Evaluating IFRS and GAAP in a local context: A Case from Pakistan

Abstract

The contemporary business environment has superseded the retail and industrial economy due to the information-age economy's existence. The combination of knowledge and information provide practical benefits to the technology-driven and knowledge-intensive businesses. In this context, the firms heavily rely on efficient management practices such as financial management and knowledge capabilities like intellectual capital. The poor financial management practices and weak intellectual capital may result in business failure. Previous studies mainly focused on the relationship between intellectual capital and firm performance. However, intellectual capital as a predictor of financial management practices is a missing concept in the existing literature. Therefore, this