ABSTRACT
Critics of intellectual capital (IC) argue that information of this sort is irrelevant to the investment community. This could be because the IC information is brought to the market in formats that are not timely, or because the stakeholders in the investment community do not understand IC information. This chapter discusses the usefulness of IC in relation to the investment community and other stakeholders using voluntary corporate information. The integrated reporting (IR) framework is a first serious attempt at providing a distinct business reporting focus to the investment community. A solution that would make IC reporting matter to the investment community is one that emphasizes the interconnectedness between parts of the narrative sections according to the logic of contemporary business model understandings. The chapter identifies a series of inconsistencies due to a mismatch between business reporting orientation and the general stakeholder orientation in the business community.
