The Influence Of Technology Merger And Acquisition On Business Performance

With the rapid development of science and technology,the world economy shows the trend of globalization.A new round of scientific and technological revolution and industrial change has brought the continuous shortening of product life cycle,and enterprises are facing more severe pressure of technology and innovation.With the increasing role of technological innovation in economic development,technological M&A has become an important way for enterprises to carry out technological innovation.China’s independent innovation ability is weak and the innovation output rate is low.All kinds of problems and challenges in the development of national economy need to be solved by means of innovation.The impact of technology M&A on the competitiveness,market power and R&D capability of the acquiring enterprises has become the research focus of many scholars.Therefore,the research on the impact of technology M&A on the economic performance of enterprises is helpful to enrich the theoretical research of M&A,and also to provide reference for the decision-making theoretical reference.On the basis of combing the relevant literature at China and abroad,based on the theory of technology M&A,business performance theory and product market power theory,this paper reveals the impact of technology M&A on business performance from three aspects of technology spillover effect,scale effect and synergy effect.And further introduces the product market power as an intermediary variable to study the relationship between technology M&A and business performance.This paper uses 420 M&A data of 115 listed automobile companies in China from 2013 to 2019 published on the M&A investment website,and uses panel data model to empirically test the impact of technology M&A on business performance and the mediating role of product market power.In addition,the paper also conducts heterogeneity test and robustness test according to the age and scale of enterprises.This paper finds that: firstly,on the whole,technology M&A has a significant positive impact on business performance,and technology M&A helps to improve business performance.Secondly,technology M&A can improve the market power of products,and then improve business performance.Thirdly,for enterprises in different life cycle stages,the impact of technology M&A on business performance is different.Fourth,for enterprises of different sizes,the impact of technology M&A on business performance is also different.Based on the above research conclusions,the paper puts forward relevant policy suggestions.