The Case Study Of Evaluation Of Enterprise Value Of HS Company Based On Market Approach

With the development of China’s overall economic strength, the communications technology services industry also has been developed. As the communications industry continues to emerge, economic activity has been more frequent, and the need for enterprise value evaluation is also increasing. Therefore, it is important to choose a suitable evaluation approach to get objective and accurate enterprise value. Common evaluation approach include: market approach, income approach and cost approach.Among them, the market approach as a master of asset appraisal technology, taking into account the profitability of enterprises,capital structure,business model and other factors,systematically covers the market parameters including the securities market, providing the value information and the scale for the market transaction subject, which is the most direct manifestation of the market attribute of the asset appraisal. At present in the international market approach as one of the main use of valuation methods in the increasingly rich information data in China’s capital market has a bright future development prospects.This paper, combined with the use of market approach in the enterprise value evaluation of the examples, in the comparable business choice and value ratio of the two aspects of the amendment, making the assessment results more scientific and reasonable.In the choice of comparable enterprises, the use of fuzzy mathematics sticking the principle of the selection of comparable companies,and according to comparable companies and evaluated company’s proximity to determine the reference proportion of comparable companies, this process reduces the choice of corporate choice of subjective factors. In the aspect of the revision of the value ratio, the difference between the business risk and the expected growth rate of the enterprises and the comparative enterprises will be included in the revised scope, the risk of assessment will be reduced,and the evaluation results will be more scientific and accurate.This paper focuses on the application of the market approach to evaluate the current situation of the domestic and foreign market approach, concentrating on making the use of market approach to evaluate the theoretical basis,linked with China’s economic development status confirms the market approach in China’s applicability and feasibility,for the core of the market approach: one is to choose the improvement of the object method, the second is to calculate the value ratio process of technical correction. These two aspects of improvement, on one hand, will contribute to the in-depth exploration of market approach theory; On the other hand, to make the assessment results more scientific and reasonable, will have the practical significance of promoting the application of market approach.