The Research On Comparative Advantage & Corporate Evaluation

With the rapid development of economy globalization, the trend of firm's joint venture, Merger and Acquisition are happening more and more around the world. For making decision reasonably, all the activities involved in corporate valuation. The development of capital market improves the theories evolution of corporate valuation, and requires higher theories' level. Corporate valuation has become the most rapid field in the evaluation industry. During the development of business valuation in our country, there is a situation in that the appraisal theory is behind the appraisal practice. In the generally practice, the cost method, the marketing method, and the income method are used together, then integrate the three conclusions, compare, analysis and adjust, then make the ultimate corporate valuation, which can prevent the distorted conclusion based on one single theory.Based on current situation of the evolutions of corporate strategy theory and comparative advantage theory, this paper consider corporate will get residual interest in the comparative advantage period. Appraising corporate valuation from the enterprises' comparative advantage can reject the profit effect of abnormal transaction. Assessing corporate value based on the process of appraising of corporate comparative advantage, is the method of enterprise valuation underlines the fundamental of corporate advantage and operation environment were comparative stable, which is suitable for the comparative developed industries and enterprises. Meanwhile, consider the information achieving cost, Assessing corporate value based on the process of appraising of corporate comparative advantage will likely be a comparative lower cost measure if this available, and the method will be a practicable way in enterprise valuation practice.