The Study On Performance Evaluation And Influencing Factors Of China’s Urban Private Water Supply Enterprise

Urban water industry as an important part of municipal utilities, related with the majority of the quality of people’s lives, related with the sustainable development of China’s urbanization and urban economy. And in the traditional state-owned monopoly operating mode, the government and water companies combine together, Water companies become loss and Inefficient. Therefore, in the early 1990 s, in line with ease financing constraints, alleviate the financial pressure, promote effective competition,improve economic efficiency, rebuild government regulation, promote the public welfare purposes, The Chinese government began to explore the reform of privatization of urban water companies. Today, China’s urban water privatization reform has been implemented for over 20 years, whether water privatization has expected to reach the original goal, or to raise the performance level of the water companies, what is really factors contributed to improve the performance level of the water companies, these is the main purpose of this paper.Firstly, this paper describes the research background, significance, purpose, the innovation and Insufficient, and then Combing the literature at home and abroad about whether privatization reform increase the performance, the performance evaluation of private water companies, Private water companies performance factors,and found that there is still less study at the present stage of private water companies performance, And scholars have not reached a unified conclusion, there is a lot of research space.In the following analysis, this paper firstly defined the range of the water companies covered include only the water supply enterprises and sewage treatment enterprises in articles. Then this paper select 16 listed Water Service Company as a sample, and according to the different degree of privatization of the 16 listing Corporation into four categories. Then this paper established a performance system about the profitability, asset management, solvency, growth and development capacity as four categories, with a total of 14 individual indicators, And for each one of the indicators of statistical analysis and comparison of classification, Analysis showed that the in individual performance evaluation, the highly privatization listed water service company and state holding part privatization of listed water service company is not much difference in the profitability and assets operation ability, but in the solvency and development ability, highly privatization listed water service company is obviouslysuperior to the partial privatization and state-owned holding of listed water service company. In order to combine the analysis of all indexes, this paper chooses the factor analysis method to make a comprehensive evaluation of the performance of listed water service company. Analysis found that the overall classification, highly privatization of listed water service company is significantly outperforms the state holding part privatization of listed water enterprises in the comprehensive mean score,but for the individual enterprises, there is a large individual differences, the lowest degree of privatization of state-owned holding water service company got the highest score, rather than complete privatization of water service company.Then, this paper divides the influence factors of private water companies into macro, industry and micro class. The macro level factors including economic growth,economic system, legal system, industry level factors including market structure and industry regulation, the micro level factors including ownership structure, corporate governance, enterprise behavior. This paper firstly theoretically analyzed the mechanism of various factors which affect the performance of private water companies,then selects the index factor part available, use the panel data regression model,empirically analyzed the influencing factors, found that the economy growth and the degree of privatization of did not significantly influence the performance of the private water companies. But the regulation, ownership concentration, ownership balancing degree, centralized management affects the water enterprise performance badly, the this paper analyzed and interpreted the empirical results.Finally, the end of the article further summarized interpretation of the first two chapters of the analysis conclusion, Then based on the results of the study,this paper believe that in the industry regulation, we need to the transform the government functions, clear regulation subject and object, strengthen regulation ability, strengthen the external supervision; In the aspect of improving the competition capacity of the enterprise, we need to reduce the degree of ownership concentration, perfect the balance mechanism, actively introduce strategic institutional investors, optimize the internal governance structure.