Astrazeneca Strategic Business Analysis

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Strategic Business Analysis - Group Case Study

Case Abstract
Introduction AstraZeneca PLC (AstraZeneca, AZN:NYSE, AZN:LSE) is one of the largest pharmaceutical companies in the world. It was formed in 1999 from the merger of Sweden’s Astra AB and UK’s Zeneca Group plc. Core Activities AstraZeneca is engaged in the discovery, development, manufacturing and marketing of prescription pharmaceuticals and biological products for important areas of healthcare: Cardiovascular, Gastrointestinal, Infection, Neuroscience, Oncology, and Respiratory and Inflammation. One of the key benefits of the merger between Astra and Zeneca is seen as their portfolio of new products in development: AstraZeneca call this their 'product pipeline'. – Cardiovascular product pipeline includes Saxagliptin, Atherosclerosis/dyslipidaemia, Thrombosis and Atrial fibrillation. Gastrointestinal pipeline includes life cycle management initiatives. AstraZeneca's Infection pipeline MedImmune and Dedicated tuberculosis (TB) research. Oncology product pipeline includes Zactima (vandetanib), Zactima (vandetanib), ZD4054 and MedImmune. Dapagliflozin,

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Products The company's product portfolio includes many world leaders and a number of high potential growth products: Arimidex (cancer), Crestor (cardiovascular), Nexium (gastrointestinal disease), Seroquel (schizophrenia) and Symbicort (asthma and chronic obstructive pulmonary disease). Profile – Active in over 100 countries with a growing presence in important emerging markets including China; corporate office in London, UK; and major R&D sites in Sweden, the UK and the US. It employs over 65,000 people (51% in Europe, 32% in the Americas and 17% in Asia, Africa and Australasia).

Compiled by Rexford Sam

Group Case Study – Strategic Business Analysis (Re-Sit 2010)


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Sales in 2008 totalled $31.6 billion. R&D investment totalled over $5 billion. It has around 12,000 people in our R&D organisation and 17 principal R&D centres in eight countries. It has 26 manufacturing sites in 18 countries.

Competitors Its major competitors include Pfizer, Johnson and Johnson, Merck and Co, Novartis, GlaxoSmithKline, Bayer, Sanofi-Aventis and Abbot Laboratories.

Our mission is to make the most meaningful difference to patient health through great medicines, and to create enduring value for our shareholders and society through industryleading R&D productivity, commercial excellence and operational efficiency.

Vision Statement
The vision of AstraZeneca PLC is to become the leading company in pain control worldwide through its commitment to the development of drugs that will decrease the suffering caused by this condition.

Business Strategy
According to David R Brennan, AstraZeneca’s Chief Executive Officer, the company has a clear strategy for driving continued success within this dynamic business environment. The strategy centres on four main priorities: – Strengthening its pipeline of new medicines – both from its own research efforts and through externalisation to access the world of science outside AstraZeneca that will help it develop better, safer medicines. Delivering the full potential of all its marketed medicines – through rigorous lifecycle management and excellent customer support, to ensure it delivers the full benefit of its range for patients and society. Re-shaping its business – by challenging all aspects of its cost base to make room for further investment in the research, development, manufacturing and marketing of new medicines. Promoting a culture of responsibility and accountability – because its CEO wants the company to be valued both as a source of great medicines and as a company committed to delivering business success responsibly. This fourth priority underpins and supports achievement of the first three.

AstraZeneca's strategy is built on the belief that shareholders will receive most value from their investment in...
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