Global Pharmaceutical Industry Analysis

Topics: Pharmaceutical industry / Pages: 29 (7034 words) / Published: Oct 18th, 2009
Global Pharmaceutical Industry Analysis
September 21
2009

Dibakar Mitra (P08017) I Manoj Joshi (B08026)

Table of Contents

EXECUTIVE SUMMARY 3
INTRODUCTION 4
ORIGIN AND EVOLUTION 5
ENVIRONMENT ANALYSIS (PEST) 7
STRUCTURAL INDUSTRY ANALYSIS (PORTER) 8
STRATEGIC ISSUES FACING THE INDUSTRY 11
STRATEGIC GROUPS IN THE INDUSTRY ACCORDING TO MARKET/DRUG/FUNCTIONING 15
PROCESS FLOW: IMPORTANT FUNCTIONS 16
STRATEGIC RESPONSES TO CHALLENGES: SIMPLE CORRELATION BETWEEN GROUP AND PERFORMANCE 19
REGULATOR’S ROLE 21
POSSIBLE FUTURE DIRECTION 21
CONCLUSION 22
REFERENCE 22

Executive summary

This report provides an analytical strategic review of the global pharmaceutical industry; its origin, evolution, development and competitive environment within which it operates and the strategic issues facing the industry. The report also offers an overview of the industry, its key strategic groups, their strategic outlook, the impact of technological developments and possible future direction.

1. Introduction

The pharmaceutical industry develops, produces, and markets drugs licensed for use as medications. Pharmaceutical companies can deal in generic and/or brand medications and are subject to a variety of laws and regulations regarding the patenting, testing and marketing of drugs.

Over a period of time many of these chemical companies moved into the production of pharmaceuticals and other synthetic chemicals and they gradually evolved into global players. The introduction and success of penicillin in the early forties and the relative success of other innovative drugs, institutionalized research and development (R&D) efforts in the industry. The industry expanded rapidly in the sixties, benefiting from new discoveries and a lax regulatory environment. During this period healthcare spending boomed as global economies prospered. The industry witnessed major developments in the seventies with the introduction of tighter regulatory

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