M&A Of American Enterprises And Its Experience And Lessons

M&A of enterprises is the important component of the modern economic history, at the same time it is the important practice of the contemporary market economy and theory subject too, even more, it is one of focus economic topics in recent years both at home and abroad. About this theory, a lot of domestic and international scholars, experts have described it. Among them, there are Bruce Wasserstein and Joseph C. Krallinger, who are famous experts of American M&A and investment consultation. And Mr. Xie Wu, who is from Central China University of Science and Technology. Relevant practices, leading most by USA. This text has mainly sum up the main views of three experts, and reviewed the history of five times tide of enterprise M&A in USA. We have analyzed its characteristic and function on American economic development. Meanwhile, summarize its experience and lesson especially, put forward some suggestions of M&A to enterprises of our country.The full text divides into five major parts to explain, analyze theory and practice that enterprises merge altogether. The summary is as follows now:The first part, we survey enterprises merge theory, including concept, classification, cause, model etc. mainly, I explained some different views of myself at the same time.M&A refers to merger and acquisition, It has five kinds to classify on the whole: The first, according to its direction, it can divide into vertical merger, horizontal merger and mixing type merger; The second, according to its reason, it can divide into scale merger, function merger, combined merger, industry type merger and achievement type merger; The third, according to its attitude, it can divide into with good intention merging and hostile merging; The fourth, according to its subject, it can divide into strategy merging of entrepreneurs and lever merging of financial buyers; The fifth, according to its region range, it can divide into domestic merger and worldwide merger. Usually there are three kinds of payment that enterprises merge: cash means of payment (pay in cash), stock pattern of exchanging (change shares) and mixed patterns.Analyzing the reason of M&A from the most basic angle of business administration, we can summarize in a few words, caused by pursuit money, the natural instincts of the status and honor of people. People decide world subjects, the capital is only a kind of media, the enterprise is only a kind of carrier, the others are of the dependency, and serve for all that various kinds of need. So merger is one kind of means to satisfy people's natural instinct. Say briefly, it can be divided into five following factors: First, in order to expand the need of the scale. Second, in order to raise the efficiency or cost-effective need. Third, in order to reduce the competition and monopolize the market. Fourth, in order to earn the income of price differential. Fifth, in order to set up financing platforms.There are two big kinds of theory models of M&A. First, Theory Models of Lever Acquisition made certain of styles of M&A, including Classic Model of Lever Acquisition, Bankrupt Model of Lever Acquisition and Strategic Model of Lever Acquisition. Second, theory models assessed the value of enterprises, and it can divide into Model of Discount for Cash Flow (Model DCF), Model of Comparative Value and Model of Exchange Result. The second part, the course of five times tide of the M&A in USA is to reviewed as focal points, at the same time we analyze its function to American economic development.In more than 100 years since the end of the 19th century, enterprises' merger of USA went through five stages on the whole. They are the followings: the turn of the century at the beginning of the 20th century and the end of the 19th century, the twenties of the 20th century, the sixties, the eighties and the nineties and then formed the corresponding five times merger tide from them.The first merger tide (the turn of the century at the beginning of the 20th century and the end of the 19th century) the takeover in " the era of iron-clad...