ABSTRACT
Commercial due diligence (CDD) is a mini strategy review. The objectives of CDD are to:
Confirm the achievability and sensitivity of the business plan.
Assesssalesoperations,channelstructureand customer requirements.
Test volume, growth, price, mix and margin assumptions against market realities.
Identify the value drivers of the acquisition and confirm synergy assumptions.
Highlight risks and opportunities.
Provide an input to the implementation plan.
Give recommendations on long-term strategy.
Judge management ability against the industry.56
