(ii) A pharmaceutical company has recently completed three major acquisitions and integrated more than 8,000 employees into its operations. Although…

CA Intermediate · Financial Management and Strategic Management · MTP · September 2026
(ii) A pharmaceutical company has recently completed three major acquisitions and integrated more than 8,000 employees into its operations. Although several new business opportunities are available, management postpones further expansion for the next three years to consolidate operations and improve organisational efficiency. The primary reason for adopting this strategy is:
(A) (a) Lack of investment opportunities
(B) (b) Consolidation after rapid expansion
(C) (c) Government restrictions
(D) (d) Declining customer demand

Suggested Answer and Working Notes:

Correct Answer: Option (B)

(b) Consolidation after rapid expansion

Topics: Part B: Strategic Management

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