Seminar paper from the year 2007 in the subject South Asian Studies,
South-Eastern Asian Studies, grade: 87, Dongbei University of Finance
and Economics (School of International Business), course: Chinese
Financial System, language: English, abstract: China is a fast growing
economy. Therefore a lot of companies intend to enter this market.
Mergers & Acquisitions (M&A) are a useful tool to do so. First of all,
it is important to understand the key principles of M&A. Therefore
chapter 2 gives a summary of the most important aspects of mergers and
acquisitions in general. Chapter 3 gives an introduction to the Chinese
M&A market. It will deal with statistics concerning inbound and outbound
deals, FDI and an overview of M&A advisory and investment banks. Chapter
4 will focus on the current situation of M&A activity and foreign direct
investment (FDI) in China. FDI is another method for entering a market
and is a competing tool to M&A. It will also present some examples of
M&A where Chinese companies were involved. Chapter 5 deals with the
importance of the stock market for M&A activity. After that, the most
important aspects of M&A activities in the Chinese financial industry
will be shown. First, an overview of the banking industry in China will
be presented and the problems will be shown. After presenting the
reasons for foreign companies to enter the Chinese financial market, the
M&A activities in that sector will be shown and evaluated.
