Research On Continous Merger And Acquisition Effect Of Tencent Based On The Promotion Of Game Market Competitiveness

In recent decade,with the growth of the cultural industry and the rapid development of the communications and electronics industries,the game industry also presents a blowout development state.After years of development,as of 2017 China has become the world's largest game industry market,and it contains enormous potential for development.Under the circumstances,it is an important strategic objective for game companies to seize a rapidly developing game industry market and rapidly enhance their own competitiveness.And merger and acquisition(M&A)will undoubtedly become one of the powerful grips for game companies to achieve this important strategy.This paper takes Tencent's continuous mergers and acquisitions of game industry as an example,and uses a combination method of literature review,case study,statistical analysis and comparative analysis to evaluate the market effect of Tencent's continuous mergers and acquisitions in the gaming industry,focusing on analyzing the causes of changes in its market effect,so as to enrich the theory of continuous mergers and acquisitions of companies and the research achievements of mergers and acquisitions in game companies.First of all,on the basis of literature review of the related basic theories of enterprise continuous acquisition connotation,motivation of continuous mergers and acquisitions,analysis of market effects,market competitiveness,risk control and integration after mergers and acquisitions,etc.,this paper summarizes the development status of Tencent game industry,and analyzes the causes of its continuous mergers and acquisitions after combing the life cycle theory to its development history of gaming industry continuous mergers and acquisitions;Secondly,after evaluating the market effect of Tencent game industry continuous mergers and acquisitions from the two aspects of explicit market effect and implicit market effect,this paper focuses on the analysis of the reasons why Tencent's continuous game acquisitions have achieved positive market effects from three aspects:M&A target selection based on the whole industry chain strategy,M&A implementation based on market maturity,and M&A path selection based on company's own M&A capabilities;Finally,on the basis of the above analysis,we draw conclusions and refine the implications for other companies in the game industry to improve their market competitiveness.