Research On The Home Inn Financial Performance Evaluation Of BTG M&A

Hotel market consumption scale in our country is huge.With the development characteristics of unbalanced spiritual and cultural life of residents on travel,commercial exchanges and other consumption power,hotels of different grades have achieved rapid development among their respective target consumption groups.As the development of industry becomes gradually mature and the competition becomes increasingly fierce,advantageous enterprises within the industry integrate industry resources through merger and acquisition.Expand profit sources,enhance market share and build brand industry chain by covering more target customer groups.In order to seize the resources of mid-and low-end customers,high-end hotel brands also want to enhance the brand value,there is a rapid realization of strategic objectives through mergers and acquisitions.In the case of Home Inns,both parties conduct merger and acquisition activities based on this objective.However,whether the expected objectives can be achieved after the merger and acquisition needs to be evaluated through comparative analysis of the changes in financial performance before and after the merger and acquisition.In this paper,BTG hotel is used as the object of study to evaluate its financial performance.Firstly,it summarizes the relevant literature,concepts and theoretical foundations of M & A and financial performance,discussing synergistic theory,theory of market forces and efficiency theory.Secondly,based on the 2014-2022 financial and business data before and after the merger and acquisition of Home Inns by Beijing Travel Hotel,13 financial indicators are selected to build a financial performance evaluation model by determining the principle of index selection.With the same fiscal year data of enterprises in the same industry as data samples,factor analysis method is used to establish a factor analysis model and calculate factor scores and comprehensive scores.Then analyze and evaluate the change characteristics of the financial performance of Beijing Tourism Hotels before and after the merger from the horizontal and vertical dimensions,evaluate whether the development and operation results after the merger are in line with the overall strategic objectives,whether the financial performance after the merger reaches the initial setting,summarize the reasons for the failure to meet the expectations after the merger,and put forward targeted suggestions for revision and improvement.In the end,it is hoped that Beijing Tourism can timely formulate adjustment strategies for its own shortcomings on the basis of maintaining the existing advantages,so as to promote better and faster development of Beijing Tourism,and try to provide certain reference value and beneficial reference for the M&A of the hotel industry,so as to improve the overall competitiveness of the domestic hotel industry.