Without Effective Due Diligence, The

question 83

Multiple Choice

Without effective due diligence, the:

• A) acquiring firm is likely to overpay for an acquisition.
• B) firm may miss its opportunity to buy a well-matched company.
• C) acquisition may deteriorate into a hostile takeover, reducing the value-creating potential of the action.
• D) firm may be unable to act quickly and decisively in purchasing the target firm.

---

Definitions:

Informal Letters/Memos

Non-official communications typically used for personal messages or within an organization to share information casually.

Formal Written Documents

Text materials that follow a specific structure and convention, often used for official, legal, or ceremonial purposes.

Impression Management

Strategies and behaviors individuals use to influence how others perceive them.

Meta-Communication

Communication about communication, which involves discussing or analyzing the way in which information is exchanged, including tone, non-verbal cues, and implicit messages.