The Method Research Of Business Valuation For Emerging Internet Enterprises

The emerging Internet enterprises are born at the right moment at which the mobile internet era is coming.E Le Me,DiDi,and bike-sharing Apps like Mobike,are changing people's life in a new way.Through these products and mobile devices,we can purchase goods,share feelings,communicate by video and audio anytime and anywhere.Today the emerging Internet enterprises represent an interesting life style with fun,convenience and efficiency.Behind the rapid development of emerging internet enterprises,the competition inside the industry becomes more and more fierce.These enterprises normally choose financing to refresh themselves to survive and expand.As a result,Business valuation of emerging Internet enterprises is becoming more and more important.Based on the characteristics of emerging Internet enterprises,this paper analyzes the inapplicability of the traditional enterprise evaluation model.The exiting model and calculation had been improved in two aspects of research.On the one hand,the paper used Zapf's Law for making the relationship of the number of Internet customers and the business value more reasonable.On the other hand,the paper defined the model parameters and determined calculation methods by quantifying the comprehensive evaluation of the enterprise into the node spacing.The paper calculated the value of E Le Me by the improved model,compared the result with its financing value in 2016,and analyzed the effectiveness of the improved model.Finally,the following conclusions are drawn: First,because of the different content and business model of the emerging Internet enterprises,and most enterprises are loss and lack of comparable enterprises,it is necessary to improve the existing Internet enterprise valuation model and determine the model parameters.Second,the introduction of Zapf's law and the definition of parameters are reasonable and their applicability becomes stronger.Finally,the results of the case valuation are close to the market financing value,which means the improvement of model is valid.