The Influence Of Payment Method And Performance Commitment Compensation On M & A Performance

M & A is an important way for a company to change its development direction or expand its original business.As an important part of M & A program,the payment method and performance commitment compensation method have a significant impact on M & A performance.This paper hopes to provide a reference for enterprises to choose appropriate payment methods and performance commitment compensation methods,and effectively improve the performance of M & A.This paper mainly studies the effect of payment method and performance commitment compensation method on M & A performance.The payment methods of this paper mainly include stock payment,cash payment and mixed payment.Because only the mixed payment method can study the difference between cash compensation and stock compensation in the same payment method,the effect of compensation method of performance commitment on M & A performance is limited in the premise of mixed payment method.The innovation of this paper is to introduce the compensation method of performance commitment into the research of the effect of payment method of M & A on M & A performance.In the aspect of empirical research,this paper takes the major asset restructuring from 2012 to 2016 as the sample of the study.The data mainly comes from the databases such as guotai'an and choice.The rest data is obtained by looking up the company's announcement.In this paper,principal component analysis is used for comprehensive scoring to obtain the performance of listed companies,and then t-test is carried out respectively.In the aspect of case analysis,this paper selects two manufacturing listed companies,haoxangni of stock compensation and sudaweige of cash compensation,for case study.First,it introduces the contents,compensation methods and compensation performance of the two companies.Then,from the four perspectives of profitability,asset operation ability,debt paying ability and development ability,this paper studies the impact of performance commitment compensation on M & A performance.The conclusion of this paper is that M & A activities can have a positive impact on M & A performance;the best way of M & A payment is mixed payment,followed by stock payment,and finally cash payment;under the premise of mixed payment,stock compensation is better than cash compensation.