Pro And Cons Of Transnational Merger And Acquisition

Economic globalization is a trend,it requires our country enterprise moves towards the world.The "go global" policy of China also need China's enterprises to enter overseas markets,while the supply is more and more domestic oil market in China is less than demand more requirements to development of Chinese oil companies.In this background conditions,oil enterprises to carry out cross-border m&a is important,but also necessary.Do a good job of transnational merger and acquisition of Chinese oil companies access to overseas markets,expand their scale,improve its competitiveness has important significance.In view of the above,the purpose of this study is to summarize and analysis the successful experience and failure lessons of China's oil enterprises transnational mergers and acquisitions,especially for transnational M&M risk,the opportunities and challenges,and the motivation study.And,based on the case and theory of this article,the author puts forward countermeasures and Suggestions for the future implementation of transnational M&A in our country.Using qualitative analysis method,and then combined with the two cases,the article discusses the motives of mergers and acquisitions,the cause of the failure or success,inspiration,and then can better understand the Chinese oil companies facing the opportunity and the challenge of transnational merger and acquisition.Through research analysis: China's oil companies are lack of experience and talent,but also faced with irresistible external risk,lead to China's oil enterprises in cross-border M&A strategy and pricing errors,judgment of potential political risk and financial crisis.In view of this,the author combined with years of experience and case,theoretical analysis,from the angles of the government and the enterprise itself,put forward China's oil enterprises transnational merger and acquisition approach.From the Angle of government,perfectlaw and policy,financing guarantee system must be built,supporting service system and intermediary institutions should also be perfect,the government should actively with host governments to establish friendly relations of cooperation,to create harmony of overseas mergers and acquisitions investment environment;From the enterprise itself,whether can target enterprise mergers and acquisitions and areas in the country's political,industrial,legal environment and other factors,all these should be included in the merger and acquisition policy considerations,and then through the scientific analysis to determine the appropriate and correct motives of mergers and acquisitions in the form of acquisition,and to establish a risk control mechanism to guard against risk,finally realizes the enterprise cross-regional resources strategic thinking.