The Research On The Performance And The Factors Of The Cross-border Mergers And Acquisitions Enterprises In China

The cross-border mergers and acquisitions is not only the important form that contemporary world expands, but also one of the main forms in the international investment in recent years. As the developing and transitional economy, the cross-border mergers and acquisitions of Chinese enterprises have already started. According to the prediction of the United Nations, China would probably become the fifth largest cross-border mergers and acquisitions country of the world in 2004, and the rank is only lower than USA, Germany, Britain and France. The cross-border mergers and acquisitions takes on active significance to the development of the Chinese enterprises, by which China, Europe, North America and the developing countries make available contact each other, and keep away from the trade bulwark effectively by integrating the global industry resource and the structure. This kind of function can directly manifest in the performance of the cross-border mergers and acquisitions among enterprises. Whether the performance of cross-border mergers and acquisitions is enhanced, and how to evaluate the performance becomes the focus in the theory and the fact. If the performance of the cross-border mergers and acquisitions enterprises obtain the evaluation, and find out what factors determine the performance to enhance or drop, or what factors cause the fluctuation of the performance of the cross-border mergers and acquisitions enterprises, and furthermore examine these factors to contact the results with the performance of the cross-border mergers and acquisitions, can better explain the performance question for the government and the enterprise and provide the effective decision making for the cross-border mergers and acquisitions.This paper takes 45 enterprises as the samples which occurred cross-border mergers and acquisitions in China from 2001 to 2004. Firstly, the Principle Component Analysis method is employed to analyze the four indexes which reflect the enterprises performance. Four factors are drawn and then the synthesis scores function is obtained by multiplying the variance each factor and the score of it. Then, the changes on the enterprise performance are evaluated by means of the interpolation analysis;Secondly, multinomialregression analysis method is used to analyze and examine these factors that effect the performance of the Chinese enterprises in cross-border mergers and acquisitions. Finally, this analysis results indicate: after the cross-border mergers and acquisitions of Chinese enterprises, the enterprises don't gain the ideal results, and the performance of some enterprises even dropped by paying so much cash;After analyzing the factors that influence the performance of Chinese enterprises in the cross-border mergers and acquisitions, I draw the following conclusions: Domestic experience in mergers and acquisitions, the total asset scale, the country numbers of local legal persons, the rate of increment of the main operation income, are the primary factors that affect the performance of the Chinese enterprises in cross-border mergers and acquisitions. These factors can explain the change on the performance of the Chinese enterprise after cross-border mergers and acquisitions, where experience in Domestic mergers and acquisitions and the total asset scale are the two most remarkable factors.