Proceedings of the 2022 2nd International Conference on Economic Development and Business Culture (ICEDBC 2022)

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Research on the Acquisition of Pico by Byte Dance

Authors
Yingcong Liu1, *, Xinran Ma2, Sihan Yan3
1Department of Tourism Management, Sun Yat-Sen University, Zhuhai, 519082, China
2Department of International Economics and Trade, Shanghai Lixin University of Accounting and Finance, Shanghai, 200120, China
3Shanghai Weiyu High School, Shanghai, 200030, China
*Corresponding author. Email: *liuyc9@mail2.sysu.edu.cn
Corresponding Author
Yingcong Liu
Available Online 31 December 2022.
DOI
10.2991/978-94-6463-036-7_187How to use a DOI?
Keywords
Byte Dance; Pico; Merger Acquisition
Abstract

Internet companies have been scrambling to grab the market since the craze of the metaverse began. To compete for the lead, Byte Dance invested heavily in VR in the past years and acquired Pico on August 29, 2021. This paper investigated the effect of the conglomerate acquisition on the acquirer. The purpose of this study was to explore how has Byte Dance been affected by this acquisition and explain how Byte Dance touch the metaverse by the acquisition. This paper mainly used the conglomerate merger and acquisition theory and SWOT model. According to the research, the acquisition not only brought many competitive advantages to Byte Dance, but also enabled Pico and Byte Dance to gain huge profits in the short term and helped Byte Dance to further occupy the exploration of the metaverse. Meanwhile, Byte Dance’s huge acquisition payments have put financial pressure on it and affected its capital chain. Enterprise integration will be a difficult process. This paper recommends that Byte Dance and Pico both plan for their futures. Byte Dance should increase its investment in technology research and development, face up to its disadvantages and make continuous improvements while making reasonable use of its advantages. However, the future development and operation of both parties after the merger still need to be expected and further planned.

Copyright
© 2022 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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Volume Title
Proceedings of the 2022 2nd International Conference on Economic Development and Business Culture (ICEDBC 2022)
Series
Advances in Economics, Business and Management Research
Publication Date
31 December 2022
ISBN
10.2991/978-94-6463-036-7_187
ISSN
2352-5428
DOI
10.2991/978-94-6463-036-7_187How to use a DOI?
Copyright
© 2022 The Author(s)
Open Access
Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

Cite this article

risenwbib
TY  - CONF
AU  - Yingcong Liu
AU  - Xinran Ma
AU  - Sihan Yan
PY  - 2022
DA  - 2022/12/31
TI  - Research on the Acquisition of Pico by Byte Dance
BT  - Proceedings of the 2022 2nd International Conference on Economic Development and Business Culture (ICEDBC 2022)
PB  - Atlantis Press
SP  - 1265
EP  - 1271
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-036-7_187
DO  - 10.2991/978-94-6463-036-7_187
ID  - Liu2022
ER  -