Application Research Of Modified EVA Model In Evaluation Of Biomedical Enterprises

As the capital market is developing,increasing investors will pay attention to the value of the enterprise when making investment.The value of the enterprise itself and its ability to create value are more and more valued by managers,investors and creditors,and value assessment is gradually becoming the key research direction in the fields of finance and investment.At present,as one of the seven strategic emerging industries,biological industry plays an indispensable role in the development of national economy.With the prosperous development of China's economy,biological medicine industry is springing up,in which the development of enterprises is constantly expanding,and of which the previous research and development have caused the phenomenon that financing demand is rising fast with spending large amount capital.Thus,reasonable evaluation of the enterprise value is not only beneficial to investors to investors to make correct investment judgment but also for enterprises to improve their management level.By doing so,it can create greater value of financing for the companies.Biological medicine industry as a whole is characterized by high risk accompanied with high income.Our country did not have a value assessment method specifically fit such kind of enterprise.Therefore,this paper is written to give a correction model of EVA through analysis of the characteristics of the industry on the one hand and researches conducted on the selection of traditional accounting index of EVA model and the determination of future financial data on the other hand in a view to explore a more suitable methods for the value assessment of biological medicine enterprise.On the basis of the related literature review,comparative analysis and case analysis were adopted to illustrate the rationality of the biological medicine enterprise value assessment using EVA model under the method of income.A correction scheme of EVA model was proposed since the traditional EVA model is incomplete in the aspect of accounting data selection and data to predict future.The gray model was also introduced as a way to get a more scientific and accurate predict of the future economic added-value.Finally,this paper conducted a case study to evaluate the enterprise value of Anke Biotechnology(Group)Co.,Ltd,,and comparison of the actual market value of the company was done to illustrate the effectiveness of the evaluation results.This paper considers that the modified EVA model has certain applicability in the evaluation of biomedical enterprise value.At the same time,the evaluation results also have some implications for the management of the company,and provided some decision-making references for investors who want to invest in the company in the stock market.