MARKETING AND SALES STRATEGY OF DOCTOR’S CHEMICAL WORKS LTD. (DCWL)
1.0 Introduction
1.1 Background of the Report
This report is an Internship Report prepared as a requirement for the completion of the BBA Program of Northern University of Bangladesh. The primary goal of internship is to provide the job exposure to the student and an opportunity for translation of theoretical conceptions in real life situation. Students are placed in enterprises, organizations, and research institutions as well as in development projects. The program covers a period of 3 months of organizational attachment.
Medicine is very essential to be cured from disease and direct related to the human life. Thus the pharmaceuticals industries which produce medicine and almost effort at all levels of it’s activates to do it. There are 270 companies are involve to produce and market pharmaceuticals products and meet up 95% medicine of our local market .among those company Doctor’s Chemical Works Ltd is one of them. It was established in 1957. Doctor’s Chemical Works provide quality full medicine with affordable price.
The report titled “Marketing and sales Strategy of DCWL. is a collaboration representation of my Internship Program at Doctor’s Chemical Works. The report topic was assigned by the respectable supervisor of the host organization and was approved by the faculty supervisor to satisfy both organizational requirements as well as the fulfillment of internship program. This report has been prepared under both of their direct supervision.
1.3 Scope of the Report:
The scope of the report is confined to the Dhaka city. I worked as a Jr. Market Dev. Officer in the company. There about 50 Medical representatives under Dhaka city office. I had to go to their market to do my job. Major areas are;
· Narayanganj
· Tongi
· Norshingdi
· Munshiganj
· Kaliganj
· Borguna
· Sylhet
· Savar
· Dhamrai
- The report is also the analysis of the effective media of communication with customers; the report includes small scale of information available in the organization because of information availability, confidentiality, and not for public dissemination.
- The total medicine Market of the country could not be observed significantly in the report. Therefore, this report does not actually compare the position of the total Medicine market in the context of the total business situation of the country.
1.4 Report objectivies:
1.4.1. Broad Objective:
The general objective of this report is to analyze the Antibiotic market of Doctor’s Chemical Works and its aspects of customer satisfaction.
1.4.2 Short Objectives:
· To identify the condition of Pharmaceuticals Market in Bangladesh.
· To analyze the market competition in the Pharmaceuticals market in Bangladesh.
· To evaluate the situation level of Pharmaceuticals Bangladesh.
· To analyze the satisfaction level of marketing mix of antibiotics of Doctor’s Chemical Works & its major competitor.
· To find out some solutions to overcome this problem.
1.5 Methodology:
1.5.1. Type of Research:
This report is a descriptive type of research in nature and it administered by collecting both primary and secondary data. It has tried to use both the primary and secondary sources of collecting information and some are to make the report presentable with as less abstraction as possible.
1.5.2. Sources of data:
In order to attain the objective of the study in this report all-necessary information are prepared by collecting both primary & secondary sources of data. These are:
1.5.2.1. Primary sources:
Primary data collected directly to solve the customer problem through face-to-face interaction. It is the systematic collection of information directly from respondents using survey. Several sources of data collection are use to make this report. The source of data are-
· Questionnaire survey.
· Consumer study.
· Medical Promotion officer.
· Job experience.
1.5.2.2. Secondary sources:
Some secondary data collected to make the report more concrete. These data has been collected from different books, newspapers, web site and combination of all these sources; I am able to write this report.
· Books.
· Journals.
· Company sales report
1.5.3. Methods of Primary data collection:
1.5.3.1. Primary data:
Filling the questionnaire by consumer (users, lapsers and other brand users). In depth interview with organizational supervisor.
1.5.4. Questionnaire Design:
This questionnaire developed with the combination of open-ended, close-ended and multiple-choice questions. For close ended questionnaire, multiple-choice question was used where the respondent will choose one option among several possible alternatives and for close-ended questions are used to write down the respondent any opinion, complain and feelings. The length of the questionnaire is 4 (Four) pages (A4 size paper). The questionnaire has 2 (two) sections. In section – 1 the general information – 2 About Doctor’s Chemical Works. The average interviewing has been 25 minutes.
The questionnaire was mainly use to find out the satisfaction level of Doctor’s Chemical Works. Besides, I attempt to find out the main reason of use other antibiotic what amount of antibiotic are you consume, get up , performance price etc.
1.5.5. Sample plan:
· Population:
The population of my survey is all of customer. The first step of the sampling design is to define the study population. Due to time restriction and other limitations, the survey mainly focused on chemist.
· Sample Elements:
The sample element of this research is the existing consumers of antibiotics of Bangladesh.
· Sample frame:
There is no concrete list or number of subscriber of the selected area of the population.
· Sampling procedure:
In the data collection procedures, it is used non-probability convenience sampling.
· Sample Size:
The total sample size for the study is 100 and all of respondent are chemist & chemist come doctor.
· Field Work / Data collection:
The questionnaire survey was administered in different Chemists, big and small pharmacy.
1.5.6. Analysis and reporting
Statistical tools and computer software are used for analysis and reporting.
1.6 Limitations:
The study is not free from some practical limitations. Following limitations have faced during the study and the time of working & data collection:
· Time and budget constraints for this kind of research.
· Lack of instrumental facilities to get proper information.
· Only simple statistical tools were used for data analysis.
· Workload during the internship program at the work place was also a barrier to prepare this report.
· Due to the confidentiality concern, much detailed information could not retrieve.
· The sample size is too small so the result may not convey the scenario perfectly for whole country.
· Due to lack of practical experience, some errors might be occurred during the study. Therefore, maximum efforts have given to avoid mistakes.
· Lack of Records, Sufficient books, unavailable information in website. These constraints narrowed the scope of accurate analysis.
PART-2
COMPANY PROFILE
2. Overview of DCWL:2.1 Back ground of Company:
Message from the Chairman & Managing Director
Welcome to an immensely expanded DCWL, whose strong performance and wellspring of skills promise greater benefits to millions of people. This company profile will acquaint you with DCWL and provide you with information about our company, products, outlook and programs devoted to healthcare access and company’s citizenship.
DCWL ‘s success is based on a commitment to discovery, finding new ideas that are inspired by life and which in turn help to inspire the lives around us. The DCWLs is ready to master the challenges ahead bringing lifesaving medicines. We now have world-class capabilities in virtually every therapeutic category, providing everything from basic care for people to the most serious and complex treatments for life-threatening conditions.
Ultimately, our goal is your healthy aging. That means being a true partner with you and your physicians in extending the length and strength of your life, while keeping you and your loved one out of hospitals or nursing homes.
Our depth, scope and diversity give us great flexibility to provide more people more access to ever-more important medicines. We are now even more capable of helping our partners in medical care and work towards the healthy aging of people everywhere.
Our future, as one company, with a single purpose and mission, is sharply defined. We want to be the company that does better for people than any other around us. We believe on the truth, “Even the best can be improved”.
I would like to invite you to discover more about our company, products, outlook and programs. With a global business comes a global responsibility for consistently high standards of behavior worldwide. We aim to effectively manage that responsibility and help to find new ways of bringing benefit to society to ensure that DCWLss is welcome as a valued member of the global community.
2.1.2 History
Dr. Md. Zahidur Rahman was the founder of the Doctor’s Chemical Works Ltd. After completing his MBBS from Calcutta Medical College in 1948 Mr. Zahidur Rahman came to realize that the then government of Pakistan was lagged behind in the medicine sector. From his realization he started to produce two to three syrup of different items. Then DCWL was one of the 1st three pharmaceutical company in Pakistan. But situation was changed during the liberation war when the pak army destroy the factory of DCWL
After committing a huge loss over the past four decades the company is now emerging as a global giant in the medicine sector.
DCWL was established in the year 1957. Headquarter in the capital city, Dhaka, Bangladesh, with marketing operations spreading nearly 460 areas throughout the country.
We have an extensive, high quality sales and marketing network nationwide, structured to anticipate and respond to local market needs. We sell mostly through our own local marketing companies and our products are marketed mainly to physicians and other healthcare professionals. DCWL has over 1,000 employees countrywide. Of these, over 750 are in sales and marketing, one of the largest sales force in the country. Over 250 employees work at the manufacturing site, situated Fulbaria, Bogra.
At present it has product-range of about 80. Most of them are various life-saving drugs like antibiotics, vitamins, anti-inflammatory, antiulcerant etc.
With wellspring of skills, machineries & equipments, DCWL’s manufacturing plants are in conformity with WHO directives for Good Manufacturing Practice (GMP). It has GMP certificate from the authority of the Drug Administration, Ministry of Health, and Bangladesh Government.
Its product strategy and licensing organization, working closely with its R&D community and major marketing companies, leads the commercial aspects of drug development and co-ordinates global product marketing strategy. This includes selecting the right products and projects for investment, developing effective marketing platforms in time for new product launches and directing the creation and delivery of product marketing strategies that successfully align global and national plans. Recently DCWL have decided to explore the global market and process of documentation of products is on for some countries in Asia, Middle East and Europe. Side by side, it intend to extend it’s production facilities for contract manufacturing of brand items of other interested pharmaceutical manufacturers in & out side Bangladesh. In common with other leading pharmaceutical companies, it also look to strengthen its portfolio with attractive products or technologies from external sources. With a global business comes a global responsibility and, along with it’s commitment to competitiveness and performance, DCWL will continue to be led by its core values to achieve sustainable success.
2.2 Mission: To achieve market share 1% in this year
2.3Board of Directors of Doctor’s Chemical works Ltd :
| Chairman & Managing Director | Mr. Md. Zahidur RahmanMBBS (Calcutta Medical College, 1948). |
| Resident Director | Mr. Md. Enamur Rahman |
| Executive DirectorFinance, Procurement & Production | Mrs. Habiba Khandoker |
| DirectorMarketing, Sales & Distribution | Mrs. Shamima Khandoker |
Figure: 2.1 Board of Directors of DCWL.
2.1.4 List of some Products OF Doctors Chemical Works Ltd:
| Sl. No. | Brand Name | Generic Name | Pack Size | MRP |
| 01 | Algex suspension | Aluminium HydroxideUSP 1900mg & Magnesium Hydroxide USP 420 mg/5ml | 200 | 32.30 |
| 02 | Algex tablet | Aluminium HydroxideUBP 250mg & Magnesium Hydroxide USP 400 mg | 20x10s | 100.00 |
| 03 | Amlosin 5 Tablet | Amlodipine besylate INN 5 mg | 3×10 | . 102.30 |
| 04 | Amlosin Plus Tablet | Amlodipine BP 5mg+ Atenlol BP 50mg | 3×10 | 120.00 |
| 05 | Amobin suspension | Metronidazole Benzoate BP 200 mg/ 5ml | 60ml | 24.00 |
| 06 | Amobin 200 tablet | Metronidazole BP 200 mg | 10×10 | 53.00 |
| 07 | Amobin 400 tablet | Metronidazole BP 200 mg | 10×10 | 114.00 |
| 08 | Amox 250 Capsule | Amoxycillin Trihydrate BP 250 mg | 10×10 | 350.00 |
| 09 | Amox 500 Capsule | Amoxycillin Trihydrate BP 50 0mg | 227.60 | |
| 10 | Amox PFS | Amoxycillin Trihydrate BP125mg/5 ml | 100ml | 45.00 |
| 11 | Amox PFPD | Amoxycillin Trihydrate BP125mg/1.25 ml | 15ml | 26.86 |
| 12 | Anpar Cream | Terbinafine HCL INN 1% | 5gm | 35.00 |
| 13 | Auxil 250 Capsule | Flucloxacillin Sodium BP 250 mg | 5×4 | 110.00 |
| 14 | Auxil 500 Capsule | Flucloxacillin Sodium BP 500 mg | 10×4 | 377.60 |
| 15 | Auxil PFS | Flucloxacillin Sodium BP 125mg/5ml | 100ml | 55.72 |
| 16 | Beforte Capsule | Vitamin B Complex | 20×10 | 114.00 |
| 17 | Beforte M Tablet | Multivitamin with multimineral | 30 | 33.00 |
| 18 | Beforte Syrup | Vitamin B Complex | 100ml | 20.00 |
| 19 | Beforte Syrup | Vitamin B Complex | 200ml | 37.00 |
| 20 | Beforte Tablet | Vitamin B Complex | 45s | 19.35 |
| 21 | Beforte Z Syrup | Vitamin B Complex & Zinc | 100ml | 45.00 |
| 22 | Bentol Cream | Silver sulphadiazine USP 1% | 10gm | 11.38 |
| 23 | Bilco Paediatric drops | Ambroxol HCL BP 6 mg/ ml | 15ml | 20.00 |
| 25 | Bilco Syrup | Ambroxol HCL BP 15mg/ 5ml | 100ml | 30.00 |
| 26 | Bronium Tablet | Bromazepam BP 3mg | 5×10 | 150.00 |
| 28 | Cetadol plus Tab | Paracetamol BP 500 mg & Caffeine BP 65 mg | 20×10 | 300.00 |
| 29 | Cetadol Susp | Paracetamol BP 120mg/ 5ml | 60ml |
Continue…..
2.3.1 Target customer:
The main target consumers are all age group of commodities. Both Male and Female
2.3.2Target customer Medicine:
The main target consumers are all age commodities.
· Buyers:
Customer Group:
· All general people
· All of the Medicine market and hospitals.
Consumer Group:
· All the chemist and chemist come doctors.
· Doctors
2.4Marketing mix:
Marketing mix mainly consists of 4p’s. Those are product,price, place and promotion. This 4p’s concept of Doctor’s Chemical Works Ltd. are describe below:
2.4.11Product:
The DCWL has a Short number of products in the product lines. This product consists of different product categories. The existing product lines of DCWL are:
a) Tablets
b) Capsules
c) Liquids
d) Dry Syrup
e) Basic Chemicals
f) Tablet, Powder, Liquid,
2.4.2Pricing:
Price of most of the essential drugs is fixed by the government. The company can fix price of other products but needs approval of the government. In pricing a product, MPL usually follows target pricing. Medium price can’t be charged as the entire competitor’s products are similar and not much distinguishable from each other.
2.4.3 Place
Distribution Channel:
There are high quality sales and marketing network nationwide, structured to anticipate and respond to local market needs. It sell mostly through its own local marketing companies and its products are marketed mainly to physicians and other healthcare professionals. DCWL has over 1,000 employees countrywide. Of these, over 750 are in sales and marketing, one of the largest sales forces in the country. Over 250 employees work at the manufacturing site situated at Fulbaria Bogra
at present it has product-range of about 80. Most of them are various life-saving drugs like antibiotics, vitamins, anti-inflammatory, antiulcerant etc.
Distribution Channel:
Figure 2.2: Distribution Network of DCWL
2.4.4 Promotion
Promotion involves disseminating information about a product, product line, brand, or company. It is one of the four key aspects of the marketing mix. Promotion is generally participate in this way
a) Providing Sample
DCWL distribute free samples to the doctors and retailers to promote their products. The style of giving sample drugs to the doctors varies to retailers. Sometimes the doctors find that the sample is useless because of the faulty sampling style of a company. DCWL always try to find out the best sample style to be effective for the target market.
b) Gifts
DCWL provide the potential doctors with gifts, such as pen, pen-holders, paperweight, calendar or any related item related with their profession. The company sometime even decorates the doctor’s chambers; give the necessary expenses to join a meeting held in foreign country. These promotional activities are carried out with the sole purpose of influencing the doctors to prescribe the company’s product.
2.4.5 Raw Materials:
All of the raw Materials come from abroad.
- Chemicals:
Ascorbic Acid, Beta Carotene, CMC, Citric Acid, Caustic Soda, Hotmelt, Pectin, Potassium Sorbet, Xanthan Gum, Different Flavors, Confectionery raw material.
- Packaging Materials:
Aluminum Foil, Crown Cork, Flexible Packing material, Glass Bottle, Glass Jars, HDPE, Lug Cap (30, 53 & 63mm), PET, Shrink Labels, Shrink caps, Tin Can, U-Straw.
2.4.6Major Market: Bangladesh
2.4.8Company Address:
| Corporate Headquarters | City Office |
| 10, Piyari Sanker street,
Katnerpara, BograPhone : 71385, 67994 |
44, Dilkusha C/ADhaka-1000, Bangladesh |
| Factory |
| Fulbaria, Rangpur RoadBogra
Phone: 051-72510, 66738, 68066 |
PART-3
Internship position and duties
Internship duties and Responsibilities
I worked as a Jr. Market Dev. Officer in the Doctor’s Chemical Works ltd. During my internship period I had to do many works for the company. Of that various types of works I had to mainly perform on the following category:
· Market Research ( customer analysis)
· Observing Competitors Activity
· Visiting the MPO’s Market
· Market Research ( customer analysis)
For Marketing Research, I conducted survey several times on the customers. The questionnaire was divided into three sections for an effective analysis, one is general findings of antibiotic, second one is about DCWL and third one is satisfaction. I had to make sure the current market situation of the market of the company. At the end of the month I had to submit the monthly report on the basis of my survey work at the monthly conference.
· Observing Competitors Activity
To identify the competitor’s activity I had to go to the market. Generally this kind of information was found in ‘Mitfort’ the biggest wholesale medicine market of the country
· Visiting the MPO’s Market
Sometimes I used to make sudden visit to the market of the medical representatives at the distant place of the country. So far I have visited Narayanganj, Munsiganj, Norshingdi, Manikgonj, Savar, Dhamrai, Borguna, Khulna etc. There I met with the customers, Verify the MPO’s activities, and search for the problem of the market
PART-4
Analysis & Findings:
4.0 Analysis & Findings:
4.1 Current market scenario of Pharmaceutical Industries:
In Bangladesh Pharmaceutical is one of the most developed hi tech sector which is contributing in the country’s economy a lot. After the promulgation of Drug Control Ordinance – 1982, the development of this sector was accelerated. The professional knowledge, thoughts and innovative ideas of the pharmacists working in this sector are the key factors for these developments. Due to recent development of this sector we are exporting medicines to global market including European market. This sector is also providing 95% of the total medicine requirement of the local market. Leading Pharmaceutical Companies are expanding their business with the aim to expand export market. Recently few new industries have been established with hi tech equipments and professionals which will enhance the strength of this sector.
The total industry can broadly be classified into two categories. Theses are-
a) Patent Medicines
b) Generic Medicines
Patent medicines are the products that are invented by the company, who have their own research team working on their own laboratories. These products are patented for many years to enjoy the monopoly market. After years of business the formulation is sold in the market so that others can go into mass production.
Generic medicines are the products that are produced in mass scale. These are marketed by several companies under different brand name, where the formulation of this product is almost same. Prices of the products are under this category are competitive. Bangladesh mainly concentrates on this category, as labor cost is one of the lowest in the world.
4.2 Growth and Trends
The growth potential of pharmaceutical industry is enormous. As urban population is increasing and people are getting educated, they are now more concerned about healthcare. So the demands of medical products are rising. In Bangladesh unhygienic conditions and poor health maintenance plans provide vast scope for the pharmaceutical firms to sell their products. On the other hand, the constant natural disasters provide opportunities to pharmaceutical companies to boost its sales. The industry is growing the protection of national Drug Policy 1982. But after the GATT regulation, changes are bound to take place. Furthermore, the trend and growth of this industry tends to be positive as the demand of medicines is rising, which have mentioned earlier.
The country’s calculated pharmaceutical market had a valuation of US$700mn in 2007 and that a compound annual growth rate (CAGR) of 18.79% through to 2012 can be expected. This rapid market expansion is primarily due to greater uptake of medicine throughout this densely populated country, but also through appreciation of the data against the US dollar, population growth and increased government healthcare expenditure, among other factors.
2010 is proving a challenging year for drug makers in Bangladesh. A round of price cuts is scheduled after a hiatus of two years. Sales forces of Bangladeshi drug makers are growing exponentially, which results in significantly higher expenses.
Eskayef was best performing company in Bangladesh during Q108, with sales up 21.12% on Q107, according to IMS Health. This compares favorably to the next fastest growing drugmakers: Renata (+16.19%), ACI (+16.17%) and Drug International (+13.79%), Incepta Pharma (+6.77%) and Square Pharma (+2.32%). Not all Bangladeshi pharmaceutical companies performed so well. Beximco Pharma witnessed a huge 42.04% drop in sales, while Acme recorded a 4.89% decrease.
The greatest challenge facing the industry is the end of the patent-free regime in 2016, when local pharmaceutical companies will have to cease the production, distribution and sale of medicine that have intellectual property protection elsewhere in the world. Forward thinking local drug makers will have to adapt their product portfolio as necessary or suffer a steep drop- off in sales. However, the global ‘patent cliff’ in 2011 will mitigate this watershed.
4.3 Future Prospect
Historical events in the country during the year under review have had different degrees of impacts not only on the life of individuals but also on the operational conditions of corporate bodies. Bangladesh is prone to tropical diseases, and this leads to a high demand for pharmaceutical goods. Because of this and the poor health and hygiene situations, a steady growth in the pharmaceutical sector is possible. The devastations caused by repeated floods and the SIDR had enormous effects on life and properties of the people with reduced purchasing power which was further adversely affected by serious level of price rises of almost all consumers goods leaving the poorer sector pauper. Though the exports, especially RMG sector grew by about 15.8% and reached USD 12 billion mark, import grew at 16.6% and reached USD 15.5 billion level. Remittance from wage earners had impressive growth of 24.5% reaching USD 5.98 billion with very positive impact on balance of payment. In order to survive from the possible crisis pharmaceutical sector would need certain degree of support as follows:
(a) Investment for expansion units should be allowed tax holiday up to 2020.
(b) VAT should be withdrawn in totality if not reduced minimum 50% of the present rate from life saving drugs so that consumers’ price could be brought down.
The scenario, though appears apprehensive, is expected to change for better from the expected ensuing events in the country and abroad which might ease crude crisis in the international market having positive impact on our GDP with resultant contribution to effective growth in various industrial including pharmaceutical sector. We, therefore, should get neither disillusioned nor disappointed, but look for better days ahead.
4.4 World Pharmaceuticals Industry Review
The pharmaceutical industry consists of numerous players, all of whom hold only a small market share of the industry. In “A Bigger, Richer World,” Kim Clark cited Glaxo Wellcome as the second largest revenue earning company in pharmaceuticals, though it only holds 4.7% market share. It is only preceded in the market by Novartis, created by the 1996 merger of Sandoz and Ciba-Geigy.
| Industry Rank | Company Name | G500 Rank | Revenues($ millions) | Profits | Profits as % of.. | ||
| ($ millions) | Rank | Revenues | Assets | ||||
| % | % | ||||||
| 1 | JOHNSON and JOHNSON | 176 | 18842 | 2403 | 30 | 12.75 | 13.44 |
| 2 | MERCK | 215 | 16681.1 | 3335.2 | 13 | 19.99 | 13.99 |
| 3 | BRISTOL-MYERS SQUIBB | 282 | 13767 | 1812 | 49 | 13.16 | 13.01 |
| 4 | AMERICAN HOME PRODUCTS | 301 | 13376.1 | 1680.4 | 60 | 12.56 | 7.87 |
| 5 | SANDOZ | 314 | 12895.1 | 1740.9 | 56 | 13.50 | 9.84 |
| 6 | ROCHE HOLDING | 333 | 12453.5 | 2852.4 | 19 | 22.90 | 9.26 |
| 7 | GLAXO WELLCOME | 353 | 12054.2 | 2686.1 | 21 | 22.28 | 20.24 |
| 8 | SMITHKLINE BEECHAM | 399 | 11064.6 | 1530.8 | 69 | 13.84 | 12.09 |
| 9 | PFIZER | 438 | 10021.4 | 1572.9 | 66 | 15.70 | 12.36 |
| 10 | ABBOTT LABORATORIES | 441 | 10012.2 | 1688.7 | 59 | 16.87 | 17.94 |
| TOTAL | — | — | 131167.2 | 21302.4 | — | — | — |
Ranking of Top Ten Pharmaceutical Companies of the World
Source: www.fortune.com
The Global 500 lists ten international pharmaceutical companies: <href=”#refa”>[*] Johnson and Johnson (7.35%) , Merck (6.5%) , Bristol-Myers Squibb (5.3%) , American Home Products (5.22%) , Sandoz (5.03%) , Roche Holding (4.86%) , Glaxo Wellcome (4.7%) , SmithKline Beecham (4.3%) , Pfizer (3.9%) , and Abbott Laboratories (3.9%). The Fortune 500 listing of only American companies lists fifteen pharmaceutical companies. Other notable global pharmaceutical companies, such as Bayer, are not included because their primary business is not in pharmaceuticals.
Market Share Analysis of Pharmaceutical Industry (global)
Source: www.fortune.com
The pharmaceutical companies at the upper rungs of the revenue-earning ladder are all diversified. The revenues listed in the Global 500 are based on the firm’s total revenues, not just those from pharmaceuticals, so it is hard to determine the successfulness of a company based solely on its pharmaceutical business. Economies of scope appear to be beneficial for firms in the pharmaceutical industry. These firms have diversified into fields such as agribusiness, health and personal care products, medical equipment and devices, veterinary business, and chemicals. Farther down the revenue-earning ladder the businesses are less diversified, predominantly focusing on research and development, out-sourcing the testing and manufacture of their products to the larger pharmaceutical companies.
The pharmaceutical business engages in monopolistic competition. Monopolistic competition exists when there are many sellers, producing differentiated products, and the companies are involved in vertical and/or horizontal integration. Vertical integration occurs when a company is involved in all levels of production for a product, from gathering the raw materials to distributing the finished goods. Horizontal integration occurs when a business expands in size and scope. As previously mentioned, firms in pharmaceuticals hold only a small percentage of the market share. They produce numerous products, often specializing in product lines. For instance, Bristol-Myers Squibb is involved in developing treatments for: cancer, cardiovascular and metabolic therapy, anti-infectives, dermatological problems, central nervous system disorders, diabetes, and immunological disorders.
These companies choose to compete on research and development, innovation, a strong customer focus, and reducing cost. Companies engage in research and development in order to discover and
develop new drugs helpful to humankind. When a company develops a new drug, it enhances competitive advantage, empowering the company to realize very large profits. Companies emphasize innovation to sustain growth and profitability. Abbott Laboratories provides an excellent example with their utilization of a new technique called Structure-Activity Relationships by Nuclear Magnetic Resonance, SAR by NMR. This new technique reduces the time it takes to test promising new drug leads. Companies meet their customers’ needs and provide them with superior products and services. For instance, many companies developed company web pages including sites about a particular product and offering a method for consumers to send feedback to the company. Finally, companies are reducing costs to their customers. In trying to reduce non-value added costs, many pharmaceutical companies employ continuous improvement methods, and encourage communication with outside operations and among internal departments.
Pharmaceuticals is a profitable industry. As Kim Clark said in her article, “drugmakers … are consistently among the highest-earning industries, [they were] … tops among all industries on our [Fortune 500] global list.” Profitability as percentage of assets ranged between 7.87% to 20.24% for the pharmaceutical companies listed on the Global 500. Revenues and profits increased for most of the companies listed. According to company financial reports gastrointensinal medications seems to be among the most profitable product lines in the pharmaceutical industry.
In parenthesis after each company name is an approximation of their market share of the pharmaceutical industry. Exact market share figures were not available. These figures were computed by dividing total revenue for the industry (roughly $256,472,340,000) by each company’s revenue. Each company’s revenue includes monies earned in all of a company’s businesses, not just those earned in pharmaceuticals.
4.5 Listed Pharmaceutical Companies of Bangladesh
The Rise of Pharmaceutical Sector of Bangladesh in Bangladesh Pharmaceutical sector is one of the most developed hi-tech sector which is contributing in the country’s economy. After the promulgation of Drug Control Ordinance – 1982, the development of this sector was accelerated. The professional knowledge, thoughts and innovative ideas of the pharmacists working in this sector are the key factors for this development. Due to recent development of this sector we are exporting medicines to global market including European market. This sector is also providing 95% of the total medicine requirement of the local market. Leading Pharmaceutical Companies are expanding their business with the aim to expand export market. Recently few new industries have been established with hi-tech equipments and professionals which will enhance the strength of this sector. The listed Pharmaceuticals companies of Bangladesh are mentioned below
| 01. | ACI Ltd. | |
| Location | BRAC Tower ( 11th Floor), 356, Mohakhali C/A., Dhaka – 1212 | |
| Phone | 9884782, 9884965. 9885694 | |
| 02. | Acme Laboratories Limited. | |
| Location | 55, Satmasjid Road Dhanmondi, Dhaka. | |
| Phone | 8118692 – 96, 9110634 | |
| Website | www.acmeglobal.com/laboratories.htm | |
| 03. | Alco Pharma Ltd. | |
| Location | Hussain Chamber, 43, Dilkusha C/A. Dhaka – 1000. | |
| Phone | 9551729, 9552077 | |
| 04. | Ambee Pharmaceuticals Ltd. | |
| Location | House No. 1, Road No. 71, Gulshan –2, Dhaka – 1212. | |
| Phone | 8917777, 8813991, 8813510 | |
| 05. | AmIco Laboratories Ltd. | |
| Location | 117, Tejgaon I/A., Dhaka – 1208. | |
| Phone | 887534 | |
| Website | www.amicolab.com | |
| 06. | Apcco Ltd | |
| Location | Apcco Building, 1/1-1/2 Mirpur I/A., Mirpur –1, Zoo Road, Dhaka-1216 | |
| Phone | 9005302 | |
| 07. | Apollo Pharmaceutical Laboratories Ltd. | |
| Location | Plot # 10,Road # 4,Section 7, – Mirpur Industrial Area, Dhaka-1216. | |
| Phone | 9001794 | |
| 08. | Aristo Pharma Ltd. | |
| Location | 26/A (New –7) Purana Palton Lane Dhaka – 1000. | |
| Phone | 9351691-3 | |
| Website | www.aristopharma.com | |
| 09. | Aventis Pharma Ltd. | |
| Location | 6/2/A, Segun Bagicha Dhaka – 1000. | |
| Phone | 9562893-99, 9562818 | |
| Website | www.aventis.com | |
| 10. | Bengal Techno Chemical Work Limited | |
| Location | Balubari, Dinajpur. | |
| Phone | Dhaka : 711 7538, New York : 212 529-4532, Factory: 531 2095 | |
| 11. | Beximco Pharmaceuticals Ltd. | |
| Location | House No. 19, Road No. 7 Dhanmondi, Dhaka-1205 | |
| Phone | 8619151-5, 8619091-5 | |
| Website | www.beximco-pharma.com | |
| 12. | Bikalpa Pharmaceuticals Ltd. | |
| Location | 48, Circular Road, Hatirpool Dhaka-1205 | |
| Phone | 8631434 | |
| 13. | Bio- Pharma Laboratories | |
| Location | 1/12, Block -B Lalmatia, Dhaka-1207 | |
| Phone | 8124341, 8119985. | |
| 14. | Bristol Pharmaceuticals Ltd | |
| Location | 6/3, Block -B Lalmatia, Dhaka-1207 | |
| Phone | 8129426. | |
| Website | www.bms.com/landing/data | |
| 15. | Central Pharmaceuticals Ltd. | |
| Location | House No. 33, Road No. 2 Dhanmondi, Dhaka-1205 | |
| Phone | 8631045, 8615188 | |
| 16. | Chemist Lab. Limited | |
| Location | Barisal | |
| 17. | City Chemicals and Pharmaceuticals Limited | |
| Location | 67, Motijheel C/A., Dhaka-1000 | |
| Phone | 234433, 235833 | |
| 18. | Cosmic Chemical Industries Ltd | |
| Location | Plot # i/21,Road # 3 , Section 2,Rupnagar. Mirpur, Dhaka-1216 | |
| Phone | 9005880, 808395. | |
| 19. | Desh Pharmaceuticals Ltd. | |
| Location | 52/4, New Eskaton Dhaka – 1000 | |
| Phone | 9349085 and 9000090 | |
| 20. | Doctor’s Chemical Works Ltd. | |
| Location | 44, Dilkusha C/A., Dhaka – 1000. | |
| Phone | 9555251, 9551981 | |
| 21. | Dolphin Pharma Limited | |
| Location | 82, North Jatrabari, dhaka | |
| Phone | 282373, 244852 | |
| 22. | Drug International Ltd. | |
| Location | 17, Green Road, Dhaka-1205 | |
| Phone | 9662611-4 | |
| 23. | Eastern Pharma Limited | |
| Location | 16 Wyre Street | |
| Phone | — | |
| 24. | Elixir Pharmaceuticals Ltd. | |
| Location | House No. 38/B, Road No. 9/A Dhanmondi, Dhaka-1205 | |
| Phone | 9114129, 8118027 | |
| Website | www.elixirpharm.com | |
| 25. | Essential Drugs Company Ltd. | |
| Location | 395-397, Tejgaon I/A., Dhaka – 1208. | |
| Phone | 9130489.9130490 | |
| 26. | Ethical Drugs Limited | |
| Location | — | |
| Phone | 559427, 9566802 | |
| 27. | G. A. Company Ltd. | |
| Location | 65-66, Dilkusha C/A. Dhaka – 1000. | |
| Phone | 9351691-3 | |
| 28. | General Pharmaceuticals Ltd. | |
| Location | House No. 48/A, Road No. 11/A Dhanmondi, Dhaka-1205 | |
| Phone | 9132594, 8120243 | |
| Website | www.generalpharma.com | |
| 29. | Globe Pharmaceuticals Limited. | |
| Location | House No.251/L , Road No. 13/A, Dhanmondi, Dhaka. | |
| Phone | 8110460, 9130224 | |
| 30. | Gonoshasthaya Pharmaceuticals Ltd. | |
| Location | 4, Green Road, Green square Dhaka-1205 | |
| Phone | 9660039, 8616723 | |
| 31. | Hadson Laboratories Ltd. | |
| Location | House No. 157, Lane No.3, Eastern Road, New D.O.H.S ,Dhaka – 1208. | |
| Phone | 8815372-3 | |
| 32. | Hamdard Lab. (Waqf) Ltd | |
| Location | Dhaka | |
| Phone | 9665965-66 | |
| Website | — | |
| 33. | Ibn-Sina Pharmaceuticals Ltd. | |
| Location | – House No.41, Road No. 10/A Dhanmondi, Dhaka-1205 | |
| Phone | 9114710, 9117496, 9132521 | |
| 34. | Incepta Pharmaceuticals. | |
| Location | Ahmed mansion 1st floor, 24, Shantinagar (Chamelibagh), Dhaka-1217, Bangladesh | |
| Phone | +880-2-8316402 | |
| Website | www.inceptapharma.com | |
| 35. | Innova Pharmaceuticals Limited. | |
| Location | Plot # 24,Main Road # 1 Section-6 / Ka, Mirpur,Dhaka | |
| Phone | 9004315, 8013118 | |
| 36. | Jams Pharmaceuticals Ltd. | |
| Location | Jams Tower, Section 7, Mirpur, Dhaka-1216 | |
| Phone | 8019270 | |
| 37. | Jayson Pharma Ltd. | |
| Location | 28, Purana Palton Dhaka – 1000. | |
| Phone | 9561643 | |
| 38. | JCI (BD) Ltd. | |
| Location | 4, Dilkusha c/A. Dhaka – 1000. | |
| Phone | 9563434, 9552257 | |
| 39. | Jess Chemical and pharmaceutical Works Ltd. | |
| Location | Akiz Chamber, 73, Dilkusha C/A., Dhaka – 1000. | |
| Phone | — | |
| 40. | KDH Laboratories Limited. | |
| Location | 184, Satmasjid Road Dhanmondi, Dhaka. | |
| Phone | — | |
| 41. | Kohenur Chemicals Ltd. | |
| Location | 36, Shahid Tajuddin Ahmed Sharoni Tejgaon Industrial Area,Dhaka – 1208. | |
| Phone | 8827233 | |
| 42. | Libra Pharmaceuticals Ltd. | |
| Location | Twin House, Shabag Dhaka | |
| Phone | 9004770, 9004771 | |
| 43. | Mala Chemical Ltd. | |
| Location | Orion House, 153-154, Tejgaon I/A., Dhaka – 1208. | |
| Phone | 8829314 , 8827797 | |
| 44. | Medicon Lab.Ltd | |
| Location | House # 4, Road # 9, Block D, Sec.-11 Mirpur ,Dhaka – 1000. | |
| Phone | 9554901 | |
| 45. | Medimet Pharmaceuticals Ltd. | |
| Location | 77, Bijoynagar, Segun Bagicha Dhaka – 1000. | |
| Phone | 9351796, 9351774 | |
| 46. | Apollo Pharmaceutical Laboratories Ltd. | |
| Location | Plot # 10,Road # 4,Section 7, – Mirpur Industrial Area, Dhaka-1216. | |
| Phone | 9001794 | |
| 47. | Millat Pharmaceuticals Limited | |