MENTAL MODEL · M1295

Pac-Man Defense

DecideHigh supportGame Theory

Included

Version 1.0.0 · Updated 2026-07-30

CORE DEFINITION

A defensive anti-takeover strategy. When Company A attempts a hostile takeover of Company B, Company B responds by making a takeover bid for Company A, turning the hunter into the prey.

SCAFFOLDING EFFECT

psychology

Reduce cognitive load

The mindset of a desperate counterattack. When in a passive and defensive position, the best defense is not merely to defend, but to counterattack the opponent's vital points, fundamentally changing the offensive and defensive dynamics of the game.

anchor

Anchor fast decisions

In the M&A game, the attacker often has vulnerabilities in capital, shareholding structure, or regulation. The target company's counter-bid forces the attacker to divert resources to self-defense, while signaling to the market that "the value of both parties is being reassessed," raising the attacker's costs and disrupting its timeline. Essentially, it uses "attack as defense" to regain the initiative in the game.

MINIMUM ACTION

In progress 0/1

Practice this model in one real situation:

Identify the attacker's weaknesses (capital chain, major shareholders, regulatory risks, core assets). 2. Assess the feasibility and cost of a reverse takeover, avoiding a suicidal counterattack. 3. Publicly announce a counter-bid to pressure the attacker into defending. 4. Combine with other defensive measures such as white knights and poison pills to increase bargaining power.

Check to track your progress (stored locally)

Learning progress0%

account_treeGenealogyexpand_more

menu_bookReferencesexpand_more

Source support: Explicit

link
en.wikipedia.orghttps://en.wikipedia.org/wiki/Pac-Man_defenseZH · Explicit
verified

RELATED MODELS