Transnational Merger Tide And The Influence On Our Country's Economy

The world has already gone through six extensive tides of enterprise merger and acquisition so far. Since middle of 1990s , there has been the fifth tide of transnational merger and acquisition, in which many multinationals have participated in the international market .There also has been many cases of giant mutually multinational mergers and acquisitions, which have had important influence on the world economy and have attracted worldwide attention.From 1990s to 2004, the global transnational merger and acquisition has made rapid development, it has already become the main form of the global oversea direct investment, which will have significant influence on the development of global economy in the future. The enterprise merger and acquisition is an inevitable subject in the development of enterprise. Microcosmically, it can raise the investment benefit , develop economies of scales ,raise the level of management; Macroscopically, it can promote the adjustment of the industrial structure and the development of modern enterprise system, which is the main influence on the development of economy. Transnational merger and acquisition after 1990s plays an important role in the international direct investment, which has become the main form of international direct investment.As a growing up developing country, China has been attracting great attention of the world. The entering of the foreign capital towards China speeds up daily, moreover the form has changed, the transnational merger and acquisition to Chinese Enterprise has become the main mode gradually. To 1998, more than 300 of the 500 strongest enterprises in the world have entered the Chinese market, the state-owned enterprise and the development of national industry have been facing the huge challenge. Facing the critical situation, Chinese enterprises can stand against the overseas enterprises and obtain the survival and development in the intense international competition just by carrying out the comprehensive reorganization of assets, and the power-and-power union, and by developing merger and acquisition rapidly and effectively to form the strong huge enterprise and group.At present, there is vigorous phenomenon of enterprise merger and acquisition in China. In this case, to promote the healthy development of enterprise merger and acquisition in China and respond to the tide of the transnational merger and acquisition, it is necessary to grasp the overall developing situation of transnational merger and acquisition in both theoretical and practical ways and comprehend the theory of enterprise merger and acquisition clearly based on understanding the meaning of transnational merger and acquisition. We also need to investigate and discuss the forming mechanism, the developing course, the main characteristic and the forming cause of transnational merger and acquisition, and analyze the wave of transnational merger and acquisition thoroughly, grasp the developing trend in the future. Enterprises in China will have a definite object in view and succeed in response to transnational merger and acquisition and developing the merger and acquisition of Chinese enterprises by comprehending the transnational merger and acquisition deeply. Meanwhile, China is under the world economics environment of economical globalization and in the epoch of shunting to market economy and liberal economy. With the enlarging of opening policy and the enhancing of Chinese own enterprises, more and more domestic enterprises start to scan the world widely, march overseas, seek the new space of strategic developing, develop transnational management and the overseas direct investment, and there are more and more enterprises that make overseas direct investment by the way of transnational merger and acquisition. It has profound guiding significance for domestic enterprises in carrying out transnational merger and acquisition successfully to comprehend the meaning, the characteristic, and the causes of transnational merger and acquisition and analyze the wave of global transnational merger and acquisition thoroughly.The research of domestic scholars to the theory of transnational merger and acquisition began in the late 1980s and early 90's,but most of which was localized in the introduction of theory and practice of foreign enterprise merger and acquisition, especially in practice. Since the middle of 1990s,the vigorous development in domestic enterprise merger and acquisition proposed the stern challenge to the theory research of merger and acquisition. Chinese scholars have done the theoretical research of Chinese characteristic enterprise merger and acquisition, among their researches, the ones have an important influence and are brilliance in characteristic and highly representative include: Researcher Tong Fuquan not only described the panorama of global and the Chinese Enterprise merger and acquisition and the reorganization of property right reorganization, provided the full and accurate information, the massive examples and the rich theoretical resources, but also advanced the viewpoint "the enterprise merger and acquisition is the first choice of Chinese Enterprise assets reorganization" in his literature《The Fifth Tide -- The Apocalypse of Enterprise Merger and Acquisition And Property Right Reorganization》.Dr. Shi Jiansan carried the combinatorial analysis in the aspect of selecting and decision-making between two ways of influencing Transnational direct investment (transnational merger and acquisition and transnational foundation),advanced the analytical theory of the factor combination of transnational merger and acquisition(mainly includes the theory of demand levels, the theory of exterior stimulation,the theory of intensifying motivation, the theory of choice, the theory of arranging system and the theory of influence of correlative factor), thus enriched and developed the theory of enterprise merger and acquisition transnational direct investment in his literature《The Theory of Enterprise Merger and Acquisition》.Dr. Jiang Xiaojuan mainly taught the economical globalization, transnational merger and acquisition and the influence on Chinese economy in the third session of Wuhan economical and trading conference in 2001. She pointed out the guidance of policy in China should be clear about the support for domestic enterprise participating in the transnational merger and acquisition, and there are four reasons for China to promote the merger and acquisition, investment: the need of State-owned enterprise reforming, the gap of the fund of social security, the serious surplus of producing ability, promote the development of mid-western of China.Wang Xinchi parsed the behavior of manager merger and acquisition in the point of view of economics. He dissertated respectively the manager merger and acquisition and the function of enterpriser, the rational forecast, the management of corporation, the reformation of Chinese corporations, and then predicted: "The manager merger and acquisition will be the mainstream of Chinese economical society, and there will be a tide of manager merger and acquisition in the next few years in China."This article simply introduced the connotation and classification of transnational merger and acquisition, expatiated the characteristic and reason of all previous transnational merger and acquisition. It carried out the theoretical analysis and discussion of the reasons of transnational merger and acquisition exerting the modern enterprise theory, such as the efficiency theory, the transaction expense theory, the theory of property specialization, the surrogating theory, the incomplete contract theory and the theory of competitive advantage bi-directional shifting. There are multi-level reasons for the occurrence and the development of transnational merger and acquisition, this article mainly carried out the simple analysis of the necessity of transnational merger and acquisition in the three aspects of the international macro-environment, the need of the enterprise itself developing and the amphitryon country. The tide of transnational merger and acquisition plays an important role in the development of global economy, which brings both advantages and disadvantages to Chinese economy. We must make positive use of the advantages and make great efforts to solve the disadvantages as a developing country, this article put forward some proposals and images for our country being a amphitryon country. Simultaneously, it advances the strategy and the problems that need attention when domestic enterprise carrying out the transnational merger and acquisition in order to enhance our country and put the strategy of "walking out" much faster and more stably.