Comprehensive Evaluation Of Listed Companies Based On Financial Capacity And Governance Capacity In Shanxi

Listed company as the barometer of national economy,it affects the development of national economy. With the deepening of market-oriented, the listed company as a force to promote the development of a modern economy continues to strengthen.It plays an important role in optimization of the growth of national economy and the economic structure. With the implementation of the strategy of central China and "Twelfth Five-Year Plan" such special period, Shanxi Province as a national resource-based economy of comprehensive reform pilot area is in a stage of rapid development, So it’s important to have a comprehensive evaluation for listed company in Shanxi especially.In this paper, We evaluate the Shanxi comprehensive ability of listed companies. First, We will have an overview of the listed companies in Shanxi Province from the longitudinal and transverse respectively, We then evaluated separately from the financial capacity and the ability to both corporate governance of listed companies in Shanxi Province. In terms of financial capability,we select two indicators from profitability, operational capacity, solvency, development capacity and financial capability to analysis. In terms of Corporate governance capability,We selece 24 indicators from shareholders governance, board governance,supervisory board Governance and managers governance to analysis. Finally,We combine two aspects to have a comprehensive evaluation and to identify problems in their development,then we put forward the corresponding policy recommendations.The financial capacity and corporate governance in Shanxi province at a medium level in general, comprehensive capacity needs to be further improved. By analyzing various aspects,there may be some problems such as the number of listed companies is small and the regional distribution is unreasonable; industry structure is imbalance; The third industry lags behind; Coal and other related industries showed a downward trend; Corporate governance structure is not reasonable,especiallySupervisory Board Governance. To solve these problems, Shanxi Province can adjust the industrial structure so that the first, second and third industries balanced development;to transform the coal industry positively.To adjust the company’s governance structure; Besides, For the rich tourism resources in Shanxi Province,We can actively develop tourism and other industries which are less investment and sustainable development.