An Empirical Research On The Correlation Between Purchased Goodwill And Finacial Performance

In the era of knowledge economy, goodwill has become an important asset of listing Corporation in China, and has become the source of enterprise value creation. For the acquisition of goodwill, China’s accounting standards, to be more than the combined cost of the merger of the acquired party to identify the difference between the fair value of the fair value of the net assets to be confirmed. So, what is the essence of M & a goodwill? M & a goodwill as a process of mergers and acquisitions to pay a cost, whether it will bring the corresponding income?In order to study the above problems, this paper takes the enterprise resources theory and synergy theory as the theoretical basis, from the IASC and the related research on the goodwill of merger and acquisition decomposition of, first of all qualitative analysis the goodwill of merger and acquisition to on the financial performance of the company produced positive effect. Next, select the 2007-2014 A shares of listing Corporation in mergers and acquisitions and mergers and acquisitions of the company’s goodwill for the sample, analysis of the relationship between M & a goodwill and the company’s financial results. Empirical analysis shows that the goodwill of merger and acquisition of period of the M & A, M & a lag phase and M & a lag two financial performance has a significant positive role in promoting and due to the acquisition of the two sides through the integration of resources and business to achieve synergies, the positive role in enhancing gradually become more significant.In addition, compared to the non state owned enterprises, the multi-level principal-agent relationship of state-owned enterprises and the "Absence" of the ultimate shareholders make it a more serious problem. The agency problems in the M & A activities are mainly embodied in two aspects:first, the managers of state-owned enterprises may be due to excessive conceit, blind optimism and personal interests and other factors, the neglect or violation of the company and the interests of shareholders and high pay, which makes the acquisition of virtual high goodwill and non efficiency investment; second, the state-owned enterprises the principal-agent problem is more serious, the common problems of low efficiency and poor quality of asset management, so the state-owned enterprises after the merger of both sides through the synergy of resources integration and configuration may have delayed or not, it is difficult to synergy effect in the goodwill value embodied in financial performance. The empirical analysis shows that state-owned enterprises sample group goodwill of merger and acquisition of period of the M & A and M & a lag phase of financial performance does not have a positive impact and goodwill of merger and acquisition of financial results enhance the role until after the merger the two began to emerge, and non state-owned enterprises sample group merger goodwill on financial performance has a strong role in promoting.Next, this paper combined with the theory of industrial organization in the framework of SCP analysis, the research industry concentration will be on the relationship between M & a goodwill and the company’s financial performance impact. The empirical analysis shows that after entering the market concentration degree of HHI variables of, M & a goodwill of period of the M & A, M & a lag phase and M & a lag still have significant positive role in enhancing the financial performance of the two, and in the market concentrated high degree of industry, the promotion effect is more significant.At last, this paper puts forward suggestions on the improvement of enterprise merger and acquisition, the disclosure and supervision of goodwill information, the integration and reorganization of assets evaluation and post merger.