Motivation And Performance Analysis Of Cultural Enterprise Merger And Acquisition Under The Background Of Pan-entertainment

In today’s economic context,business competition is becoming more and more fierce.In order to occupy a place in the market competition and achieve sustainable development,enterprises need to constantly improve their competitiveness.At this time,they tend to rapidly enhance their strength through mergers and acquisitions.For cultural enterprises,the state introduced a large number of supporting policies,the development of cultural industry on the rise and development of socialist culture is more and more prosperous,the market also took advantage of the reform of the cultural enterprise development in the spring breeze,and in such a competitive situation,to enhance their strength and grab market share has become especially important for cultural enterprises,so the cultural enterprises through mergers and acquisitions to the phenomenon of the entertainment expansion also common occurance.Pan-entertainment is a kind of fan economy that takes star IP(intellectual property)as the core and creates multi-field symbiosis of cultural products.It has become one of the recognized trends of Internet development in the industry.Under the background of cultural enterprises tending to the development of entertainment,this paper analyzes the motivation and performance of the merger and acquisition of Xinli Media by China Literature Group with the method of event study and balanced scorecard,so as to provide suggestions for similar mergers and acquisitions in the market.Based on the theory of industry value chain and market power,analyzes the China Literature and New Classics Media this case,mergers and acquisitions and mergers and acquisitions motivation and m&a performance carried on the thorough analysis,first found the China Literature the impetuses for the mergers and acquisitions have discovered the potential value of the vast literature content library,improve the company’s platform on the writer’s value orientation,extend the industrial chain of the entertainment down in order to gain a larger market space and rich product variety and audience,New Classics Media choice by m&a motivation mainly resolve the problem of capital and seek new economic growth point in the environment industry downturn,etc.Second in research on m&a performance,using event study method to study the short-term effect,using the balanced scorecard from multiple Angle to study the long-term effects of m&a and results show that the China Literature short-term effect is not ideal,after mergers and acquisitions in the long term m&a is successful,because at the beginning of the public is not optimistic about the acquisition,but later after the integration,coordination effect played a role,so in general,the China Literature to the New Classics Media of merger and acquisition is successful.This paper hopes to provide reference for other cultural enterprises to conduct pan-entertainment mergers and acquisitions through the inspiration and suggestions after analyzing the motivation and performance of China Literature Group’s merger and acquisition of New Classics Media.