The Research For Performance Evaluation Of Corporation Merger Found By Balancing Score-card

After years of development,China’s apparel and textile industry has stepped from the stage of high speed development of extensible expansion into the stage of endogenous-oriented optimization of development,and the growth rate is gradually slow.Coupled with the pressure on domestic economic development to stabilize growth and the outbreak of Covid-19 at the end of 2019,which has reduced people’s willingness to consume,the garment and textile industry has been greatly affected by the uncertainty of the business environment and the complexity of the competitive environment.In this harsh industry background,the domestic traditional high-end clothing enterprises to stand firm in the industry,not only need to optimize their own industrial structure,focus on the main fashion industry,solid foundation for the development of the main industry,some companies also through mergers and acquisitions to quickly achieve the diversification of enterprises,so as to reduce operating risks and enhance corporate profitability.This paper takes the cross-border merger and acquisition of a medical beauty company by Lancy,a leading company in the apparel industry,as an example,and uses the balanced scorecard perspective as an entry point to analyze the motivation and performance of the merger and acquisition.Firstly,this paper clarifies the purpose and significance of the study,and summarizes the main theoretical concepts involved in the paper and the current research status of the balanced scorecard in recent years through literature research method.We introduced the basic situation of Lancy and the three major domestic brands that were acquired,namely "Milan Park Feather","Gao Sheng" and "Crystal Skin Medical Beauty",and analyzed Lancy’s M&A from "medical beauty" to "face beauty".Then,by analyzing the financial dimension,market and customer dimension,internal process dimension and learning and growth dimension of the three major medical beauty brands acquired by Lancy,and combining with the industry average,we evaluated the changes of a single indicator of Lancy between 2014 and 2021.Finally,based on the results obtained,conclusions are drawn on the M&A performance of Lancy,and suggestions and opinions are made for the future M&A path of Lancy,which will provide reference for other apparel companies to transform in the future.The study of the article concludes that the cross-border M&A of medical aesthetic companies by Lancy has a positive effect on improving corporate performance,but the effect is not obvious.In a comprehensive view,the merger and acquisition of medical aesthetic enterprises has improved the profitability of Lancy shares,but has brought negative impact on the solvency.The other three dimensions have positive impact in the short term of the merger and acquisition activities,but the duration is not long,and the merger and acquisition activities have failed to essentially change the performance of Lancy shares.Lancy shares should strengthen the post-merger integration and beware of the risk of each business segment after the merger and acquisition.