| The study conducted by Ely and Waymire | | | | company is more into manufacturing, |
| provides a historic overview of the | | | | stakeholders do not value intangible assets |
| accounting principles acceptable in 1930th. | | | | as much as if the company would be offering |
| At those times, firms were allowed to | | | | services. One can make a very important |
| capitalize intangible assets that were | | | | conclusion based on findings of this |
| internally generated by the company. On a | | | | research: the degree of prudence and |
| sample of companies dated 1927, the | | | | objectiveness in reporting intangible assets |
| researches arrive at the conclusion that | | | | varies significantly over industries and is |
| stakeholders were skeptical about the | | | | higher for companies with mainly tangible |
| capitalized intangible financial information | | | | assets that are into manufacturing. Thus, the |
| and emphasized the value of tangible assets | | | | degree of violation of the basic accounting |
| instead. However, this analysis fails to | | | | principles varies from industry to industry. |
| consider the economical background, as the | | | | |
| majority of companies were manufacturing | | | | Undoubtedly, the current reporting principles |
| rather then service based. | | | | widely accepted for intangible assets give an |
| | | | inconsistent picture of a company's financial |
| Ittner and Larcker concentrate on the notion | | | | situation and violate the principles of |
| of value relevance of customer satisfaction | | | | prudence and objectiveness. The reason for |
| data. The scholars investigate the | | | | this violation is largely attributed to the |
| relationship between the level of intangible | | | | economic shift towards globalization, |
| assets disclosure and the information | | | | intellectual property and services. Thus, new |
| satisfaction of the stakeholders. While the | | | | standards are required to ensure objective |
| research proves that customers still value | | | | reporting. It is interesting to note, that |
| tangible assets in the first place, the major | | | | the degree of violation of the principles of |
| outcome of the research is centered on | | | | objective reporting varies from industry to |
| another issue. The study reveals that the | | | | industry. Innovative technology-based |
| level of stakeholder informational | | | | companies that provide services are |
| satisfaction varies significantly over | | | | especially vulnerable to violation of the |
| different industries or, in other words, if a | | | | principle. |