The Effect Of Pre-acquisition R&D Input Types On Post-acquisition Performance

In the background of economic globalization,the market competition is becoming more and more intense,The level of science technology and innovation has become the standard to measure the business ability of the enterprise,and it is the driving force for the internal development of the enterprise.Technological innovation can help enterprises to enhance their core competitiveness,and it is a source of vitality for enterprises.More and more enterprises acquire knowledge,technology and innovation resources through mergers and acquisitions.Mergers and acquisitions have been favored by many enterprises.At the same time,mergers and acquisitions can provide funds for the target enterprises,but also provide the channels of new technology,reserve research staff and other scarce resources for the acquisition of enterprises.Because of this,mergers and acquisitions among enterprises are becoming more frequent.Some scholars believe that M&A is an important channel for enterprises to acquire new technology through external purchase,which can be used as an alternative or supplement to the internal research and development of the enterprise,thus improving the performance of the Acquirer.Before M&A,The researchers think that it is important to analyze the determinants of acquisition performance.The most decisive factor affecting acquisition performance is the ability to choose the right target for enterprise.The technology and absorptive capacity of the main acquiring corporation determines its ability to choose and integrate goals,and enterprises can establish these capabilities through organizational learning activities.March(1991)thinks there are two kinds of organizational learning strategies--explorative strategy and exploitative strategy.Explorative strategy includes exploring new knowledge,and exploitative strategy includes refining and expanding existing knowledge.Although there are arguments that the explorative strategy and the exploitative strategy are the two ends of the orthogonal term(such as two different dimensions of organizational behavior that can coexist at the same time)orcontinuum(such as two mutually exclusive endpoints of the continuum),March's(1991)believes that the view that they are both ends of the continuum is widely accepted.Research and development activities are the main motive force of organizational learning.Therefore,this article believes that enterprises must choose explorative R&D activities or exploitative R&D activities within a certain period of time.In this paper,R&D in exploration and exploitation is defined as explorative R&D and exploitative R&D.The enterprises that make explorative R&D are called as explorative firm,and the enterprises that make exploitative R&D are called as exploitative firm.Now that M&A can be used as a way to acquire new technology,is it necessary to make R&D before M&A? What kind of impact will the different types of R&D before mergers and acquisitions have on post-acquisition performance? The impact of R&D,invention and enterprise merger and acquisition on enterprise performance is the hot spot of research in recent years.Research has been conducted from different angles,but few articles have tested the impact of R&D type before merger and acquisition on post-acquisition performance.This article is a special study.This paper divides R&D into different types,and focuses on the impact of explorative R&D before M&A on enterprise performance.On the basis of enterprise behavior theory,resource based theory and knowledge spillover effect theory,this paper discusses the type of R&D(explorative R&D and exploitative R&D)and the influence of R&D investment time(pre-acquisition and post-acquisition)on the post-acquisition performance.Through the analysis of the panel data of 221 sample enterprises,this paper finds that the pre-acquisition R&D has a positive impact on post-acquisition performance.Before the merger,the exploration firm has a positive impact on post-acquisition performance.It is also found that the R&D of explorative firm before M&A has no significant impact on post-acquisition performance.