Study On Sustainable Development Ability Evaluation Of Enterprise Based On The Regional Difference Coefficients

Business as a member of the macro-economy play an important role in theimplementation of sustainable development strategies. At present, China ’smacroeconomic situation changs rapidly.And it is in the important stages of nationalindustrial structure adjustment and the change of the way of development. So it has putforward higher requirements for the capacity of sustainable development of enterprises.Theoretical and applied research on corporate sustainability has been academic andwidespread concern.Research idea in this paper is: through combing current research achievements insustainable development evaluation system of enterprises，set up the representationaland practical evaluation system; when considering the influence of external factors ofsustainable development ability, the paper introduced a regional differencesconversion model; based on the discussion of theories and models,conduct a researchon comprehensive evaluation and trend analysis of sustainable development ability ofthe listed pharmaceutical companies by using principal component analysis; conduct acomparative analysis on the changes of sustainable development evaluation and therankings of companies in different provinces by using regional differences conversionmodel regional;found out the overall change trend of comprehensive evaluationrankings of the eastern and western regions; reveals the regional environmental factor’simpaction mechanisms and rules.The main results of this study include:(1) Through literature research, the paper summarized two evaluation index systemof enterprises sustainable development capacity. One is based on the stakeholder theory,and the other is based on the theory of corporate financial management theory.(2) The paper made a timing research on the sustainable development capacity oflisted pharmaceutical companies using timing global principal component analysis. Theempirical results show that: by analyzing the factor loading matrix, the research foundthe order of the impact strength of evaluation index is profitability, operations ability,solvency ability and development ability; conduct mean-variance analysis and trendforecasting analysis of comprehensive evaluation index and rankings, and found that theoverall result of the analysis and prediction is consistent with the actual development ofenterprises. It also shows that it’s very difficult for pharmaceutical companies to enhance competitiveness and competitiveness ranking in the short term.(3) Used the conversion coefficient model which based on TOPSIS model toconduct empirical research on companies in different regions, in order to validate themodel’s assumptions and practical feasibility. Either from the results of the individual orthe overall analysis, it shows that regional environmental factors affect the sustainabledevelopment ability evaluation. Changes in the rankings verify that the hypothesis ofconversion model is established. From the impaction mechanism, we found that theregional environmental factors have an impact on the evaluation index of sustainabilityassessment of listed small and medium sized pharmaceutical companies throughregional differences conversion model, which makes the evaluation results change.From the impaction rules, it shows that the larger and higher ranking the regionaldifference coefficient, the greater negative impaction on the evaluation of thesustainability of enterprises it would make, which means the decline in ranking.Conversely,the smaller and lower ranking the regional differences coefficient,thegreater positive impaction on the evaluation of the sustainability of enterprises it wouldmake,which means the raise in ranking.(4) The pharmaceutical companies which listed on the SME board have problemsin profitability level、core competitiveness and other terms due to the characteristics ofindustry.The empirical results show that profitability is the important indicator toinfluence the evaluation corporate sustainability, and the evaluation results will beaffected by regional environmental factors. So when company formulates financialstrategy and sustainable development strategy, it should be attention to several points.First the company should be committed to building its own core competitiveness;Secondly, in order to improve profitability, it need a perfect profit model; Finally, itneed to fully consider the impact of external environmental factors such as governmentpolicies, and establish perfect coping and adjustment mechanisms to shorten the periodof the adapting of external regional environmental change.