Research On Value Creation Of Phoenix Media M&A PIL In The USA

The Third Plenum of the 18th CPC Central Committee put forward the strategy of building a socialist cultural power,improving cultural opening level and accelerating cultural "going out".Thus,many Chinese cultural media enterprises speed up the pace of overseas mergers and acquisitions(M&A)in order to increase enterprise value and expand overseas markets.At present,quite a number of scholars are studying the value creation of M&A and they mainly focus on the study of certain factors affecting value creation,such as M&A motivation,diversification strategy,M&A integration and so on.In view of this,this thesis is intended to analyze the M&A value creation process of corporations based on specific cases from the overall perspective.This thesis summarized the M&A value creation theory by studying relative research literature home and abroad and,in the meanwhile,adopted the single case study method to deeply analyze Phoenix Media's M&A of American PIL Children's Books.In the first place,this thesis analyzed qualitatively the whole process of M&A value creation,including M&A motivation,M&A environmental adaptability,M&A leadership and M&A activity validity.In addition,this thesis also quantitatively studied the short-term performance of M&A by means of event study and researches the medium-and long-term performance of M&A through financial index method.Accordingly,this thesis made a detailed analysis of the whole process of M&A value creation from both qualitative and quantitative perspectives and then drawed the following conclusion:Only with full understanding of the influence factors of enterprise value creation of M&A,such as the upcoming challenges and opportunities,the real demand of the market,in the meantime,to do the due diligence before M&A,and have a thorough assessment of their own and target enterprise,make full preparation before M&A.In the annexation process of M&A,having friendly negotiations and making a reasonable deal,except that,taking effective integration measures after M&A.Only in that way,can enterprise increase its value and achieve sustainable development.