Performance Evaluation Of Financial Integration In Alibaba's Merger And Acquisition Of Youku

The development strategic goal of an enterprise is to expand its scale of production and operation and have a stronger core competitiveness in the whole industry.The direct means to develop its strategic objective is inter-firm mergers and acquisitions.Mergers and acquisitions enterprises can expand their territory and improve their own industry competitiveness through the effective use of resources within the merged enterprises.Mergers and acquisitions can enable enterprises to occupy and utilize superior resources in the market and achieve the purpose of maximizing the value of enterprises.Nowadays,with the continuous development of market economy,merger and acquisition is the inevitable result of this environment.Many scholars in western developed countries have done in-depth research on mergers and acquisitions.By contrast,China is still relatively weak in this field.A lot of enterprises have mergers and acquisitions,often neglect the financial integration after merger and acquisition,unable to form synergy effect,and unable to give full play to the respective resource advantages of both sides of merger and acquisition.The most important part of integration when enterprises complete merger and acquisition is financial integration.The effect of financial integration directly affects the final result of the enterprise's integration and even merger and acquisition behavior.Financial integration is very important.Mergers and acquisitions enterprises should pay full attention to financial integration after mergers and acquisitions.Firstly,this paper elaborates the research background,purpose and significance of financial integration after M&A.According to the relevant literature of M&A integration theory at home and abroad,it analyses the research status of financial integration after M&A,and clarifies the theoretical significance of financial integration.Then take Alibaba M&AYouku financial integration practice as the research object,using literature research,case analysis,comparative research methods to study its financial integration related issues.Firstly,the general situation of both sides and the process of merger and acquisition are elaborated.Then,the motivation of Alibaba's merger and acquisition of Youku and theprocess,mode and content of financial integration are analyzed in detail,and the relevant factors affecting the performance of financial integration are obtained.Then,the financial ratio method and principal component analysis method are used to evaluate Alibaba's financial integration from the aspects of profitability,solvency ability,operation ability and development ability.According to the results of Alibaba's financial integration,the reasons are analyzed.Finally,according to the case of Alibaba's merger and acquisition of Youku's financial integration,the enlightenment is drawn,which can provide reference for similar financial integration of other enterprises.The purpose of this paper is to study and discuss the actual situation of mergers and acquisitions,and to improve the theory of financial integration and financial integration after mergers and acquisitions,which can provide practical experience and reference for successful mergers and acquisitions of enterprises.