Research On Synergy Effect Of Cross-boarder Merger And Acquisitions Of China’s Cultural Enterprise

To answer the call of the national policy, cultural enterprises are successively opening the domestic and abroad market. The rise of cultural industries means the add of a strong layer to protect its traditional and emerging culture from the invade foreign culture. At the same time, the development of cultural industry can directly or indirectly improve the populace’s cultivation and strengthen the consciousness of protection of national culture. It also can make a new growth point of national economic development. Compared with the western countries, cultural industry started relatively late in our country. Overseas acquisition is an extension of domestic economy. To the healthy development of China’s cultural industry, it must have home and abroad market. For the cultural industry output, cross-border mergers and acquisitions is a shortcut in so many ways to develop the overseas market.In cross-border m&a, whether to achieve synergy or not is a sign of success. Cross-border m&a takes place among different countries, which have different cultural background, way of thinking and the laws and regulations. Therefore, the whole activity will be failed by any carelessness. Especially in cultural enterprises m&a, involved national security and political sensitivities determines the cross-border m&a to be an enterprise economic activity with great difficulty, high risk and complex process. How to obtain synergies in cross-border m&a is a particularly concerned issue for the enterprise. Consequently, research on synergy of cultural enterprises cross-border m&a and guide of cross-border m&a especially in our cultural enterprises is necessary.In this paper, synergy was divided into management synergy, management synergy, financial synergy and intangible asset synergy. Identification and implementation of the synergy is the primary factor to realize of cross-border m&a. As a result, based on the review of cross-border m&a study by domestic and foreign scholars, this paper firstly analyze the recognition and implementation of China’s cultural enterprises cross-border m&a. Meanwhile, this paper pointed out the characteristics and analyzed the influence factors of it. Secondly, a successful cultural enterprises cross-border m&a cases- Dalian Wanda Group acquiring American second cinema AMC company was selected as a case. Adopt the method of case analysis, the recognition and implementation of synergies between domestic and international enterprises was elaborate. Finally, combining with the status of Chinese cultural enterprises, corresponding policy recommendations was put forward for the development of overseas mergers and acquisitions of cultural enterprises.This paper argues that, to achieve synergy, both national and enterprise should make efforts. As an enterprise, before cross-border m&a, self strategy should be analyzed and an appropriate target enterprises should be sought. During the course, a reasonable valuation of target enterprise was essential to inhibit excessive pay. After the course, mergers and acquisitions integration was proceed to achieve synergy. Our country took the service function by policy support such as fiscal and taxation policy. Moreover, in the aspect of talent cultivation, the state and enterprises should make concerted efforts to cultivate international talents of creative consciousness and cross-border management ability.