Research On Mergers And Acquisitions Performance Based On Balanced Scorecard

Under the background of global economic integration,the world manufacturing pattern is facing a major adjustment,China’s manufacturing industry is in an important strategic opportunity period of changing from big to strong,and becoming a strong manufacturing country is an important goal of China’s development.In such an economic background,we should seize this opportunity,vigorously promote the strategic goal of "Made in China 2025",promote the formation of a new industrial form,and accelerate the construction of a strong manufacturing country.As one of the important ways to achieve the rapid rise of enterprises,mergers and acquisitions can,to a certain extent,expand the scale of production and operation,form a scale effect,fully integrate resources,improve the profitability of enterprises,and also help to improve the market share of enterprise products and establish the leadership position of enterprises in the industry.In response to the strategic goal of "Made in China 2025",many enterprises have been optimizing their resource allocation and improving their competitiveness through M&A.However,due to the complexity of M&A,some enterprises have suffered losses due to their participation in M&A activities.Therefore,it is worthwhile to study the specific benefits of M&As and whether they achieve the expected performance of enterprises.The Balanced Scorecard is a strategic performance management system that combines strategic management and performance management,and is able to measure the performance of a company comprehensively in four dimensions: financial,customer,internal business process and learning and growth.Therefore,this article takes the multidimensional perspective of the balanced scorecard as the starting point and combines it with the hierarchical analysis method to study the performance of Midea Group’s acquisition of Swan.Firstly,the research background and significance of the paper are explained,and the research results and current status of research on M&A performance and the Balanced Scorecard at home and abroad are introduced.Secondly,the theoretical concepts of M&A,M&A performance and the balanced scorecard are explained to provide the theoretical basis for the following study;at the case study level,the basic situation of both parties,the specific M&A process and the motivation of M&A are introduced.Then,representative indicators of each dimension of the balanced scorecard are selected to conduct a comprehensive analysis of M&A performance,and the four dimensions of the balanced scorecard are combined using the hierarchical analysis method.The final conclusion is that Midea’s M&A of Swan is a relatively successful case,and the successful experience is summarised with a view to bringing lessons to other companies in the same industry that plan to merge.