The Key Factors Affecting Chinese Corpations' Cross-Border M&A Based On Technology Acquisition

Along with the economic globalization, cross-border merge and acquisition (M&A) has become one of the main ways of foreign direct investment (FDI). Acquiring advanced technology and R&D ability is the main reason for Chinese corporations to carry out cross-border M&A. The cross-border M&A based on technology acquisition means corporations merge and acquire high-tech corporations or R&D branch of multinational corporation by cross-border M&A in order to acquire advanced technology and improve international competitiveness efficiently. How to acquire the technology successfully by cross-border M&A, how to improve technical level and competitiveness by cross-border M&A, both of the two problems are what government and corporations are widely concerned about. At present, however, most studies on cross-border M&A based on technology acquisition particularly emphasize on conception and cases studies, there are many shortages in theoretic and empirical research, so it is necessary to study cross-border M&A based on technology acquisition systematically .Firstly, this article reviews the concepts and theories of cross-border M&A based on technology acquisition, Then the writer collects many literatures on this subject by native and foreign scholars. Subsequently, the writer studies the status quo and characteristics of Chinese corporations' cross-border M&A based on technology acquisition.The core of this article is that the writer analyses the facors affecting Chinese corporations' cross-border M&A based on technology acquisition by empirical research from macroscopic and microcosmic aspects. In macroscopic aspect, it makes use of panel data of 33 countries from 1987 to 2005 to validate the factors affecting cross-border M&A: economic development,international trade, capital formation, technology level, economic structure, policy environment, and external environment; then using the data of questionnaire from Chinese corporations, the writer find out the key factors affecting Chinese corpprations' cross-border M&A based on technology acquisition by Factor Analysis and Scores ranking, that is the Intellectual Property Right intensity of host country, the encouraging policy of Chinese government, etc. In microcosmic aspect, questionnaire inquisitional method is adopted, after knowing the development status of corporations inquiried, the writer use Factor Analysis and Scores ranking to point out influential degree of every microcosmic factor on Chinese corpprations' cross-border M&A based on technology acquisition, it is found out that what is most important for Chinese corporations is their synthetical ability.Finally, according to the results of the above empirical research, the writer brings forward the policy and advice, which will also provide the reference value for government and Chinese corporations.