1. The basic feature of horizontal M&A is the horizontal integration of enterprises in the international scope. In recent years, due to the global wave of industry restructuring, combined with the actual development needs of various industries in China, coupled with the support of China's national policies and laws for horizontal restructuring, horizontal mergers and acquisitions in industries have developed very rapidly.
2. Vertical M&A refers to the M&A between the upstream and downstream of the same industry. Vertical M&A is not a direct competitive relationship between enterprises, but a relationship between suppliers and demanders. Therefore, the basic feature of vertical M&A is the vertical integration of enterprises in the whole market.
3. Mixed M&A refers to M&A between enterprises in different industries. Theoretically, the basic purpose of mixed M&A is to spread risks and seek economies of scope. Faced with fierce competition, enterprises from all walks of life in China think of diversification to varying degrees. Mixed merger and acquisition is an important method of diversification, which provides a powerful, convenient and low-risk way for enterprises to enter other industries.
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Reply time: 2021-11-05. Please refer to the latest business changes announced by Ping An Bank in official website.