Cross-border Mergers And Acquisitions Of Chinese Enterprises, The Empirical Research

As China emerged as the world's second largest economy, its interaction with foreign economic entities especially the developed countries has already escalated from trade level into capital level. However, we can also see sums of cross-border mergers and acquisitions (CBMA) failures in these years. For the short history of China's CBMA, Chinese enterprises are immature, even not as good as Indian companies.What's the performance of Chinese enterprises' CBMA in long-term? How many of them succeed from the CBMA, and how many failed? What's Chinese companies' core competence in the world capital market? How to raise the performance of the company after the CBMA? Unfortunately, there's little research on these topics.Herein this paper sorts out the questions from the theoretical perspectives to the empirical researches on China-related fields. Comparing to Dunning's Investment Development Path Theory (IDP theory), we can get the unbiased conclusion that China is in the fourth stage of the IDP stages.China and India are two largest developing countries and fastest growing economies in the world. They are similar in several ways, but show differences in the CBMA field. The author uncovered the reasons of the efficiency variance of two countries'CBMA in this paper, to show China's competitive position in the world CBMA market.In the empirical part, combined with financial evaluation and principal component analysis, the author studied the performance of CMBA between 2001 and 2007 of China A-share listed companies and found no significant changes.