Research On M & A Performance Of XR Companies Based On Extension Of Industry Chain

Extending the industrial chain is an important way for many traditional enterprises in China to develop themselves in recent years,and mergers and acquisitions are one of the main means of extending the industrial chain.At this stage,enterprises in this industry in China are facing problems such as high tax burden and falling market demand.Therefore,many companies in the industry have begun to extend the industrial chain through mergers and acquisitions,in an attempt to improve their technical level,reduce costs,and obtain new profit growth points.However,at present,there are few researches on mergers and acquisitions based on the extended perspective of the industry chain for refrigeration and air-conditioning equipment manufacturing enterprises.In order to explore the specific impact of mergers and acquisitions with the purpose of extending the industrial chain on refrigeration and air-conditioning equipment manufacturing companies,this paper takes the literature search method,case analysis method,quantitative analysis method,and qualitative analysis method as the main research methods and launches a detailed analysis.Firstly,this article sorts out related literature,defines related concepts such as industrial chain,industrial chain extension,and mergers and acquisitions.Secondly,this paper analyzes the motives for the expansion of the industrial chain of refrigeration and air-conditioning equipment manufacturing companies from the perspective of industry and enterprises,and analyzes the feasible path of industrial chain extension based on the classification of industrial chain links.Again,this article takes XR Company in the industry that started earlier as an example of mergers and acquisitions to extend the industrial chain,and longitudinally compares the market performance and financial performance of the industry chain before and after the extension of the industrial chain through mergers and acquisitions,and compares the company with a company that was originally of similar size but did not extend the industry chain horizontally and the whole industry to reveal the specific impact of related mergers and acquisitions on XR Company.Finally,the paper concludes that the merger and acquisition behavior of the extended industrial chain of the enterprise can generally improve the market performance of the enterprise,the extended industrial chain can have a certain positive impact on the financial performance of the enterprise,and other conclusions,and hopes to develop its own refrigeration by extending the industrial chain.The air-conditioning equipment manufacturing companies should choose whether to extend the industrial chain by means of mergers and acquisitions according to its own strength,choose the appropriate core business as the center of the extended industrial chain,pay attention to adjusting the scale of the extended industrial chain according to its own situation,and pay attention to the integration of resources.