A pestle analysis of pharmaceutical industry
The promotion of innovation is one of the main objectives of the competition policy.
The pressure on the Pharma companies is high over synchronization between environmental needs. Different consumers in the market have different needs and we can serve them better by segmenting the market into groups with homogeneous needs.
What about other countries? Couple this with the fact that many managers are over worked and under resourced and this is why the process is often not completed.
The online opportunities will see the growth in: New information and Communications technologies, Social Media for Healthcare. Patents of products and services offer pharmaceutical companies an advantage over competing firms.
Economic factors affecting pharmaceutical industry
Various kinds of economic and political pressures are already leading to losses for the Pharma companies. This creates greater demand for pharmaceutical products, and will lead to more revenue for the pharmaceutical industry. The use of IT technology in the preparation of the drugs is becoming most important and they carry out different research and development work and it has help the industry for improvement of medicines Academic Sample Papers, On the other hand, if biotechnology is used to produce healthier food options, it might take away from the pharmaceutical industry. If a correct PEST analysis is carried out then it can help to understand the environment to carry on this business Academic Sample Papers, Stakeholders and have the ability to change theyre level of interest and power depending on the situation; this leads to movement on the stakeholder grid. A number of advantages arose from this as it enabled the company to produce a strong product portfolio as well as investment in R and D, technology and global sales force expansion. The drug prices were already under pressure in Europe and Japan and now in US too. Investment from stakeholders is a source of increased innovation. Social: Socio-cultural factors present both opportunities and threats to the pharma sector. The economic conditions of most of the countries across the world are not good and they are facing economic recession, which is appeared after a long time.
Such pressures do not just become an impediment to growth but also have the potential to cause losses. Much of the mundane work of the primary-care physician is outsourced using the Internet, although tough cases are still referred to American specialists.
A pestle analysis of pharmaceutical industry
Political Factor There is now growing political focus and pressure on healthcare authorities across the world. Still, currency fluctuations will remain to be a source of worry for the Pharma companies. Society has indirect power to influence the government. It is also necessary to meet the legal issues of the import and export of the drugs and has to pay the taxes and other duties. Q3 In one paragraph suggest a plausible hostile scenario would look like for big pharmaceutical companies? Is globalization going to impact the American hospital? There are four criteria for successful positioning are: clarity, consistency, creditability and Competitiveness. New technologies help companies reduce production costs and bring down expenses. Much of the mundane work of the primary-care physician is outsourced using the Internet, although tough cases are still referred to American specialists. Pharmaceutical companies must consider different elements in different nations, in their pricing strategy. The pharmaceutical industry today is highly competitive nonassembled global industry.
Demographic Variables: such as age, occupation, family size, religion, education and social class. Environmental Factors There is growing concern over the environmental issues and the stake holders are becoming more aware about the need for the business and they are taking some proactive steps.
Technological The pharmaceutical industry has seen many modern advances on the scientific technology, which requires the key players within the pharmaceutical industry to adapt to the markets that they participate in.
It is reducing the net profits of the US based Pharma companies. For example Irish Medicines Board as authority over Trinity Biotech in Europe and Canada in which regulates the market of introducing their products onto the American market known as premarket notification k and remarket application PMA.
DTC advertising suggests that advertising makes the consumer more aware of the brand of dugs that is available The value of the Pharmaceutical brands Pfizer brand is based on the extent to which it provides high brand loyalty, awareness, perceived quality and strong associations.
based on 11 review