||Ways for enterprise pursuing business growth can be divided into two, "internal growth" and "external growth". The so-called "external growth" is from various activities which the companies might take, such as merger and acquisition, joint venture or even strategic alliance to achieve the purposes of external expansion. Forward with the pace of economic globalization, enterprises are facing challenges includes increasing competition, how to broaden the economics scope, and thus improve asset efficiency. Therefore, the M&A deals become more motivated to the enterprises on the growth opportunities.|
However, not all companies pursue growth thru mergers and acquisitions many unsuccessful cases presented the risk. Literatures over the years of M & A Performance Study show that the potential rate of failure lead by mergers and acquisitions is between 50-75%. Therefore, how to leverage the analysis of M & A motives, and the appropriate use of M & A strategy to bring successful acquisition for enterprises and also to improve competitiveness in terms of achieving concrete results, becomes the major issue for them.
The methodology of this study is to use the 17 common finance index as research tools and the cases from global Medical device and Pharmaceutical companies as the study cases. Meanwhile, use of SWOT analysis to further understand the post M&A situation.
From the above-mentioned tools to evaluate three global companies after M&A. By the conclusion, through the finance index was to show the result of the strategy of M&A, and also provision the further suggestion for M&A evaluation.