Research On The Relationship Between The Heterogeneity Of Top Management Team And The Performance Of Listed Companies' Cross-border M&A

From the "Eleventh Five-Year Plan" of China,the "Going Global" development strategy and the "Belt and Road" development model have been warmly received,indicating that the development of China's foreign investment has entered a new phase.The Chinese government has been actively encouraging Chinese companies to seek overseas investment opportunities,and has proposed to carry out supply-side reforms.Chinese companies' overseas investment have been used as a way of alleviating excess domestic production capacity.In order to expand overseas markets and seek new economic growth points,Chinese companies have started cross-border mergers and acquisitions.However,overseas mergers and acquisitions by Chinese companies are still at an early stage,there are a lot of deficiencies in company's knowledge and experience.At the same time,it is affected by differences in institutional culture and other aspects of overseas countries.Chinese companies face multiple risks in overseas acquisitions.The current research on the relationship between executives and Chinese companies' overseas M&A performance mainly focuses on the depth of the international experience of the senior management team,the governance mechanism of the company,the influence of the board of directors,and the ownership of the company.There is less research on the relationship between team background characteristics and cross-border M & A Performance.The overseas M&A activities of a company are formulated by top management team.The background characteristics and composition of the senior management team have a significant impact on the company's overseas M&A performance.Therefore,based on the theory of upper echelons theory and human capital theory,this paper uses empirical analysis methods to study the influence of the heterogeneity of background characteristics of top management team on the cross-border mergers and acquisitions of listed companies in China,enriching the research content in this field and providing practical and effective advice to enhance the ability of enterprises to invest in foreigncountries.Because the theory of upper echelons mainly studies the characteristics of top management team from the aspects of gender,age,education background,tenure,and professional background,many previous studies have rarely involved the differences in the overseas background characteristics of top management teams.This study will focuses on the overseas mergers and acquisitions performance,therefore,the heterogeneity of the overseas background of the senior management team was introduced in order to obtain more in-depth and comprehensive research results.This paper selects 282 listed companies which conducted mergers and acquisitions from 2010 to 2015 as samples.Through regression analysis,this study empirically examines the relationship between the heterogeneity of background of top management team members and the performance of listed companies' cross-border M&As.The logistic regression analysis results show that: The age heterogeneity of the top management team is positively related to the performance of Chinese listed companies' cross-border mergers and acquisitions;the gender heterogeneity of the senior management team is positively related to the performance of Chinese listed companies' cross-border mergers and acquisitions;the heterogeneity of top management team education level is negatively related to the performance of Chinese listed companies' cross-border mergers and acquisitions;the heterogeneity of the senior management team members' tenure is negatively correlated with the performance of companies' cross-border mergers and acquisitions;the overseas background heterogeneity of the top management team is positively related to the performance of companies' cross-border mergers and acquisitions.According to the results of the study,some suggestions are put forward for the establishment of senior management team for cross-border mergers and acquisitions of companies.It is hoped that the research results of this paper can help the success in cross-border mergers and acquisitions of related companies and integrate effectively,improving the business performance of companies after mergers and acquisitions.Finally,reviewing the research contents and research methods of this paper,there are deficiencies in this study and it is hoped that the research can be improved in the future.