An Analysis on Tencent’s Acquisition of Supercell

Faculty of Business, Economics and Law, The University of Queensland, Queensland, 4072, Australia

^* Corresponding author: l.shuai@uq.net.au

Abstract

This paper delves into the intricacies of Tencent’s acquisition of Supercell, shedding light on the underlying rationale and objectives that motivated Tencent’s strategic move. By examining the synergy between the two entities, it explores the potential benefits envisioned by Tencent through this acquisition, emphasizing the mutual advantages anticipated by both parties. Furthermore, a comprehensive analysis is conducted to scrutinize the financial standing and prevailing market conditions of Tencent and Supercell pre-acquisition. This critical examination serves as a basis for evaluating the extent to which the acquisition has yielded substantial benefits for the involved entities. Through a meticulous assessment, this article endeavours to ascertain the prosperity of the acquisition, gauging its impact on both Tencent and Supercell. By considering various factors such as financial performance, market positioning, and strategic alignment, this analysis aims to provide insights into the efficacy and success of Tencent’s acquisition strategy in bolstering its market presence and enhancing its competitive edge in the gaming industry.