The Study Of Merger & Acquisition Of Listed Telecom Companies

Listed Telecom corporations are recently the focus of the study. The frequent boots of price competitions, together with the depression of the whole industry, attract our consideration about such a conflict.Undoubtedly, there are intense competitions from the international corporation in the industry, besides those among the domestic corporations. In such a situation, the merger seems to be the necessary decision for survival.Presently, many well-performed telecom companies are listed in the stock markets. The thesis, the study upon the corporations on the list, discusses about the necessary of mergers, the mode of mergers, the performance of mergers and the potential problems.At first, describing the growth progress of that industry and the change of its competition circumstance with Porter Model, the thesis emphasize the important role of the industry in the past twenty years and the present intense competing situations.After that, the thesis analyses those companies about the capital share, pecuniary condition. That shows their main characteristics of the low growth rate and the shrinking profit. Meanwhile, the thesis also analyzes about the difference between the inside managing strategy and outside trade strategy. That will lead to the conclusion that merger is survival decision for them.Then, the thesis introduces the meanings, models and development of mergers. And through discussing in detail the characteristics, the modes and the trend of integration of local and foreign investment about the mergers of listed telecom companies, the thesis demonstrates that merger is the most complexity, popular and efficiency model in overcoming the restriction on capital, technology and market capacity, in advancing mass-producedeconomy.Then, this paper makes an empirical study on the merger & acquisition performance with SPSS (Statistical Program for Social Sciences). The study is done in hope to evaluate the performance in an objective manner so as to find out successful models in merger & acquisition and identify problem in process. The ultimate goal of the study is to research how to regulate merger& acquisition so that it will become an important means to optimize resource allocation.In the end, analyzing the problems that still exist in those companies, the thesis will give some solutions.Although there are many problems, the challenges and the opportunities give the industry a promising future in the mergers, certainly depending on establishing a safe and sound merging system.