The Study On Brand Integration Strategy After Merger And Acquisition

Merger and Acquisition (M&A) have become a very common phenomenon in the world economic development. With the sustainable increasing numbers and scales of M&A, the research on the constraining factors which lead to success or failure become much more extensive. This paper selects to discuss how to successfully implement brand integration strategy after M&A, and the purpose is to provide a valuable reference for Chinese enterprises'practice.It starts with the background introduction of world M&A waves, and follows with relevant theories of M&A, Brand and Brand Integration. After the induction of general brand integration methods taken by both domestic and international enterprises post-merger, it goes into deeper study on the specific case from BASF Construction Chemicals. The author divides the brand post-merger integration into two steps, which are cooperate brand integration and product brand integration:Cooperate brand integration is to determine what the new company's brand is, whether to choose a brand from acquiring party, or from the acquired party, or to use a united brand or dual brands or a totally new brand; and the product brand integration is to clear up the product portfolio, to reduce the brand quantity, to select the dominant brand and to determine the brand hierarchy, which surely is a more complex process. The paper firstly analyses the outer macro environment and industry competition conditions of BASF Construction Chemicals; secondly identifies the company's strengths, weaknesses, opportunities and threats; thirdly uses the PPM multi-factor portfolio model to help positioning the current brand status; finally proposes a comprehensive and detailed brand integration strategy. Further on, it points out brand establishment should base on the characteristics of B to B, and brand integration and development should adapt to its ecosystem, as well as the strategic supporting system and evaluation system.