Study On The Effect Of Continuous Mergers And Acquisitions Of Pharmaceutical Enterprises Under Strategic Transformation

Since the 21 st century,China has gradually entered an aging society.In order to meet the growing demand of the people for medical and health care and safeguard national health,the State Council in March 2009 put forward the “Opinions on Deepening the Reform of the Medical and Health System”.Since then,the prelude to medical reform has slowly begun.However,at this time,domestic pharmaceutical companies are blooming and the industrial concentration is low.The characteristics of multiple industries have become major issues that restrict the development of China's pharmaceutical industry.Under this circumstance,in order to better integrate medical resources and achieve rapid development of the pharmaceutical industry,on November 7,2016,the Ministry of Industry and Information Technology released the 13 th FiveYear Plan of the Pharmaceutical Industry to once again promote the integration of the pharmaceutical industry and promote Enterprise reorganization and backward enterprise withdrawal,supporting strong corporate alliances,and fostering guidance for large enterprises with international competitiveness.Based on the theory of mergers and acquisitions and mergers and acquisitions,this article aims to understand the basic conditions of mergers and acquisitions and the overall M&A process through the continuous M&A activities undertaken by the Tasly Group.At the same time,it will combine the 10 years of medium and long-term development strategy and the current status of the company established by Tasly Group in 2010.The dilemma in detail analyzes the motives for continuous mergers and acquisitions.Then it conducts a detailed effect analysis on the continuous acquisitions of Tasly Group from the perspectives of corporate strategy and post-merger performance.Finally,the parties comprehensively evaluate the results of the continuous acquisitions of Tasly Group..So far,there has not been a lot of research on continuous mergers and acquisitions,and most of the existing research results are empirical studies of continuous mergers and acquisitions.Few scholars have combined case studies on the specific industries of continuous mergers and acquisitions and medicine.In addition,the empirical research mainly evaluates the short-term performance of the company's continuous mergers and acquisitions.There is no long-term follow-up analysis of the company's development.Due to industry differences and different samples,the conclusions are often different,leading to inaccurate results.It is hoped that the case study of Tasly Group's successive mergers and acquisitions can provide reference for the development of other pharmaceutical companies.This article studies the case of Tasly Group's continuous mergers and acquisitions and concludes that continuous mergers and acquisitions can enable companies to achieve rapid strategic transformation.At the same time,from the perspective of corporate strategy,continuous mergers and acquisitions of enterprises are generally based on the strategic planning of the entire enterprise.Therefore,the case study of continuous mergers and acquisitions of enterprises can be conducted through the company's industry environment and the company's strategic intentions.In addition,continuous mergers and acquisitions can significantly increase the market value of the company in the short term and improve the operating conditions of the company.However,the group should carefully select the financing channels and methods of payment for mergers and acquisitions so as not to reduce the income from mergers and acquisitions.