Motivation And Performance Analysis Of Overseas Mergers And Acquisitions Of Household Appliances Enterprises In China

Since the reform and opening up,China’s household electrical appliance enterprises have ushered in rapid development,the business scale has been continuously expanded,and the product categories have been increasing,gradually becoming one of the pillar industries of the national economy.With the promotion of the "home appliances to the countryside" and "old-for-new" policies,China’s traditional household appliances market is gradually saturated,accompanied by the continuous improvement of the income and living standards of Chinese residents.The consumption upgrade has driven smart homes to become the future home appliance industry.Direction of development.However,although the scale of China’s home appliance enterprises has continued to grow,there are still many gaps in the patent technology and R&D strength with home appliance manufacturers such as Europe,the United States,Japan and South Korea.There is still no small resistance to the development of smart homes.At the same time,with the advent of the "Industry 4.0" era,China’s manufacturing industry has begun a revolution in industrial upgrading for automation and intelligence,and the new "One Belt,One Road" policy has opened up a new path for China’s home appliance manufacturers.In recent years,China’s household electrical appliance enterprises have "goed out to the sea" and launched a new wave of mergers and acquisitions.In the context of the new era,the motivation and performance of overseas mergers and acquisitions of China’s household electrical appliance enterprises are worthy of study.This paper will take the two representative mergers and acquisitions initiated by Midea Group in 2016 as an example to study the motives and performance changes behind the cross-border M&A of China’s home appliance enterprises.This paper first studies the theoretical results of cross-border mergers and acquisitions at home and abroad,and provides a solid theoretical basis for the analysis and evaluation of the following texts.Then,this paper briefly outlines the macroeconomic trends and industry environment background faced by China’s household electrical appliance enterprises,and the case study of the company first.The situation and the entire M&A process were introduced in detail.Then,this paper analyzes the motivations of Midea’s group mergers and acquisitions from the perspectives of opening up overseas markets,acquiring advanced technologies,and achieving strategic development.In addition,this paper also refers to financial indicators and non-In terms of financial indicators,the objective evaluation of the performance of Midea Group’s mergers and acquisitions has been carried out,which proves that the two cross-border mergers and acquisitions have brought positive changes to the overall performance of Midea Group.Finally,the motivation of this group’s mergers and acquisitions in the United States and The performance is briefly summarized,and the road to cross-border M&A of home appliance enterprises is put forward from the aspects of strategic positioning,payment methods and collaborative management.It is hoped that it can provide some reference value for overseas M&A of China’s home appliance enterprises.