Research On Performance Evaluation Of Internet Enterprise M&A Based On Banlanced Score Card

With the adjustment of economic structure,the industry is steadily upgrading,there are existing more strong competition between internet enterprises,which continue acquisition and reorganization for improve their competitiveness,besides,the premier Li Keqiang has come up with the concept of "Internet +" in 2015,after that,internet industry forms a upsurge of M&A again.With the increasing number of mergers and acquisitions,all walks of life have pay increasing attention to the judgment and evaluation for the accomplishments of the expected targets of enterprises after the merger and acquisition,for example.How to judge the profit situation brought by merger and acquisition for internet enterprises.How to compare the M&A results and M&A expectations of internet enterprises,therefore,it's a great practical significance for this paper to select the internet industry as a case for M&A performance analysis.This paper made research and analysis based on Gaode Map wholly-owned acquired by Alibaba in 2014,and start with characteristics,modes and motivations of internet mergers and acquisitions as well as selected five years of data-from 2012 to 2016,through using the balanced scorecard theory to build indicator system,we carried out research on M&A performance from three aspects such as financial synergy,management synergy and operating synergy,finally,the conclusion of the M&A performance is drawn and made corresponding suggestion and enlightenment.Through researches and analysis,the M&A performance of Alibaba's acquisition of Gaode Map presented positive synergistic effect in the management synergy and operation synergy.Based on the performance of the three synergies effects of mergers and acquisitions,the following conclusions can be obtained: firstly,the synergy effect of mergers and acquisitions has been significantly improved.This merger and acquisition has produced obvious scale effect and merger and acquisition effect.The merged enterprises can share data,information,technology and other core resources in order to speed up the distribution of online and offline,reduce production costs,improve operating efficiency and further enhance profitability and development ability.Secondly,resources have been effectively integrated.Many of Alibaba's products lack an effective integration,but these products and resources have been effectively integrated after Alibaba's acquisition of Gaode Map.Thirdly,access to profits has been increased.After Alibaba's acquisition of Gaode Map,it has repaired Alibaba's industrial structure,added new profit growth points and strengthened Alibaba's status in the network field.Fourthly,financial risks might exist after mergers and acquisitions.A large-scale merger and acquisition is usually accompanied by a huge amount of merger and acquisition costs.Besides,various sections including human resources,culture and financial structures have to be integrated after mergers and acquisitions.It is easy to increase Alibaba's financial expenditures and reduce its short-term solvency capability while safety risks will exist in the financial structure.Therefore,in order to solve the financial risks,Alibaba needs to strengthen the risk control of mergers and acquisitions.