Mergers and Acquisitions Conducted By Chinese Companies on the European Market - Premises and Effects - On the Example of the Energy Sector

Karolina Łopacińska

Abstract

The article aims analyse the largest, in terms of value M&A conducted by Chinese companies between 2005 and 2015, in the energy sector, in order to present the main premises and the consequences of such agreements. For this purpose, first the specificity of China’s energy sector as the result of the implementation of reforms, the government’s five-year plans and the impact of the global economy was presented. Then the focus was put on the main premises and consequences of these forms of integration. Based on the case study method analysis of the agreements shows that decisions on conducting the agreements such as M&A are strongly influenced by the adopted strategic directions of the companies’ development, their desire to develop a competitive position on the market and improve their financial condition. The effects, in turn, were addressed, taking into account the dimensions of the strategic and tactical importance for companies. The elements of strategic importance include, among others: the new partnership models created as a result of M&A, creating new prospects for business development through access to new markets, new customers and the development of technological cooperation and research in the implementation of advanced technologies. The elements of the tactical character include, in turn: progress in internal modernization of companies and an increase in the efficiency of the projects and processes which translates into achieving better economic performance. Both the premises and the effects were considered, taking into account the specificity of the energy sector in which the analysed companies operate.
Author Karolina Łopacińska (ES / DIER)
Karolina Łopacińska,,
- Department of International Economic Relations
Pages118-128
Publication size in sheets0.5
Book Krnacova Paulina (eds.): The Proceedings of the 17th International Joint Conference Central and Eastern Europe in the Changing Business Environment, 2017, Vydavateľstvo EKONOM, University of Economics in Bratislava, ISBN 978-80-225-4385-9, 291 p.
Keywords in Englishmergers and acquisitions, Chinese companies, European market, energy sector
Languageen angielski
Score (nominal)5
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