A Study On The Evaluation Of The Growth Of GEM Companies

Growth Enterprise Market (GEM) aims to provide a financing channel and growth space for small and medium enterprises (SEMs) and emerging companies which cannot meet the requirements of the Main-Board Market. It is an effective complement to the Main-Board Market and occupies an important position in capital market. Most companies listed on GEM are high-tech enterprises, which have the characteristics of high growth, short operation life, small size, and unstable performance. Since the operation of GEMs, growth has become the focus of research. Reasonable evaluation of the growth of GEM company will help investors, enterprises and regulators to make the right decisions.There are six parts in this paper, each chapter is organized as follows:The first part, Introduction. This chapter introduces the background and significance of the research. It also includes the main content, research method and contributions of the paper. As GEM develops rapidly, it is very important to evaluate growth of GEM listed companies reasonably.The second part, Literature Review. This chapter introduces literatures about the research of company growth evaluation system, enterprise innovative ability and the relationship between them.The third part, Introduction of GEM and the related theoretical analysis. This chapter introduces the current situation of GEM and related theories about growth. It provides the theoretical basis of the growth evaluation system.The fourth part, The establishment of the growth evaluation system of GEM companies. First, choose the method of analytic hierarchy process to establish the growth evaluation system of GEM companies by comparing the different evaluation methods. Second, illustrate the factors influencing the growth of the enterprise from four aspects which reflect the company’s innovative ability. Finally, according to factors illustrated, use the method of analytic hierarchy process to establish the growth evaluation system of GEM companies. The fifth part, Case study. This chapter use two companies listed on GEM as the application of the growth evaluation system and test the rationality of the system.The last part, Conclusion. This chapter summarized the contents of this paper and illustrates the deficiencies found.The main contribution of this paper is the establishment of the evaluation system for the growth of GEM companies. The system is established by using the method of analytic hierarchy process and based on the perspective of innovative ability. It includes four levels, the potential resource of technological innovation, the evaluation of technological innovation activities, the output of technological innovation and the environment of technological innovation, and twelve specific indicators. The system is expected to provide some references to companies, investors and government.