Performance Analysis Of Eastern Airlines M&A Shanghai Airlines

As a means of integrating resources under the conditions of market economy,mergers and acquisitions are increasingly being valued and applied.Especially in today's rapid development of China's social productive forces,the changes in the development environment of enterprises and the urgent need for industrial transformation and upgrading have made the demand for mergers and acquisitions more vigorous,more diverse in form and increasingly rich in content.China is facing the advent of this era of big mergers and acquisitions.At present,China is in an important period of economic transformation and industrial restructuring.The vigorous development of China's economy and the further acceleration of the pace of industrial restructuring have promoted the development of mergers and acquisitions among enterprises in China.Some listed companies hope to use M&A and reorganization to achieve the goal of accelerating the development speed of enterprises,increasing production scale,optimizing resource allocation,and improving resource utilization.Similarly,other listed companies,because of their bleak business,poor performance,and isolation,are also hoping that through mergers and acquisitions,the company will turn losses into profit and return to the right track.In the traditional view,we believe that through mergers and acquisitions,companies can expand their scale,increase market share,etc.,or enable enterprises to better adapt to and keep up with the ever-changing market economy and new environment,and become a new industry to adapt to new industries.The doorknob of the environment.However,as people's research on mergers and acquisitions deepens,combined with the results of mergers and acquisitions of multiple companies,the results brought by mergers and acquisitions may not be positive,that is,mergers and acquisitions are risky.It can be argued that after the merger and acquisition process and the completion of the merger,the company may bring some negative impacts,such as the loss of benefits to the enterprise.The results of mergers and acquisitions are not static.Due to changes in the external environment,various problems existing in the enterprise and other uncertain factors may lead to the failure of the economic behavior of mergers and acquisitions.Therefore,mergers and acquisitions of enterprises are both income and risk.The environment in which each M&A case is located is different from the internal and external situations,and has its own unique meaning.The performance of M&A is naturally different.After a series of mergers and acquisitions activities between world-renowned airlines,in order to enhance the voice of China's aviation industry in the world,the case of Eastern Airlines' acquisition of Shanghai Airlines has received much attention.Through the analysis of this merger case,it can give the industry Internal and external mergers and acquisitions provide relevant experience.This paper analyzes the changes in the financial indicators of the acquisition of Shanghai Airlines by Eastern Airlines,and compares the indicators of Eastern Airlines before and after the merger to study the impact of mergers and acquisitions on listed companies.The first part begins with the research background of this paper,and explores its theoretical and practical significance.Then it summarizes the research status of domestic and foreign research,and proposes research methods and ideas for the thesis.The second part mainly introduces the concept and classification of M&A,and proposes the theoretical basis of M&A,and also provides the theoretical basis for the M&A performance part of the thesis.The third part introduces the basic situation of the merger and acquisition enterprise Eastern Airlines and the target enterprise Shanghai Airlines,analyzes the background of the merger of the two enterprises,summarizes the motives of mergers and acquisitions,and introduces the merger and acquisition.Process.The fourth part is the analysis of financial effects after mergers and acquisitions.Evaluate short-term M&A performance and use cumulative excess return as an indicator.Long-term M&A performance assesses the company's profitability,debt service,operations,and development capabilities.The fifth part evaluates and summarizes the financial effect analysis of China Eastern Airlines' acquisition and Shanghai Airlines based on this paper,and draws the inspiration from this merger.