Which of the following is the most common reason that M&As often fail to meet expectations?
A) Overpayment
B) Form of payment
C) Large size of target firm
D) Inadequate post-merger due diligence
E) Poor post-merger communication

Question

Quizplus · Accepted Answer

Overpayment is the most common reason mergers and acquisitions (M&As) fail to meet expectations. This occurs when the acquiring company pays more than the intrinsic value of the target company, leading to challenges in realizing the expected return on investment.

Which of the Following Is the Most Common Reason That