Risk Assessment And Management Of Mergers And Acquisitions In Textile And Garment Enterprises

With the accelerated globalization process of mergers and acquisitions,the textile and garment enterprises make acquisitions to achieve the scale effect,the number of mergers and acquisitions is more and more,but the failure rate of mergers and acquisitions is higher,which brings losses to both sides of enterprises,so it is very important to value and control the risk of merger and acquisition.The prevalent industry characteristics and characteristics of the textile and garment industry determine that related companies are generally at risk of early warning.Through the combination of theory and practical case,the risk factors of textile and garment enterprises in various stages of merger and acquisition are identified,evaluated and managed.First of all,synthesizing research on the textile and garment enterprises merger and acquisition risk at home and abroad,especially the analysis of the risk factors for acquisition of textile and garment enterprises,combining with the actual situation of the textile and garment enterprises mergers and acquisitions,to identify the risk factors affecting the textile and garment enterprises mergers and acquisitions.Secondly,this paper combined with the specific case of A and M company,designed the survey questionnaires,constructed the research model to analyze each risk factor,in textile and garment enterprises merger preparation stage,implementation stage and the finishing stage,used the fuzzy comprehensive evaluation model,established risk factors sets and determined the evaluation grade set,determined the weight of risk factors by specialist evaluation method,built the risk assessment model in mergers and acquisitions of textile and garment enterprises,combined with the case of company A and M to determine the risk degree of the mergers and acquisitions activity.Finally,according to the above analysis of risk factors,putting forward the risk management measures in different acquisition phase,before the merger,making reasonable strategic plan and fully understanding the information of the goal enterprise,considering the influence of legal environment in the process of the merger and acquisition,the target company valuation,payment and financing options should be reasonable,after the merger,human resources,corporate culture,operation and management mechanism should be integrated effectively.