Data is asset – Evaluating the market value of databases – UROP Spring Symposium 2021

Data is asset – Evaluating the market value of databases

Ke Zhang

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Pronouns: hers/her

Research Mentor(s): Yuan Shi, PhD student
Research Mentor School/College/Department: Finance, Ross School of Business
Presentation Date: Thursday, April 22, 2021
Session: Session 2 (11am – 11:50am)
Breakout Room: Room 3
Presenter: 4

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Abstract

With growing attention to “big data” and data storage for firms in recent years, the productivity of data assets is questioned heatedly. The question of “what is the value of data” becomes complicated due to the lack of tracking and manipulating. Our project assumes that data can be processed and converted into information to achieve its ultimate value. We are trying to answer the question of “can firms’ data be the basis of competitive advantage”. More generally, we want to understand the mechanism: how data is contributing to firms’ value. The project analyzes internet publishing and broadcasting companies around the world. We measure the firms’ data strategies by collecting firms’ financial metrics and revenue breakdown from their annual reports and analyze the exact factors influencing their data strategies by running regression analysis and doing industry classification. The analysis yields the conclusion that different sectors do have different data strategies and these strategies differentiate their advantages. The project will give firm managers some insights into how to manage data and improve their operations.

Authors: Ke Zhang
Research Method: Data Collection and Analysis

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