Study On Absorbing Foreign Company To Involving In Mergers And Acquisitions As Well As Consolidations By State Owned Automotive Component Company

In the recent years, all automotive companies in the world take China as a most potential market of automotives. They enter into China in various ways (by joint venture, cooperation and wholly owned company) one after another. At present time, in the aspect of industry layout, the local complete vehicle layout is basically complete. The merge and consolidation is moving from automotive manufacturers to automotive component manufacturers. The consolidation and merge are being opened out. The combination of landscape orientation and portrait merging are being spread. Therefore, a new upsurge of investment for automotive components dominated by foreign company is being like a rising wind and scudding clouds. The huge market of FAW in China is one of the aims of the giant in automotive industry. The multi-national automotive component suppliers are actively looking for the partner in China to coming into Chinese market, enlarge the market share quickly, get the cooperative effectiveness of Chinese automotive industry, reduce the cost and risk for coming into Chinese market, which makes it possible for Fawer enlarging the cooperation with original partner.Merging and consolidation are one of the most important and effective ways to outstretch the capital of the company. The so-called merging and consolidation are to merge the company and consolidate the assets of the company. Recall the history of the merging and consolidation both local and abroad; it is easy to find that merging and consolidation have different characteristics in different time of history. The merging in America had five tides: The first one was between 19^th century and 20^th century. The main consolidation is landscape orientation, most medium and small size...