M&A - Opportunity for Strategic Cooperation Between Businesses in the Digital Age
In the context of a rapidly changing global economy, M&A deals (Mergers and Acquisitions) are not simply an acquisition game, but are increasingly becoming a strategic cooperation tool, helping businesses grow rapidly, expand markets and upgrade competitiveness.
1. M&A is not just "buying - selling"
Different from the traditional mindset of viewing M&A as "one side wins - one side loses", today many deals are designed in a "win - win" direction, helping two businesses take advantage of each other:
- Businesses own market share large → take advantage of distribution channels, customers, brands.
- Small businesses that specialize in technology → add R&D capacity, digital solutions.
- Foreign businesses → help expand the market quickly without wasting time building from scratch.
For example: Japanese businesses The investment in Vietnam through M&A is not only to control the market, but also to cooperate long-term, retain local personnel and culture, and integrate Japanese technology and management into operations.
2. When should businesses consider cooperation through M&A?
- When rapid growth is needed: M&A helps "leapfrog" in the development process instead of starting from the beginning.
- When you want to expand your market: M&A is the shortest way to enter new markets, especially international markets.
- When you need to add technology, team, or resources: For example, a traditional company can acquire a technology startup to upgrade its digitalization process.
- When domestic businesses want to shake hands with foreign strategic investors: This is an effective way to access capital, technology, and markets, typically in Vietnam in fields such as retail, IT, logistics, food, finance...
3. Popular cooperation models through M&A
- Full merger: Two businesses merge into a new legal entity.
- Acquiring strategic shares: One party retains control, the other party still operates flexibly.
- Joint venture combined with M&A: Both contribute capital and buy back to expand influence.
- M&A to transfer Technology and management skills: Commonly seen between Vietnamese and Japanese businesses.
4. Factors businesses need to prepare before implementing M&A
- Clear strategy: M&A cannot be a short-term solution, but needs to be associated with a long-term development orientation.
- Due Diligence: Including finance, legal, and human resources matters, contracts...
- Determining�Reasonable: Avoid "inflating prices" to ensure sustainable benefits for both parties.
- Post-M&A integration plan: Managing change, retaining talented people, and integrating culture is the most difficult problem.
5. Vietnam - an attractive destination for strategic M&A cooperation
With a young population, rapidly growing middle class, open-door policy and strong digital orientation, Vietnam is a strategic destination for international M&A deals, especially from Japan, Korea and Singapore.
Fields that are attracting the most M&A:
- Retail – consumer
- Technology – IT
- Financialsbanking
- Logistics – supply chain
- Healthcare – education – renewable energy
M&A today is not just an acquisition tool, but has become a way for businesses to merge. Collaborate, accompany and develop sustainably in the digital age. However, to be successful, businesses need to have a clear strategy, understand partners, and prepare carefully before - during - and after M&A.
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