Research On M & A Strategies And Performanceof Horizontal Merger Strategies In The Background Of "Two-vote System"

Under the combined effects of the increasing proportion of the elderly population in the total population,the increasing importance of nationals to the health of themselves and their families,and the active promotion of the“big health”industry by the country,the influence of the pharmaceutical industry in daily life is increasing.The emergence of the "two-vote system" has solved the problems of high drug prices and slow drug circulation,and has also had a huge impact on the pharmaceutical industry.After the change of the drug circulation model,the living space of pharmaceutical distribution companies has been sharply compressed,and a large number of pharmaceutical companies have tried to change the status and achieve rapid development through mergers and acquisitions.This article analyzes the current situation of mergers and acquisitions in the pharmaceutical industry,explores the changes in mergers and acquisitions in the pharmaceutical industry before and after the implementation of the "two-vote system",and discovers the risks in the merger and acquisition process of the pharmaceutical industry.Taking the case of the successful acquisition of 185 companies between 2011 and 2018 by Realcan,the impact of the "two-vote system" on Realcan was analyzed.Research on Realcan’s strategy from the perspectives of product business,capital management and post-merger subsidiary integration mode.The results show that the "two-vote system" promotes the acquisition of Realcan.The strategy of Realcan includes advancing mergers and acquisitions from economically developed regions to underdeveloped regions,improving the success rate and acceptance;the model adopts unified standards,forms the same power structure in different regions and different levels,and improves the parent company of the group Management efficiency;M & A layout takes into account both horizontal geographical layout and vertical product layout to enhance the competitiveness of enterprises after M & A;strengthen risk prevention during the M & A process and effectively control financial risks.This article is innovative in research perspective and enriches the research content of M & A strategy.The conclusions of this article can provide a reference for the pharmaceutical industry companies to formulate large-scale mergers and acquisitions strategies,but also for investors to make decisions when investing.