Strategic Alliances and Growth: Case Study of Eli Lilly's Entry into India

1738 Words Jan 12th, 2018 7 Pages
Running Head: Strategic Alliances and Growth
Strategic Alliances and Growth
Strategic Alliances and Growth
Q1. How would you evaluate Eli Lilly's strategy to enter India?
Eli Lilly is an eminent and recognized American company that manufactures medicinal drugs on a large scale. Studies have revealed that Eli Lilly had stepped into the market as a small scale business in the nineteenth century but since then it had always looked for the available opportunities that can benefit it and has brought those prospects into proper implementation. The enterprise has its own research and methods for discovering and developing new chemicals and using them in the production of medical drugs; hence their products were slightly costlier than other similar products in the marketplace. During the early years of 1990s, a drastic change in the market pattern came under observance that had gravely put the pharmaceutical companies in jeopardy. All kinds of activities and functioning of the companies came under strict inspection by government officials. Consequently, the production cost of all manufactured goods sky rocketed to an extent that enterprises became susceptible to instability (Turner, 2005, pp. 94-96).
Furthermore, the price control problems confronted by pharmaceutical companies had begotten to variation in prices of same medicines in different parts of the world. Although the companies had exclusive rights for production that were given to them by government, the prevailing…

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