Research On The Constraints Of Large-scale Coal Enterprises’ Scale Expansion

Large-scale coal enterprises expand unceasingly with the concentration of china’s coal industry increasing in recent years. In this process, the contradiction between scale expansion of large-scale coal enterprises and slow growing of domestic demand for coal is becoming more and more intensified and china’s large-scale coal enterprises and even the whole coal industry are in a very difficult period. Under the condition of “new normal”, it’s imperative to adjust and control large-scale coal enterprises’ scale, improve the scale efficiency and help coal enterprises erase from the difficulty. This paper aims to make large-scale coal enterprises realize the problems existing in the scale expansion, on basis of which this paper will look for effective measures to control the enterprise size. The control measures proposed are mainly based on the economic and administrative constraint elements of the large-scale coal enterprises. The study of large-scale enterprises’ economic and administrative constraint factors is also a main content of this paper.This paper researches from the angles of large-scale enterprises’ revenue and coal production. DEA method is used to evaluate the enterprise scale and the result shows that large-scale enterprises are now in an invalid state. In the study process of large-scale coal enterprise scale appropriateness, this article groups the existing scale under the standard of fixed asset net amount, and uses DEA model to analyze it. By comparing each group’s average overall efficiency, this paper divides the existing scale into three stages and analyses the large-scale coal enterprise scale appropriateness in different group of each stage.Then the economic and administrative constraint factors of large-scale coal enterprises are studied. The article analyzes the large-scale coal enterprises’ economic constraint factors from macro and micro angles and put forward hypothesis of the constraint relation between each constraint element and large-scale coal enterprises. Then the corresponding panel data model is constructed and results of analyzing the model show the transaction cost, total assets investment, market competitiveness and regional GDP level has positive constraint effect for the size of large-scale enterprises. However, labor input plays a negative constraint factor for that. This article defines administrative constraint elements into constraints for decision-making by the government and large-scale coal enterprises in the process that the government supervises large-scale coal enterprises’ scale. By making the mixed strategy static and dynamic game models of the government and large-scale coal enterprises and then analyzing them, this paper gets the result that government regulatory costs, punishment for large-scale coal enterprises by the government due to the enterprises’ exceeding the production limit and the bribes accepted by the government from the enterprises will all affect the fact if large-scale coal enterprises will exceed the production limit or not.Finally, some suggestions are proposed on the basis of the research above to adjust and control large-scale enterprises’ scale effectively. Large-scale coal enterprises should focus on economic benefit and the effective scale construction, optimizing the structure, planning the strategy layout, optimizing the production process, controlling the production cost and improve the quality of production. At the same time, the government should have a correct understanding of the important role of coal and coal enterprises, and should give local coal enterprises care and encouragement during the period of difficulty to help large-scale coal enterprises develop healthily and sustainably.