Chinese firms scoop up overseas acquisitions
In the above video, they briefly discuss the oversea acquisitions – buying spree of Chinese firms’. One rationale offered in the video is about the saturated domestic market in China – in recent years, the Chinese economy finally reached the point of slower growth. To further sustain their growth, these established Chinese firms are looking for foreign expansion (MNE stands for multinational enterprise).
Answer the following quesiton in a 1 page paper time roman font 12
Are there any other reasons for Chinese firms to seek foreign targets for expansion?
Why do Chinese firms opt for mergers and acquisitions (M&As) rather than other types of entry mode?
What are the advantages and disadvantages for Chinese firms to rely on M&As for foreign expansion?