CA Intermediate · Financial Management and Strategic Management · Introduction to Strategic Management

Meenakshi Pharma has set aside Rs 15 crore for expansion. Management formulated a plan, but after a sudden regulatory change it dropped parts of the plan and adopted a new approach to enter a different segment, with that approach emerging while implementing rather than from the original plan. Which concept does this best describe, and why?

This is an emergent strategy. The new approach arose in response to a sudden regulatory change during implementation, not from the original plan. Parts of the earlier plan were abandoned, so they were unrealised, while the adopted approach emerged from events.

1. AIntended strategy, because it was written down in advance
2. BEmergent strategy, because the actual approach arose in response to events during implementation and was not plannedCorrect
3. CDeliberate strategy, because management had a budget
4. DUnrealised strategy, because the Rs 15 crore was spent