Accounting for intellectual property?
Accounting constitutes a very specific form of language, which is highly standardized, mathematical in nature and seeks to uniformly and systematically describe events while avoiding expressions of individual creativity or explicit political positions. In this sense, accounting is a social, cultural and historical artefact rather than a natural or technical phenomenon and can therefore be viewed as the decisive instrument to create and maintain imagined business communities. On the balance sheet, IP experiences a specific form of authorization. It is represented in the discourse of accounting by ‘intangibles’, an imprecise term associated with the increasingly observed ‘gap between the market and book value’, while current accounting systems are determined by a tangible assets’ based perspective and offer little scope to document how IP relates to business performance. Accounting may thus be seen as a gate keeper of the status quo that poses significant challenges for IP-rich companies, confronted with the challenge to either communicate around the lingua franca of accounting or accept that under current accounting statements they cannot adequately document how IP relates to their business performance.
|Date of creation:||10 May 2010|
|Date of revision:|
|Publication status:||Published in Journal of Intellectual Property Law and Practice 5 (2010): pp. 521-530|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Laux, Christian & Leuz, Christian, 2009.
"The crisis of fair-value accounting: Making sense of the recent debate,"
Accounting, Organizations and Society,
Elsevier, vol. 34(6-7), pages 826-834, August.
- Laux, Christian & Leuz, Christian, 2009. "The crisis of fair value accounting: Making sense of the recent debate," CFS Working Paper Series 2009/09, Center for Financial Studies (CFS).
- Meer-Kooistra, Jeltje van der & Zijlstra, Siebren M., 2001. "Reporting on intellectual capital," Research Report 01E50, University of Groningen, Research Institute SOM (Systems, Organisations and Management).
- Hines, Ruth D., 1988. "Financial accounting: In communicating reality, we construct reality," Accounting, Organizations and Society, Elsevier, vol. 13(3), pages 251-261, April.
- David B. Audretsch & Erik E. Lehmann, 2004. "Financing High-Tech Growth: The Role of Debt or Equity," Papers on Entrepreneurship, Growth and Public Policy 2004-19, Max Planck Institute of Economics, Entrepreneurship, Growth and Public Policy Group.
- repec:dgr:rugsom:01e50 is not listed on IDEAS
- Macintosh, Norman B. & Shearer, Teri & Thornton, Daniel B. & Welker, Michael, 2000. "Accounting as simulacrum and hyperreality: perspectives on income and capital," Accounting, Organizations and Society, Elsevier, vol. 25(1), pages 13-50, January.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:37360. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.