Glaxosmithkline

Q1: List the stakeholders involved and their influence. Identify any fundamentals of business or capitalism involved.

Due to the interest of keeping this paper concise, this list of stakeholders is non-exhaustive.

In Canada the services, medication and hospital fee are controlled by the government, this created a better outcome for the security of the citizen. This regulation can lead to major saving in term of the GDP per capita paid by the government in this regard. The government negotiates drug prices so by doing that prices are more affordable for the people. It’s not necessary the uses of co-pays and deductible, but if any type of charged for any reason this can still be a dissent price by the patient. As result of this Canadian are proud and feel secured by the contribution of the social

Each stakeholder has a different criterion of responsiveness, because they have a different interest in the organization. Most organizations are similarly influenced by a variety of stakeholder groups. Investors, shareholders, employees, customers and suppliers are considered primary stakeholders, without whom the organization cannot survive. Other important stakeholders are the community, which have become increasing important in recent year.

Stakeholders are individuals or groups that partake, or assert, possession, privileges, or benefits in a, organization and its accomplishments, previously currently, and in the upcoming (Barrett, 2001). These requested privileges or benefits are the result of communications with, or activities reserved by the organization, and they must be lawful or ethical, separate or combined Stakeholders with comparable benefits, entitlements, or privileges can be categorized as fitting into the similar collection: personnel, investors, and clients (Barrett, 2001). The better the impact these groups have on client’s lives and the extra community assets with which they are assigned, and it becomes vital that they are responsible (Barrett, 2001).

Area agencies on aging can be viewed as advocacy groups for the elderly and Medicaid. Missouri Association of Area Agencies on Aging helps to connect elderly individuals to local area agencies. These agencies missions are to ‘promote the continued physical, social, and economic self-sufficiency of Missouri’s seniors’ (Our Mission). Many of the aging agencies are able to help educate the elderly on Medicaid and how to access Medicaid. If the agency is unable to help the elderly individual apply for Medicaid, they are able to direct them to an agency that specializes in the application

Patients that are unable to follow prescriptions as ordered, related to lack of coverage, escalate stress on the health care system; increasing physician and emergency department visits, which may have been avoidable if the medications were covered for all Canadians (Lexchin, 2017). There are various socio-political barriers to implementing a universal drug coverage plan in Canada. Primarily, the federal government’s Patented Medicine Prices Review Board (PMPRB), controls prescription and non-prescription prices by making comparisons of across seven selected Organization of Economic Co-Operation and Development (OECD) countries (Tang, Ghali, & Manns, 2014). However, these OECD comparative countries have higher medication prices. In fact, four of the seven OECD countries have the most expensive prices worldwide; consequently increasing Canadian prescription pricing. According to Morgan and Boothe (2016), another barrier to universal drug coverage in Canada stems from “pharmacare’s initially low place on the policy agenda” (p. 249). Healthy public policy development requires synergy between the public, policy makers, and institutions alike. If universal drug coverage has “less attention than other health policy debates” a political change is less likely to occur (p. 251).

The journalist Nadia Kounang further explains the differences between what the U.S pays on drugs and other similar developed countries, in the article Why pharmaceuticals are cheaper abroad. Kounang displays how much American need to pay for Gleevec (cancer medication) which is $6,214 (per month/per customer) whereas in Canada patients only have to pay $1,141 and in the U.K $2,697 (Kounang 1). These prices are the result of different organizations setting different price ranges with drug companies (U.S.A), and these enables American insurance companies to take advantage of it (Kounang 1). While in other countries there are not as many organizations, so this helps to set a deal of a price that benefit both the drug company and consumers (Kounang). Strictly speaking, by having these different medical insurance companies it has made it difficult for patients to afford their medication because there is no singular organization that can set drug price ranges with pharmaceuticals, while in other countries they don’t a variety of different medical insurances which enables the country to provide treatments that its citizens can afford. Thereby, if the government does not fully cooperates with other medical insurances, lowering the cost of medication will be difficult without affecting research and development. And as a result people who can not afford them will still struggle to obtain their required prescriptions.

“Stakeholders (or interest groups) are tangible, visible and approachable groups or institutions which have a direct influence on the functioning of an organisation.”

The stakeholders are anyone who was affected by the decisions that were made, in this case Jai and his companion were the extreme stake holders and consequently it trickled down to a shepherd woman and eventually several others. Jai was affected most since all the decisions made affected him directly throughout the story. The shepherd woman, the village officials, and the physician were also affected and therefore can be considered stakeholders. The assumptions of Jai and his companion were that since they were both healthy and experienced at climbing despite their youth, when the 1 p.m. turn around time came, the decision to press on had been easy to make, which was to continue on since the prospects of doing it another day held little appeal to both men. Their assumptions did affect the problem above, since they should

Stakeholders are people or groups with interest in an organization that can affect or be affected by the organization itself, its objectives, or its policies (BusinessDictionary, 2015). Each stakeholder brings their own perspective to the table based on their relationship with the organization (e.g. internal or external role), their level of experience, and their area of expertise about the subject matter they are involved with. At a high level, the list of stakeholders for any organization could include people or groups such as: customers, employees, government agencies, suppliers, unions, community resources, shareholders, and business owners. For the purpose of this assignment, I will discuss and review stakeholders relative to the

“GSK” According to its price differential strategy or price discrimination which is a sort of Monopolistic market power was separated from its customers, this power came from where? GSK had sufficient control over prescriptions drugs to determine significantly the terms on which other individuals shall have access to it and this power make GSK able to alter market price of prescription drugs in America.

“GlaxoSmithKline (GSK) is a global healthcare company specialized in the discovery, development, manufacturing and marketing pharmaceutical and consumer health-related products. GSK has operations in about 114 countries, with products being sold in over 150 countries”.

GSK is the 2nd largest pharmaceutical firm in the world, and the largest in the UK by sales and profits, it is responsible for 7% of the worlds pharmaceutical market, and has its stocks listed both in UK and US (O 'Rourke, 2002). The origin of the so called blockbuster model, is partly linked with Glaxo (as it was previously known). In the early 80’s, then Glaxo brought to light their first blockbuster drug, Zantac, which was an anti-ulcer drug, which was very similar to the a pre existing drug Tagamet (first ever blockbuster) sold by Smith Kline & French, their completion at the time (MONTALBAN and SAKINÇ, 2011). The introduction of this drug, brought about an increasing sales force in the US, the company soon became dependent on the drug, because it represented a large part of their profit. In 2002, 8 blockbusters of GSK contributed to $14.240 million sales revenue, taking up 53% of its total ethical sales (Froud et al 2006). However, due to the nature of the pharmaceutical industry, the patent began to expire, in other to avoid the patent cliff, Glaxo merged with Wellcome in 1995, which ensured a growing number of sales force, and with Beecham in 2000 (Froud et al., 2006) this merger, boosted the confidence of investors, by growing the business inorganically. For Big Pharma, this block buster model is very profitable, because with the high cost of R&D, the drugs are able to generate ample profit, to cover the sunk costs

This is a strategic analysis of GlaxoSmithKline that examines the key factors that influence the company and its activities. The strategic analysis will examine key factors in the company’s internal and external environment and their influence on the company’s strategies. GlaxoSmithKline is a global healthcare company that offers pharmaceutical, vaccines and consumer products. The company is a product of various mergers, the latest occurring in 2001 between GlaxoWellcome and SmithKline Beecham. The company started in London United Kingdom in 1715 as Plough Court pharmacy and has evolved to become one of the leading global healthcare companies. The healthcare company operates in more than 150 countries with 89 manufacturing locations and research centers in the USA, China, UK and Belgium. In 2015, the company’s sales grew to £23.9 billion from £23.0 billion in 2014 (GlaxoSmithKline plc. 2015).