Risk And Control Of Horizontal Merger In Internet Companies In China

Internet enterprise with high creative and added value have become one of the most important pillar of the economic development of China in the future.In recent years,more and more Internet enterprise choose horizontal merger and acquisitions strategy in order to expand market share and improve business performance in China.Some of them achieved the goals of structural adjustment and industrial restructuring,however,a large number of them were failed.So the research on the horizontal merger and acquisition of Internet enterprises in China,especially the research on risk and its control is still lagging behind the needs of practice,which provides a larger space for the research of this paper.This research took example of the horizontal merger and acquisitions of 58 city and Ganji.Firstly,this paper reviewed the important literature of horizontal merger and acquisitions research both at home and abroad.Secondly,this paper analyzed the development stages of horizontal merger and acquisitions in Internet enterprise in China and their intrinsic motivation.Thirdly,this paper dig the process,motivation and risk deeply of the horizontal merger and acquisitions of 58 city and Ganji.The risk of Chinese Internet companies in horizontal merger contains strategy,finance,human resources,brand,business integration,transfer of control rights and other six categories of risk.Horizontal mergers and acquisitions of 58 city and Ganji is an effective measures to explore the Internet enterprise merger risk and their control.It is important to give suggestion to avoid and control the Internet enterprise merger risk later on.