How does Intellectual Capital Affect Organizational Performance?
Ying-Li Lin
Abstract
The link between intellectual capital and organizational performance is becoming more and more an interesting
issue, when companies are seeking for new solutions in order to survive and develop their business. The
simultaneous equation model is used to examine subsidiary banks of financial holding company (FHC) and
independent banks in Taiwan. From the empirical findings, there is a basic difference between subsidiary banks of
FHC and independent banks, specifically on the mediating role of customer capital. In spite of this difference,
there are also important similarities across the three stages. That is, two of the four paths are significant and are
in the hypothesized direction for subsidiary banks of FHC and independent banks: (1) the effect of human capital
on process capital and (2) the effect of human capital on customer capital.
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