1. Due Diligence (DD) is a process of investigation or surveying the target company/business in M&A transactions.
2. DD involves researching various fields such as capital composition, stocks/shareholders, licensing, assets, contracts, litigation and disputes, human resources and labor, environment, insurance, taxation, and finance.
3. DD helps in making informed decisions on whether to buy the company or not and at what price.
The article provides a basic overview of Due Diligence (DD) in the context of M&A transactions. However, it lacks depth and fails to provide a comprehensive understanding of the subject matter. The author's bias towards DD being an easy concept is evident throughout the article, which may mislead readers into thinking that conducting due diligence is a simple task.
The article also fails to mention the potential risks associated with M&A transactions and how DD can help mitigate those risks. It does not explore counterarguments or present both sides equally, which limits its credibility as an informative piece.
Furthermore, the article seems to be promotional in nature, as it compares M&A transactions to buying used cars and emphasizes the importance of buying at the right price. This could lead readers to believe that M&A transactions are similar to purchasing consumer goods rather than complex business deals.
The author also makes unsupported claims about DD being called "silsa" in Korean and how it can be read as "survey" by changing the preceding letter "sil" to "jo." While this may be true, there is no evidence provided to support this claim.
Overall, while the article provides a basic understanding of DD in M&A transactions, it lacks depth and presents a biased perspective. It would benefit from exploring potential risks associated with M&A transactions and presenting both sides equally. Additionally, providing evidence for claims made would increase its credibility as an informative piece.