Year: 2025
Type: article
Abstract: This paper delves deeply into the risks that might be encountered during the process of cross - border mergers and acquisitions (M&A), with special emphasis on the significance of the business status of the target company to the success of M&A. Cross-border mergers and acquisitions not only provide enterprises with valuable opportunities for market expansion and business diversification, but also come with a series of potential major risks. In cross-border M&A, the main challenges facing enterprises include asymmetric information, imperfect evaluation methods and evaluation systems. These factors may lead enterprises to make wrong judgments in the process of merger and acquisition, thus affecting the final integration effect and expected income. To effectively address these challenges, companies need to conduct exhaustive due diligence and develop a well-thought-out strategic plan. In addition, the paper emphasizes the importance of focusing on compliance, operational, and human risk. By strengthening the management of these areas, companies can significantly improve their chances of successful integration. Finally, this paper points out that only when the strategic direction is clear and the operational capability can support these strategic objectives, can the enterprise remain invincible in the fierce international competition
Author: Yian Wang
Institution: University of Bristol
Language: English
Subfield: Accounting
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4409210632