(1) Avoid entry barriers, enter quickly, strive for market opportunities, and avoid various risks. The typical case is "backdoor listing", which avoids the long-term strict examination before listing and quickly enters the market.
(2) obtain synergistic effect. Mergers and acquisitions that complement the existing business of the enterprise, such as the merger and acquisition of steel production enterprises by automobile manufacturing enterprises, form a synergistic effect.
(3) Overcome the negative externalities of enterprises, reduce competition and strengthen market control. Negative externality refers to the irrational behavior of the group caused by individual rational behavior. For example, the development of enterprises must continue to expand. When a large number of such enterprises expand at the same time, there will be fierce competition, even irrational vicious competition. This phenomenon can be reduced through mergers and acquisitions, because mergers and acquisitions merge other existing enterprises and will not produce new competitors. Compared with internal development, they can reduce competition and enhance market control.