The Impact of Intangible Assets on Profitability of Healthcare Organizations: A Study

Running Head: MANAGEMENT
FINANCE MANAGEMENT

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Table of Contents
Introduction................................................................................................................................3
Title.........................................................................................................................................3
Research background..............................................................................................................3
Problem statement..................................................................................................................3
Justification.............................................................................................................................4
Aim and objectives.................................................................................................................4
Research questions.................................................................................................................5
Critical literature review............................................................................................................5
Methodology..............................................................................................................................7
Methodology..............................................................................................................................7
Findings....................................................................................................................................10
Discussion................................................................................................................................15
Conclusion................................................................................................................................16
Recommendations....................................................................................................................16
Limitations...............................................................................................................................17
References................................................................................................................................18

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Introduction
Title
The research title of this study is the large capital in the health care sector.
Research background
The intangibles asset is reviewed as strategic assets that could mandate to the firm for easily
increasing their productivity in the least time (Tudor, Dima, Dima, & Raţiu, 2014). This
research paper is effective for increasing the understanding about the relationship between
intangible asset and profitability of COH, CSL, RMD, RHC, SHL, and FPH health care
organization. The profitability of the firm could lead to getting higher competitive benefits in
the least time and cost (Sydler, Haefliger, & Pruksa, 2014). These six organizations could be
effective for increasing the profitability of the firm. Moreover, it is evaluated that there are
two variables that might be considered in the research like cash flow statement as it leads to
the firm for increasing robustness of the firm in the least time and costs (Kapelko & Oude
Lansink, 2014). Further, it is examined that it is compulsory for health care organization to
gain their understanding towards intangible assets as well as the profitability of the firm. It
could support the firm for increasing the profitability of the firm in the least time and cost
(Contractor, Yang, & Gaur, 2016).
Problem statement
The primary aim of this study is to evaluate the relationship between the intangible assets and
profitability of the firm. It could lead to the firm for getting a favorable outcome in the least
time and cost (Razafindrambinina & Anggreni, 2017). The primary study of this study is to
evaluate intangible to total assets ratio that has a direct effect on the profitability of large
organizations (Sucuahi, & Cambarihan, 2016). In addition, it is also evaluated that the main
cause of selecting this research is to evaluate the impact of intangible assets on firm
profitability. In addition, it is examined that the intangible assets are the trend of the company

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that offers an opportunity for the firm to continue to increase the profitability of the firm
(Ivanov & Mayorova, 2015). This research is effective for gaining an understanding of the
meaning and concept of intangible asset and profitability. It could also lead to comprehending
the relationship between a relationship between intangible asset and profitability of the health
care sector.
Justification
This research is effective for collecting the understanding of the relationship between
intangible asset and profitability of different health care organization. It also leads to gain the
knowledge of researcher as well as a reader towards the conceptual awareness towards the
role of large capital in the health care sector (Wang, Lu, & Liu, 2014). It could also be
effective for gaining knowledge of different methods of research that could lead to getting
reliable information towards the research issue (Pucci, Simoni, & Zanni, 2015). Furthermore,
it leads to comprehend certain methods like research strategy, research approach, data
collection method, data analysis method, and sampling method. It could be effective for the
attainment of the organizational task. It is also effective for increasing the understanding of
different strategies for improving the profitability of the health care section. It could be
effective for comprehending certain factors and make a favorable decision (Voulgaris &
Lemonakis, 2014)
Aim and objectives
The primary aim of this study is to evaluate the relationship between intangible asset and
profitability of the health care sector. The Following objectives will be completed to
accomplish the aim of this study:
 To explore the meaning and concept of intangible asset and profitability
 To discover the relationship between a relationship between intangible asset and
profitability of the health care sector

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 To understand the strategies for improving the profitability of the health care
section.
Research questions
The research questions of this study are discussed below:
 What is the meaning and concept of intangible asset and profitability?
 What is the relationship between a relationship between intangible asset and
profitability of the health care sector?
 Which strategies are used by the health care organization for improving their
profitability?
Critical literature review
Intangible assets are determined as the factors that could directly impact the overall
profitability of the firm. Moreover, an intangible asset is an asset that has lacks of physical
substance. It is characterized contrary to physical resources, for example, hardware and
structures. An elusive resource is typically difficult to assess. Licenses, copyrights,
establishments, altruism, trademarks, and exchange names (Gamayuni, 2015). Organization
hypothesis unquestionably ties impalpable resources with a progression of costs which an
organization may have: value and obligation, exchange and insolvency or data asymmetry
costs. these costs impact an organization's money related and administrative arrangements.
These approaches are accordingly received to limit the previously mentioned expenses and to
enhance an organization's benefit. Regardless of whether and how the dimension of
intangibles affect an organization's productivity we clarify in Section four (Hajrullina &
Romadanova, 2014). Immaterial resources writing gives opposing outcomes with regards to
the effect of the structure of intangibles on an organization's productivity. a productivity
oddity: an organization's interest in IT programming and administrations negatively affects
the organization's gainfulness, while the interest in IT provided by outer suppliers, for

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example, counseling, usage, bolster administrations, has a positive effect. Her outcomes are
supported up by earlier investigations led by the Council of Economic Advisors (2001) and
McKinsey Global Institute (2001), which archive a negative connection between's IT
spending and profitability. Our exploration affirms there is a higher level of vulnerability
when intangibles are esteemed utilizing a market approach procedure, particularly if
intangibles are examined by segments (Sydler, Haefliger, & Pruksa, 2014). The example they
examined, there is a positive relationship among's intangibles and the upper hand of an
organization and that organizations which flag a larger amount of intangibles to the market
will get a positive reaction from the market. Their outcomes, like our own, feature the
presence of contrasts between the business divisions which they break down. The connection
between intangibles and gainfulness has been generally talked about in the writing. They
describe the high benefit to an abnormal state of intangibles, particularly coming about
because of publicizing and R&D. High gainfulness firms significantly accentuate the
requirement for cautious administration of intangibles and its associating factors:
representatives' efficiency, development exercises, and business connections. Protecting
Intangible Assets gives procedures to safeguarding and improving company elusive
advantages for increment its benefit, aggressiveness, and maintainability. Impalpable
resources, for example, licenses, trademarks, copyrights, philosophies, and brand regularly
represent 80% of an organizations esteem and income. There are numerous powers making it
increasingly more hard to ensure these benefits, and anchoring them is a perplexing issue
regularly neglected by security and hazard administrators. Numerous security administrators
don't have sufficient strategies or methods set up to shield these benefits from the bargain,
encroachment, and robbery (Contractor, Yang, & Gaur, 2016). Defending Intangible Assets
gives administrators the instruments important for ensuring these benefits through viable and
reliable oversight intended to safeguard their control, use, and proprietorship. The book offers