A large multinational corporation is considering acquiring a smaller competitor to expand its market share. The potential acquisition could provide access to new customers, technology, and operational synergies. However, integration risks, cultural differences, and regulatory challenges pose threats to the deal's success. The acquiring company must carefully analyze the target's financial health, customer base, and operational fit. Due diligence will reveal if the acquisition is worth the premium price. Moreover, the method of financing the acquisition-through cash, stock, or debt-will affect the financial impact. Should the company proceed with the acquisition, and if so, how can it mitigate potential risks? The decision hinges on strategic alignment and financial return.