|
|
|
Abstract In the contemporary era marked by rising global economic uncertainties and intensifying anti-globalization trends, enhancing the international competitiveness of manufacturing enterprises through strategic initiatives has become a critical issue. One such initiative is cross-border mergers and acquisitions (M&A), which have been identified as a potent tool for upgrading the quality of export products. The central research question revolves around identifying effective strategies for leveraging cross-border M&A to enhance the quality of export products amidst an uncertain global economic landscape. Previous studies have predominantly focused on macro-level analyses or specific industry cases, leaving a void in understanding the micro-level impacts and mechanisms of cross-border M&A on export product quality. By constructing a comprehensive theoretical framework linking cross-border M&A, reverse technology spillovers, and export product quality, this research seeks to fill that gap.
The theory of technology spillovers provides a foundational basis for exploring the technological acquisition paths facilitated by cross-border M&A. Prior research has extensively discussed the pathways of reverse technology spillovers, corporate absorption capacity, integration capabilities, and the evaluation of technology spillover effects. However, there remains a paucity of empirical studies at the micro level, particularly concerning the mechanism of action impacting export product quality. This paper addresses these inadequacies by integrating multiple dimensions—technological acquisition, transformation, and integration—into a cohesive analytical framework.
To analyze the impact of cross-border M&A on export product quality, a three-stage model was constructed. This model encompasses stages of technology acquisition, conversion, and integration, aiming to elucidate how enterprises can harness advanced technologies, equipment, and talents acquired through M&A activities to improve their export product quality. Empirical analysis utilized Propensity Score Matching (PSM) and multi-period Difference-in-Differences (DID) methods to estimate causal effects.
Baseline regression results indicated a significant positive relationship between cross-border M&A and the quality of export products. Even after controlling for various factors, the positive impact remained evident, suggesting that cross-border M&A substantially enhances export product quality. Dynamic effect analysis revealed a one-year lag period before the full benefits of cross-border M&A became apparent, highlighting the need for time and investment in integrating acquired resources. Heterogeneity tests further demonstrated that same-industry acquisitions, particularly those involving electronics and communication equipment manufacturing, and acquisitions of target companies holding patent grants, exhibited more pronounced positive effects on export product quality.
Reverse technology spillover effects were confirmed to positively influence export product quality. Enterprises acquiring advanced technologies, equipment, and talents through cross-border M&A could effectively transfer these assets back to the parent company, leading to significant improvements in product quality. Additionally, the study found that firms with stronger absorption and integration capabilities benefited more from reverse technology spillovers. Absorption capabilities enabled firms to efficiently utilize the technological resources of acquired companies, facilitating technology diffusion and enhancing product quality and economic benefits. Integration capabilities, on the other hand, allowed for deeper exploitation of innovative resources, further promoting technology diffusion and improving product quality and economic performance.
A detailed case study of Junsheng Electronics illustrated the practical implications of the theoretical findings. Through the acquisition of KSS in the USA and TS in Germany, Junsheng integrated high-quality R&D resources from five centers, significantly boosting its independent R&D capabilities and the quality of its export products. After the acquisition, the firm achieved notable improvements across R&D, production, and sales stages, including increased R&D investment, growth in technical patents, optimized production efficiency, and enhanced international market competitiveness. This case exemplifies the transformative potential of cross-border M&A in elevating export product quality and overall business performance.
This study concludes that cross-border M&A significantly enhances the quality of export products, with lasting effects observed over time. Intellectual property-intensive acquisitions within the same industry yield particularly pronounced benefits. Reverse technology spillover effects are crucial in this process, with strong absorption and integration capabilities amplifying these effects. The findings offer valuable insights for policymakers and business practitioners, contributing to a better understanding of China’s manufacturing technology upgrade paths and strategies for enhancing global competitiveness. Future research should continue to explore the nuanced mechanisms and broader implications of cross-border M&A, providing actionable recommendations for stakeholders seeking to leverage these strategic initiatives effectively.
|
|
Published: 18 July 2026
|
|
|
|
|
|
