Valuation Methods Of Liquor Enterprises From The Perspective Of Life Cycle

Under the background of rapid development of the economic and society,China's capital markets have become increasingly sophisticated with the active corporate mergers,acquisitions,restructurings and equity transfers,and the secondary securities market is attracting more and more investors at the same time.However,due to the imperfect development of the market and the lack of professional knowledge,investors have often suffered large losses.In recent years,value investing has attracted more and more attention.Investors have begun to pay attention to the analysis of fundamentals.It is increasingly important for capital market participants to have a good grasp of corporate valuation methods.It is crucial to choose an appropriate valuation model when valuing a corporate.According to the theory of enterprise life cycle,this paper divides the company into different life cycle stages.The enterprises in different stages have different liability structure,cash flow,and growth characteristics.Therefore,the valuation model applicable to different stages of the enterprise is also somewhat different.Based on this,this paper studies the applicable enterprise valuation models for enterprises in different life cycle stages.This paper first reviews and analyzes the domestic and foreign literatures on the theories of enterprise life cycle,enterprise valuation theories and those on their relationships.Then this paper introduces these two theories separately.In the section of the enterprise life cycle theory,the methods for dividing the life cycle stages and the typical characteristics of the enterprises in each life cycle stage in terms of organizational structure,operating situations,financial indicators,and sources of value are summarized.In the section of the valuation theories,the principles,models,and improvements of the cost method,the present value of income method,the real option method,and the market method are summarized.Based on these theories,the valuation methods most applicable to different life cycles were followed.In the end,this paper uses Kweichou Moutai as an example to judge the stage of its life cycle,and then uses the present value method and the market method respectively to value it,and finally compares the valuation results with the real stock price to verify the accuracy of the valuation methods for liquor companies.