Evaluation Of W Education And Training Enterprise Mergers And Acquisitions Based On The Theory Of Synergy

The market concentration rate of education and training industry is relatively low.It is shown that China's M&A events in education and training industry increase sharply.M&A events will occur in a wild way.An increasing number of education and training enterprises try to optimize resource allocation through M&A,expand market share and reduce transaction costs.In order to maintain its performance increasing and accelerate its external growth,enterprise ought to realize economics of scale and maximize profit.There are few M&A cases in China's education and training industry.For the lack of theoretical guidance and practical experience in the education and training industry,the success rate is relatively low.The effective procedure of integration and how to choose qualified company have not yet been established.First of all,the related theories at home and abroad of M&A and synergy effect are reviewed.Taking W Education as an example,I analyze the background and motivation of M&A.Synergy effect evaluation system is established by financial index method.In addition to that,combined with the characters of education and training industy,the growth rate,retention rate and refund rate are especially mentioned.By analyzing and evaluating the synergy effect,we can safely draw some conclusions,which can provide inspiration for the industry.Research shows that M&A in education and training industry is meaningful,while expanding rapidly will result in development stagnant later.M&A is just a method.Integration is process,which is essential.Most importantly,the realization of synergy effect is what we really want.We should attach much importance to integration,especially the integration of human resources and culture.Professional team who are do well in M&A has a profound effect on synergy effect after merger.