The Comparative Analysis Of Transnational Mergers Target Choose Between China And India

The correct choice of the target enterprise is in the key of overseas acquisitions, because it not only decide the merger of enterprises overseas, also the guide throughout the whole process of foreign acquisitions.Due to the environment and the development of the history of Chinese enterprises and India, the target enterprise in overseas acquisitions selection process in show some differences.By using the automobile industry as an example, the selection of overseas mergers between enterprises in the car industry, four typical overseas acquisitions, through the macroscopic Angle of the target, medium and microcosmic perspective of stakeholders, the Angle between enterprises mergers must comparative analysis。It showed that:in the macro, Chinese enterprises with their most chose the political system, economic system and cultural differences of national enterprise mergers and acquisitions, and Indian firms are mostly after a long time of the target, the target of choice in the political, economic and cultural aspects and its most similar. Micro aspect, this paper argues that stakeholders will influence enterprise overseas acquisitions cognitive performance, therefore, management, investors and employees of enterprises angles of cases comparison, target selection is found in the stakeholders, the benign cognitive enterprise in China, compared with India enterprise do far insufficient, and lack of effective communication is the main cause of this phenomenon. Micro level, this paper respectively from the target enterprise characteristics and M&A from two aspects discusses the characteristics, the analysis of the target enterprise that:in the selection, Chinese enterprises and Indian firms, can follow certain similarity theory of merger with their strategic choices and merger of enterprises are mostly on target for a long time, or have the assessment of historic cooperation, not the blindness of M&A Compared with India enterprise, Chinese enterprises lack of fusion is more correct methods both enterprise culture of the target enterprise and the prospective outlook.In enterprise mergers, due to the characteristics of the background of the development of relations between the two countries overseas acquisitions, the motivation is also showing some similarities, mostly is for the purpose of seeking technology and market. In India, the motives behind the overseas acquisitions, mixed with India managers of a bigger vision, and our country enterprise, in this respect is seldom reflects.Based on the comparison between enterprise typical case analysis, system analysis of Chinese enterprises in the target enterprise advantages and disadvantages, thus make our enterprise can effectively avoid overseas mergers and acquisitions increase rate of trap. Meanwhile, through comparison and analysis method of single case studies of the target enterprise acquisitions overseas, in order to provide a theoretical and practical beneficial supplement.