Performance Evaluation Of Geely Automobile’s Acquisition Of Daimler ——A Study Based On A Balanced Scorecard

Since entering the twenty-first century,with the development of the times,demand has continued to evolve,and China’s enterprises are also booming.The "going out" strategy is becoming more and more deeply rooted in enterprises in all walks of life,and at the same time,the "Belt and Road" initiative is under the appeal of the party and the state,and more and more countries are participating in it.However,in recent years,the international situation has become more and more volatile.The development of the Sino-US trade war and the widespread outbreak of the new crown epidemic have all cast a thick haze over the overseas mergers and acquisitions of Chinese enterprises.According to the "2020 China Overseas Investment Overview" released by EY in February 2021,the total overseas mergers and acquisitions of Chinese enterprises were US$46.41 billion,down 46.2% year-on-year,and the number of mergers and acquisitions announced was 530,a decrease of 18.5% year-on-year.Therefore,how to carry out overseas mergers and acquisitions at present and how to evaluate the performance of mergers and acquisitions are also arduous tasks for many listed companies.This paper takes Geely’s overseas acquisition of Daimler as an example,mainly using the evaluation method of the balanced scorecard to measure the performance of this case,the structure of this article is as follows: First,this paper briefly discusses the research objectives,significance,methods and ideas from the research background and research significance,paving the way for the development of the following content;secondly,the M＆A related concepts,theoretical basis,performance evaluation methods,and research literature are elaborated;third,the business conditions of both parties to the merger and acquisition,as well as the motivation and M＆A process of Geely’s acquisition of Daimler,are introduced Then,in the case analysis section,the significance and principles of performance evaluation based on the balanced scorecard are introduced,and then the case is designed and evaluated from the four perspectives of finance,customer,internal process,learning and growth;after the analysis,the evaluation results are as follows:（1）From a financial point of view,after the merger,Geely’s debt repayment ability and operational capacity have improved significantly,profitability and development capabilities have declined,but they are also higher than the industry average,and financial synergies have initially emerged.（2）From the perspective of customers,Geely’s brand effect has improved after the merger,the market share is still at a high level,and it has shown good business synergy.（3）From the perspective of internal processes,Geely’s expense ratio after the merger and acquisition is controlled at a good level,and the after-sales service has improved significantly,which has shown a good management synergy.（4）From the perspective of learning and growth,Geely’s innovation ability and employee training ability have improved significantly after the merger,and a good management synergy effect has been presented;Finally,this paper analyzes what enlightenment this M＆A event has brought to Geely’s M＆A performance evaluation and other enterprises,summarizes the whole text and looks forward to the future.It is hoped that through the analysis of this article,it can bring certain guidance and suggestions to overseas M＆A enterprises and improve their M＆A performance.