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http://dx.doi.org/10.9716/KITS.2019.18.1.113

A Study on Value Drivers for Database Valuation  

Kang, Juhyun (포스코 지적재산그룹)
Byun, Jeongeun (한국과학기술정보연구원(KISTI) 기술사업화센터)
Publication Information
Journal of Information Technology Services / v.18, no.1, 2019 , pp. 113-130 More about this Journal
Abstract
Data can be considered a core driver of the Fourth Industrial Revolution, and databases are needed to create value by efficiently obtaining, storing and analyzing the data. However, there are currently no adequate valuation methods to handle databases. This study aims first, to understand databases as the subject of valuation and analyze value drivers of databases, and second, to propose a database valuation model based on this finding. To this end, we derive value drivers of databases from the characteristics and value criteria of databases observed in previous studies. Based on survey data from 396 database service firms we verify the value drivers through linear regression analysis. We find that the annual growth rate in database capacity and the data types positively affect sales of databases and offer ways to utilize them when estimating the cash flow, which is the variable to apply the discounted cash flow method-based income approach. This study contributes empirical insights into how to valuate databases considering their value drivers.
Keywords
$4^{th}$ Revolution; Database; Valuation; Value Drivers; Income Approach;
Citations & Related Records
Times Cited By KSCI : 3  (Citation Analysis)
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