1. One problem with becoming too large is that large firms:

a. usually increase bureaucratic controls.

b. become attractive takeover targets.

c. tend to have less market power.

d. have less potential for economies of scale

2. The -------- phase is probably the single most important determinant of shareholder value creation in mergers and acquisitions.

a. pre-acquisition negotiation

b. pre-acquisition due diligence

c. post-acquisition integration.

d. post-acquisition restructuring