ABSTRACT

This chapter discusses the topic of marketing's role in due diligence, to identify the key marketing variables that should play a part in mergers and acquisitions (M&A) due diligence, to review the theory and research on the topic from a variety of sources and to suggest areas for future conceptual development and research. It examines the evidence concerning motivations for M&A transactions with a particular emphasis on building market share. The chapter provides an organising framework for considering marketing issues as a necessary foundation for a systematic analysis of the potential gains from combining two companies. It provides guidelines concerning the questions to be asked under each of these headings in the interest of conducting a comprehensive due diligence process. The chapter concludes with some consideration of issues involved in estimating synergies and in deciding on a price to bid.