The Current Behavior Of Cross-border Mergers And Acquisitions And Their Countermeasures

Foreign Direct Investment is growing more and more important in the world economy field, which is pushing the development of Chinese economy as well. Now the major form of Foreign Direct Investment has been the Cross-border Merger and Acquisition (Cross-border M&A), while China is still absorbing the Foreign Direct Investment in the form of Green-field Investment. The Cross-border M&A has gotten more than 80% in the whole Foreign Direct Investment and also would be the drive force of the development of Foreign Direct Investment henceforth. However, our policy of Investment lagged and we are still not concerned with the cross-border M&A adequately. The thesis will analyze the character, reasons and effects of the cross-border consolidation wave, and bring forward the countermeasure in the new position.This thesis includes three parts:First part: The author proceeds with the basic concept M&A, then enumerates thedifferent character of the four International M&A Waves in lOOyears, which presentedgreat difference from the current one. At last, the author introduces and analyses sometypical theory in the field of M&A, and puts foreword a new thinking of "Time CostAssume".Second part: This part is an important part in the thesis. The author analyses the gross,industries, area, and mode of the current consolidation wave by the latest detail data.Through the digging of the data, the author brings forward the motives ofCross-border M&A, and whose effects to the world economy and host country, andforecasts the development of the Cross-border M&A.Third part: In this part, the author indicates the limitation of our policy to absorbingForeign Direct Investment, and brings out the suggestion to the policy facing the newposition.