As premium knowledge allows a customer needs to be optimally satisfied, the increase in customer loyalty, brand value and repeat business leads to an increase in the firm's revenue and market value and ultimately share price. This form of non-price competition is referred to as Knowledge Leadership . Intellectual Capital techniques can then be used to benchmark how the change in knowledge leads to a greater change in revenue and market value through knowledge-revenue multiplier effects . It is the multiplier relationship between tangibles and intangibles that is responsible for the fierce interest in Intellectual Capital Management across the world. Knowledge Management can therefore creates optimal knowledge policies and Intellectual Capital techniques can estimate the potential gains in terms of increased revenue and market value.
Intangibles financially effect every organization.
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