The Research On Merger Performance Of Chinese Commercial Bank

Since the 1990s of twentieth century, western developed countries have relaxed the financial controls gradually and the wave of merge of banks sweeps the word. In order to win the competition, banks from the world chose to expand their scale and occupy the market mainly through M&A. To adapt the increasingly intense competition in domestic and overseas market, Commercial Bank must enhance the competition abilities. Frome the international experience of commercial bank, we find that M&A is an effective mean to enhance the integration and international level of the commercial bank, and is also the important way to expand bank scale and open up markets. In such circumstances, Chinese commercial bank should get the purposes of enhancing the bank performance and competitive abilities by M&A. since 2007, the US subprime mortgage crisis have took place, global banking industry, especially the United States, were facing a strong impact, and it triggered an new wave about M&A of commercial bank, the world's banking industry facing an new round of reshuffle. It provides a new opportunity of M&A for Chinese banking industry. In 2006, after five years transitional period of joining the WTO, China's financial industry is liberalized fully. In recent years, Chinese Commercial Bank's overseas M&A is starting. Based on this background, we need to learn developed country's M&A experience and combined with the characteristics of Chinese banking industry, find the suitable way for development and M&A model of Chinese commercial bank, enable the performance of commercial bank continued to improve after M&A, to achieve the purposes to upgrade the international competitive abilities of Chinese commercial bank. So it is very significance to study the Chinese commercial bank's M&A performance.Based on the results of related domestic and foreign researches and combining the features of commercial banks'merge in our country, this article elaborates the actual situation and level of the merge of commercial banks in our country with empirical studies and provides some theoretical and practical reference for our commercial banks'merge choice and improvement of performance in the future. The result show that market-oriented bank mergers are more efficiency than government-led one, and the domestic bank mergers foreign bank is more efficiency than mergers between domestic banks. Government-led bank mergers could not improve the bank efficiency, while market-oriented could.Government—led bank merger in achieving the government's purpose will have the macro efficiency but at the same time reduce the micro efficiency. Even though government guide,intervention is necessary in the process of reforming,restructuring banking sector and merger activity, but too much government intervention can only make banks invalid.Finally, according to the situation, four suggestions are brought forward to solve this problem: change the government's function, pays attention to the after—merger integration, cultivates the intermediary institutions of M&A;(4)prompts cross-industries operation in a certain extent.