The Influence Of Institutional Distance On The Performance Of Chinese Listed Companies In Transnational Mergers And Acquisitions

Under the influence and promotion of the high-speed development of our country's economic level,our country's international status has been continuou sly improved,at the sa me time,it ha s also promoted the competitiveness of our enterprises in the international arena.With the support a nd encouragement of the government,Chinese enterprises bega n to respond positively to China 's strategy,and bega n to "go out" with strengths that n o one else had,opening the way to leaving the country and heading for the world.Looking back on the pa st,statistics on the number of mergers and acquisitions carried out by Chinese enterprises in the past deca de,except for the reduction in the la st two years,the overall analysis of the scale of China's enterprises in the continuous expansion of foreign direct investment,on the other ha nd,Amount of transaction Degree,quantity and the scope of the transaction and so on are showing the trend of growth.Further statistical analysis of the foreign direct investment of Chinese enterprises shows that cross-border M & A is the most attractive way of foreign direct investment in many fields of investment.Under the trend of China choosing cross-border M & A to invest directly abroa d and get rapid development,the influence of institutional distance on cross-border M & A performance of listed companies ha s become a new research hotspot.This paper takes institutional dista nce a s a starting point to stu dy the performance of cross-border mergers and acquisitions of listed enterprises in our country,and divides institutional dista nce into two aspects: informal institutional distance and formal institutional distance,on the basis of which,the author points out that the institutional dista nce can be divided into two parts: informal institutional distance and formal institutional distance.To further study and analyze the impact of formal institutional distance a nd informal institutional distance on the performance of cross-border mergers a nd acquisitions in China in the long and short term,and the relationship between them.Finally,ba sed on the research results,this paper puts forward some reference mea ning to guide Chinese enterprises to "go out".This paper fol lows certain rules to select research samples,the total number of selected samples 2 00,China's listed compa nies occurred in 2009 to 2017 cross-border mergers and acquisitions.Taking formal institutional distance and informal institutional dista nce as i ndependent varia bles,this pa per selects the abnormal return rate of listed companies after M & A to measure the short-term performa nce.Choose the changes in financial a ccounting indicators after M & A to measure long-term performance.After factor a nalysis by principal component analysis,multi-linear regression model is u sed to stu dy the effect of institutional distance on the performance of cross-border M & A.From the empirical results,it can be conclu ded that in the short term,the institutional distance has no obvious effect on the cross-border M & A performa nce of listed companies in China,both formally and informally.In the long run,formal institutional distance and informal institutional distance have a positive impa ct on the cross-border M & A performance of listed companies in China.Finally,ba sed on the conclusion,this paper puts forward some targeted policy suggestions from the perspective of macro-level and micro-level.