Research On Internet Enterprise Evaluation Model And Its Application

In the era of Internet economy,the Internet has been closely linked with people's lives.With the rapid development of the Internet industry in China,many Internet companies choose to list abroad in order to seek more qualitative capital.Concerned with the feature that Internet companies have rapid development and the high price-earnings ratio,Internet industry has been a totally symbolic and new growth point of profit in the new century,thus,more and more scholars begin to pay attention to the evaluation of Internet companies.However,taking into account the characteristics of the emerging Internet companies,the traditional enterprise valuation model can not reflect the real value of Internet companies objectively and reasonably.Therefore,it is considerably important to establish an effective and reasonable evaluation model of Internet enterprise for the investment decision makers and the whole industry.Firstly,based on the particularity of Internet enterprise and its source of value,the paper expounds the limitations of the traditional enterprise evaluation model applied to the Internet enterprise,analyzing the impact of non-financial factors on the Internet enterprise evaluation and the application of fuzzy mathematics to the Internet enterprise evaluation.Based on the traditional discounted cash flow model and real option pricing model,thepaper introduces evaluation index system of non-financial factors and the related theory of fuzzy mathematics,taking into account the risk preference and the degree of optimism of investment decision makers as a parameter,to establish the improved Internet enterprise evaluation model.At last,selecting the Baidu company as the research object,the paper do the empirical research on Baidu with the traditional enterprise evaluation model and the improved Internet enterprise evaluation model.The results of the two models are compared and analyzed,thus,the rationality of the improved evaluation model is verified.Considering the various factors affecting the value of Internet companies with the view of development,the paper has established a set of the Internet enterprise evaluation model suitable for the interne industry,so as to provide effective theoretical and practical basis for the economic activities in the capital market.