Equity Pricing Reserch Based On Business Model Innovation

As vigorous of the Internet economy development in the Ninety last century, the enterprise business model and business model innovation research and application has been the subject of attention. Industrial commercial competition also aroused people’s pursuit of business model innovation, many business model innovation enterprise have appeared. Regardless of the high-tech enterprises and traditional enterprises, all attempts to update their business model. This also caused upsurge to commercial mode research in academia. Visible, business model and business model innovation has been more and more important in the running of modern enterprises. So the business model innovation factor have become one essential factor when pricing the enterprise equity or assessing its equity value.However, regardless of traditional equity valuation theories or modern equity valuation theories, they rarely completely or comprehensive cover the business model innovation factor, and they can’t reflect the value of equity growth that the business model innovation brings. So this paper assesses and prices equity value based on business model innovation angle, which has very important sense in theory and in reality.First, on the basis of theory review about business model innovation and stock value assessment, the paper discusses the relationship of the business model innovation, value chain, enterprise value, option value, and then introduces and compares three kinds of value assessment methods. Then, the paper builds equity pricing index system based on business model innovation, and here divides into three parts including the practical value from original projects, the derivative value from future projects and the value from business model innovation. And then each part of the evaluation indexes are selected and defined. On the construction of index system, this paper constructs equity pricing model based on business model innovation. Corresponding to the enterprise value evaluation index system’s three parts, separately the valuation methods and steps for each part are discussed. Use DCF method to assess the practical value from original projects and real option method to assess derivative value from future projects, and analytic hierarchy process and fuzzy comprehensive evaluation method on assessment of the business model, then bring it into the original model in the form of correction coefficient and get the last enterprise value and the equity value and pricing model. Finally, on the basis of above mentioned, the paper three study the six five Network Inc as a case. According to the model the value of the three sections were assessed separately, and then give the comparison discussion with the issue price, market price.About the innovation of this paper, first in the study guide, based on the value chain thought, the paper explores the relationship between the business model innovation and the equity value pricing. Secondly, in the research content, this paper combines the business model innovation and innovative enterprises equity pricing problem, which are two research frontiers, and proposes value assessment methods and pricing model of equity in view of business model innovation enterprises. The method integrates business model innovation’s influence to the enterprise, and the financial factors influencing enterprise equity value added are assessed, at the same time non-financial factors affecting the enterprise equity value are assessed. It scientifically and reasonably reflects the overall value of the equity.