Research On Performance Evaluation With Listed Companies Of Automobile Industry

Three decades of reforming and opening up, automobile industry has become apillar industry of China’s national economy, and also plays an important role in theworld economy at the same time.Enterprise Performance Evaluation is an important part of enterprisemanagement. Effective performance evaluation of listed companies of theautomotive industry helps to understand the current development of the automotiveindustry and find out the existing problem of the industry. In addition, it can helpthe automobile industry to improve the efficiency and effectiveness of the operationand management, to help other stakeholders to make an objective judgment anddecision-making. The performance of the automotive industry is mainly concentratedon the study of the entire industry, but lack of the microscopic study of theautomotive industry. From the view of the listed companies in the automotiveindustry, the article selects financial indicators data from the four dimensions ofsolvency, operating capacity, profitability and development capacity and carries outits performance evaluation. According to the result, corresponding policyrecommendation of listed companies in the automotive industry is given.In this paper, specific chapters are as follows:The first chapter introduces the research background and the significance, summarizes domestic and foreign literature of performance evaluation, explains theinnovation and shortcomings of this paper.The second chapter introduces the relative concept of performance evaluation,including the meaning and theory foundation of performance evaluation. Besidesthis chapter introduces the popular methods of Performance Evaluation，such as EVA,BSC, DEA and Factor Analysis.The third chapter outlines the history of the development of China’s automobileindustry, as well as the current status. Becoming the world’s largest, China’sautomotive industry is facing more opportunities and challenges.The fourth chapter is the empirical analysis. With factor analysis, it carries outthe Performance Evaluation of88listed companies of automotive industry inA-share market from2009to2011. According to the score and rank of profitability,operational capacity, debt capacity, development capacity and total performance, thechapter simply analysis the outcome.The fifth chapter is the policy suggestion.1. Automobile industry should payhigh attention on new energy vehicles and enhance the capability of independentinnovation, then fundamentally enhance the profitability and development capacity.2. Improve strategic cost management and advanced management techniques toimprove corporate liabilities have management ability and profitability;3. Rich andbroaden the financing channels to improve asset turnover in order to raiseoperational capability;4. Optimize the structure of the automotive industry andpromote market reform to establish a sound and comprehensive developmentenvironment for the automotive industry. Besides our government also should helpto develop a more rational and effective industrial policy under the market economicsystem.