Performance Evaluation Of China’s Manufacturing-listed Companies From GME:A DEA Approach

Although the GEM has characteristics such as high-growth and high-yield, it has many problems because of the low barriers to entry, and its listed companies relative to the main board listed companies always have small scale, high risk, unstable operating performance, while our country is still in the early stages of the GEM, the relevant legal legislation is not perfect. Many senior manages of listed companies cashed their shares and resign as soon as the GEM set up,while "three high", "misappropriating", "break" and other controversial topic has been around GEM;many companies are high-tech, high-profit before being listed and the opposite after being listed. For those investors,it is important to evaluate the performance and discern the true value of listed companiesTo improve the GEM companies’s capability of independent innovation, the government often give them some resources, while the companies failed to put the government subsidy to the technology research and development effectively. For the government who gives GEM listed manufacturing companies a lot of subsidies, it is important to have an accurate assessment of business performance and figure out whether their subsidies playing a proper role.Enploying Data Envelopment Analysis,this paper measures the performance of China’s manufacturing-listed companies from GME,based on data of 112 manufacturing companies listing before 2010.The result shows that performance of China’s manufacturing-listed companies from GME is high overall,while the overall efficiency doesn’t rise as the industry technological level rises;AS the scale efficiency is generally higher than the technical efficiency,maintaining the production scale while improving production efficiency is the most effective way to enhance the performance.; high-tech enterprise with less similar companies in the same area will have a better performance.