A Study On The Diversification Strategy Of Internet Enterprises

The Internet industry is an important part of China's ‘made in China 2025' strategy,which plays an indispensable role in promoting the sustainable growth of China's economy under the new normal.With the rapid growth of Internet industry,more and more Internet enterprises choose diversification strategy to expand their business areas and avoid single business operation risk through hybrid M & A.The core of diversification strategy is to maximize the long-term profits of enterprises,and it is the development strategy that Internet enterprises actively choose in response to the current market competition environment of the Internet industry.China's Internet diversified strategic M & A cases are increasing year by year,but there is still a high failure rate,strategic decision failure may bring great harm to enterprises.This paper focuses on the strategic decision-making of enterprise diversification,focuses on the goal selection of strategic decision-making,and analyzes how Internet enterprises should make their own diversification strategic goals to effectively improve the success rate.This paper takes the specific case as the research object,discusses how to choose the target company in the diversified strategic M & A.The research adopts the methods of literature research,financial analysis and case study,focusing on the problems arising from the implementation of diversification strategy by Internet enterprises,and discusses how to make reasonable decisions and implement diversification strategy from the perspective of enterprise strategy.Based on the case of Meituan merges Mobike,this paper hopes to enrich the theoretical and practical system of domestic diversified strategic M & A.The first part is the introduction,which introduces the background,significance and framework of this paper,and reviews the previous research results.The second part briefly explains the concept and theoretical basis cited in this paper,which lays the foundation for the later research.The third part analyzes the specific background of Meituan and Mobike,and analyzes the diversified strategy of meituan reviews.The fourth part starts from the value evaluation of diversified M & A strategy,analyzes the success in the case,and finally puts forward the corresponding specific strategies.This paper holds that before M & A,enterprises should accurately find their own position,explore their own core competitive advantages,and make the most of their own core competitive advantages when they carry out diversification strategy and select the target of M & A,and try to invest in high potential businesses that can bring a lot of income to enterprises in the future.