At present,the theoretical research on company purchase is purely and simply taken from the angle of the Company Law and Law of Securities,little involved in other fields.

In the course of company purchase, the forced offer system is set up in order to protect the benefit of small and middle shareholders.

The internal supervision mechanism is to use the control function of stockholder committee and supervisor committee; the external supervision emphasizes the company acquisition.

As the legality of the relative foreign laws are recognized to a certain degree in various countries, conflicts of laws are sure to come along in the application in the transnational corporation acquisition.

In takeover of the target company, the directors stand in the center of the conflicting interests.

The activity of takeover excited the intense anti-takeover of target company.

How Does the Match of Acquiring Firms and Target Firms Affect Their Performance?;

Event study has been used to verify the negative relationship between managerial motive and the acquiring firms performance.

On the basis of the understanding of the meaning of company combination and open purchase of companies, the article makes an analysis of the main elements in the Legal system and major problems in its Legislation and then makes some suggestions to perfect our country s open purchase legislation.