Research On The Performance Of Ctrip's Acquisition Of Qunar

China's active promotion of tourism industry provides a good external environment for online tourism enterprises.The merger of Ctrip and Qunar has also opened up a new situation in the Online Travel Agent(OTA)market,the two can regain new development opportunities on the basis of mergers and acquisitions,how to minimize risks during mergers and acquisitions,conduct M&A transactions more effectively,achieve the intended purpose of mergers and acquisitions,and improve the performance of enterprises is a huge challenge and opportunity for both parties.Ctrip will do mergers and acquisitions on Qunar.The mergers and acquisitions will undoubtedly break the previous development bottleneck,enrich operating profit and improve corporate performance.Therefore,based on the particularity of online travel industry mergers and acquisitions,this paper combines Ctrip's 2013-2017 financial report to build a set of online travel enterprise M&A performance evaluation system,and evaluate the performance of Ctrip's case of Qunar,the problems in Ctrip's acquisition and the space for improvement were found out.Finally,relevant conclusions and inspirations were drawn.This paper takes Ctrip's acquisition of Qunar as the research object,mainly uses the financial index method and the Economic Value Added(EVA)evaluation method to compare and analyze the performance of Ctrip before and after the merger.Firstly,it summarizes the literature review of M&A performance at home and abroad from three aspects: the motivation of M&A,the influencing factors of M&A performance and the empirical research,and introduces the related concepts,methods and theoretical basis of M&A performance.Secondly,after summarizing the background and process of Ctrip and Qunar's merger and acquisition,the macro and micro environments of Ctrip were analyzed with PEST model and SWOT analysis,and the motivations of Ctrip's merger and acquisition of Qunar were summarized.Thirdly,based on the financial index method and the EVA evaluation method for Ctrip analysis before and after M&A performance,can be seen from the results of the analysis: in the short-term after the merger,Ctrip has achieved the purpose of improving corporate performance and increasing corporate value.In the long run,the financial indicators of both companies are good after the merger,but due to the influence of the market environment and other rising costs led to a decline in Ctrip's financial capability during the year of mergers and acquisitions.The growth rate of EVA slowed down,but in the later period,EVA continued to increase slightly;Finally,predicting Ctrip's future performance.From EVA valuation results,Ctrip has a promising future development,and four inspirations brought by Ctrip merger are given.This paper believes that Ctrip's acquisition has enhanced the control of the tourism industry market and achieved good M&A performance,which is conducive to the long-term healthy development of China's tourism industry.I hope that the research content and research conclusions of this paper can be used as reference for other companies to improve their performance in M&A activities.