Research On The IPO Optimization Of ETC Industrial Company

In recent years,with the rapid spread of "Internet Plus",Electronic Toll Collection(ETC)has also formed an "Internet Plus Traffic" development pattern in the intelligent transportation systems.After ETCs in 29 provinces are connected in July 2015,the ETC industry develops so rapidly in recent years.The number of ETC users is over 70 million in just a few years.These ETC companies rely on highway and road network resources.They are not just supply highway service.They start to enter the city,penetrate into the market,and develop the ETC payment platform combined with the current technology.They introduce a series of business based on ETC vehicles and consumer chains,and initially form a stable development pattern.However,as the state-owned enterprise,ETC companies are weak in the market flexibility and timeliness.It is obviously difficult for them to compete with mature large-scale payment platforms of Internet companies.Besides,ETC companies are late for electronic payment industry.Due to the limit of market capacity and timeliness requirement,the competition is becoming more and more intense.Therefore,ETC companies urgently need to transform and find a way which will benefit long-term sustainable development.This paper analyzes comprehensively the characteristics and significance of the capital market and the stage of the company’s development life cycle,suggests that the IPO on the Growth Enterprise Market(GEM)is an effective way to achieve sustainable development.If an ETC company can take advantage of Internet technology resources and operate IPO in the capital market,it can effectively reduce the operational risks.Also,with the help of the capital market’s standardized management and capital operation projects,it will integrate into the market better and gradually achieve sustainable development.This paper takes the ETC Company in S province as an example.The ETC business in S province started up in October 2012 and successfully connected to national network in July 2015.At present,the company has developed a total of 1.70 million ETC users.Both the non-cash payment usage rate and ETC usage rate on the bus are in the lead in the western and entire country.The ETC Company in S Province is monopolistic and state-owned.It can make use of regional policy resources to lay the foundation for development.Nowadays,the company is in growth period.This paper focuses on the issue of ETC industrial companies listed on the GEM.Taking the ETC Company in S Province as the research object,this paper researches the GEM listing conditions.Based on the theory of enterprise life cycle and IPO management,the author analyzes the development of the company and the trend of ETC industry.This paper not only demonstrates the necessity and feasibility of listing on the GEM from three aspects: the independence,finance and competitiveness,but also analyzes some existing problems in the company and proposes optimization measures for IPO implementation.The company should improve market independence,sustainable profitability,core competitiveness and standard operating level.With the power of capital market,the company can ensure its sustainable development.The author hopes that this paper can provide reference for other ETC industrial companies,making the value of which maximized.