Research On The Cause And Performance Of Zoomlion's Merger And Acquisition Of Chery Heavy Industry

With the rapid development of the economy,in the increasingly competitive market environment,mergers and acquisitions have become one of the common means for enterprises to expand their scale.Through mergers and acquisitions,enterprises can quickly realize resource integration and diversified development of enterprises.An important indicator of the economic development level of a country is the development level of the construction machinery industry.The profitability of construction machinery companies is greatly affected by industry fluctuations.With the rise of China's real estate and infrastructure projects,the construction machinery industry has experienced more than a decade of prosperity.With the contraction of these construction projects,construction machinery companies are facing diversified development,and mergers and acquisitions have become the main way for rapid development.However,what are the detailed motivations for M & A in the construction machinery industry,and what changes can be brought to the company's performance after M & A are worthy of research and exploration.As a leading company in the industry,Zoomlion's measures to achieve enterprise diversification through mergers and acquisitions have certain impact on other companies in the industry.Therefore,based on the industry background,it is of great practical significance to study the impact of this case on corporate performance after mergers and acquisitions.The thesis first introduces the background of topic selection from the field of construction machinery industry and agricultural machinery industry,and sorts out the research conclusions of domestic and foreign scholars on the motivation and performance of mergers and acquisitions.Then,introduce the case of mergers and acquisitions,including the company's profile and the merger and acquisition process.Based on the theory of corporate M & A motives and the industry background,it was found that the main motivations of the company's mergers and acquisitions include the realization of synergies,diversified development,and access to advanced technologies.Secondly,when investigating whether the motivation of the enterprise is realized,the impact of mergers and acquisitions on the performance of the enterprise is explored in the short and medium term.Finally,according to the above analysis,the impact of the merger and acquisition on the company and the inspiration to other companies in the construction machinery industry are summarized.When studying short-term performance changes,the event research method was used to analyze the changes in the market value of Zoomlion before and after the merger.It was found that the company's excess return rate continued to rise and the company's short-term performance was good.When researching the changes in the medium and long-term performance of enterprises,the financial index analysis method and EVA are used to analyze the increase in the intrinsic value of the enterprises after mergers and acquisitions.After analysis,it was found that although the entire industry indicators are in a downward trend,the overall performance of Zoomlion after mergers and acquisitions is higher than the industry average,and its operating capabilities,profitability,development capabilities,and debt repayment capabilities have all improved.The medium and long-term financial performance had a positive impact,and the company achieved synergies.In terms of non-financial indicators,its market share in the field of agricultural machinery continues to increase,its research and development capabilities have also improved,and the company has achieved the goal of diversified development and access to advanced technology.Finally,this article also lists the lessons learned from the Zoomlion merger and acquisition case.Enterprises should choose the target of mergers and acquisitions based on the macroeconomic background and the company's strategic layout,and accelerate the process of mergers and acquisitions through professional institutions.Actively integrate enterprises after mergers and acquisitions to obtain synergies.And,Construction machinery enterprises should continuously adjust company strategies in accordance with the background of the industry to ensure the sustainable development of corporate profits.