Pharmaceutical industries have to operate in an environment that is highly competitive and subject to a wide variety of internal and external constraints. In recent times, there has been an increasing trend to reduce the cost of operation while competing with other companies that manufacture products that treat similar afflictions and ailments. The complexities in drug research and development and regulations have created an industry that is subject to intense pressure to perform. The amount of capital investment investments required to get a drug from conception, through clinical trials and into the market is enormous. The already high-strung pharmaceutical industry is increasingly investing greater amounts of resources in search of the next "blockbuster" drug that can help them gain market position and profits. Laws, regulations and patents are important to the industry while spending billions of dollars in ensuring the copyright of their products.
It is the intention of this thesis to study the ability of Sanofi-Synthelabo-Dubai, an affiliate of Sanofi-Synthelabo a French multinational pharmaceutical company, in creating an effective and productive market for the products of the company in the Persian Gulf region. The company first desires to concentrate its efforts in the United Arab Emirates (U.A.E.) is first desired and then spread out to the rest of the Middle Eastern region. Drugs are neither manufactured not produced in this region. And as such, the company desires only to improve its market presence for the sale of the company's drugs in the region. In essence, this is a marketing project and not a research and development one. At present, the company has a vast portfolio of products in the area. The company is however, unable to differentiate and distinguish its products from those of its other competitors to truly enable the company to enjoy an overwhelming market monopoly. This thesis will identify some of the salient macro and microenvironments that the company faces in achieving this endeavor. The objective of the research is to introduce a more sophisticated marketing function to the marketing department of the company. Redefining the marketing responsibility within the company to emphasize the concept that every one in the company is required to perform to attain the company's goals.
CHAPTER 1: INTRODUCTION
OVERVIEW OF THE THESIS
The aim of this introductory chapter is to give the reader an overview of the work that was undertaken in this thesis. The concept of "how to maintain a competitive advantage in the pharmaceutical business, based upon a market driven strategy?" is analyzed using tools whose results have been well established by management, economics and financial experts for the Persian Gulf pharmaceutical market. The company considered for this project is Sanofi-Synthelabo-Dubai. Sanofi-Synthelabo is a well-established multinational pharmaceutical company that has operations and markets all over the world. The company already has a market presence in the region. The purpose of this paper is to study the marketing requirements that the needed for the company to be truly successful.
To make the study comprehensive, it is necessary to analysis the entire pharmaceutical industry at a macro level. There are many external constraints that have a tremendous influence of the marketability and success of any product in a given market. Many of these external factors may be common to all markets while a few may be very specific to a local or regional market. The ability of any company to understand these external factors and use the information distilled to attain success of a product is very important in the current market. Inter-relationships between different external factors also exist. The environment can become more complicated as these factors blend and integrate within (and without) the organization.
There are also many internal factors -- the microenvironment of the organization that also needed to be analyzed. Often, organizations can control these factors and modify them to best serve the market and the customer. In the age of globalization and multinational corporations, local cultures, beliefs and norms play an important role in establishing the image of the company. While there are many benefits to globalization, cross boundary corporations are often faced with creating polices and regulations that are in compliance with the laws and requirements of the state in which they operate.
A preliminary S.W.O.T analysis will help identify the current performance of the marketing department and the current business strategy. This analysis will serve as a benchmark for the company in implementing a practical application of this thesis....
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