Influencing Factors of Chinese Telecom Operators' EVA

To analyze the positive influencing factors of Chinese telecom operators' EVA (Economic Value Added), this paper selects fifteen indicators based on the enterprise features of telecom operators and telecommunications industry characteristics, and then classifies these indicators into the following factors: operation scale, profitability, solvency and asset management ability by factor analysis. This paper also gives the priorities of these four factors by regression analysis, of which the operation scale is the most important factor. The research results point out a clear method for the telecom operatorsto increase their EVA in order to meet the performance appraisal from State-owned Assets Supervision and Administration Commission of the State Council.