Intellectual capital and new ventures: The entrepreneur's cognizance for company management

Abstract

The purpose of this research is to analyse the intellectual capital gauges most often utilized by entrepreneurs in the management of new ventures and to relate the use of these gauges to business performance. On the basis of interview data collected from 103 entrepreneurs, we provide evidencethat the use of such measuring techniques impacts positively on overall business performance. Moreover, the results indicate that those entrepreneurs utilizing some form of intellectual capital (IC) measurement have superior results. Consequently, we highlight the importance of detecting, measuring and utilizing IC for new ventures stressing the potential benefitsthat such analysis can have on the initial stepstaken by an entrepreneur in venture formationand business development.