EXECUTIVE SUMMARY: The report basically highlights on how the pharmaceutical industry of India works and its dynamics. The report also highlights about the Indian and global scenarios of pharmaceuticals industry and thereby comparison of those two. It comprises of analysing the industry by PEST, SWOT, PORTER’S five force model and HHI. It explains the current scenario of the industry in terms of growth and future outlook of the industry and opportunities. The Indian pharmaceutical industry has been growing rapidly at the rate of 8-9% every year as per our analysis. It stands in the 4th position in terms of volume and 13th in terms of values. The industry has been seeing the rapid growth in infrastructure, technology and various range of products. The demand for exports is also growing in the same passion due to the increase in the capability of production of medicines. The report also highlights the top 5 players in Indian pharmaceutical industry with their sales and revenue as well. • Cipla • Ranboxy • Dr.Reddy’s • Sun pharma • Aurobindo MAJOR PHARMACEUTICALS COMPANIES IN INDIA: COMPANY NAME NET SALES YEAR CIPLA 69.77 INR 2012-2013 Dr.REDDY’S 66.86 INR 2012-2013 RANBOXY 63.03 INR 2012-2013 AUROBINDO 42.84 INR 2012-2013 SUN PHARMA 40.15 INR 2012-2013 CIPLA: Cipla was established in the year 1935 and is known by the name “The chemical industrial and pharmaceutical laboratories”. The actual operations of the company started in 1937. The initial accumulated capital was 6 lakhs. The company is spread across various places in the country such as banglore, Mumbai, Goa and some other places. The company is known for its exporting as it exports to more than 150 countries all over the world and the major regions inc... ... middle of paper ... ...s the next best thing that can happen in the pharmaceutical industry. Increasing costs, expiring patents (both process and product), low R&D cost in the country and market dynamics are driving the MNCs to outsource both manufacturing and research activities. India with its pool of chemistry skills and low cost advantages, both in manufacturing and research included with skilled manpower will attract a large number of businesses in the future. There is lots of scope for growth. The Indian per capita consumption of drugs, stands at US 2.99 dollars, which is amongst the lowest in the world, as when compared to Japan- 415 us dollars, Germany-220 US dollars and USA- 189 US dollars. And studies show that this huge gap indicates the huge opportunities which can be uncovered by the industry. REFERENCES: http://indianresearchjournals.com/pdf/IJMFSMR/2013/May/4.pdf
The drug manufacturing industry is concerned with the development, production and marketing of drugs which are to be used as medication. This is one of the oldest industries in the world. The first drug stores date back to the middle Ages. Some of today’s pharmaceutical companies have been founded in the beginning of the previous century. Important discoveries have been made in the early 20th century such as insulin and penicillin who became mass produced. More drugs were developed during the 1950s-1960s such as contraceptives and heart drugs. During that time numerous organizations and declarations were established in order to regulate the industry. Until the 1970s the drug manufacturing industry remained relatively small, and then it began expanding quickly. With the development of technologies and the internet research, manufacturing, marketing and sales of drugs became a lot easier.
When people think of pharmaceutical companies, they instantly associate the word pharmaceutical with medicine. There are scientists solely dedicated to find the remedy to cancer and incurable diseases. These professionals have devoted their educated lives to help the ailing human population recover.
...ll help the company in selling generic drugs and provide affordable medications to its customer base.
The pharmaceutical industry is relatively immune from the effects of economic cycles. Demand for the industry's product remains constant in up and down economic cycles as market demand is a function of the overall health of the population. However the globalization of the pharmaceutical industry increases the risk associated with foreign investments and exchange rates. The firms in this industry seek to minimize risks by using hedging practices such as foreign currency forward-exchange contracts, borrowing in foreign markets, and using currency swaps.
This paper analyzes the main economic indicators related specifically to one of the largest pharmaceutical company Pfizer, Inc such as overall performance, revenue, net income, research and development, cost and expenses. There are certain economic indicators that do not apply to individual companies, but influence their economical forecasts. Such factors as inflation and unemployment rate pertain to an industry or region and such factors as political instability or any force major conditions will affect the market analyses even they are not an economic indicators. There are many more factors that affect economic predictions and their detailed analyses are presented in http://www.economic-indicators.com, web site for tracking US economy.
"Reducing Demand for Drugs." UN General Assembly Special Session on the World Drug Problem. May 1998. Web. 02 Mar. 2011. .
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With the low success rated private firms invest millions into several produces. When a drug does make it too market and is successful companies need to make-up money spent in development as well as the cost of drugs which did not make it to market. After all investments are taken care of there is still the need for profit. Some are concerned if the United States government implements control over prescription drug cost then private firms will be less motivated to invest in pharmaceuticals development of our fear they would not make their investment back. This would supply pharmaceutical companies with less finances for the research and development process. According to the information collected by Abbott and Vernon a drop in the price of pharmaceuticals would result in significant loss in investment of research and development (Abbott and Vernon). If drug cost were to drop 40-45% the amount of a drug to move from animal testing to human clinics would decrease by 50-60% (Abbott and Vernon). With such high risk and low reward pharmaceutical companies will likely stop or slow research on new technologies and compounds. In 1969 Canada imposed regulations on drug prices (Weidenbaum). After the regulations were imposed there was a decline in new drugs being created (Weidenbaum). This change in the pharmaceutical
Estimated annual revenue from U.S. drug trade is more than $3 billion, just short of Fortune 500
A pharmaceutical company is the number of patients tested, to test their new drugs to fight cancer. Some marketing decisions, or fine-tune the new product ...
For commodity generic drugs, Teva has an opportunity to expand its core business into emerging markets, but there it will have to face institutional voids because such markets are driven by physicians and both physician and other people are not aware about the effectiveness of generic drugs. To cope with the challenge of institutional voids Teva have to look for some competent small pharmaceutical firms for acquisition and some big firms for the joint venture. For changing the perceptions of people and physicians, Teva will require to run marketing campaigns and direct approaches to physicians to develop a market for their products.
manpower and a large base of FDA approved plants, positions India high on the outsourcing
I successfully completed Pharm D degree from one of the topmost universities of Pakistan, University of Karachi, with a CGPR of 3.766, securing 1st position among the graduating class of 2012.
Whereas, China’s annual herbal drug production is about US $48 billion with export of US $3.6 billion. Currently, United States has the largest share for Indian botanical products which accounts for about 50% of its total export. The major importers of herbal medicine from China are Japan, Hong Kong, Korea and Singapore which accounts for 66%. WHO includes phytotherapy in its health programmes and gives basic procedures for the validation of herbal drugs in developing countries. Eastern countries like India and China have well-established herbal industries and Latin American countries have been carrying out research programs in medicinal plants and their standardisation procedures. In Germany, 50% of phytomedicinal products are sold on medical prescription and the cost being refunded by health insurance companies. In North American countries, phytomedicinal products are sold as .health foods. Consumers and professionals have struggled to change this by gathering information about the efficacy and safety of these products and new guidelines for their registration are now part of FDA policy. In 1997, the North American market for products of plant origin reached US$ 2
Nowadays, there is increasing number of people take pharmacy as their profession. As everyone knows, there is many practice area for pharmacists like community pharmacist, hospital pharmacist, industrial pharmacist and academic pharmacist. Other than that, there are few specialties in pharmacy ...