Jilian Consultants Co., Ltd.
Jilian Consultants Co., Ltd.

What Are the Major Ways to Acquire Overseas Companies?

With the development of society, there are more and more companies on the market, and listed companies are also growing. In order to expand the scale of the company, some small enterprises will be acquired. Mergers and acquisitions between companies have become a trend. So, what are the major ways to acquire overseas companies overseas? We have compiled the following content to answer your questions and hope to help you.

1. Brand-oriented overseas acquisitions

Brand-oriented acquisition is an investment method that is very different from the establishment of independent brands overseas. It uses the acquisition of well-known foreign brands to develop the local market with the help of their brand influence.

Features of this kind of overseas acquisitions:

The first is "backdoor listing", that is, to first acquire the "shell" of a well-known foreign local brand, and then use this shell to package the product, gain the recognition of local consumers, and quickly enter the local market.

Second, since most of the acquired brands are existing well-known brands of poorly managed or bankrupt overseas companies, they still have certain influence and sales channels. This method saves the time and cost of overseas brand building and promotion.

Third, this method is suitable for large enterprises with a certain capital base, good reputation, and the ability to acquire and control well-known overseas brands.

2. Technology-oriented overseas acquisitions

The technology-oriented acquisition method means that the main purpose of the acquisition company's overseas acquisition is to acquire the target company's high-tech, research and development strength, production equipment, high-quality talents, etc., in order to improve its own competitiveness.

Technology-oriented acquisitions can enhance the technological capabilities of the acquiring company, thereby enabling its own technology leadership.

3. Market-oriented overseas acquisitions

The market-oriented acquisition method refers to the overseas mergers and acquisitions of the acquiring company for the purpose of entering foreign markets or realizing the localization strategy of local design, local production and local sales.

Market-oriented acquisitions can quickly enter the international market and new industries, gain new market space, and bypass trade barriers.

4. Resource-oriented overseas acquisitions

The resource-oriented acquisition method means that the main purpose of overseas mergers and acquisitions is to obtain the exploitation rights of overseas natural resources to ensure a stable supply of resources.

At present, it is a period of urgent need for resources for economic development. Many fields have strong demand, and China's natural resource mining is in short supply. Therefore, opening up overseas mining bases is an important means for the sustainable development of energy-based enterprises.