Discussion And Research On Synergies Of Overseas M&A

Under the background of the upgrading of industrial structure,the household appliance industry in our country develops and grows like bamboo shoots after a spring rain,and becomes one of the pillar industries in our country.International home appliance market gradually presents the situation that China,Japan and South Korea compete three strong.But in recent years,with the decline of Japanese manufacturing in the global market,large Japanese manufacturing companies have gradually shifted away from the traditional manufacturing and sales of home appliances into more profitable industries,just as their counterparts in Europe and the United States did.Chinese enterprises that catch up with them begin to acquire advanced technologies from foreign enterprises and occupy local markets through overseas mergers and acquisitions.At the same time,the concept of high-end manufacturing has entered people’s vision and gradually gained popularity.The traditional household appliance manufacturing industry is also facing the transformation and upgrading under the new situation.However,due to patent blockade and technical restrictions,the upgrading of traditional household appliance manufacturing industry in the independent research and development of this road is difficult to walk,overseas merger and acquisition has become another choice for the industry.This paper analyzes the synergies and performance of the merger and acquisition of home appliance industry in 2016,and the merger and acquisition of Toshiba in Japan and KUKA in Germany in the same year as typical cases.This article is mainly divided into four parts.First,it introduces the background of economic policy and industry trend of home appliance industry and the transnational merger and acquisition of some home appliance enterprises.The second is to introduce the synergistic effect theory and performance evaluation theory of M&A,which provides theoretical basis for the analysis of synergistic effect of M&A library card and the investigation of performance.The third is to summarize the background of the household appliance industry and the situation of cross-border mergers and acquisitions,to provide the industry background and case introduction for the case analysis,mainly explains the merger process,payment method,merger plan and merger results of Midea merger and acquisition library card;Fourth,based on the financial and non-financial index method of Midea merger and acquisition of KUKA business synergy analysis,objective evaluation of Midea group after the completion of the merger and acquisition of corporate performance,prove that these two cross-border merger and acquisition cases have brought positive changes to the overall performance of Midea group.In the conclusion of the case analysis,Midea Group after the completion of the merger,through a series of management deployment,its synergistic effect has initially emerged,but there are still some problems in the process of the merger.First of all,as a technology-oriented and cost-saving merger,Midea owns KUKA robot technology and business.In terms of channels,through effective management of the robot and automation business department,it improves the level of intelligence and enhances the sense of user experience.In terms of logistics and technology,the cooperation between Risseg business and Ande Logistics greatly improves the digital transformation degree of Midea logistics.Through the integration of warehouse resources and big data in various regions,the management of operating costs is optimized to a large extent.In terms of brand building and market expansion,KUKA has gained brand awareness and opened the East Asian market of KUKA Industrial robot.Secondly,Midea Group’s acquisition of Toshiba’s household appliance business accelerated the value chain reconstruction and core business reorganizationTo promote the Midea group’s own brand strategy to create a good environment.Therefore,home appliance enterprises should strengthen the technology and cost saving type of transnational mergers and acquisitions.In addition,to prevent debt,financing and other financial risks,we should adopt diversified financing methods and correct payment methods,strengthen the holding of cash flow and pay attention to the integration of enterprises after M&A,so that cross-border M&A can serve the transformation of household appliance industry.Finally,on the basis of a simple summary of the motivations and performance of Midea’s mergers and acquisitions,this paper puts forward some suggestions on the road of cross-border mergers and acquisitions of household appliances enterprises in terms of strategic positioning,payment method and collaborative management,hoping to provide some reference value for overseas mergers and acquisitions of domestic household appliances enterprises.