Intellectual Property and Company Performance: A Proof of Effectiveness in the Indonesian Banking Sector

Romi Prayudi

Abstract: This study aims to determine intellectual property rights as an important factor in the company's investment in running its business to obtain the maximum profit. Intellectual Property (IP) are currently still underestimated by most companies in Indonesia, considering the economic value generated by IP as intangible assets is much more profitable than other tangible assets. This research was conducted using a juridical-normative approach in identifying an intellectual property that could be used as property rights in the company, by combining it with the performance of companies in the Indonesian banking sector sampled by assessing its market capitalization value. The results found that there was a very significant effect from the maximum use of intangible assets, including until the IP was registered for legal protection.

Keywords: Intellectual Property, Company Performance, Indonesian Banking