Research On The Serial M&A And Value Creation Of Enterprise Based On Resource Orchestration Theory

In recent years,domestic high-tech enterprises are facing bans on sales due to the Sino-US trade disputes.China’s semiconductor industry started late,the technical level of enterprises is far behind that of foreign countries,the market competitiveness is insufficient,and the manufacturing capacity is still weak.In order to quickly make up for domestic technological shortcomings and gain competitive advantages,some domestic companies have acquired external high-quality high-tech assets through mergers and acquisitions.This paper takes the serial M&A of Will Semiconductor as the research object,and discusses the path and effect of resource orchestration and value creation in the serial M&A of companies,in order to provide reference for the development of this industry.Sorting out the existing literature research results,this paper finds that the previous researches on serial mergers and acquisitions mainly concentrate on the motivation and performance of these activities,and most of the performance study adopts the event study method and the financial index study method.This paper tries to explore the path of value creation through serial M&A from a new perspective: resource perspective.At the same time,this paper believes that serial M&A implemented under the guidance of corporate strategy,so the balanced Scorecard,an evaluation tool of corporate strategic performance,is selected to evaluate the value creation effect of serial M&A.This paper selects the serial M&A from 2014 to 2021 by Will Semi,a leader in the semiconductor industry,as the research object,and uses the literature survey method and case analysis method for demonstration and analysis.Starting from the motivation of M&A,this paper divides the seven M&A of Will into two stages,and describes the path of transforming resources into enterprise value through resource orchestration in the two stages.At the same time,with the help of the Balanced Scorecard,the value creation effect of Will’s serial M&A activities are evaluated from four dimensions: finance,internal process,customer,learning and growth.The study found that enterprises carry out serial M&A,which are related to each other,and resource orchestration enables enterprises to complete the process from obtaining resources to realizing value creation.In the early stage of development,Will Semi was relatively short in internal and external resources.The company adopts a combination of internal development and external mergers and acquisitions to build a resource portfolio,implements a stable resource integration strategy,and finally realizes value creation through business leveraging.When Will Semi develops to a certain extent and has abundant resources,the strategy of resource integration changes to pioneering reorganization,and the way of resource leveraging becomes more complex and changes to platform leveraging.In view of the value creation effect of Will Semi,from the perspective of the four dimensions of the Balanced Scorecard,Will Semi’s serial M&A have achieved value creation successfully.The enlightenment of this paper is that the serial M&A actions of enterprises should be carried out under the guidance of corporate strategy.The resources acquired by M&A can be effectively integrated through resource orchestration,combining with the development stage of enterprises,and achieve value creation ultimately.