Strategic Analysis for Pfizer Company

Economic: Globalization of the pharmaceutical industry is an exciting opportunity to have research and development done at cheaper prices in other countries. However, this could be a double edged sword for companies because it is easy for other countries, such as India, to produce generic versions of the drug in bulk.

Does globalization only have adverse effects on large corporations? In theory this reading should provide the reder with the information that Globalization is not just a concept that effects large corporations, but also small businesses along with their employees. Through the following, effects such as, outsourcing, telecommunications, and developments in new technologies.

Porter's five forces model of competitive pressure can be used to analyze the global pharmaceutical industry. Three forces are sources of "horizontal" competition: product substitutes, established rivals, and new industry entrants. Two forces are sources of "vertical" competition: bargaining power of suppliers and buyers.

Since I’m in the healthcare sector, my particular organization has limited mobility in any global scale. A former colleague of mine works for a well known company called Apple. After further discussion and research, I will demostrate in this paper how Apple uses its resources to be a leading powerhouse in the elecontric equipment industry. To begin the global market for companies through the perspective of both economic and political liberalization have offered the firms to operate on a global scale (Berman, 2012). Various firms have increasingly engaged in activities globally that constitutes of exports, imports, outsourcing and the creation of production and sales abroad. The floating exchange rates after the collapse of the

In the first year it generated revenues of 67.8$ billion and net income of 8.26$ billion. (philippidis, 2011)Pfizer is the largest player in the pharmaceutical market having the best power in marketing and forming associations. It also posts the highest dividends in the industry. Pfizer faces challenges common to all pharmaceutical companies such as patent expiration and FDA regulation. It is dedicated to applying science and global resources to progress health and well-being at every stage of life. Subsidiary members are Agouron pharmaceuticals, G.D Searle & company, Greenstone, Park- Davis, Wyeth, Pharmacia, Upjohn, Warner &lambert. (control, 2011)

Globalization, rapidly changing markets, economic recession and slow recovery, new forms of global enterprises such as “postmultinational global

In today's highly competitive market, businesses must be aware of the environment in which they operate and the external factors that influence them. These factors can affect the main internal factors of the business and its objectives or marketing strategies.

Twenty-five years ago, firms conducted global trade; however, it was not as complex or as interrelated in comparison to today because there was less outside influence and the world was less connected. Firms then were able to use known rule sets, or past business knowledge, to adjust operations to respond to change (Vecchiato, 2015). As time passed and organizations grew more complex and diverse, so did market conditions and external influences on an organization. With a growing reliance on global competition, cross border outsourcing, and an interconnected world, there are many external influences and forces in today’s market environment. Although international trade enabled firms to lower prices to gain competitiveness, it also increased environmental uncertainty. Furthermore, a reliance on external sourcing, or outsourcing, allows today’s firms to cut costs but also increases external influences on an organization. In today’s interrelated markets, a crisis in one country that produces outsourced goods will influence a prime organization in another country. As an example of growing external influence, the explosion of technology and use of social media has created an overabundance of

5. Globalization of Competitors. If your competitors start to globalize and you do not, they can use their global stronghold to attack you in at least two ways. First, they can develop a first-mover advantage in capturing market growth, pursuing global scale efficiencies, profiting from knowledge arbitrage, and providing a coordinated source of supply to global customers. Second, they can use multi-market presence to cross-subsidize and wage a more intense attack in your own home markets. It is dangerous to underestimate the rate at which competition can accelerate the pace of globalization. Look at Fuji 's inroads into the U.S. market, historically dominated by Kodak. The trend is happening in other industries as well, such as in white goods, personal computers, and financial services.

Primaty data from the respondents will be collected using an in-depth interview schedule. This method allows for personal interaction between the respondents and the researcher. It is also ideal as it enable the researcher to vary the questions and also seek for further details from the respondent as may be appropriate (Blumberg, 2008). Secondary data will be collected from journals and book reviews of the strategies the multinational pharmaceutical companies apply to overcome the challenges from the generic industry.

The first political issue that may come about due to global expansion is the loss of customers due to outsourcing. The second political issue would be the abuse of an individual(s) human rights which has the same outcome as the first issue as well as bringing in bad publicity for the company. To correct the human rights violation or possible violations, a company could put forth the effort to incorporate a training program for its employees. The economic dimensions of globalization have attracted the most popular attention, much of which has been negative due to the frequency and variety of conflicts for which the process is blamed (Lerche III, n.d.). The competition of globalization has caused companies to become innovative. They have taken these new innovations to come up with new products and methods of production. From a global standpoint, this can be very destructive for companies. This is a problem because of the unemployment rates of the company whose once promising product is now on the outside looking in. this can also be a problem for communities and the environment. No matter how you look at this, there will always be competition amongst these different companies which means it would just be smart for your company to use the technology advances available to stay on top. The second economic issue would be getting the approval of the financial markets for the proposed macroeconomic

The increased use of generic drugs as well as the fact that in most countries the government controls the prices of medical products results in Pfizer facing increased pricing pressure. As government agencies have control over Pfizer 's pricing, this could negatively influence their sales and revenue. In addition, the proposed legislation to control prices will most likely affect the company 's business.

* Environmental factors also include local and global competitors. With the advent of globalization. There has been a substantiate increase in these competitors

Years ago, India 's pharmaceutical industry was experiencing a number of international trade limits because of their abuse of intellectual property rights. The Indian organizations used to duplicate patents of drugs made by Western nations and Japan with no obligation to property rights. This would discourage international investors from participating in India 's drug industry. India was useful for making generic brand drugs in light of the fact that the patents for those drugs at that point had already lapsed. Be that as it may, the circumstance has changed considerably as of recent years because of the rising interest for international trade. Particularly, with the induction of India into World Trade Organization (WTO) in 2005, and with that came the appreciation and protection for property rights. The fact that India is a member of WTO has facilitated the way for foreign investors to begin participating in India 's numerous commercial ventures including the drug industry. Because of the flow of investments and Western participation, India 's pharmaceutical industry has seen exceptional development since 2005. As per the case, by 2011, the industry reached $11.5 billion. There are a number of components that have contributed towards this remarkable development in the drug business. The beginning event that started the development was India 's concurrence with WTO which offered protection to intellectual property rights and assurance to international investors.

The Indian pharmaceutical production intensified the chains worth; indicating an advancement period of the manufacturing business’s main preserved which is restricted from assist its national marketplace. It is considered to be the manufacturing’s study procedures, focused on transfer to grow its presence worldwide, together with the establishment of a larger range worth of additional merchandises. Although, refining the quality of distribution which later forms a main worry in the conversion. Furthermore, the trade depends on the vigorous part cooperated from helpful policies from the government regarding the restoration of the upcoming reproduction of the drug trade. To be precise, the importance of products patenting, realized in