Study of Operation Performance —Profitability of Privatized State-RunCorporations: Using Chunghwa TelecomCo., Ltd. as an Example

• Main Authors: JIA-CHUN YANG, 楊家淳
• Other Authors: Tzu-Nien Liou
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/68259495704724549467

碩士 === 國立屏東商業技術學院 === 國際企業所 === 101 === Abstract Chunghwa Telecom Co., Ltd. had been through two stages—state-run period and corporatization, and it was completely privatized on August 12, 2005. This study aimed to discuss whether its operation performance had any obvious variance after organizational change. In addition, the study used analysis items of profitability as an example to discuss the possible factors of variance. The findings and results of the study were induced and concluded to propose suggestions or to search for strategies to respond to the market and serve as a reference for enterprises when making policies of management and development and for future researchers. Based on the indicators of profitability, the study compared the rate of change of means and analysis of variance (ANOVA) of various analysis items of profitability such as the mean of return on asset (ROA), return on equity (ROE), ratio of paid-in capital, earnings per share (EPS), net profit ratio and average turnover of employees before privatization during 1997 and 2005 and after privatization during 2006 and 2012 respectively. Suggestions are proposed on the basis of the data to serve as a reference for Chunghwa Telecom Co., Ltd. when formulating management strategies after privatization. The study results are as follows: 1. The variable ratio of each analysis item of profitability after privatization stagnated and declined. 2. The analysis items of profitability after privatization were lower than those before privatization, and only the average turnover of employees grew, which indicated that profitability of the corporation after privatization decayed and descended. 3. Privatization comparatively led to negative growth and recession on operation profits, which illustrated that privatization achieved very little. With regard to the indicator of sales volume, new types of mobile phones, the rapid development of Internet service and communication habit different from tradition were factors that caused weak sales volume of fixed network. In addition, due to the reduction of rates, the revenue of the corporation plunged. On the other hand, regarding the indicator of sales value, although the sales volume of mobile phone business increased, the competition of the market was still fierce, and the strategies of the corporation responding to the market were relatively inflexible, which led to the decline of its revenue instead of growth. To sum up, the entire efficiency value of Chunghwa Telecom Co., Ltd. declined after privatization.