M & A Performance Study, Based On Dynamic Evaluation Model Of Enterprises

With the wave of internationalization coming, Chinese corporations' M&A activities become more and more. Therefore, a lot of people pay their attention to the questions whether M&A bring more profit to the corporations, how to measure the efficiency of M&A, how to achieve the purpose of M&A. On the basis of the results of the past research, this paper creates a new dynamic M&A efficiency evaluating model based on Data Envelopment Analysis (DEA), and then, uses the new DEA model to evaluate the efficiency of the M&A activities in 2000. The result of this research demonstrates: M&A activities bring profits to Chinese corporations; horizontal M&A activities are more efficient than vertical and mixed M&A activities; the trade-factor doesn't make the efficiency different; the scale of the corporations are bigger, the efficiency of their M&A activities are higher. Under these conclusions, this paper give some advises to raise the efficiency of Chinese corporations' M&A activities.