Research On Performance Evaluation System Of Joint Venture Enterprises In China

China’s automobile industry, especially passenger car area has been developed rapidly since the "Eleventh Five-Year". As the leader of passenger car market, joint ventures have grown up dramatically accordingly. Compared with it, domestic automobile companies’ development is facing difficulties. Besides, foreign investors are reluctant to build R&D institutions in China and local environment is being polluted as the expense of industry development. In order to change the serious situation, State Council has passed Adjustment and Revitalization Plan of automobile industry in early2009, and determined automobile industry as domestic important pillar industry. As the important component of automobile industry, the prosperity of joint ventures is related to healthy and stable development of the whole automobile industry and national economy. Therefore, conducting effective performance evaluation for joint ventures through scientific methods can help to promote performance management level and cultivate core competence, which are of great realistic importance to keep sustainable and stable development of automobile industry.There are many researches related to performance management and evaluation system of multinational corporation stand the position of foreign parent companies while ignoring the requirement of local parent companies and joint ventures themselves. However, China’s automobile joint ventures are usually founded by both local and foreign parent companies. Therefore, this article attempts to integrate each of parent companies’position to evaluate automobile joint ventures and set up an effective performance evaluation system for it. Beginning from basic theories and automobile joint ventures characteristics analysis, and then this article identifies reasonable evaluation targets and objects, and designs evaluation indexes from five aspects. Besides, two factors which affect performance evaluation system are analyzed.Specifically, this article firstly analyzes appraising targets and objects theories. Secondly, with the analysis of automobile joint venture characteristics and value chain, this article identifies five performance impact factors and then selects evaluation indexes from each aspect. Finally, this article analyzes the impact of product life cycle and organization culture to performance evaluation of automobile joint ventures. Besides, based on former performance evaluation system conducted, this article introduces the system to Changan Ford Mazda Engine Corporation and certifies the system using the performance evaluation system conducted by wholesale dealers of Changan Suzuki Automobile Corporation.This article combines theoretical research and example application method, and attempts to conduct joint ventures’ performance evaluation analysis, which is practical for setting up performance evaluation system for automobile joint ventures.