use results in competitive advantage and superior performance. The paper considers visible intangible assets which are one part of intangible assets shown in the hotel’s balance sheet. The aim of the paper is to examine the impact of visible intangible assets on the business performance of hotel companies in the Republic of Serbia. This paper analyzes ROA, ROE and RevPAR business performance indicators. The research hypotheses are tested using regression analysis and non-parametric test-to-test differences between groups. Research results do not support the impact of visible intangible assets of hotel companies on business performance indicators observed. Furthermore, the results point to a difference in the value of visible intangible assets between 3-, 4- and 5-star hotels.
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References
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29. Ognjanović, J. (2016). Intellectual capital in hotel companies. The First International Scientific Conference "Tourism in function of development of the Republic of Serbia – Spa tourism in Serbia and experiences of other countries", Vrnjačka Banja, 1(2), 430-447.
30. Оgnjanović, J. (2017). Relations of Intellectual Capital Components in Hotel Companies. Industrija, Vol. 45, No. 2, 181-196.
31. Pallant, J. (2009). SPSS: priručnik za preživljavanje, Mikro knjiga, Beograd.
32. Peng, T. A., Pike, S., Roos, G. (2007). Intellectual capital and performance indicators: Taiwanese healthcare sector. Journal of Intellectual Capital, Vol. 8, No. 3, 538-556.
33. Roubi, S. (2004). The valuation of intangibles for hotel investments. Property Management, Vol. 22, No. 5, 410-423.
34. Sardo, F., Serrasqueiro, Z., Alves, H. (2018). On the relationship between intellectual capital and financial performance: a panel data analysis on SME hotels. International Journal of Hospitality Management, Vol. 75, 67-74.
35. Schiemann, F., Richter, K., Günther, T. (2015). The relationship between recognised intangible assets and voluntary intellectual capital disclosure. Journal of Applied Accounting Research, Vol. 16, No. 2, 240-264.
36. Sriram, R. (2008). Relevance of intangible assets to evaluate financial health. Journal of Intellectual Capital, Vol. 9, No. 3, 351-366.
37. Vujić, M., Đorđević, S., Lakićević, M. (2019). Service quality and customer satisfaction in the hotel industry in Serbia. Hotel and Tourism Management, Vol. 7, No. 1, 61-70.
38. Wang, W., Chang, C. (2005). Intellectual capital and performance in causal models: Evidence from the information technology industry in Taiwan. Journal of Intellectual Capital, Vol. 6, No. 2, 222-236.
39. Zeglat, D., Zigan, K. (2013). Intellectual capital and its impact business performances: Evidences from Jordanian hotel industry. Tourism and Hospitality Research, Vol. 13, No. 2, 83-100.
40. Zigan, K., Zeglat, D. (2010). Intangible resources in performance measurement systems of the hotel industry. Facilities, Vol. 28, No. 13/14, 597-610.
2. Alipour, M. (2012). The effect of intellectual capital on firm performance: an investigation of Iran insurance companies. Measuring Business Excellence, Vol. 16, No. 1, 53-66.
3. Allameh, S. M. (2018). Antecedents and consequences of intellectual capital: The role of social capital, knowledge sharing and innovation. Journal of Intellectual Capital, Vol. 19, No. 5, 858-874.
4. Barney, J. (1991). Firm resources and sustained competitive advantages. Journal of Management, Vol. 17, No. 1, 99-120.
5. Beech, J., Chadwick, S. (2006). The Business of Tourism Management, Prentice Hall, UK.
6. Bhatia, A., Aggarwal, K. (2018). Impact of investment in intangible assets on corporate performance in India. International Journal of Law and Management, Vol. 60, No. 5, 1058-1073.
7. Boekestein, B. (2009). Acquisitions reveal the hidden intellectual capital of pharmaceutical companies. Journal of Intellectual Capital, Vol. 10, No. 3, 389-400.
8. Bollen, L., Vergauwen, P., Schnieders, S. (2005). Linking intellectual capital and intellectual property to company performance. Management Decision, Vol. 43, No. 9, 1161-1185.
9. Bontis, N., Dragonetti, N. C., Jacobsen, K., Roos, G. (1999). The knowledge toolbox: A review of the tools available to measure and manage intangible resources. European Management Journal, Vol. 17, No. 4, 391-402.
10. Bontis, N., Janošević, S., Dženopoljac, V. (2015). Intellectual capital in Serbia’s hotel industry. International Journal of Contemporary Hospitality Management, Vol. 27, No. 6, 1365-1384.
11. Castro, G. M., Díez-Vial, I., Delgado-Verde, M. (2019). Intellectual capital and the firm: evolution and research trends. Journal of Intellectual Capital, Vol. 20, No. 4, 555-580.
12. Chareonsuk, C., Chansa-ngavej, C. (2010). Intangible asset management framework: an empirical evidence. Industrial Management & Data Systems, Vol. 110, No. 7, 1094-1112.
13. Chowdhury, L. A. M., Rana, T., Azim, M. I. (2019). Intellectual capital efficiency and organisational performance: In the context of the pharmaceutical industry in Bangladesh. Journal of Intellectual Capital, Vol. 20, No. 6, 784-806.
14. Cohen, S., Kaimenakis, N. (2007). Intellectual capital and corporate performance in knowledge-intensive SMEs. The Learning Organization, Vol. 14, No. 3, 241-262.
15. Davey, J., Alsemgeest, R., O’Reilly-Schwass, S., Davey, H., FitzPatrick, M. (2017). Visualizing intellectual capital using service-dominant logic: What are hotel companies reporting?. International Journal of Contemporary Hospitality Management, Vol. 29, No. 6, 1745-1768.
16. Engstrоm, T., Westnes, P., Westnes, S. F. (2003). Evaluating intellectual capital in the hotel industry. Journal of Intellectual Capital, Vol. 4, No. 3, 287-303.
17. Ferdaous, J., Rahman, M. M. (2019). The effects of intangible assets on firm performance: An empirical investigation on selective listed manufacturing firms in DSE, Bangladesh. American Journal of Business, Vol. 34, No. 3/4, 148-168.
18. Firer, S., Stainbank, L. (2003). Testing the relationship between intellectual capital and a company’s performance: Evidence from South Africa. Meditari Accountancy Research, Vol. 11, No. 1, 25-44.
19. Frutos-Belizón, J., Martín-Alcázar, F., Sánchez-Gardey, G. (2019). Conceptualizing academic intellectual capital: definition and proposal of a measurement scale. Journal of Intellectual Capital, Vol. 20, No. 3, 306-334.
20. Green, A. (2007). Knowledge Valuation: Intangible assets in plain business language. VINE: The Journal of Information and Knowledge Management Systems, Vol. 37, No. 3, 238-248.
21. Haji, A. A., Ghazali, N. A. M. (2018). The role of intangible assets and liabilities in firm performance: empirical evidence. Journal of Applied Accounting Research, Vol. 19, No. 1, 42-59.
22. Hamdan, A. (2018). Intellectual capital and firm performance: Differentiating between accounting-based and market-based performance. International Journal of Islamic and Middle Eastern Finance and Management, Vol. 11, No. 1, 139-151.
23. Han, Y., Li, D. (2015). Effects of intellectual capital on innovative performance: The role of knowledge-based dynamic capability. Management Decision, Vol. 53, No. 1, 40-56.
24. Kamukama, N., Ahiauzu, A., Ntayi, J. (2010). Intellectual capital and performance: testing interaction effects. Journal of Intellectual Capital, Vol. 11, No. 4, 554-574.
25. Kengatharan, N. (2019). A knowledge-based theory of the firm Nexus of intellectual capital, productivity and firms’ performance. International Journal of Manpower, Vol. 40, No. 6, 1056-1074.
26. Krambia-Kapardis, M., Thomas, A. (2006). Hospitality industry in Cyprus: the significance of intangibles. International Journal of Contemporary Hospitality Management, Vol. 18, No. 1, 6-24.
27. Laing, G., Dunn, J., Hughes-Lucas, S. (2010). Applying the VAIC™ model to Australian hotels. Journal of Intellectual Capital, Vol. 11, No. 3, 269-283.
28. Lev, B. (2001). Intangibles, Management, Measurement and Reporting, Brookings Institution Press, Washington, DC.
29. Ognjanović, J. (2016). Intellectual capital in hotel companies. The First International Scientific Conference "Tourism in function of development of the Republic of Serbia – Spa tourism in Serbia and experiences of other countries", Vrnjačka Banja, 1(2), 430-447.
30. Оgnjanović, J. (2017). Relations of Intellectual Capital Components in Hotel Companies. Industrija, Vol. 45, No. 2, 181-196.
31. Pallant, J. (2009). SPSS: priručnik za preživljavanje, Mikro knjiga, Beograd.
32. Peng, T. A., Pike, S., Roos, G. (2007). Intellectual capital and performance indicators: Taiwanese healthcare sector. Journal of Intellectual Capital, Vol. 8, No. 3, 538-556.
33. Roubi, S. (2004). The valuation of intangibles for hotel investments. Property Management, Vol. 22, No. 5, 410-423.
34. Sardo, F., Serrasqueiro, Z., Alves, H. (2018). On the relationship between intellectual capital and financial performance: a panel data analysis on SME hotels. International Journal of Hospitality Management, Vol. 75, 67-74.
35. Schiemann, F., Richter, K., Günther, T. (2015). The relationship between recognised intangible assets and voluntary intellectual capital disclosure. Journal of Applied Accounting Research, Vol. 16, No. 2, 240-264.
36. Sriram, R. (2008). Relevance of intangible assets to evaluate financial health. Journal of Intellectual Capital, Vol. 9, No. 3, 351-366.
37. Vujić, M., Đorđević, S., Lakićević, M. (2019). Service quality and customer satisfaction in the hotel industry in Serbia. Hotel and Tourism Management, Vol. 7, No. 1, 61-70.
38. Wang, W., Chang, C. (2005). Intellectual capital and performance in causal models: Evidence from the information technology industry in Taiwan. Journal of Intellectual Capital, Vol. 6, No. 2, 222-236.
39. Zeglat, D., Zigan, K. (2013). Intellectual capital and its impact business performances: Evidences from Jordanian hotel industry. Tourism and Hospitality Research, Vol. 13, No. 2, 83-100.
40. Zigan, K., Zeglat, D. (2010). Intangible resources in performance measurement systems of the hotel industry. Facilities, Vol. 28, No. 13/14, 597-610.
Published
2020-09-05
How to Cite
Ognjanović, J. (2020). THE ROLE OF VISIBLE INTANGIBLE ASSETS IN IMPROVING BUSINESS PERFORMANCE OF HOTEL COMPANIES. Tourism International Scientific Conference Vrnjačka Banja - TISC, 5(1), 314-331. Retrieved from http://www.tisc.rs/proceedings/index.php/hitmc/article/view/344
Section
Articles
