As is known to all, Yageo plays a decisive role in passive component industry in the world. In 1991, Yageo¡¦s capital was only estimated NT$ 400 million. A series of acquisitions of not more than 10 years, Yageo¡¦s capital has reached NT$ 14 billion. It grows more than 30 times. Thereinto, the most famous and controversial issue was Yageo¡¦s ??650 million (Around NT$ 18.8 billion) acquisition of the passive component division of Philips in 2000. At that time, Walsin Technology quoted 8 billion. Why were the value evaluations of acquiring the passive component division of Philips on the 2 leading companies of passive components diametrically opposed? This study aims at exploring the effectiveness of this acquisition case at high price.
In the early stages of Taiwan's passive component industry, Taiwan fell behind Japan, Europe and America in technology. In order to catch up with advanced foreign technology expeditiously, expand the market share, and become a global leading company from local Taiwan, acquisition and strategy alliance are very common method strategically. Nevertheless, through many literatures, we find that actually successful examples of acquisition are not many. Specially, Yageo¡¦s acquisition of the passive component division of Philips is that big beats small. Furthermore, transnational acquisition involves with different business philosophy, management system and corporate culture. Success of acquisition becomes more difficult. In terms of corporate managers, the most important responsibilities are to lead the company's growth, enhance shareholder value, bring prosperity to the community and provide more opportunities for employment and entrepreneurship. This case was studied from pre-acquisition in 1997 to post-acquisition in 2004 on each indicator for analysis and comparison to explore the gains and losses of whole acquisition.
When enterprises are in the process of development, acquisition is absolutely one of the strategy options. However, how does acquisition strategy create the maximum value? The wisdom and decision of enterprisers will be strictly tested by market and investor. We hope it can provide usefulness for enterprisers in Taiwan to execute transnational acquisition by exploring this acquisition case.
| Identifer | oai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0725109-003719 |
| Date | 25 July 2009 |
| Creators | Yang, Yin |
| Contributors | Jen-Jsung Huang, Der-ming Lieu, David Shyu |
| Publisher | NSYSU |
| Source Sets | NSYSU Electronic Thesis and Dissertation Archive |
| Language | Cholon |
| Detected Language | English |
| Type | text |
| Format | application/pdf |
| Source | http://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0725109-003719 |
| Rights | campus_withheld, Copyright information available at source archive |
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