Research On Evaluation And Influencing Factors Of Value Creation Ability Of Huawei Concept Stock Listed Companies

At present,most of the huawei concept stocks listed in Shanghai and Shenzhen are Huawei’s suppliers,distributors,strategic investment companies and strategic partners.In 2018 Huawei and Vodafone have completed the first test of 5G calls,it marks a breakthrough in China’s 5G technology and a leap forward in the world’s mobile communications sector.Huawei’s outstanding achievements,however,prompted the US government to impose malicious economic sanctions on Huawei,forcing Huawei’s international supply chain to be cut off,and a number of overseas companies to announce the termination of strategic cooperation with Huawei.The value creation ability of Huawei’s concept stock enterprises is related to whether suppliers can supply raw materials to Huawei in a sustainable and stable manner,and affects huawei’s choice of strategic partners and the development prospect of 5G.This paper takes Huawei concept stock listed companies in China as the research object,and studies their value creation ability and influencing factors.This paper argues that it is of great importance to use objective models to evaluate the value creation ability of huawei concept stock listed companies,and to clarify the influencing factors of value creation ability for enterprise capacity improvement and stakeholders to make scientific decisions.In this paper,291 concept stocks of Huawei listed companies in China’s A-share market are selected as the research objects,and relevant financial data of the company from 201 6 to 2020 are selected for research.Firstly,this paper studies the evaluation methods of value creation ability at home and abroad and the related literature on factors affecting value creation ability,defines two concepts of concept unit and value creation ability,and expounds the main theories used in this research:trade-off theory,firm capability theory and stakeholder theory.On this basis,this paper selects indicators from five aspects of solvency,development ability,market performance ability,cash flow management ability and profitability to construct the evaluation system of value creation ability.Secondly,based on CRITIC method and grey correlation analysis,this paper builds an evaluation model of value creation ability,and uses the model to rank the value creation ability of Huawei concept stock listed companies,and selects two representative companies for analysis to verify the validity of the model,providing reference for other companies to evaluate their value creation ability.Then,Lasso model is used to screen the influencing factors of value creation ability,and quantile regression is used to verify the robustness of the model.It is found that working capital ratio,retained earnings to assets ratio,growth rate of owners’ equity,growth rate of management expense,turnover rate of accounts receivable,earnings per employee,operating debt ratio and current debt ratio all have an impact on value creation ability.Finally,the paper puts forward suggestions from five aspects:value creation ability evaluation system construction,core competence construction,corporate strategy formulation,stimulation of employees’ profit creation ability and capital structure selection,so as to point out the direction for the company to enhance its value creation ability and enhance its competitive advantage.