Study On Architecture Enterprises Merge And Acquisition Based On Competence Improvement

Merge and acquisition is a normal activity in modern market economy and plays an irreplaceable role in market economy. In the context that China's architecture industry has become a pillar industry in the national economy, the main purpose of this article to study the merge and acquisition of China's architecture industry is how to improve the competence of architecture industry and involve in the international market competition. Based on the development situation of China's architecture industry, with the application of the method of combining merge and acquisition theory with practical practice and through the analysis on the merge and acquisition case that China Harbor Engineering Co., Ltd and China Road & Bridge Corporation were incorporated into China Communications Construction Company Ltd., this article sums up the motive and performance of merge and acquisition and the problems existing during merge and acquisition and then deduces the suggestions on merge and acquisition of architecture industry so as to improve the competence. The problems existing in merge and acquisition of the case companies are mainly:during the merge and acquisition, the market rules are not completely followed and there is no involvement of investment banks; due to the block segmentation and graded management system of enterprise assets, the assets restructuring is blocked by benefit barriers, the difficulty in making enterprise decisions is increased and it is confronted with a lot of problems in assets restructuring; the legal system and social security system during merge and restructuring are not perfect. Through the case study in this article, the suggestion on improving the competence of architectural enterprises is deduced as:follow the mega-merger restructuring mode so as to achieve the effect of 1+1＞2; carry out the merge and acquisition guided by strategy so as to avoid blind merge and acquisition without following the rules of market economy; implement brand strategy after merge and acquisition and becomes a brand company with international competence; corporate governance structure is the fundamental issue in corporate merge and acquisition and a sound corporate governance structure is the key to improve the competence of enterprise.