Cross-Border M&A and Corporate Innovation

Our analysis leverages a longitudinal dataset spanning 2001–2023, a period marked by China’s post-WTO integration and the institutionalization of cross-border M&As as strategic globalization instruments. The sample comprises Chinese A-share manufacturing firms engaged in overseas acquisitions from Shanghai and Shenzhen Stock Exchange, identified through the ZEPHYR global M&A database. Firm-level patent data and financial indicators were sourced from CSMAR, with patent metrics serving as proxies for innovation output. To ensure sample integrity, we excluded financially distressed firms (Special Treatment entities), newly listed or delisted companies, and observations with incomplete financial or M&A records. This screening process yielded a final panel of 1,130 firm-year observations, balancing temporal depth for trend analysis with cross-sectional rigor.