Building Intangibles in the Business — Are We Doing Consciously?

PK Narayanan, CEO Coach
1 min readDec 3, 2020

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Intangibles account for 87% of the business valuation in S&P 500 as per a study done in 2015. In 1975, it was 17%.

Building and enhancing Intangibles in businesses are therefore essential to create long-term value.

How do businesses do that, in a conscious way?

First and foremost, it requires thinking beyond ROI for every decision that we make. It requires planning and strategising beyond the quarter, the year.

Second, it requires investment in people, nurturing talent — in leaders, teams within the business.

Third is building a Brand, backed by values, culture, reputation and recall.

Fourth is to build and nurture positive relationships, consciously, at all levels — employees, customers, vendors, service providers, investors…

Many successful businesses prioritize on building Intangibles for creating long-term value.

It’s worth recalling what Tony Hsieh of Zappos once famously said — “Just because you can’t measure the ROI of something doesn’t mean you shouldn’t do it. What’s the ROI of hugging your mom?”

#ceo #leadership #scaleup #intangibles

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PK Narayanan, CEO Coach
PK Narayanan, CEO Coach

Written by PK Narayanan, CEO Coach

PK helps CEOs, Business Owners Scale-up their Business, Enhance their Leadership Presence, Position their Business for Long-term Success https://pknarayanan.com

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