China's Mergers And Acquisitions In The Investment Risk Analysis

In recent years, as the acceleration of economy integration all over the world, M&A has come into boom. M&A has a great effect on economic structure and worldwide market. Simultaneously it has had a deep influence on M&A of all kinds of firms in our country.M&A is a way in which firms can obtain product factors indirectly, so it belongs to the field of investment. On one hand it helps the entities which will take over objective entities expand its yield scale, raise its produce ability and get materials and human resource at low cost. On the other hand objective entities will get out of the mess and be renewed.But it is not always the case. Sometimes M&A is full of risks of all sorts and even leads to the bankruptcy of the entities after take-over. So how to control the risks in M&A is essential to M&A in our country. It is the core of this article.There are four parts in this article. The first part is the introduction of the thesis, which accounts for the incentives and reasons why the writer choose the subject as the direction of my research in the paper. The second part is the summary for theories of M&A, which presents western theories on M&A. The third part and the forth part are the emphasis of the article. The third part focuses on the development of M&A in our country and investment risks during every stage in entities' M&A in our country. In the forth part, after the analysis of risks in M&A in our country, the author puts forward the methods which evade risks effectively.