A Grounded Research On Zhejiang Lonsen Mergers And Acquisitions To Enhance The Enterprise Competitiveness

In the past ten years,M&A became an important strategic choice for corporations to quickly enhance the enterprise competitiveness in our country.Zhejiang Lonsen developed very rapidly since its establishment in 1970,especially in 2003 its enterprise scale and benefit improved significantly after listed.In 2012 Zhejiang Lonsen successfully held DyStar by the way of debt-to-equity swap and it became the world's largest production and service provider of dyes.Zhejiang Lonsen's rapid growth thanks to its development strategies and M&A strategies.This paper bases on the method of grounded theory to analyze the promotion effect of M&A on the enterprise competitiveness of Zhejiang Lonsen.So as to give inspiration and reference for the enterprises which want to enhance the enterprise competitiveness by M&A.This paper first expounds the relevant theories and researches of enterprise competitiveness and M&A.It briefly expounds the historical process of M&A,the present situation of China's enterprise M&A,the basic situation of Zhejiang Lonsen,the competition pattern and development trend of its main products and Zhejiang Lonsen M&A from 2001 to 2015.Then using the method of grounded theory to explore the promotion of the enterprise competitiveness of Zhejiang Lonsen M&A which is deeply rooted in the collected realistic materials.It refines that Zhejiang Lonsen enhance the enterprise competitiveness which includes production capacity,market capacity,innovation capacity,human resources,environment protection capacity and financing capacity by M&A.Then the paper builds a model of M&A to enhance the enterprises competitiveness which contains clearing the purpose of M&A,grasping the opportunities of M&A,using the flexible means of M&A,attaching great importance to the integration of M&A and controlling the risk of M & A based on the grounded theory analysis results.And it puts forward conclusions and implications from the successful M&A of Zhejiang Lonsen :M&A is a means and focusing on the core business is the key to long-term healthy development of enterprises,concerning about the policy to help enterprises to find new growth point of development and the key to the success of M&A is grasping every link of M&A.