Study Of Mergers And Acquisitions Of State-owned Enterprises

M&A of enterprises has a long history of more than 100 years in the western developed countries. To a great extent, M&A of enterprises as an effective means promoted the development of related every country's economy. By comparison, the history of state-owned enterprise' M&A is very short which occurred in 1980s. Since the past 20 years, M&A has been proved to be a useful way that was good to dispose rationally the economic resources and improve the SOEs' competitiveness. It played an important role in the continuable development of state-owned economy and the transform of economic system. At the same time, problems exists in M&A of SOEs such as the blur of property right relationship, the out-of-balance of stock right structure, the inadequacy of governmental interference, the lag of social security, etc. If we don't do our best to solve them, they'll endanger the healthy development of SOEs undoubtedly because they are inevitable in the process of SOEs' M&A. Generally speaking, with China's entry into WTO and the deepening of economic globalization, how to improve the key competitiveness of SOEs is the primary task by M&A.The whole paper consists of four parts. The following is the main content of each one.The first part: The summarization on M&A of enterprises. Firstly, we simply introduce the definition of M&A and the forms. Then under the guidance of Marxist economic theory, this paper persists in drawing lessons from the several typical parts of current western economic theories to explain the economic cause of M&A. At last the part holds it's necessary to M&A for SOEs at present on the basis of the analysis of M&A important meanings and effects.The second part: Present conditions and practical problems in the process of SOEs' M&A. Above all the part looks back to the course of SOEs' M&A and points out the main issues. Next it discusses deeply administrative-oriented M&A including its definitive, occurring causes and aftereffects, then draws a conclusion thatadministrative-oriented M&A restricts the development of SOEs' M&A.The third part: Introduction of international experiences on M&A in western developed countries. On the basis of researching five M&A waves of enterprises involving occurring causes and main features, the part arrives at some general regulars of M&A. Chinese government and SOEs can refer to these experiences in M&A.The fourth part: Relevant policies to develop the M&A of SOEs. The part is the core of the article. Firstly, it puts forward to develop market-oriented M&A should abide by six principles. Secondly, the part lists some specific suggestions to solve the above-mentioned problems. Lastly, it looks into the future of M&A of SOEs.