Analysis of the Evolution, Present Situation and General Development Direction of Cross-Border Mergers and Acquisitions Carried Out By Chinese Companies: An Examination Based On Management Efficiency

Abstract

This article aims to explore the historical development, current situation and overall development pattern of overseas M&A activities conducted by Chinese companies, and conduct an analysis from the perspective of management efficiency. Under the background of globalization, international mergers and acquisitions have become one of the important means for enterprises to achieve scale expansion and enhance competitiveness. However, due to the significant differences among various countries in terms of institutional environment, cultural differences, etc., post-acquisition integration in international M&A deals faces many challenges. Through the review of relevant theories and empirical studies, it has been observed that various elements influence the operational effectiveness of companies following cross-border M&A activities, including micro-level factors such as human resources, financial conditions, and management preferences, as well as macro-level factors such as macroeconomic situations and institutional environments. Especially under the unique institutional background of China, the motives for enterprises to conduct cross-border mergers and acquisitions are complex and diverse. Multiple factors need to be comprehensively considered to guarantee the effectiveness of mergers and acquisitions and improve management efficiency. Studies show that under the present intricate global economic climate, it is particularly important to assess whether cross-border mergers and acquisitions have truly enhanced the management efficiency of enterprises. Although Chinese company have achieved remarkable results in rapidly expanding overseas markets through cross-border mergers and acquisitions, they also face relatively high risks at the same time. Therefore, effective enterprise management methods are the key to the sustainable development of an enterprise, and the effectiveness of management has a direct impact on the general level of development of the enterprise.