5 A Longitudinal Look at Strategy, Intellectual Capital and Profit Pools

ABSTRACT: Explores the link between the disparate fields of knowledge management, intellectual capital, competitive intelligence, and strategy. Using an existing profit pool study of the digital economy, looks at the key industry sectors involved and their revenue levels and profit margins. These data include results from both 2002 and 2010. The profit pool observations are then compared with additional data on intangible assets (knowledge and related assets) and competitive intelligence activity in each sector. Explores but generally dismisses the idea that sector revenue and/or profitability might be linked to high levels of intangibles. Similarly, demonstrates that the link between sector revenue and/or profitability and competitive intelligence activity may be generally weak (though pronounced in some specific high-growth circumstances). Alternatively, does provide some guidance for more in-depth study, identifying the knowledge strategies necessary for success across sectors as well as what competitive intelligence attitude may be needed to move from one sector into another