Taking Mengniu Dairy’s acquisition of Miaoke Landuo as an example, the motivation and performance of dairy industry M&A was discussed to analyze the strategic considerations behind M&A and its impact on firm performance. Through literature analysis and case studies, qualitative analysis method was adopted, combined with financial data and market performance, to evaluate the effect of mergers and acquisitions. The results show that Mengniu’s acquisition of Miaoke Lando effectively expands its cheese product line, and improves its market share and brand influence. After the acquisition, Mengniu’s competitiveness in the high-end dairy market has been significantly enhanced, and its financial performance has improved, but it faces certain integration costs and operational challenges in the short term. It is concluded that M&A in dairy industry is helpful to achieve scale effect, product diversification and market expansion, but successful integration and synergies are the key to achieve M&A benefits.