Based On The Stakeholder Perspective Of The Enterprise Value

As one of the fundenmental research of corporate finance, the corporate evaluation fouses on enterprise investment and financing, IPO, M&A and so on. It’s the foundation of the corporation decision making.It is enterprise value that means a process that a company create wealth to achieve the result of monetizing a variety of benefit relationship.The key to effectively measure the coporate value is to grasp and analyze the mechanisem of value creation in the case of interaction between the enterprise and production factors markets,products markets,as well as the external envioronment,which is mainly presented with the inputs and interest requirement of stakeholders.So,from the standpoint of the stakeholders, the article analysed the company value in depth.The essay firstly sorted out the domestic and foreign research on the theory of stakeholders, corporate contract, enterprise value as well as basic resources, and built a analysis framework of stakeholder enterprise value through reinvestigating and integrating the theories above.Then from the point of view of specific factor inputs, it built a input-output function based on C-D production function,and a expectation-input function, as well as a enterprise value function based on former theoretical analysis.Furthermore,two important factors that affected the value creatin were found,and they were satisfication for the interests and demands of stakeholders and coordination of contractual relationship of different stakeholders.After that,the anthor used a balanced panel model to investigate how stakeholders affected enterprise value with a sample of listed companies in China’s manufacturing industry.The results showed that how much a company satisfied the interest requirment of its stakeholders is the siganificant variables affecting the value.And the same stakeholders’impacts on the level of enterprise value were significantly different in different sectors. As for the Chinese manufacturing enterprises, it is crucial to eastablish the business philosophy of value creation with stakeholders and share corporate added value with them so as to maximise the business value. Likewise, the conclusion also has brought the new concept of evaluating assets for business investment and financing and capital operation.