A Case Study On The Synergistic Effect Of Joyson Acquiesces KSS

With the increase of per capita disposable income and the improvement of living standards,cars are increasingly becoming the preferred travel tool for every household.Especially since 2016,the new energy vehicles and smart cars are generally accepted,the automotive industry into the production and sales are strong.Although the domestic automobile industry has been greatly developed,but because most of the key automotive core technology in the hands of foreign auto giants,the domestic car is mainly operating with lower profits,such as vehicle and auto parts business,domestic automobile enterprise development space is limited.In order to be able to get long-term survival of enterprises and vitality,many automobile companies began to cross-border mergers and acquisitions,how to effectively integrate and play synergistic effect becomes a topic that enterprises in China must study in order to survive and develop.In this paper,we study the case of Joyson acquiesces KSS,using case analysis method and the method of financial data,explore the degree of realization of exploration acquisition synergies.This paper first introduces the current situation of M & A synergies from both domestic and foreign aspects,and confirms the theoretical basis of synergistic effect and confirms the failure of mergers and acquisitions in four aspects: operation,management,finance and intangible synergies.Secondly,it analyzes the process of JOYSON ACQUIESCES KSS,details of the acquisition process and the result of events,and then uses the theory of synergistic effect further.Through the acquisition of the data before and after comparison,take the comprehensive performance evaluation method of acquisition success the reasons are analyzed;the problems encountered in the case,draw relevant revelation.Through this analysis,this paper argues that the process of JOYSON ACQUIESCES KSS is successful.Joyson achieves the field of automotive safety technology after acquisition,improves product layout,achieves technology synergy effect;at the same time opened the US auto market,completed in Europe,the Americas and Asia,the three major base layout,in line with Joyson Globalization strategy to achieve the market synergies;Finally,in June 2016 statements consolidated,KSS and TS contributed to the shareholders of Joyson listed companies net profit of about 68 million,to achieve the financial synergies.But as a result of the acquisition to pay the price is too high and full payment,cost industry large amounts of cash flow,to a certain extent affect the realization of the synergy of enterprise management and financial synergies.Through the analysis on the synergistic effect of Joyson acquiesces KSS,realize the acquisition of the short-term to achieve operating synergies,but management synergy and the financial synergy effect is not very good,but for company optimistic about the prospects for development of the enterprise,the next three to five years will get rapid development,the other car companies and even the Chinese enterprise Transnational acquisition will have a profound impact.A case study the acquirer to stand in a strategic height to the acquirer,reasonable pricing;improve the negotiation discourse,select the appropriate mode of payment;according to the acquisition of specific circumstances,carry out a suitable acquisition mode.At the same time,do not blindly in order to gain synergy,and ignore the post acquisition integration,control and prevention after only prior warning,in the matter,focusing on the integration of risk,acquisition synergies to play out,the long-term benefits for the enterprise.