Analysis On The Motivation And Performance Of Enterprise Mergers And Acquisitions Under The New Retail Format

The rise of the digital wave has led to the rapid development of new retail models under the "Internet+" situation,which not only ensures the needs of residents in their daily lives,but also promotes the recovery of domestic consumption and the stabilization of the economy.2021 government work report once again clearly proposed to "promote the wider and deeper integration of online and offline,and the development of new business models.The government’s work report in 2021 once again clearly states that it should "promote wider and deeper integration of online and offline,and develop new business models".The development of new retail models through mergers and acquisitions of traditional retail enterprises has become the choice of more and more Internet companies.However,during the process of M&A,how to lay out the new retail and what the new retail will bring are objects worth studying,which have certain significance for the future development of new retail layout and the formulation of national policies.This paper compares the existing research on domestic and international M&A,defines the main concepts,and clarifies the specific research ideas and methods based on the relevant theories;clarifies the current M&A situation in the new retail industry,and summarizes its special features and influencing factors;takes Alibaba’s M&A of Gao Xin Retail as a case study,and analyzes the motives of the M&A from the perspective of both the acquirer and the acquiree in the whole M&A process;uses the event study method to analyze the motives of the M&A.The short-term effects caused by the M&A were analyzed using the event study method,and the long-term effects caused by the M&A were analyzed in four dimensions:financial,customer,internal process,and learning and growth,using the balanced scorecard analysis method.The analysis found that Alibaba’s M&A motives mainly include exploring new development opportunities and seeking market growth breakthroughs;improving the layout of offline resources and promoting the linkage of online and offline advantages;and expanding the new retail business landscape to enhance competitive strength.Gao Xin Retail’s main motives include:resolving the passive situation in the market expansion process;acquiring high-quality Internet technology resources through M&A;and optimizing the internal organization and management structure that affects profitability.In terms of performance,the short-term effect brought by M&A was not ideal,but in the long term M&A achieved a positive impact for Alibaba before the epidemic,and although it failed to produce bright data due to the impact of the epidemic,it laid the foundation for a rapid recovery after the epidemic and achieved the purpose of new retail business layout,showing a representative successful demonstration for M&A in the new retail business.Combined with the above analysis,three insights are proposed for future M&A behavior in the new retail industry:proactively grasping the wind direction of the new retail industry,promoting strategic choices by taking advantage of corporate strengths,and reasonable business integration after M&A,which is expected to provide case support for the future development of China’s retail industry.