Independent Director Network, Merger Performance And CEO Power Intensity

Mergers and acquisitions(M&A),as an indispensable means of enterprise development and growth,are increasingly valued by the capital market.In 2019,the total amount of M&A of companies listed on the Shenzhen stock exchange reached1.08 trillion yuan.As a problem that must be paid attention to by the academic circle,there are many angles for the research of M&A.Based on the perspective of social capital,the research on M&A performance by introducing social network analysis method has become increasingly popular in recent years.This is precisely because its research object--interlocking director network,as a social network that enterprises cannot ignore,playing an important role in the acquisition,decision-making and development of enterprise resources.As a special form of interlocking director network,interlocking independent director network pays more attention to the independent directors in the board of directors.Up to now,the academic research on the role of the network of independent directors in the process of enterprise merger and acquisition mainly focuses on the resource advantages brought by the network of independent directors.However,studies have been conducted on how independent directors can better and faster inject these resources into the enterprise,and on the boundary conditions of how these resources can play a role,especially on the relationship between independent directors and decision-makers.For example,how does the power intensity of the CEO affect the resources brought by the network of independent directors? Will the excessive power of CEO hinder the network of independent directors from playing the role of resource transfer?Therefore,based on the above background,this paper constructs the independent director network,and combines the social capital theory,resource dependence theory,high-level theory,management power theory and information asymmetry theory to explore the influence of the independent director network on the M&A performance of enterprises and the boundary conditions of the influence process.This includes the use of social capital theory,resource dependence theory and information asymmetry theory to analyze the impact of independent director network on the performance of corporate M&A,as well as the use of high-level theory and management power theory to analyze the boundary effect of CEO power intensity.The study found that the construction of independent director in the network degree centricity and enterprise long-term M&A performance and short-term M&A performance were not significantly related,close to the centricity and mediation centricity to the enterpriseM&A performance play a positive role for a long time,there was no significant correlation between short term with the enterprise M&A performance,and the intensity of CEO power to adjust the degree of negative centricity and intermediary centricity and the relationship between the enterprise M&A performance for a long time,when there is a higher power CEO is independent director network centricity and enterprise of the relationship between M&A performance are suppressed for a long time;Further analysis of the relationship between CEO power intensity and M&A performance shows that M&A risk has a partial mediating effect between CEO power intensity and M&A performance,that is,the increase of CEO power intensity is accompanied by high-risk M&A behavior,thus reducing M&A performance.Finally,from the perspective of reality and development,this paper puts forward policy Suggestions based on the characteristics of independent directors and CEOs,in order to provide effective methods for improving and optimizing the M&A decision-making results of decision-makers of listed companies.