Because Acquisitions May Become a Substitute for Innovation, Teva Pharmaceutical's

Multiple Choice

Because acquisitions may become a substitute for innovation, Teva Pharmaceutical's acquisition of Cephalon should be driven by ___________ rather than _________________.

A) defensive reasons (to gain sales revenue in the short run) ; strategic reasons (cost and revenue strategies)
B) both strategic and defensive reasons; either one or the other
C) strategic reasons; defensive reasons
D) avoiding internal R&D expenditures; developing innovation capabilities