The Impact of Meituan's Acquisition of VW Dianping: The Perspective of Building a Business Ecosystem and Industry

Abstract

In China, the O2O industry has undergone rapid development and tremendous changes. From the initial group buying and takeaway services to today's various aspects of hotel accommodation, travel and holiday, ticket booking and lifestyle services, O2O has become an integral part of people's daily lives. The merger between VW Dianping and Meituan is a highly publicized event in China's internet industry. The M&A involves two leading O2O (online-to-offline) platforms, merging two competitors into one massive ecosystem with far-reaching implications for the competitive landscape and business models of China's Internet industry. Against this backdrop, an in-depth study and exploration of the VW Dianping and Meituan mergers and acquisitions can provide a better understanding of the history and trends in the development of this industry, as well as provide more valuable references for future development. By analyzing the motivations for the M&A, the study finds that the M&A has had many positive effects on Meituan and VW Dianping and has driven the efficiency and business expansion of both companies, facilitating the building of a business ecosystem with Meituan at its core, providing opportunities as well as bringing more challenges, while having far-reaching effects on the companies themselves and the industry.