Research On Performance Of Cross-border Mergers And Acquisitions Of Chinese Enterprises

Relating to the western world that has experienced five waves of mergers, Chineseenterprises only in the21th century began to have cross-border mergers and acquisitions. But theenthusiasm of Chinese enterprises’ cross-border mergers begin to highlight as the China’seconomy ranked the world’s second largest economy and the foreign exchange reserves exceededthree trillion U.S. dollars.From the comprehensive study of long-term and short-term corporate performance this papertry to answer this question. Firstly, from the aspects of corporate profitability, solvency,operation ability, the shareholders’ profitability and development capacity, the departure built thecomprehensive evaluation system of financial performance of cross-border mergers andacquisitions of Chinese enterprises. And then the departure used the factor analysis method toanalyze its financial performance. After that the departure began to make classification study ofthe financial performance.Furthermore, this article uses the event study to research the enterprise’s short-termperformance. This article examined the reaction of the market for mergers and acquisitions in thewindow time (-20,20) by calculating the average excess return and cumulative average excessreturn. After that the departure continued to make classification study of the financialperformance from the industry, location, mergers and acquisitions’ subject.In this article I try to do a more comprehensive analysis using the financial study and theevent study methodology. It is concentrated in home appliances, machinery, electronics industry.However, our country’s cross-border mergers and acquisitions are not mature, the window timeand the research content can be further improved, and I hope I can be improved in future research.