Analysis of Financial Risks in the Process of Enterprise M&A-Taking Alibaba M&A Process as an Example
These authors contributed equally.
- DOI
- 10.2991/assehr.k.211209.236How to use a DOI?
- Keywords
- Mergers and Acquisitions; Financial Analysis; Current Assets; Net Assets
- Abstract
With the rapid development of modern enterprises in Internet, more and more enterprises begun to buy other smaller businesses to help the development of their industries. Such action can bring benefit to these enterprises in some way. In this paper, we study the history of Alibaba and analyze Alibaba’s financial affairs, such as current assets ratio, net assets, and debt ratio waiting, by listing the advantages and disadvantages of those mergers and give some opinions or suggestions to help to improve the performance of Alibaba. For instance, one of the advantages of Alibaba’s Mergers and Acquisitions (M&A) is that the payback after the high risks is huge, and one of the disadvantages is Alibaba has to pay more money and attention to their new businesses. The company gross profit margin of Alibaba company has decreased throughout the interest. This trend is also caused by the merger strategy in some way. In the end, we hope our study might benefit the enterprise and help the enterprise to develop better and better.
- Copyright
- © 2021 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Weizheng Fang AU - Boting Tao AU - Jixian Zhang AU - Linshan Zhao PY - 2021 DA - 2021/12/15 TI - Analysis of Financial Risks in the Process of Enterprise M&A-Taking Alibaba M&A Process as an Example BT - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) PB - Atlantis Press SP - 1450 EP - 1454 SN - 2352-5428 UR - https://doi.org/10.2991/assehr.k.211209.236 DO - 10.2991/assehr.k.211209.236 ID - Fang2021 ER -