The Research On Merger And Acquisition Efficiency Of Domestic Commercial Bank

With the development of the world economy and the intense competition between banks, foreign banks adopt bank merger and acquisition (M&A) for the purpose of expansion, improving their efficiency, enlarging their markets, business diversification and international strategy. Chinese commercial banks have adopted bank M&A too. But Chinese bank M&A is still on the steps of developing, so it is meaningful to study the bank M&A efficiency. This paper aims at prompting the development of bank M&A and improving the bank M&A efficiency through the study of the domestic bank M&A efficiency.This paper first analyzes the theories and the effect of bank M&A to the bank efficiency. And analyzes the status in quo of international and domestic bank M&A respectively and the developing trend of bank M&A. Then the paper studies a commercial bank M&A case. In order to make the result of the analysis more objective and comprehensive, the paper uses three methods, including financial rate analysis, factor analysis and data envelopment analysis. The result of the empirical analysis shows that bank's efficiency decreased after M&A, although it improved a little after several years, but still below the level before M&A. Finally this paper put forward some advices according to the empirical study in order to improving the bank M&A efficiency.