Case Study On Synergy Effect Of Qingdao Haier M&A General Electric Appliance

With the implementation of the "Belt and Road" initiative,many enterprises in China have turned their eyes to overseas market at the purpose of expanding market scale,reducing costs,and adjusting industrial structure.However,whether a cross-border M&A can be implemented smoothly depends on the rationality of the original intention,and the resources integration after merger.Analysis of the motivations,processes and performance of M&A shows us whether the merger is successful or not,and provides reference for late-comers,which endows it with certain practical significance.Taking the case of the merger of a well-known home appliance enterprise of China,Qingdao Haier and GEA from the US as the research object,this paper analyzes the motivation and performance of Haier's acquisition of general-purpose home appliances.Firstly,it summarizes the Operating synergy management synergies and financial synergies brought about by merger and acquisitions.Secondly,it analyzes the motivation of M&A,explores why Qingdao Haier spent huge investment in acquisition of general-purpose home appliances,understands the purpose of its merger and acquisition,and introduces the M&A process.Finally,apply financial indicator and event analysis method to study the analysis of the financial performance of mergers and acquisitions,and simultaneously uses non-financial indicators to explore whether it has produced synergies and management synergies.The result shows that Haier M&A General Household Appliances have produced certain synergistic effects in terms of operation,management and finance.Based on the process,motivation and characteristics of the merger,this paper summarizes the experience and enlightenment of Qingdao Haier ' s cross-border mergers and acquisitions,hoping to provide reference for the cross-border M&A activities of Chinese enterprises.