Valuing Technology: The New Science of Wealth in the Knowledge Economy (Wiley Finance) [Hardcover]

Chris Westland (Author)

Book Description

ISBN-10: 047082056X | ISBN-13: 978-0470820568 | Publication Date: December 14, 2001 | Edition: 1

How do you value e-business?
Since IT now consumes over half of new capital investment in US firms, the central question facing senior management investing in knowledge intensive businesses is, "how do you value e-business?" This book takes a financial perspective on the new economy and addresses many of the problems that are a part of the financial structure of the new economy. Valuing Technology offers methods for determining the financial valuation of investments made in technology in New Economy businesses. Companies in genomics, proteomics, nanotechnology, robotics, and other highly technical fields require huge up-front costs and often experience other idiosyncrasies of high-tech business. This book covers those angles and more, helping readers accurately valuate modern e-businesses. It provides comprehensive analysis of emerging valuation techniques for New Economy companies and it clearly explains how financial assessment techniques are adapting to high-tech companies.

Editorial Reviews

From the Back Cover

Human genomics, proteomics, robotics, nanotechnology, fractals, ecoforming, global information networks, telemedicine ? the list goes on and on. These are the exciting new sciences that will propel our next technology boom. Each creates value from novel, vast, and complex bodies of knowledge. Each demands an array of business models predicated on the knowledge economy. At present, only a handful of experts in their respective areas even understand these sciences; and only a fraction of these experts have either the inclination or the insight to create viable businesses from these knowledge-intensive technologies.

The collapse of dot-com stock prices left the investment community wondering how they could have got Internet stock values so wrong. Yet relatively ?simple? Internet technology pales next to the hyperintelligent computing, complex interactions, and enormous databases seen in genomics, proteomics, and other emerging technologies.

This book identifies the four major trends in business and economics that are emerging in the knowledge economy, and describes how each has changed the simple accounting for wealth and value creation to a complex economics of knowledge. The last part of the book lays out the framework and challenges facing a new science of valuation for knowledge-intensive businesses that will help investors, managers and advisors separate the future giants of the knowledge economy from their failed contemporaries.

About the Author

Professor Westland graduated with a Ph.D. in Computers & Information Systems from the University of Michigan. Prior to joining academia, he was Database Manager and Corporate Security Management at Rockwell International, Dallas, USA. He has written two books ? Global Electronic Commerce: Theory and Case Studies (Nov 1999, MIT Press) and Information Technology Risk: A Guide for Accountants and Auditors (forthcoming, Hong Kong Society of Accountants).

Product Details

• Hardcover: 300 pages
• Publisher: Wiley; 1 edition (December 14, 2001)
• Language: English
• ISBN-10: 047082056X
• ISBN-13: 978-0470820568
• Product Dimensions: 8.9 x 6.6 x 1 inches
• Shipping Weight: 1.4 pounds
• Average Customer Review: 5.0 out of 5 stars  See all reviews (5 customer reviews)
• Amazon Best Sellers Rank: #3,002,944 in Books (See Top 100 in Books)

More About the Author

I am currently Professor of Information Systems and Management at the University of Science and Technology in Hong Kong. I have a BA in mathematics and an MBA in accounting, and a PhD in Computers and Information Systems from the University of Michigan. I've had professional experience in the US as a certified public accountant and as a consultant in informational services in the US, Europe, Latin America and Asia. I also sit on the editorial board of several of the leading academic journals in informational technology. I am the author of three books: Financial Dynamics (Wiley 2003); Valuing Technology (Wiley 2002) and Global Electronic Commerce (MIT Press 2000); and I am currently completing a text on innovation management. I am occassionally a speaker and consultant who has consulted on valuation and technology strategy for Microsoft, Intel, Motorola, V-Tech, Aerospace Corporation, IBM, Pacific Bell, and other technology firms.

Customer Reviews

Most Helpful Customer Reviews

7 of 8 people found the following review helpful:

5.0 out of 5 stars Andersen partners -- must read!, March 18, 2002

By 

William Ferguson (San Diego, CA United States) - See all my reviews

This review is from: Valuing Technology: The New Science of Wealth in the Knowledge Economy (Wiley Finance) (Hardcover)

This is a courageous and insightful book which should be required reading for all Big-5 accountants. Westland shows how the breakdown in accounting's ability to deal with the new economy undermines investment decisions, and fosters an environment of skepticism and deceipt.

2 of 2 people found the following review helpful:

5.0 out of 5 stars Innovative survey of finance in the information age, April 7, 2002

By 

Pat Spain (California) - See all my reviews

This review is from: Valuing Technology: The New Science of Wealth in the Knowledge Economy (Wiley Finance) (Hardcover)

The book is written in an engaging style, and surveys current strengths and shortcomings in the tools of financial analysis when applied to technology stocks. At points, the mathematics are complex, but only as much as he needs to state his case. I think Westland's explanations of the way technology companies are different than industrial firms are accurate. They provided me with insights that I have not seen anywhere else. The book falls short in describing how to value technology stocks, which is a weakness. On the other hand, there is enough new material in the book to make it worth its price

3 of 4 people found the following review helpful:

5.0 out of 5 stars Well argued prerequisite for Financial Dynamics, December 12, 2003

By 

Robert Nash - See all my reviews

This review is from: Valuing Technology: The New Science of Wealth in the Knowledge Economy (Wiley Finance) (Hardcover)

Dr. Westland's book Valuing Technology provides unique explanations for the dot-com bubble, and for the chaos in tech markets. Both this and his sequel, Financial Dynamics offer important contributions to the study of investment valuation