Match The Corporate Culture Of Cross-border M & A Performance Study

With the rapid global economic integration and globalization, cross-border merger and acquisition has become a priority for many Chinese enterprises to go abroad and meet the challenges in the international market, ushering in a new round of cross-border M & A boom after the five global merger waves. This paper mainly investigates the performance of cross-border merger and acquisition from the angle of culture under this circumstance.Corporation cultural matching examines the degree of inosculation or the possibility of inosculation of the culture of both sides before and after M & A, which can be analyzed qualitatively and quantitatively. This paper studies the cultural matching situation from the three levels of culture qualitatively:concept, behavior and system. By using dimensions of cultural evaluation matrix, it measures cultural matching quantitatively. It reviews and summarizes the related studies on the influences of corporation cultural matching on the performance of the firm after merger and acquisition, providing the theoretical basis for the analysis and study of this paper.According to the mechanism of the influence of corporation cultural matching on the performance of the firm, this paper constructs an academic model relating to it:when corporation cultural matching is low, large cultural differences and cross-cultural conflicts and contradictions emerge, which bring about negative influence on corporation performance:when corporation cultural matching is high, it will lead to cultural synergy and creates value for enterprises, and therefore has a positive influence on performance.The empirical part here primarily selects cross-border M & A cases in recent years. By making use of cultural assessment matrix, it analyzes cultural conditions of the enterprises surveyed, and gives score to each corporation through the form of questionnaires; about the performance of merger and acquisition in consideration, it chooses typical performance indicators and identifies the corresponding index scores before and after the merger and acquisition process, then conducts the correlation analysis between corporate culture matching values and the performance indicators of merger and acquisition, and concludes the relationship between the two; the empirical results turn out that cultural matching has the biggest influence on firm's earning ability after M & A, and that behavioral matching is the main contributing factor to cultural matching.Finally, it raises strategies such as cultural research and assessment before M & A, conducting cross-cultural integration and management after cross-border M & A cross-cultural communication and training and to enhance cultural matching and firm's performance on the basis of the above conclusions, providing theoretical and policy guidance for enterprises proceeding cross-border M & A.