A Evaluation On The Corporation Merger And Acquisition Performance Based On The Balanced Score Card

At present, the domestic economy continues to develop, the industry enterprises are facing severe competition challenges. Most companies will change the fate of the way to seek development through mergers and acquisitions. With increasing number of mergers and acquisitions, the community has increasingly attention how to judge and evluate the new enterprises’ espected goal, how to judge the enterprise profits by M&A, how to compare the result of enterprise after merger and acquisition and the expected result before M&A. In view of this situation, many scholars have begun to study how to make a full evaluation of enterprise mergers and acquisitions.The paper compares the tradional method of performnce and the Banlanced Scorecard performance evaluation theory, constructs the balanced scorecard method of performance evaluation is better. Based on the balanced scorecard, this paper constructs a comprehensive index system for evaluating the performance of enterprises, and carries out a comprehensive performance evaluation and analysis of the case of Geely’s acquisition of Volvo. the author thinks this is a kind of perfect method of enterprise M&A performance evaluation.Compared with the traditional method of performance evaluation, balanced score card is not simply from the financial point of view of enterprise M&A performance evaluation,preferring to evaluation, balance score card from the financial index, customer satisfaction,internal processes, employee learning and growth four aspects of enterprise performance evaluation, so that we can realize the enterprise’s performance after M&A more comprehensive.This paper is divided into five chapters. The first chapter is the introduction part,mainly introduced the research background and significance, research ideas and methods,innovation and deficiencies and describes the current domestic and foreign research status on mergers and acquisitions, do research overview based on Balanced Scorecard Perspective. The second chapter mainly introduces the methods of evaluating theperformance of the enterprises, including the traditional method and the method of the balanced scorecard. The third chapter is to construct the index system of Balanced Scorecard to evaluate the performance of M&A. The fourth chapter is the analysis of the performance of the Balanced Scorecard index system in the case of Geely’s acquisition of Volvo. The fifth chapter is to introduce the paper’s conclusion, puts forward some suggestions to Geely and do an explaining on paper’s shortcoming.This paper selects the data of Geely’s from 2008 to 2013 and do a valuation to the performance after Geely’s acquisition of Volvo from financial,customer,internal process,learning and growth four aspects. Financial, solvency and profitability has improved significantly, operation ability and development capacity does not improve much compared to before the merger is due to the automobile industry downturn’s impact on the environment coupled with mergers and acquisitions allow Geely to bear the relatively large debt, in this case remains growth but also to show the auspicious good prospects for development. Customers, Geely brand awareness, market share, customer satisfaction has been significantly improved. Internal processes, Geely’s management costs and after-sales service satisfaction has been increased and improved. Learning and growth, Geely’s R & D capabilities and cultural identity have achieved great success. Therefore, Geely’s acquisition of Volvo, the overall performance achieve the effect of rising.