The rising cost of drug development, coupled with the need to spread risk and share resources, has been a major factor driving consolidation in the pharmaceutical industry.

Horizontal integration occurs when companies operating in the same market and at the same stage of the value chain merge to increase market share and reduce competition.

Consolidation can lead to increased efficiency, cost reduction, enhanced research and development capabilities, and improved access to new and innovative drugs.

All of the mentioned mergers are examples of major pharmaceutical industry consolidations.

Consolidation can lead to reduced competition, innovation, increased drug prices, and job losses.

The Federal Trade Commission (FTC) is responsible for reviewing and approving pharmaceutical mergers and acquisitions in the United States.

Acquisition refers to the process by which a larger company acquires a smaller company, resulting in the smaller company becoming a subsidiary of the larger company.

Vertical integration occurs when companies operating at different stages of the value chain merge to gain control over the entire production process.

Consolidation can lead to reduced competition, innovation, increased market power and pricing power, and barriers to entry for new competitors, all of which are antitrust concerns.

None of the mentioned mergers are examples of lateral integration in the pharmaceutical industry.

Merger refers to the process by which two or more companies combine to form a new entity, with the original companies ceasing to exist.

Diversification occurs when companies operating in different markets or industries merge to expand their product portfolio and reduce risk.

Vertical integration can lead to improved coordination and efficiency, enhanced control over the supply chain, and reduced transaction costs.

Sanofi's acquisition of Genzyme is an example of vertical integration in the pharmaceutical industry, as it allowed Sanofi to gain control over the entire process of developing and manufacturing rare disease treatments.

Consolidation can lead to reduced competition, innovation, increased drug prices, and job losses, all of which are potential risks.