Pfizer Inc. (Pfizer) a research-based, international biopharmaceutical company. Nevertheless, it is the largest world drug organisation as well as the top-selling drug in the world in 2011. There is five segments for Pfizer Inc. to supervise its procedures which are Primary Care;Oncology and Special care, Emerging markets and Establish products; Consumer healthcare and Animal health and Nutrition Moreover, Pfizer freeze its position as one of the most diversified oranisation in the worldwide health care industry throughout strategic partnerships and acquisitions of diversified businesses, such as Wyeth.
1.1 current business strategies
Company's decision making management and senior-most leadership body is the main body of Pfizer which is the Pfizer's Executive Leadership Team (ELT). It carries collectively the peak leaders to spotlight on major operational decision, financial, and strategic for the organisation. Pfizer has responded to today's biopharmaceutical R&D challenges with a rigorous strategy, Engine for Sustainable Innovation (ESI), innovating new capabilities, creating the R&D and portfolio are the three horizon centered to ensure stable ecosystem in the future. In 2011, Pfizer create important transform in R&D model to speed up the accomplishment of this plan, create an ongoing flow of essential improving return on invested capital and vaccines and medicine (www.Pfizer.com).
With the current business strategy, Pfizer willing to become a leader in biologics as well as enter the vaccines market to expand and invest to wins more areas. With the strengthen leadership, it able to merge the market with Wyth to make the position stronger. Create new opportunities for established products are because of the investment in complementary business (www.Pfizer.com).
The industry competitors of Pfizer are shown in Table 1 where the mayor three competitors regarding market size and product diversification are Novartis AG, Sanofi Aventis SA, and Glaxo Smith Kline. The market share of the major competitors as well of Pfizer can be seen with observe to companies’ revenues in global context have been listed in Appendix. As show in Figure 1,1, the total Pharmaceutical revenues in 2009 were 837 billion USD dollars (Phrma, 2010). If taking a closer look on changes in companies Revenues during the last 5 years the solid growth can be seen for two major competitors Novartis AG and Sanofi Aventis AS. The Revenues of Novartis have grown by 31 % for the last 4 years resulting in compounded annual growth rate at 7%. At the same time the revenues of Sanofi Aventis SA have grown by 40 % with Compounded annual growth rate being nearly 9 %. Pfizer will have the industry’s broadest range of products that treat diseases associated with cardiovascular risks which shown in Appendix. A strong worldwide presence with improved universal reach in all major markets, including Japan, the second largest market in the world, where Pfizer is the leading non-Japanese pharmaceutical company. With the wider and deeper illness are knowledge in the Research Units, Pfizer gain a lot of competitive advantages as to increase the modality and technology (R&D) capability in the industry and approach the with their connected strengths to find the newest and most innovative and precious medical solutions with the advanced technology to build the world's premier biopharmaceutical R&D organization as shown in Figure 1.2. Figure 1.1: Global pharmaceutical Revenues in 2009
Source: The Pharmaceutical Manufacturers Association
Figure 1.2: R&D of Pfizer
2.0 Analysis of current business strategy
Figure 2.1: Modify Value Chain
2.1 Value chain analysis
A value chain is a chain of actions that an organization operates in a precise industry execute in order to deliver valuable product or service....