Although mergers and acquisitions (M&A) activity date from the end of the eighteenth and beginning of nineteenth century, as a consequence of the Industrial Revolution, it is clear that the transactions that took place in the 1990s have a distinct character to the ones observed in preceding decades, due to their intensity, the magnitude of the values and sectors involved. Substantial amount of M&A activity took place in the iron ore industry in the last few years, which modified its structure significantly. The objective of this study is to analyze the processes of M&A conducted by Companhia Vale do Rio Doce (CVRD), worldwide leader of this industry, in order to verify the adequacy for competitive strategy. With the help of case study methodology and the triangulation of methods strategy, data was collected by way of documental / telematic investigations as well as a survey and in-depth interviews. Data interpretation and analysis were carried out in the light of the theoretical references which were established by the review of the literature, with the support Macedo-Soares`s systemic and integrative model in its traditional and relational versions. The study`s results suggest that there is indeed adequacy between the firm`s strategy, inasmuch as it enables to take advantage of environmental and relational opportunities while reducing pertinent threats, by capitalizing on the firm`s as well as its relationships` strengths and minimizing their weaknesses. In the conclusion, recommendations are made to conduct further studies focusing on the main competitors of CVRD that have also carried out M&A transactions, as well as on its customers - key strategic actors of the steel industry.