New Design of Sustainable Development: Intellectual Value of Large Russian Companies and Factors of their Growth.

In the era of transformations the financial factors can be prejudiced and the market value of the company does not reflect its fundamental value it is important to scrutinize other "resources" of the firm, to define, the non-financial basis for growth. And according to the Knowledge management approach, we can regard the Intellectual Capital (IC) of the Firm as an estimation basis for growth of these resources. The strategic changes models of large companies tend to be the context items, i. e. depending from the various key components. The value as the result of constant strategic changes becomes the complicated intellectual parameter, which is managed and defined by the multi-level combination of interactions of different groups of stakeholders. Accordingly the authors of the article make an attempt to consider the Intellectual Value Based Management concept. At a whole this article covers the results of the research of the Intellectual value of the large Russian companies. Particularly the authors use the panel data to investigate the different growth factors of the intellectual value. According to the topic of the research, the authors analyze the potential for growth of large Russian trading companies through evaluation of its Intellectual Capital. The main idea of the research was to compare the contribution of fundamental and non-fundamental factors (that is, companies IC) which create the company Value proposition. And the main hypothesis was: the components of the company IC create more value than fundamental factors. The empirical study included the analysis of panel data regarding fundamental factors (e.g. Sales, Return on Assets) and such components of IC as Human Capital, Process Capital, Client Capital, Innovation Capital and Network Capital. The authors use a range of proxy variables (the so-called subcomponents of IC) to assess the contribution of each component of IC to the process of company value creation. The groups of proxy variables were the following: the existence and the efficiency of corporative training programs for employees; the efficiency of assets usage; the mature and the structure of the Board of directors; the process capital; measures for future growth; the client capital; relations with the stakeholders. To clarify the crucial idea of the research it is necessary to regard each sub-component of IC. The research covered three time periods (five years period, six years period, one forecasted cross-section). Due to the fact that Russian market could not be named among world highly investigated markets it is of great importance to scrutinize it through the analysis of the Intellectual capital accrued in the corporative sector of the economy. The results of this research can be used to explain some phenomena of Russian market development, and the research model can be used to evaluate the potential for growth of different companies (in primary importance - the potential of developing countries which tend to be "a locomotive" for the further recovery of the World economy). According to the results the main drivers for company's growth are factors of the following groups of proxy variables: the existence and the efficiency of corporative training programs for employees; the efficiency of assets usage; the process capital; measures for future growth; the client capital; relations with the stakeholders. The main hypothesis of the research was accepted, and consequently the authors proved through the empirical analysis that the components of IC create more value and can be regarded as growth drivers for the long-term development of the company and the creation of the sustainable competitive advantage. [ABSTRACT FROM AUTHOR]