Research On The Application Of Economic Value Added Index In Performance Evaluation Of China Unicom

China Unicom is on the basis of original China Netcom and original China Unicom which merged to form the large-sized state-owned telecom enterprises. In2009, China Unicom went into the global top500for the first time, and ranked in419, but its economic value added (EVA) ranking in the last member of the telecom industry.With the fast development of domestic economy and the telecom industry becoming more and more perfect of the market mechanism, increasingly scarce resources and industry competition pressure, China Unicom, have to realize the enterprise value maximization as the core pursuit, enhance market competitiveness, improve enterprise performance. The enterprise performance evaluation accurate or not is directly affect the improvement of the internal management level and the realization of the expected goal of the enterprise. In this environment, the traditional performance evaluation index in measure the effectiveness of the enterprise value creation is gradually weakened, but the correlation between economic value added (EVA) and value creation is growing.This article is divided into five parts, mainly adopts case analysis method. The first part introduces the EVA in the research and application status of both in domestic and abroad; In the second part, the paper analyzes the traditional performance EVAluation index, and points out its existing problems, and at the same time, it expounds the EVA performance evaluation methods, which have the biggest characteristic is that EVA considers the equity capital cost, focus on the long-term development of the enterprise, and it can truly reflect the enterprise value, and comparing with the traditional performance evaluation index, it has more advantages; The third part, case analysis of China Unicom, with the basic situation of the China unicorn, and industry characteristics as a starting point, according to the present situation of the application of EVA in China Unicom, it is concluded that the problems existing in the application process; The fourth part, according to the problems put forward in the third part, giving some feasible Suggestions for improvement; The fifth part is case conclusion, mainly to give a research summary.By comparing EVA and the traditional performance evaluation index found that EVA has incomparable advantages in performance evaluation. EVA is more accurately reflects the current operation and management of China Uunicom.It is a method which is to promote enterprises to improve internal management, improve enterprise’s value and the performance evaluation of core competence in the new economic situation. Carrying out the performance evaluation research on the basis of EVA, introducing the idea and method of EVA in the production and operation management, contributes to promoting the development of China Unicom and improving quality and achieve sustainable development.