Research On Market-Oriented Reform Of Mergers And Acquisitions Of Enterprises In Capital Markets

Since the State Council issued a document named "Opinions on promotion ofmergers and acquisitions" on September6th,2010, how to promote market-orientedreforms of M&A (mergers and acquisitions) of enterprises in capital markets hasbecome the focus of domestic government and enterprises. Research on this issue isbeneficial to improve the basic economic system with public ownership as majorityand multiple economic ownerships as assistance, enhancing market-orientedreforms as theoretical guidance. It is also conducive to accelerate thetransformation of economic development practically, optimizing the strategicrestructuring of state-owned economy and improve the state-owned capital liquiditymechanism, promoting non-public economy and competitive enterprises, deepeningreforms of enterprises and upgrading industrial structure in order to give full playto capital markets on promoting the role of M&A. Therefore, in current economicsituation, research on market-oriented reforms of M&A in capital markets hastheoretical and practical significance.On the basis of the theories about market-oriented reforms, capital marketsand M&A, this paper explains the mechanism between market-oriented reforms andcapital market in the first place. Through the analysis of the status of M&A inChina’s capital markets, the paper summarize the functions of market-orientedreforms and some problems. With the method of comparative analysis in domesticand international experience of M&A and market-oriented reforms, the paper gotsome policy advices and other related inspirations. By establishing a game modelbetween government and enterprises in capital markets, the paper finally gave somesummaries and ideas of market-oriented reforms.