The Strategies Of Overseas M&A For Chinese Enterprises Under New Circumstance

Influenced by the financial crisis and European debt crisis,European and American countries are trapped into the greatrecession of economy. Some enterprises are confronted by the threatof capital chain fracture and their assets are undervalued. Againstthis backdrop, lots of small-size and medium-size enterprises gointo bankruptcy and some renowned international corporations arehaving bad performances and thus are pushed to the edge ofbankruptcy and reorganization. These corporations are activelyseeking foreign funds for help, which presents a good opportunityfor Chinese businesses to expand oversea through internationalacquisition, for the rich resources, advanced technologies, brandingand channel obtaining purposes. This paper combines relatedtheories from home and abroad to analyze the motivations andcurrent status of Chinese enterprises going for oversea merger andacquisition. It also studies the competitiveness of Chinese enterprisesin carrying out merger and acquisition in European and Americancountries. After an in-depth study and analysis, strategies andcountermeasures are put forward from the government’s andenterprise’s perspectives for Chinese enterprises to conduct effectiveoversea merger and acquisition.