ABSTRACT
This chapter presents a comparative functional analysis of the status of narrative corporate Intellectual Property (IP) asset disclosure in several legal systems, all advanced economies, describing the conceptual frameworks and evaluating relevant principles. It reviews the impact of the Intellectual Capital Statement (ICS), a corporate disclosure format. The chapter discusses international policy initiatives regarding corporate reporting of IC, intangibles and IP in Denmark, Germany, Japan and the US. It explores the German ICS reporting system to identify the effectiveness, limitations and solutions as regards narrative corporate reporting of patent assets. Denmark, Germany, Japan and the United States are all countries that rank in the top 20 countries in the Intellectual Property Rights Index 2016. The external auditor, accounting firm Arthur Anderson, was investigated for approving Enron's financial statements and reports when they contained false information as to profit and loss and poor financial reporting.
