Research On Prevention Of Chinese Car Enterprises In Cross-border M&A Risk

In the economic globalization and China’s entry into the WTO background, Chineseautomobile enterprises to participate actively in the allocation and transfer process ofglobal production elements, conforming to the global industrial transfer and industrialstructure adjustment trend. Chinese automobile enterprises go abroad to implementcross-border mergers and acquisitions of, seeking the advanced technology and intellectualproperty rights and other foreign asset actively. After the2008financial crisis, Europe andthe United States and other developed countries auto market downturn, some developedcountries the outstanding automobile brand troubled Chinese automobile enterprises, theinitiative overseas automotive hunters, emerged a large number of state-owned and privatecar enterprises transnational merger shadow, seeking long-term interests, has achievedinitial success.However, M&a overseas automobile enterprises of China is in the primary stage ofoverseas mergers and acquisitions, the success rate is not high, improve the ability ofChinese automobile enterprises to guard against the risk of cross-border merger andacquisition, enhance its international competitiveness imminent operation. This paper usesthe theory of cross-border M&A, with reference to China’s automobile enterprises tenyears overseas mergers and acquisitions, according to the current situation of Chineseautomobile enterprises are analyzed in detail, especially points out that in overseasmergers and acquisitions decision, implementation, after the integration of each phase,there is the host of political and legal, trade unions, objective enterprise pricing, financialrisk, resource integration corporate culture, human resources, operational aspects ofintegration risk, and the risk of cases. From the United States the three major carcompanies to the multinational merger and acquisition experience, the Chinese automobileenterprises to improve success rate of overseas merger and acquisition, the enhancement ofinternational competitiveness. We must improve the overseas merger and acquisition riskprevention capacity, enhance the service function of government and intermediaryorganizations, a thorough investigation on the host and target enterprise, comprehensiveprevention of political and legal, trade union organizations, financial risk, pay attention tothe integration of corporate culture, human resources, management after M&A, reservewith the internationalization of the operation ability of the professional talents.