Research On M&A Behavior Of New Energy Enterprises In China On The Perspective Of Industry Chain

As a strategic emerging industry,the new energy industry is very important for China's energy security as well as the sustainable development of economic.Many companies have entered into the new energy industry with the announcement of a series of policies that support the improvement of this industry.The output of new energy has grown rapidly,and the scale has continued to expand.However,due to neglecting production and utilization efficiency,the cost of new energy companies has risen,and profitability has fallen.And many small and medium-sized enterprises are concentrated on the manufacturing process,lacking of core technologies.The new energy market is at a stage of disorderly development.Under such circumstances,many new energy companies have adopted merger and acquisition strategies,and some have extended their industrial chains through M&A,aiming to reduce transaction costs and improve resource utilization efficiency.Industrial M&A is an important way to solve the problem of "cold at both ends and hot in the middle" in China's new energy industry.It is also an important measure to promote the balanced development of the new energy industry.Firstly,this paper explains the background and significance of mergers and acquisitions by new energy enterprises,and then summarizes domestic and foreign research on the industrial chain and the motivation and performance of M&A,finding that M&A is conducive to the scale expansion of companies and help the development of the industrial chain.What's more,to further demonstrate the significance of M&A on the integration and upgrade of the industry chain,current situation of our new energy enterprises is well studied in this paper.This article selects Hanneng's industrial M&A behavior as the research object and evaluates the market performance and financial performance.In order to make a comprehensive performance evaluation,factor analysis and non-financial performance analysis from the perspective of business transformation and market competitiveness are chosen in this paper.In general,Hanneng's industrial M&A created good market performance and has won the trust of investors.In terms of financial performance,its cash flow has been affected to some extent,but its growth has improved.The industrial M&A strategy generally supported the development of enterprises.At last,it is concluded that the industrial M&A can gain advanced technologies and market competitiveness for new energy companies and promote the development of the industrial chain.