INVERSION OF PRINCIPLES OF MERGERS AND ACQUISITIONS IN TERM OF INDUSTRY 4.0

Keywords: Industry 4.0, blockchain, work, mergers and acquisitions

Abstract

The concept apparatus Industry 4.0 is considered. The property of an industrial revolution, from the first to the third, is analyzed. Industry 4.0 concepts and basic technologies are described. The global rating of companies’ capitalization is given. Conclusions have been made regarding the change in leaders in this rating. The volumes of capitalization of individual companies according to the data of the last 2 years are indicated. The merger and acquisition processes are characterized by cutting business flexibility and competitiveness in Industry 4.0. Market challenges have been assessed in the light of innovations, ongoing technological innovations, service, and product requirements. It is outlined how M&A can be a tool for sustaining market growth. Compared to the trends of 2000–2010 and 2010–2019, the number of mergers and acquisitions concluded. It was determined that the most active were telecommunications, food and pharmaceutical companies. The activity of Chinese corporations is considered. In which areas the market conditions change faster. The principles of assessing the competitiveness of the company are given. Mergers and acquisitions have been proven to attract new technologies, cost synergies, expanding territories, and reduce production and delivery costs to consumers. Trends in the predominance of merger agreements over acquisitions have been identified. The features of the use of blockchain technology and cloud technologies in the functioning of global companies are presented. Industry 4.0 has been found to contribute to the fact that companies are losing the concept of localization. An example of a company that is unaffected by its location and resource requirements is Amazon, which provides cloud storage services and is working on developing and improving artificial intelligence. The necessary actions for the successful operation of the company in the conditions of Industry 4.0 are formulated. The main tasks of the companies are: planning strategic changes, setting long-term goals, developing plans and prospects.

References

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Published
2019-12-30
How to Cite
Rospopchuk, T., & Voitko, S. (2019). INVERSION OF PRINCIPLES OF MERGERS AND ACQUISITIONS IN TERM OF INDUSTRY 4.0. Entrepreneurship and Innovation, (8), 29-33. https://doi.org/10.37320/2415-3583/8.4
Section
Theoretical and empirical research