The Research On Corporate M&A Strategy Of Changsha Sunman Electronics Co,.Ltd

The function that the MSEs (medium and small-sized enterprises) give to national economic development is greater and greater. However, as the market competition is becoming fiercer, The MSEs need effective way to get sustained development urgently. Research theories and the corresponding practices of most western enterprises have shown that the corporate M&A (merger and acquisition) is an important method that enterprise expands the scale and carries on the low cost expansion. For lots of MSEs, M&A is not only the way of seeking to sustained development, but also an effective way to achieve the capital expansion. Changsha sunman electronics Co, .Ltd is a medium and small-sized private share-issuing enterprise, the administrators of the company carry on the corporate M&A with "Shaoyang universal machine factory" on the basis of the company's own characteristics and its managing goals. Through the corporate M&A, the company has broken away from the predicament and got further development. The paper's purpose is to provide experience for MSEs' M&A by doing the research of Changsha sunman electronics Co, .Ltd's M&A.First, the paper elaborated the selected topic background and the selected topic significance; Introduced and analyzed the domestic and foreign M&A research achievements about connotation of M&A, kinds of M&A and economic explanation of M&A; Described this paper's research method as well as main content.Next, analyzed the characteristics and the mechanism of M&A and pointed out MSEs' strategic choice and implementation of M&A. MSEs' are small, dispersive, flexible and attachable; The motive of M&A includes to obtain the economical scale effect, to realize superiority supplementary, to step in the new domain, to strengthen the market strength, to reduce the transaction expense, to have the financial coordination effect; The steps of M&A strategy are to clear about the management strategy, to analyze M&A strategy, to choice goal enterprise, to carries on the financial decision-making of M&A, and to implement M&A strategic.Then, did the good detailed case study to the Changsha sunman electronics Co, .Ltd, mainly analyzed the formation and the implementation process of its M&A strategy on the basis of the MSEs' M&A theory described above.Finally, drew up that the pattern of Changsha sunman electronics Co, .Ltd's M&A were (1) to belong to the MSEs' M&A; (2) to implement multiplicationmanagement through the mix M&A; (3) to choose state-owned enterprise which has been out of business as the objective enterprise; (4) to utilize "indirect M&A" remedying the deficiency of M&A. Its M&A's main successful experience included: (1) pondering the M&A strategy with rationality; (2) obtaining the government's supports; (3) "acts according to circumstances" when choose the M&A objective enterprise; (4) making the full use of social capital. Further, from the case, the paper gave some opinions about questions and optimized suggestion of MSEs' M&A strategy in our country.