Analysis of Focus Media's Acquisition of Target Media

Abstract

As a matter of fact, building video advertising is one of the common advertising methods for companies and organization in recent years, especially in China. With the rapid development of the economy and information boosting, building vied advertising has been affected strongly and lots of companies choose to merge. With this in mind, this paper selects the case of Focus Media's Acquisition of Target Media to analyze the impacts. After the acquisition of Focus Media, Focus Media's commercial building network will cover nearly 75 cities in China, more than 30,000 buildings, and more than 60,000 displays, thus monopolizing the Chinese building video advertising, and can reach more than 100 million urban mainstream consumers every day. Focus Media's market share after the acquisition of Target Media is now 98% of the whole industry. This consolidates Focus Media's absolute leadership in the industry. According to the analysis, corresponding suggestions and implications are proposed at the same time.