Residual income CAP model to measure competitive advantage period and intangible asset value

Abstract

The purpose of this research is to measure the competitive advantage period and the value of intangible assets which have been difficult until now. A model combining RI and CAP was constructed as a measurement method with objectivity and feasibility. The average CAP for each company revealed the cycle length, growth and decline of each business. Also, new indicators such as intangible assets per capita, and CAP were obtained. There is a contribution that can complement the part that indicators such as ROE miss. Introducing the concept of imaginary time, which is negative time, enables analysis with a high amount of information. It was possible to show that the conventional macro aggregation cancels out the positive and negative numerical values.