Research On The Performance Evaluation Of Yixintang Based On EVA Method

With the deepening of the reform of the medical system,the increasing demand for the quantity of medicines by the public,and the social phenomenon of an aging population,pharmaceutical retail enterprises have broad market development prospects,and investors are entering and competition is becoming increasingly fierce.The profitability of the pharmaceutical retail industry is also facing great challenges.Under this circumstance,pharmaceutical retail enterprises can only adopt a more scientific and effective performance evaluation method to evaluate the current real business results of the enterprise,and use this as a basis to formulate future business development strategies,in order to promote the healthy and long-term development of the enterprise.Among various corporate performance evaluation methods,the EVA theory has been widely used.This paper first focuses on the theory and methods of enterprise performance evaluation,EVA theory,comparison of EVA indicators with traditional performance evaluation indicators,the advantage of EVA indicators.Next,take Yunnan Hongxiang Yixintang Pharmaceutical(Group)Co.,Ltd.as a case study Object,build EVA performance evaluation system,calculate the EVA value of Yixintang from 2014 to2018,and compare with traditional financial indicators to evaluate the performance of the enterprise,and also prove the evaluation result of EVA index.It is more scientific and more reasonable.Then,according to the results of Yixintang,it analyzes the problems of Yixintang and proposes some solutions.The article concludes with some suggestions for improving the perform of EVA indicators system.Compared with traditional financial evaluation indicators,EVA indicators emphasize the ability of enterprises to use existing capital to create new value and attach importance to long-term development.The calculation process not only adjusts the accounting items that cannot reflect the current profits of the enterprise,but also deducts the cost of debt capital and equity capital,making the evaluation resultsmore realistic.reasonable.In general,the performance evaluation method based on EVA indicators can more accurately reflect the true level of business performance.