A Study On The Influence Of Ownership Structure On Chinese Enterprises’ Cross-border Mergers And Acquisitions

With the increasing integration of the global economy,cross-border M&A has become an effective way for enterprises to access new market opportunities,explore new business opportunities and utilize external resources.Driven by both internal and external environment and resources,more and more Chinese enterprises are actively participating in international competition and taking the lead in cross-border M&A activities,becoming "insiders" from "outsiders" and achieving Chinese enterprises have been actively participating in international competition,and have become "outsiders" and "insiders" in cross-border M&A activities,achieving rapid development of foreign direct investment and increasingly becoming a pivotal investment player in the international market.As the largest emerging developing country,China’s rapid economic development has achieved world-renowned achievements and made important contributions to the recovery of the world economy.Over the past decade or so,the number of cross-border M&A by Chinese companies has grown at a high rate,especially since the global financial crisis in 2008,and the price ratio effect between rising domestic asset prices and low overseas asset prices has provided a suitable ground for Chinese companies to carry out cross-border M&A.Therefore,many domestic and foreign scholars have started to study cross-border M&A.Most of the existing studies are focused on Western developed countries,but nowadays the focus is shifting to emerging countries,mainly China,but in general,there is still a big gap in the research on cross-border M&A of Chinese companies.In particular,most of the existing studies on cross-border M&A have focused on both M&A performance and M&A success or failure,and there are relatively few research findings on the antecedents of cross-border M&A,i.e.,what motivates firms to undertake cross-border M&A.Therefore,this paper examines the behavior of corporate cross-border M&A from the perspective of ownership structure.This paper constructs a theoretical framework based on agency theory and resource-based view,and analyzes family ownership,institutional ownership and state ownership in terms of their ability and willingness to engage in cross-border M&A.It explores the relationship between different ownership and cross-border M&A behavior,i.e.,how firms with different ownership affect cross-border M&A decisions in terms of their ability and willingness to engage in cross-border M&A,and what kind of impact they have.In addition,the paper further explores the interaction effects of different ownership in cross-border M&A behavior in terms of practical implications.This paper takes the cross-border M&A events,domestic M&A events and non-border M&A events of Chinese listed firms during 2010-2020 as the research samples,and uses a logit model and Stata to conduct an empirical analysis,and finally concludes that:institutional ownership is positively related to the likelihood of cross-border M&A by firms;family ownership is negatively related to the likelihood of cross-border M&A by firms;state-owned The interaction between family ownership and institutional ownership has a positive effect on the likelihood of cross-border M&A,while the interaction between family ownership and state ownership and the interaction between institutional ownership and state ownership have no significant effect on the likelihood of cross-border M&A.This study explores the mechanism of the role between different ownership and cross-border M&A behavior at a deeper level,thus filling the research gap of placing multiple ownership in a single research framework and complementing the existing research on ownership and cross-border M&A,as well as providing new ideas for subsequent research with certain implications.