DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY

Asia Khatun; Raihan Sobhan; Shafera Siddique Aapan

doi:10.17261/Pressacademia.2025.2026

DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY

Abstract

Purpose- This study examines the influence of intellectual capital (IC) on firm performance and the moderating role of board governance mechanisms in the context of Bangladesh, an emerging economy. Methodology- Using panel data from 100 non-financial firms listed on the Dhaka Stock Exchange over 2018–2023, IC efficiency is measured through the Modified Value-Added Intellectual Capital (MVAIC) model, while firm performance is assessed using return on assets and Tobin’s Q. Findings- The findings demonstrate that IC efficiency positively and significantly enhances firm performance, with human capital, structural capital, and capital employed efficiency being key drivers. Moreover, board characteristics, particularly board size, independence, and meeting frequency, significantly strengthen the IC–performance relationship. Earnings per share (EPS) and the price–earnings (P/E) ratio are additionally employed as alternative measures of firm performance to verify the robustness of the observed relationship. Conclusion- The results highlight the importance of effective board governance in maximizing the benefits of IC. For managers and policymakers in emerging economies, strengthening board mechanisms and governance practices can enhance firm performance by ensuring better utilization of intangible assets. This is one of the pioneer studies to investigate the moderating role of board governance mechanisms in the IC–performance nexus within an emerging economy like Bangladesh. By employing the MVAIC model, it offers novel evidence on how board attributes shape the effectiveness of IC in an emerging economy context.

Keywords

References

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Details

Primary Language

English

Subjects

Finance

Journal Section

Research Article

Authors

Asia Khatun This is me
0000-0002-6055-0368
Bangladesh

Raihan Sobhan This is me
0000-0003-2015-8035
Bangladesh

Shafera Siddique Aapan This is me
0009-0000-3106-1234
Bangladesh

Publication Date

December 31, 2025

Submission Date

September 5, 2025

Acceptance Date

December 2, 2025

Published in Issue

Year 2025 Volume: 14 Number: 2

DOI

https://doi.org/10.17261/Pressacademia.2025.2026

IZ

https://izlik.org/JA49JM27EX

Cite

RIS / Bibtex

APA

Khatun, A., Sobhan, R., & Aapan, S. S. (2025). DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY. Journal of Business Economics and Finance, 14(2), 177-189. https://doi.org/10.17261/Pressacademia.2025.2026

AMA

1.Khatun A, Sobhan R, Aapan SS. DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY. JBEF. 2025;14(2):177-189. doi:10.17261/Pressacademia.2025.2026

Chicago

Khatun, Asia, Raihan Sobhan, and Shafera Siddique Aapan. 2025. “DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY”. Journal of Business Economics and Finance 14 (2): 177-89. https://doi.org/10.17261/Pressacademia.2025.2026.

EndNote

Khatun A, Sobhan R, Aapan SS (December 1, 2025) DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY. Journal of Business Economics and Finance 14 2 177–189.

IEEE

[1]A. Khatun, R. Sobhan, and S. S. Aapan, “DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY”, JBEF, vol. 14, no. 2, pp. 177–189, Dec. 2025, doi: 10.17261/Pressacademia.2025.2026.

ISNAD

Khatun, Asia - Sobhan, Raihan - Aapan, Shafera Siddique. “DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY”. Journal of Business Economics and Finance 14/2 (December 1, 2025): 177-189. https://doi.org/10.17261/Pressacademia.2025.2026.

JAMA

1.Khatun A, Sobhan R, Aapan SS. DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY. JBEF. 2025;14:177–189.

MLA

Khatun, Asia, et al. “DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY”. Journal of Business Economics and Finance, vol. 14, no. 2, Dec. 2025, pp. 177-89, doi:10.17261/Pressacademia.2025.2026.

Vancouver

1.Asia Khatun, Raihan Sobhan, Shafera Siddique Aapan. DO BOARD GOVERNANCE MECHANISMS INFLUENCE THE INTELLECTUAL CAPITAL–PERFORMANCE RELATIONSHIP? EVIDENCE FROM AN EMERGING ECONOMY. JBEF. 2025 Dec. 1;14(2):177-89. doi:10.17261/Pressacademia.2025.2026