Market Capitalization Management In China Listed Company

On May 9, 2014, the promulgation of the new "the nine" established the authority of the listed companies’ market value. With the delisting system of listed companies enacting, the listed companies have to pay much attention to the market value management. Listed companies whether be able to do it to the effective management of the market, not only relates to the development of the enterprise itself, also related to the interests of investors can be protected.This paper is mainly through literature research、theory and case study of two kinds of methods to study. First of all, based on the value of management, the market value of listed companies management, value management and value management comparative literature to be reviewed. After to define the key concepts including value and the value management, market value and market value management, value-based management and market value management comparison. And on the basis of theoretical analysis including the company value maximization theory, stakeholder theory, market value management content, etc.Taking " SANY Heavy Industry(600031)" as a case, starting from the overall framework of the market value of management, from the value creation, value management and value realization three aspects to analyze. Financial value driving factors mainly from the profitability analysis, investment analysis, the company capital operation analysis, which is correspond to value creation. Corporating governance value driving factors is correspond to value business; Relationship management driven factors mainly from the effective equity incentive, investor relationship management, customer and supplier relationship management three aspects to analyze, which is correspond to value realization.Based on the analysis of SANY Heavy Industry: the profit ability of the financial value driving factors is mainly analyzed from dupont analysis, profitability risk analysis, core competitiveness analysis three aspects. Investment analysis are mainly analyzed from the investment direction, investment scale, capital efficiency three aspects. Capital operation is analyzed by M&A Portsmouth company. Corporate governance value driving factors is mainly analyzed the large shareholders how to carry out effective corporate governance. Equity incentive of the relationship management is analyzed from the stock option incentive plan and restricted stock incentive plan. Investor relations management is mainly analyzed from the investors information ’right to know, public solicitation annual report information, improving information disclosure initiative, senior leaders roadshow, regular communication, high cash dividend. And it is analyzed the customer and supplier management.According to the study of SANY Heavy Industry, we put forward the countermeasures to strengthen market value management from the perspective of listed companies and regulators. Legulators should perfect the delisting system. For listed companies from the value creation, value management, value realization targeted three aspects are proposed.