scholarly journals Are the Blockchain-Based Patents Sustainable for Increasing Firm Value?

2020 ◽  
Vol 12 (5) ◽  
pp. 1739
Author(s):  
Horim Kim ◽  
Jaeyoung Kim ◽  
Kyungmyung Jang ◽  
Jaemin Han
Keyword(s):  
Firm Value ◽  
Real Options Theory ◽  
Technology Firms ◽  
Blockchain Technology ◽  
Sustainable Value ◽  
Lagged Effects ◽  
Empirical Tests ◽  
The Relationship ◽  
Hardware Industry ◽  
Options Theory

Blockchain technology is changing conventional online transaction systems by eliminating payment gateway firms. The blockchain technology is highly attractive and has earned a lot of attention from investors and firms. To protect blockchain technology, firms acquire a patent of blockchain for enhancing the value of their blockchain technology. However, the sustainable value for a patent of blockchain has not been clearly explored. For this reason, our research attempted to explore the relationship between a patent of blockchain and firm value. We used a real options theory and built robust empirical tests based on United State Patents and Trademark Office (USPTO) data. We collected the patents of blockchains from 2014 to 2018 and matched financial data from the Compustat database. In total, we found 153 panel observations. Our results suggest that a firm’s patent of blockchain originality and t-1 lagged effects for a firm’s patent of blockchain generality are positively associated with firm value in general. In addition, the sustainable value for the patent of blockchain affects firms differently based on their industry. We found that the sustainable value for the patent of blockchain originality was positively and exclusively associated with the software industry, while the sustainable value for the patent of blockchain generality was positively and exclusively associated with the hardware industry.

scholarly journals The Interaction Effect of Information Systems of Shipping and Logistics Firms and Managers’ Support for Blockchain Technology on Cooperation with Shippers for Sustainable Value Creation

2021 ◽  
Vol 13 (8) ◽  
pp. 4493
Author(s):  
Hee-sung Bae
Keyword(s):  
Information Systems ◽  
Value Creation ◽  
Interaction Effect ◽  
New Technology ◽  
Resource Based View ◽  
Blockchain Technology ◽  
Sustainable Value ◽  
High Level ◽  
Logistics Process ◽  
The Relationship

Firms apply new technology to value creation. In particular, blockchain technology increases transparency and stability of shipping and logistics firms and this is connected with a high level of collaboration with shippers. In this regard, the objective of this study is to verify the interaction effect of information systems of shipping and logistics firms and managers’ support for blockchain technology on cooperation with shippers. To achieve the objective, this study identified variables based on prior research and analyzed the data collected by a survey. The results are as follows. First, information systems as a resource of shipping and logistics firms have a positive effect on cooperation with shippers. To enhance the strategic resource, they increase cooperation with shippers based on learning and logistics process improvement. Therefore, the relationship between the information systems and cooperation with shippers can be explained as a resource-based view. Second, there is the interaction effect of the information systems and managers’ support for blockchain technology on the cooperation and this can be explained as a resource-based view. Information systems are resources of shipping and logistics firms, and managers should encourage and reward staff for using new technology such as blockchains, followed by a high level of cooperation with shippers.

scholarly journals Does Smart & Powerful CEO Contribute to the Performance of Technology Companies?

2019 ◽  
Vol 13 (4) ◽  
pp. 39-58
Author(s):  
Elena Karnoukhova ◽  
Anastasia Stepanova
Keyword(s):  
Firm Performance ◽  
Firm Value ◽  
Educational Background ◽  
Least Square ◽  
Ceo Power ◽  
Highly Educated ◽  
And Performance ◽  
The Relationship ◽  
Ceo Characteristics ◽  
Hardware Industry

In recent decades, innovative companies became one of the major drivers of economy worldwide. According to surveys, nearly 70% of the world’s most innovative companies in 2019 are U.S. firms. However, academic studies mostly focused on the influence of the top management team and the board of director’s on the firm performance, on the relationship between innovations and CEO`s preferences. However, we suppose CEO can exert a significant influence on performance of innovative companies. We strive to show which CEO characteristics could lead to higher firm value. Does highly educated CEO contribute more to innovations in hi-tech sphere? Does CEO power matter? Are founders better CEOs than newcomers or professionals for technological companies with their longer horizons and higher risks? This research uses Generalized Least Square model on a sample of 12565 firm-year observations during 2004-2015 period. For this research we used data for three innovative industries: Pharmaceuticals, Biotechnology & Life Sciences, Software & Services and Technology Hardware & Equipment industries. We have hand-collected data from the CVs in CIQ database. Overall, the empirical results reveal that educational background, tenure, duality play crucial roles in explaining firm value. This study contributes to the existing literature in two aspects. First, our findings indicate that CEO characteristics play crucial roles in explaining technology firm value and performance. We demonstrated that founding CEO contributes to technology firm performance as well as the CEO with better education. Second, CEOs should be smart and powerful in order to sustain firm performance. We found that CEOs characteristics could mitigate the conflicts between different types of investors and their influence on firm performance. More specifically, CEOfounder was found to add greatly to the firm performance of Software and Pharmaceutical companies. Furthermore, the influence of CEO seems to mitigate the conflict of interest with independent active institutional investors in Hardware industry. We provided examples to prove the validity of our tests.

The Value of Managerial Flexibility in Strategic IT Investment

2011 ◽  
pp. 111-132 ◽  
Author(s):  
Xiaotong Li ◽  
John D. Johnson
Keyword(s):  
Real Options ◽  
Investment Decision ◽  
Investment Decisions ◽  
It Investment ◽  
Real Options Theory ◽  
Investment Evaluation ◽  
Managerial Flexibility ◽  
Investment Opportunities ◽  
The Relationship ◽  
Options Theory

In this chapter, we discuss the real options theory and its applications in IT investment evaluation. We provide a framework within which the appropriateness of using real options theory in strategic IT investment evaluation is systematically justified. In our framework, IT investment opportunities are classified into four categories based on two criteria: the technology switching costs and the nature of competition. We point out that different real options models should be adopted for each category. The electronic brokerage’s investment decision in wireless technology is discussed as a real-world case within the framework. Our study also provides some insights about the relationship between technology standardization and IT investment decisions.

The Relationship Among Managerial Sentiment, Corporate Investment, and Firm Value: Evidence from Taiwan

2011 ◽  
Vol 47 (2) ◽  
pp. 99-111 ◽  
Author(s):  
Hsiao-Fen Hsiao ◽  
Chuan-Ying Hsu ◽  
Chun-An Li ◽  
Ai-Chi Hsu
Keyword(s):  
Firm Value ◽  
Corporate Investment ◽  
The Relationship

Option valuation of Philippine forest plantation leases

2004 ◽  
Vol 9 (3) ◽  
pp. 315-333 ◽  
Author(s):  
ROBERTO C. YAP
Keyword(s):  
Real Options ◽  
Sunk Costs ◽  
Forest Plantation ◽  
Market Uncertainty ◽  
Real Options Theory ◽  
Highly Sensitive ◽  
Future Value ◽  
Plantation Development ◽  
Philippine Government ◽  
Options Theory

The Philippine forest plantation lease is modelled as an option whose value arises from market uncertainty and the irreversibility inherent in sunk costs required to establish plantations. The value of this option could be a significant factor in the planting decisions of leaseholders. Real options theory could help explain why in spite of the prospects of adequate financial returns, Filipino leaseholders are slow to establish plantations. The opportunity cost of investing is demonstrated to be highly sensitive to uncertainty of the future value of the plantation. Real options analysis is also utilized to evaluate policies intended by the Philippine government to promote plantation development.

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