A Study On The Titanium Industry Integration Of Panzhihua Iron & Steel Group

How to integrate the operation of each firm in a group when the share transaction is finished in merger & acquisition? In order to realize the assortment of the management, operation, organization activity and firm's culture,improve the core competitive ability and competitive advantage, the firm acquiring the controlling rights will reorganize the internal and external sources of the group. From the experiences of the merger & acquisition in the world,the controlling rights transaction is only a small step,the integration of the whole group is a dynamic and long procedure. To make full use of the resource advantages, the Pan Zhihua Iron & Steel Group owning the controlling rights of Jinzhou Iron Alloy Co. and Yu Titanium Dioxide is the first step in its merger & acquisition activities. To research the integrative plan systematically in advance ,can guarantee the supplement of the resources and the assortment of each firm's operation in whole group.This paper gives a survey on the theory of merger ,acquisition & integration. On the background of our country,this paper present the common problems existed in the merger & acquisition activity. By SWOT and STEM analysis,we argue that the vertical integration is the develop strategy of Pangang Titanium industry in future. Guided by this strategy,the paper research on how to realize the integration of product,financial management ,organization,human resource and the culture. It shows:the product chain is the route from titanium mineral ,to high quality titanium ,rutile titanium dioxide,special titanium dioxide,nato-titanium;the financial management will integrate the subsidy's financial target, decisions and the rules;the soaking strategy will be adopted in the firm's culture reconstruction。Meanwhile,R&D can be integrated in the technique center in Pan Zhihua Iron & Steel Group(Abbreviated PISG);A titanium allayment will be established,the titanium factory of PISG will be the core firm,which order,intervene and harmonize the non-core firms in whole group. All of these is to improve the core competitive ability of the titanium industry in PISG.