A Research On Financial Effect Under The Integration Of Value Chain

As an important way for enterprises to develop and grow,merger and acquisition(M&A)has set off five waves since the 19th century.With the development of the new normal of China's economy,enterprises have taken the measures of merger and acquisition to develop and strengthen themselves.Midea is a giant enterprise in China's home appliance industry,which has developed rapidly since its establishment in 1968.At present,it has a global platform and takes the leading position in domestic home appliance sales,and its business scope is widely distributed both at home and abroad.In 2014,Midea put forward the "dual intelligence strategy",which started its innovative transformation and accelerated its pace of adapting to economic development through intelligence and information technology.The case of Midea's acquisition of KUKA in Germany activated the transformation of Midea,promoted the construction and development of Midea's whole value chain,and the integration within the value chain after the acquisition promoted the generation of synergies,thus improving the financial benefits of the enterprise.The financial effect of Midea's acquisition of KUKA in Germany under the value chain integration is of great research value,and has practical significance for the exploration of enterprise acquisition and value chain integration.Firstly,this paper analyzes the concept of merger and acquisition and introduces the relevant theories of value chain integration and measures of financial effects through literature review,which lays a theoretical foundation for the following case study.Secondly,it analyzes the development of double-development enterprises and the motivation of Midea to carry out the acquisition,introduces the specific process of the acquisition in detail,including the background and process of the acquisition,and evaluates the acquisition at the same time.Thirdly,through the case study analysis the situation of the m&a integration and explore the overall effect of value chain integration after selecting related index analysis of the enterprise value creation ability,overall evaluation of enterprise core competitiveness,using comparative analysis method to calculate before and after the integration of financial capacity,by analyzing the change of the shareholders' equity shareholders' benefit,overall analysis from the above four dimensions of financial effect.Finally,from the case we get the enlightenment about chain integration and mergers.Through research and summary,it is concluded that the value chain integration after merger and acquisition is of great importance to the subsequent development of enterprises,and the improvement of financial effect is conducive to the improvement of the overall benefit of enterprises.