Reaction of the catalyst 1 or Pd(OAc)(2) with tetrabutylammonium acetate, dissolved in tetrabutylammonium bromide, leads to a fast formation of Pd nanoparticles which efficiently catalyze the stereospecific reaction of cinnamates with aryl halides to give beta-aryl-substituted cinnamic esters. The role of tetrabutylammonium acetate is crucial in determining the formation of nanoparticles and stereospecificity of the C-C coupling process.