Research On The Competitiveness Evaluation Of The Coal Corporations

Coal industry is an overwhelming base energy area in China. China's proven coal deposit over 85 percent of the total primary energy reserves. Coal, China's key energy, has been accounting for over 65% in primary energy, in terms of both production and consumption. Coal assumes an irreplaceable role in China's energy production and consumption. The paper focuses on competitive edge of public coal mining companies. They are closely linking with capital market. And the capital market is notably coal industry. Consequently, coal mining companies raised a large sum of fund from capital market, a modern coal mining company should have not come into being.Since the 1990s, corporate competitiveness has garnered widespread attention. In China, corporate competitiveness study was in full swing. However, few achievements have been reaped in coal industry due to its uniqueness. As a growing number of coal mining companies go public, notably intense study is conducted by security and finance organization. However, coal industry is a particularly professional sector. The information and data obtained by finance and security organizations hardly enables them to reflect the potential value and corporate competitiveness of a coal mine enterprise. As stand-alone entities, listed companies understandably take its ranking in the industry proper seriously. As a result, they will try to improve their operation and consolidate resources in a bid to boost investors' confidence.A creditor who keeps abreast of listed companies' competitiveness will fully comprehend the rankings of debtors'profitability and cash flow in all the involved listed companies. As a result, a better management on loans will come out. Creditors will singled out capable debtors. An individual investor will avert blind investment if he/she updates rankings of listed companies.The paper studies 20 coal mining companies that float A shares and sets up a system for assessing corporate competitiveness involving resources, production capacity, operating ability and location. On the basis of coal reserves, coal types and diversified coal quality, the paper analyzes factors if competitiveness such as mining conditions, work safely and market in the perspective of design of the indicator system in an attempt to analyzes the comprehensive competitiveness of 20 coal listed companies in an empirical study. At last, the paper proposes the enhancement of coal enterprise competitiveness specific measures and strategies.