Академический Документы
Профессиональный Документы
Культура Документы
1. INTRODUCTION...... 5
2. PHILOSOPHY OF MARKETING.5
3. MARKETING MANAGEMENT....6
4. MARKET ANALYSIS7
PREDICTIVE ANALYTICS.. 8
5. MARKETING STRATEGY10
MARKETING ACTION PLAN..12
STRATEGY EVALUATION..13
6. IMPLEMENTATION PLANNING..13
I. PRODUCT...16
II. PRICING.21
III. THE PHARMACEUTICAL PLACE..25
- PHARMACEUTICAL MARKETING CHANNELS..26
IV. PROMOTION.29
- ELEMENTS OF PROMOTIONAL MIX..30
V. PERSONAL SELLING...32
VI. PRSCRIPTION33
VII. POLICY34
VIII. PUBLIC RELATIONS..34
IX. POWER...35
7. MARKET RESEARCH.36
8. SOME OTHER FACTORS RELATED TO MARKETING MANAGEMENT..39
- ENTERPRISE MARKETING MANAGEMENT39
- MARKETING EFFECTIVENESS40
- COMMERCIAL OPERATIONS MANAGEMENT42
- MARKETING RESOURCE MANAGEMENT43
9. LAWS AND REGULATIONS GOVERNING INDIAN PHARMACEUTICALS44
10. CRITICISM.......49
11. THE COMPETITIVE ENVIRONMENT.51
12. SUMMARY..52
13. REFERENCE.55
COMPANY PROFILE
1
Tetramed Biotek Private Limited is a Private incorporated on 18 December 2002. It is classified
as Non-govt company and is registered at Registrar of Companies, Pune. Its authorized share
capital is Rs. 4,000,000 and its paid up capital is Rs. 4,000,000.It is inolved in Manufacture of
other chemical products
Tetramed Biotek Private Limited's Annual General Meeting (AGM) was last held on 30
September 2015 and as per records from Ministry of Corporate Affairs (MCA), its balance sheet
was last filed on 31 March 2015.
Directors of Tetramed Biotek Private Limited are Sushil Kewalkrishna Ghai, Nailesh Nandlal
Gandhi, Vijay Vasant Manekar, Somen Kumar Banerjee and Parichit Sushil Ghai.
2
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Economical filter-based absorbance
6- to 384-well plates
Best manufacturing facilities to suite the human life. Carefully selecting the best manufacturer
for given speciality.
Therefore utilizing the following various specialist to manufacture the best formulae.
Manufacturing Facility:
Karad, Nashik ,kalaamb, Mumbai, Haridwar, Daman pathankot.
OUR PRODUCTS
Tetramed Biotek the organization in the pharmaceutical sector is in the company of Skin disease
Treatment and the orthopedic segment.
The two structures of body one the outermost and another innermost.
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Tetramed Biotek RELISH Team Effort considering all the view points to give the best what, an,
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14
INTRODUCTIO
The terms market, marketing, marketable, and marketing management are variations of a single
unifying concept --exchange. Market is defined as a place or situation where voluntary exchange
takes place between sellers and buyers to enhance the mutual benefits of all parties. A goods or
value to obtain it. A key problem in marketing management is how to produce marketable
products and how to enhance the marketability of products already on the market. The paramount
objective is creating and maintaining the demand for the firms products as opposed to force
customers to buy goods because they have been produced and need to be sold.
Marketing management may be viewed as regulating the level, timing and character of the
demand for one or more products of the firm. Specifically, it is the planning, organizing,
controlling, and implementing of marketing programs, policies, strategies, and tactics designed
to create and satisfy the demand for the firm product offerings or services as a means of
generating an acceptable profit. In essence, the marketing manager is the demand manager of
the firm.
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PHILOSOPHY OF MARKETING
Progressive business firms have adopted a marketing concept philosophy which guides
marketing managers in fulfilling their responsibilities. Briefly defined, the marketing concept
says that a company will prosper only as long as it gives consumers products that satisfy their
needs and wants at prices they are willing to pay at a profit to the company. The key elements of
become the focal point of all marketing action, especially product planning and
development.
2. Integrated effort. The firms primary emphasis must be in integrating the marketing
3. Profitability. The primary goal of the firm should be profits, sales volume should be a
4. Viability. The company and its long run survival and growth are paramount since this is
MARKETING MANAGEMENT
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Marketing management is a business discipline which is focused on the practical application of
marketing techniques and the management of a firm's marketing resources and activities. Rapidly
emerging forces of globalization have compelled firms to market beyond the borders of their
home country making International Marketing highly significant and an integral part of a firm's
marketing strategy. Marketing managers are often responsible for influencing the level, timing,
and composition of customer demand accepted definition of the term. In part, this is because the
role of a marketing manager can vary significantly based on a business' size, corporate culture,
and industry context. For example, in a large consumer products company, the marketing
manager may act as the overall general manager of his or her assigned product
From this perspect, it consists of 5 steps, beginning with the market & environment research.
After fixing the targets and setting the strategies, they will be realized by the marketing mix in
step 4. The last step in the process is the marketing controlling. Marketing management strategy
and design effective, cost-efficient implementation programs, firms must possess a detailed,
objective understanding of their own business and the market in which they operate. In analyzing
these issues, the discipline of marketing management often overlaps with the related discipline of
strategic planning.
MARKET ANALYSIS
Traditionally, marketing analysis was structured into three areas: Customer analysis, Company
analysis, and Competitor analysis (so-called "3Cs" analysis). More recently, it has become
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fashionable in some marketing circles to divide these further into certain five "Cs": Customer
analysis, Company analysis, Collaborator analysis, Competitor analysis, and analysis of the
industry Context.
Department analysis is to develop a schematic diagram for market segmentation, breaking down
the market into various constituent groups of customers, which are called customer segments or
market segmentations. Marketing managers work to develop detailed profiles of each segment,
focusing on any number of variables that may differ among the segments: demographic,
psychographic, geographic, behavioral, needs-benefit, and other factors may all be examined.
Marketers also attempt to track these segments' perceptions of the various products in the market
In company analysis, marketers focus on understanding the company's cost structure and cost
position relative to competitors, as well as working to identify a firm's core competencies and
other competitively distinct company resources. Marketing managers may also work with the
accounting department to analyze the profits the firm is generating from various product lines
and customer accounts. The company may also conduct periodic brand audits to assess the
The firm's collaborators may also be profiled, which may include various suppliers, distributors
and other channel partners, joint venture partners, and others. An analysis of complementary
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Marketing management employs various tools from economics and competitive strategy to
analyze the industry context in which the firm operates. These include Porter's five forces,
analysis of strategic groups of competitors, value chain analysis and others. Depending on the
In Competitor analysis, marketers build detailed profiles of each competitor in the market,
focusing especially on their relative competitive strengths and weaknesses using SWOT analysis.
Marketing managers will examine each competitor's cost structure, sources of profits, resources
PREDICTIVE ANALYTICS
Predictive analytics encompasses a variety of techniques from statistics, data mining and game
theory that analyze current and historical facts to make predictions about future events.
In business, predictive models exploit patterns found in historical and transactional data to
identify risks and opportunities. Models capture relationships among many factors to allow
assessment of risk or potential associated with a particular set of conditions, guiding decision
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Definition
Predictive analytics is an area of statistical analysis that deals with extracting information from
data and using it to predict future trends and behavior patterns. The core of predictive analytics
relies on capturing relationships between explanatory variables and the predicted variables from
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models, and forecasting. However, people are increasingly using the term to describe related
These disciplines also involve rigorous data analysis, and are widely used in business for
segmentation and decision making but have different purposes and the statistical techniques
Applications
3. Collection analytics
4. Cross-sell
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5. Customer retention
6. Direct marketing
7. Fraud detection
9. Underwriting
MARKETING STRATEGY
Once the company has obtained an adequate understanding of the customer base and its own
competitive position in the industry, marketing managers are able to make key strategic decisions
and develop a marketing strategy designed to maximize the revenues and profits of the firm. The
selected strategy may aim for any of a variety of specific objectives, including optimizing short-
term unit margins, revenue growth, market share, long-term profitability, or other goals.
To achieve the desired objectives, marketers typically Identify One Or More Target Customer
segments which they intend to pursue. Customer segments are often selected as targets because
1) The segment is attractive to serve because it is large, growing, makes frequent purchases, is
not price sensitive (i.e. is willing to pay high prices), or other factors; and
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2) The company has the resources and capabilities to compete for the segment's business, can
meet their needs better than the competition, and can do so profitably. In fact, a commonly cited
The implication of selecting target segments is that the business will subsequently allocate more
resources to acquire and retain customers in the target segment(s) than it will for other, non-
targeted customers. In some cases, the firm may go so far as to turn away customers that are not
in its target segment. The doorman at a swanky nightclub, for example, may deny entry to
unfashionably dressed individuals because the business has made a strategic decision to target
In conjunction with targeting decisions, marketing managers will Identify The Desired
Positioning They Want The Company, Product, Or Brand To Occupy In The Target
Customer's Mind. This positioning is often an encapsulation of a key benefit the company's
product or service offers that is differentiated and superior to the benefits offered by competitive
products. FOR EXAMPLE, Volvo has traditionally positioned its products in the automobile
market in North America in order to be perceived as the leader in "safety", whereas BMW has
Ideally, a firm's positioning can be maintained over a long period of time because the company
possesses, or can develop, some form of sustainable competitive advantage. The positioning
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should also be sufficiently relevant to the target segment such that it will drive the purchasing
Distributing the specific tasks with responsibility or moulding specific jobs to individuals
or teams.
The process should be managed by a responsible team. This is to keep direct watch on
processes, calibrating and reducing the variations and setting the process as required.
for developing the process, training documentation, process testing, and imalgation with
As and when the strategy implementation processes, there have been so many problems arising
such as human relations, the employee-communication. Such a time, marketing strategy is the
biggest implementation problem usually involves, with emphasis on the appropriate timing of
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new products. An organization, with an effective management, should try to implement its plans
In order for a policy to work, there must be a level of consistency from every person in an
organization, especially management. This is what needs to occur on both the tactical and
STRATEGY EVALUATION
conduct a SWOT analysis to figure out the strengths, weaknesses, opportunities and
threats (both internal and external) of the entity in question. This may require to take
In corporate strategy, Johnson and Scholes present a model in which strategic options are
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IMPLEMENTATION PLANNING
The Marketing Metrics Continuum provides a framework for how to categorize metrics from the
tactical to strategic.
25
After the firm's strategic objectives have been identified, the target market selected, and the
desired positioning for the company, product or brand has been determined, MARKETING
Traditionally, this has involved implementation planning across the "4Ps" of marketing:
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Taken together, the company's implementation choices across the 4Ps are often described as the
marketing mix, meaning the mix of elements the business will employ to "go to market" and
execute the marketing strategy. The overall goal for the marketing mix is to consistently deliver a
compelling value proposition that reinforces the firm's chosen positioning, builds customer
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loyalty and brand equity among target customers, and achieves the firm's marketing and financial
objectives.
In many cases, marketing management will develop a marketing plan to specify how the
company will execute the chosen strategy and achieve the business' objectives. The content of
An executive summary
Situation analysis to summarize facts and insights gained from market research and
marketing analysis
A statement of the company's key objectives, often subdivided into marketing objectives
The marketing strategy the business has chosen, specifying the target segments to be
Implementation choices for each element of the marketing mix (the 4Ps).
viewed as a reservoir of satisfactions that accrue to its owner either from possession or use.
These satisfactions are often more than functional and fulfill other needs such as aesthetic
dimensions of the product were the primary focuses. Today, however, products are designed and
marketed with a strong emphasis on the unique attributes and benefits which the physical product
represents. Primary attention is placed on consumers needs and wants at the planning and
development stage. For example, Revlon does not sell just cosmetics; it also sells the promise of
beauty and glamour. In air travel, budget airlines, such as People Express, are marketing
transportation at lowest cost per-air-mile while competitors are selling transportation plus
A product is companys main link with the consuming public. A poorly conceived product, no
matter how well it is promoted, priced, or distributed, will fail in the long run. The task of
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developing product and product lines and positioning them in the marketplace to maximize
The essence of product policy is forecasting all dimensions of the environment along with the
customer desires to determine the types of products the various market segments desire and then
integrating these forecasts with an analysis of the firms existing and non-existing marketing
A policy of product differentiation involves modifying particular product attributes with the goal
Market segmentation recognizes the fact that markets are not homogenous. Automobile
manufacturers use this policy by producing sub-compacts, compacts, and mid size, luxury
models.
Planned obsolence is another product policy where the goal is to introduce products, usually
with superficial or minor variations, in order to get current owners to purchase the new model.
Product positioning strategy refers to the manner in which the product is targeted at particular
consumer segments either through the intrinsic attributes of the products or through the image
created for the product through promotion. Gillettes Right Guard was originally positioned as
a deodorant for men but later was repositioned as a deodorant for family.
David Ogilvy in 1971, pointed out that the result of our campaigns depend less on how we
It is the information explosion that has led to this realization. There are over 8,000 companies
churning out over 60,000 products. An urban doctor on a typical working day meets about 12 to
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15 medical representatives, who in turn detail about 5 to 8 products. That means an exposure of
60 to 120 products. Add to this the information through newspapers, magazines, professional
journals, radio and television messages, etc. If the product is distinctly different in that product
category and if it fits with a similar, equivalent perception of the consumer, only then, that
product is likely to be ranked higher in consumers mind. Product positioning is a strategy for
creating a unique product image which increases total profits. Firms that are planning
modifications of existing product or introduction of new products will naturally, in keeping with
their market objectives, striving, position there products entry so that it will produce maximum
The three primary tasks of product positioning in the drug industry are:
(a) The type of conditions for which the product will be prescribed.
(b) The type of patient for whom the product will be considered suitable;
(c) The product with which the product will compete closely.
Cheminor Drugs and Dr. Reddys Laboratories, the bulk drug units belonging to Dr.
Reddys Laboratories group of companies, had done remarkably well in the
manufacturing and marketing of bulk drugs. Within four years, the company had
achieved the cost leadership in manufacturing at least three bulk drugs, namely
ibuprofen, methyldopa and norfloxacin. How did the company achieve all this in such a
short time? There are two reasons. Firstly, the economies of scale. The company is the
third largest producer of ibuprofen and methyldopa in the world. The huge volumes had
given the company the cost leadership. The second reason is that the company had also
achieved technological superiority.
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Finally, a strategy related to all of them is benefit segmentation. This involves identifying a
particular market segment which is highly sensitive to the presence of one or more key product
attributes. For example, some travelers will stay only at motels or hotels which have indoor
Product design, packaging, and materials are three of the more important aspects of product
strategy. Product design begins with market research. Packaging in this era of self-selection is
critical for the product because aside from protecting the product it:-
(2) Promotes
The package is perhaps the most important component of communication about your product.
That is why package or pack is called The silent salesman of a product. Color, design, shape,
size, brand name, materials, labels and typography are the components of the packaging
communication process. Each component must interact harmoniously and synchronizes to evoke
the desired responses in the consumer. It is important to note that people react to the whole and
Today, new- product management is an important part of a firms competitive strategy. Within
1. A product manager is often charged with the responsibility of keeping the product up-to-
date.
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2. A new-product manager may have the task of maintaining a steady stream of new
areas of business.
Managing product lines is a never ending process since all products have a life-cycle:
(5) Decline
Imitation may be the best form of flattery. But it could falter when overdone or without
proper analysis in marketing.
Inspired by the success Tylenols classic repositioning strategy, Burroughs Welcome
marketed there brand acetaminophen, Ridake, (manufactured by Litaka Laboratories). The
company had chosen the OTC route. Large ads of Ridake appeared in leading newspapers.
The copy was almost similar to the copy of Tylenols ads in the U.S., when Tylenol was
introduced many years ago. There were strong objections to these ads as they were hyper
critical about the popular aspirin. Comparative33(or combative) advertisings were almost a
nonexistent at that time in India. The resistance to their advertising strategy was so high
that the company had to withdraw these ads. The company finally got rid of the product
that was supposed to get rid of the pain (hence the name Ridake).
II. PRICING
Probably, the marketing managers most important task is pricing because pricing is the
economic consideration for which the management must balance the products costs with the
requirements of the marketplace. It requires the decision maker to make judgments concerning
consumer income, business conditions, competitive reaction, corporate goals, and costs of
For consumers, value is a personal thing; it is what on is willing to give up or trade off in order to
acquire the product. Marketing managers have to be able to do three things to be effective price
setters:
(1) Estimate the products value to particular market segments and produce a product in line
(2) Convincing the consuming public that the product price is fair and the best value to the
rupee, and
(3) Develop pricing policies and strategies that will generate sufficient revenues in the long-
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In making pricing decisions, the marketing manager must take into account the following factors:
(2) The short- and long-run costs of manufacturing and selling the product;
(1) Prices are set equal to allocated total costs, plus a certain standard percentage markup.
This is a full cost formula where price reflects the average total cost unit plus a margin of
profit.
(2) Prices are set equal to a certain percentage of product cost at each level of production and
distribution. This method, the markup formula, is basic in the wholesale and retail trade.
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(3) Prices are set equal to variable direct cost plus some amount added to cover allocated
overhead and profit contribution. This is known as the profit margin formula and uses
1. Market structurethe number and size of competing firms and ease of entry
5. Customers--- their urgency of needs; ability to pay; location; potential number; purchase
susceptibility to promotion
6. Goals or Objective of Seller---desire for market share; target rate of return on capital;
maximizing sales rather than profits; exploiting monopoly power; market leadership.
RP = (MC+CC) (1MU/100)
Where
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MC = the cost of materials: includes the cost of basic drugs and pharmaceuticals
PC = the packing charges, includes the cost of packing materials and packaging
expenses; and
NW = the mark- up, is meant to cover forwarding charges, promotional expenses, after
Case: Dr. Reddys Laboratories create entry barrier with their cost leadership!
Distribution activity is concerned with placing goods and services when they are needed and
where are they wanted. Place or distribution is crucial an element for achieving success at the
marketplace. However unique and beneficial your product may be, if it is not available when it is
Developing and managing the channels of distribution are a major line responsibility of the
marketing manager. Developing a channel strategy emphasizes the spatial and temporal
dimensions of marketing. A channel of distribution is the route that the product follows in its
passage from the producer and the consumer. Critical factors affecting this route are:
Channel management involves two basic problems: the selection of proper channel for the
product and maintaining the channel. Three policy alternatives may be considered in the
(1) The policy of general or intense distribution, whereby the firm seeks to obtain the widest
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(2) The policy selective distribution, where the manufacturer chooses only those outlets that
While a marketing channel requires at a minimum, two parties, in so far as the manufacturer of
prescription drugs is concerned, the law requires that at least one intermediary stands between
the manufacturer and consumer- i.e., the doctor. It is illegal for the manufacturer to sell
prescription drugs directly to the patient. Usually the physician is not considered as a member of
therefore is not drawn into such diagrams. He is considered only as the decision maker. One
cannot overlap the role of pharmacists and the need of their services in the process of drug
MANUFACTURER
PHYSICIAN
PHARMACIST
39
CONSUMER
Physician, Wholesaler, Stockist, Carry & forward agent, Retailer, Chemist & Druggists.
As a general rule, middlemen operating under a selective or exclusive distribution policy are
expected to expend more effort in marketing the product. Two basic strategies are used to
(1) A push strategy where the producer makes heavy use of all its promotional funds
and selling efforts among channel members to secure cooperation and loyalty, and
(2) The pull strategy where the producer emphasizes advertising and sales promotion
PUSH PULL
MANUFACTURER MANUFACTURER
WHOLESALER WHOLESALER
RETAILER RETAILER
CUSTOMER CUSTOMER
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Franchising represents a special type of channel which is derived from an older channel
arrangement known as Wholesaler sponsored voluntary chains, mainly in the grocery field. The
current idea is that the franchisor (manufacturer or the wholesaler) gives the franchisee the legal
right to sell the franchisors goods or services in a restricted market; the franchisor provides the
franchisee with the equipment, the product or services, marketing management know- how and
often some financial assistance. The franchisee agrees to market the product or service according
Hertz, Mc Donalds.
Johnson & Johnson, the transnational giant in the OTC healthcare business, introduced
a new sanitary napkin modest in the early 70s to take on the pioneer Comfit of
Christine Hoyden. Johnson & Johnson took their image for granted, and marketed the
product. The product never really took-off, and was finally withdrawn. What could be
the reason for the failure of a market-driven and professionally managed like Johnson
& Johnson? Surprising, as it might seem, the reason was that the low retail margins
offered.
Case: The power of margins tilting the market share balance is more than
marginal!
It was the turn of Glaxos family products division in the late 70s to face the trade
boycott. Glaxo did not increase the trade margins on their leading brand of farex
(infant food with milk and cereal), which was a distant number two brand,
experienced a sudden spurt in sales. It was41almost a windfall for cerelac. Glaxo
subsequently conceded a revision in the trade margin. By then it had already paid the
price. A number of farex users were already converted to cerelac. Glaxo has been
trying to regain its lost market share for ever since!
IV. PROMOTION
Promotion is communication to the potential consumer and refers to the non price selling
activities of the firm. Three important types are advertising, personal selling, and sales
promotion. Advertising is any paid form of non personal presentation of merchandise to the
group by an identified sponsor. Personal selling is the process of assisting and persuading a
prospect to but a commodity in a face-to-face situation. Sales promotion includes such devices as
trading stamps, dealer aids, incentive travel, premiums, contests, and so on. In practice, sales
promotion activities are used primarily to supplement advertising or personal selling. The general
goal for the promotion element in the marketing mix is to increase sales but the strategic
Advertising and personal selling are different means to the same end- increasing sales. Usually
they are employed together. Advertising appeals to the mass mind whereas personal
salesmanship is directed to the individual. Advertising assists the sales people and makes their
42
product more productive by giving preliminary information about the product to prospects or
The successful marketing manager is always aware of the fact that the promotional activities are
a cost to the firm. Therefore selling expenditures have to be justified in terms of increased sales
and profits. Using incremental reason, the added expense of any promotional outlays should
equal or exceed the additional profits generated. This is not always possible because some types
of promotional outlays are common to more than one product while others are intended to be
long- term as in the case of institutional advertising or trade shows. For example, paying athletes
large sum of money to use your products is necessary because competitors do it, but the sales
Promotional decisions must be based on organizational goals and marketing objectives. The
The promotional mix in pharmaceutical marketing includes personal selling, advertising, sales
promotion and publicity. These can be further segmented for the purpose of clarity and better
understanding:
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1. Personal selling: Medical representatives detailing the companys products to the
doctors, with the help of visual aids, leave- behind- literatures, product monographs,
like medical journals and souvenirs, preparing advertising material for seminars and
medical symposia; preparing mailers for doctors and dealers; preparing advertising
material for print media and commercials for radio and television in case of OTC
formulations.
3. Sales promotion: Deciding on special bonus offers, free goods and gifts to trade.
exhibitions, deciding and executing product publicity campaigns for truly innovative
products.
One company had found out an innovative way to communicate its rather me too
product. The company had fixed a battery operated electrical display behind the visual-
aid that can light up with the pressing of a button to create a neon-sign effect in the
doctors chamber. Every time the representative announced the brand name, he used to
press the button and the brand name was illuminated. The reaction and the response of
the doctors to this novel and innovative device was one pleasant surprise. It made the
brand name really memorable. This certainly paved the way for the brands long march
towards leadership position!
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Case: Participation and involvement rejuvenate a tired old brand.
Besides the 4Ps of marketing mix, 5 more Ps also deserve an equal importance.
V. PERSONAL SELLING
Personal selling is one of the most crucial elements of pharmaceutical marketing. The nature of
the competition and its intensity in the Indian pharmaceutical market has made personal selling
the crucial determinant factor for the success that it is today. In a market where both products and
strategies are me-too rather me-me-too in nature, the battle is more between the talents of the
different selling teams. A well trained, highly motivated force plays a decisive role in winning
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There is more to personal selling than achieving sales targets. A companys medical
representatives are its most important of communication source to its prospective customers.
They are also the most important source of feedback regarding customers perception of their
products and also about competitors activities. They are the most vital two-way communication
link between the company and the customers. Companies, which perceive the important role of
their sales force clearly and focus their attention and their efforts and program to improve the
The nature of sales force management is changing and challenging. The increasing unionization
of medical representatives and the militant attitudes and approaches of some of their associations
are causing concern to many managers. These are also making the task of sales force
The management of industrial relations depends entirely on good inter- personal relations that are
based on mutual respect for each others competence and view point. It cannot be based on
VI. PRESCRIPTION
That the prescription is the single most important element to be studied in pharmaceutical
marketing is universally recognized and accepted. Yet the attitude of many a pharmaceutical
marketing practitioner towards the study of prescription research can best be described as
ambivalent.
No magic formula!
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Apparently, there is no magic formula that can enhance or accelerate the rate of prescription
generation. But the active ingredients of successful prescription generation are universally
acknowledged. They are: precise positioning backed by relevant segmentation strategy and
target specific and above all persuasive detailing by medical representatives. What is probably
missing in this success formula is the relative weight ages that are to be given or the exact
research can provide insights into these areas. What is more important than everything else is the
firm conviction that increased prescription generation is the only way to successful
pharmaceutical marketing.
VII. POLICY
A number of government regulations and legislations influence and intervene in the monitoring
of operations of a business organization. The regulations and controls have been steadily
increasing over the years. The corporate policy is therefore governed to a considerable extent by
A number of advocacy groups and special interest groups like the Drug Action Forum and the
consumer protection groups are also increasing their pressure and influence on the government
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An understanding and awareness of public policy is essential for any marketing practitioner.
They should have a clear idea of the legal implications of their decisions, for these regulations
organization towards the society, that is, general public. The business leadership should be a
Public relations seem to have come of age. Public relations managers are indeed shedding their
con-men image. Indeed the profession as such is growing out of its image-makers. The shift in
emphasis is from image to personality. Yesterdays public relations professionals were supposed
to have been busy creating a corporate image among the public. Today, they are engaged in
building a distinct a personality for the organization in the minds of the general public and in
creating favorable public opinion and attitude towards supporting the aims and actions of the
organization. There is more than mere semantics to this shift in emphasis from image to
personality.
IX. POWER
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Power is a multifaceted concept. Power is essential to make an organization effective. Power
gives the organization the much-needed competitive edge to win at the market place. The many
(a) Resources
(b) People
(c) Size
(d) Technology
(e) Coalitions
(f) Franchise
(g) Niche
(h) Integration strategies
(i) Innovation
(j) Prescription generating ability
(k) Quality
When power from all the sources is synchronized and focused to accomplish the corporate
objectives what is the outcome? Uncommon success. That is what happened in the case of the
Indian pharmaceutical industry. Consider the spectacular successes that companies like Cadilla,
Ranbaxy, Cipla, Lupin, Wockhardt, Torrent, Aristo, Alchem, American Remedies, Sun Pharma
and Citadel had achieved during the past few years. And reflect on the reasons behind the
enormous staying power demonstrated by the companies like Glaxo, Pfizer, Hoechst and
Alembic. On closer examination of the reasons behind their success, the reinforcing and
regenerating nature or property of power becomes obvious. The message is clear. Proper use of
power propels the organization to the top. Misuse or abuse of power pushes them down into
oblivion.
MARKET RESEARCH
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Market research can be defined as the systematic gathering, recording and analyzing of data
about the problems relating to the distribution and sales of goods. The market research
department is a staff function that services the entire organization, because the need for market
research information is pervasive. The justification for market research is that it helps to keep the
executive informed and thus serves as a basis for making decisions. The qualified market
researcher is a highly qualified expert in designing studies, collecting and analyzing data, and
Progressive companies are establishing marketing information systems (MIS) to coordinate the
interacting complex of persons, machines, and procedures designed to generate an orderly flow
of pertinent information collected both from intra and extra firm sources for use as the basis for
decision making in specific responsibility are of marketing management. The MIS concept
recognizes that too much information may be as bad as too little information in this age of
electronic technology for collecting and processing data. The goal is to make certain the
marketing managers have access to marketing intelligence so that they are able to perform the
key tasks of planning and control. Here the bottom line is marketing intelligence.
Market-research departments usually are headed by a director who reports to the top marketing
executive. Research personnel are specialists (for e.g., statisticians, psychologists, economists) in
using the technical tools of their work. If a company cannot afford to maintain a full time
marketing-research department, the responsibility for research will be assigned to one of the
marketing executives and an outside agency will be relied upon to provide the actual technical
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research. These external agencies are varied as to mode of operation, but in general there are 8
basic types:
entire industry.
5. Media that has full time research staffs to perform certain kinds of marketing studies on a
expense basis.
7. Universities with bureaus of business research that contract to do studies for business
people or industries.
8. The government strategies (for e.g., the Small Business Administration, the Agricultural
Market Service) that sponsor or perform research for an industry or for a certain kind of
business.
1. Product studies, which include developing and testing new products, measuring product
habits, attitudes, etc.), motivation research, brand loyalty, consumer pools and panels.
3. Market analysis, which tries to measure current sales and potential sales trends forecast,
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4. Sales analysis, appraises sales policies, measures distributor and dealer performance,
evaluate sales territories, sales compensation studies, store audits, establishment of sales
product by marking channel cost studies, transportation cost including handling and
Marketing managers must know enough about recent techniques to be able to evaluate reports
and to communicate with the market research personnel. A working knowledge of statistics and
research report will contain a summary of the key findings and will have several technical
appendices at its end. For e.g., almost all market surveys are based on some type of probability
sample, and sales forecasting relies heavily on trend analysis and statistical correlation. The
marketing executive is not expected to be an expert in every field, but he has to know enough
about methodology to ask intelligent questions of the researcher. Likewise, it is vital for the
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SOME OTHER FACTORS RELATED TO MARKETING
MANAGEMENT
Technologies which consists of a total of 3 key technology types that allow for corporations and
EMM consists of other marketing software categories such as Web Analytics, Campaign
Modeling and more. The goal of deploying and using EMM is to improve both the efficiency and
effectiveness of marketing by increasing operational efficiency, decreasing costs and waste, and
standardizing marketing processes for an accurate and predictable time to market. The benefit of
using an EMM suite rather than a variety of point solutions is improved collaboration, efficiency
and visibility across the entire marketing function, as well as reduced total cost of ownership.
Depending on the variable combinations of solutions, EMM can mean several different things to
specific brands and industries. Enterprise Marketing Management allows for corporations to put
in place a baseline of their operations that will allow them to begin evolution towards a holistic
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solution that incorporates customer experience, expectation and brand value associated with
Marketing Technologies.
MARKETING EFFECTIVENESS
Marketing effectiveness is the quality of how marketers go to market with the goal of
optimizing their spending to achieve good results for both the short-term and long-term. It is also
Corporate
Competitive
Customers/Consumers
Exogenous Factors
There are five factors driving the level of marketing effectiveness that marketers can
achieve:
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product/brand will be more successful in the market than competitors products/brands.
Even with the best strategy, marketers must execute their programs properly to achieve
extraordinary results.
2. Marketing Creative Even without a change in strategy, better creative can improve
results. Without a change in strategy, AFLAC was able to achieve stunning results with
its introduction of the Duck (AFLAC) campaign. With the introduction of this new
creative concept, the company growth rate soared from 12% prior to the campaign to
significantly greater results without changing their strategy or their creative execution.
business of marketing can lead to significant gains for the company. Management of
improved competitiveness and improved results. The overall accountability for brand
leadership and business results is often reflected in an organization under a title within a
factors also influence how marketers can improve their results. Taking advantage of
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seasonality, interests or the regulatory environment can help marketers improve their
marketing effectiveness.
the alignment of people, process and technology to support commercial activities and improve
both innovation and marketing effectiveness. Commercial Operations Management means that
enterprises entering into a competitive process, whether in the market or for the market, hold
both the product innovation and marketing team accountable for their commercial and financial
outcome.
The integration of these functional areas is particularly important when organizations want to
clarify accountability for key decisions, redesign processes and linking them to measurable
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MARKETING RESOURCE MANAGEMENT
people, process and technology to support marketing activities and improve marketing
effectiveness. The growing importance of an effective MRM strategy is reflected by the number
of leading organizations which are following this path, with implementations of software
provided by some of the leading technology vendors operating in this space. This growth is also
MRM generally refers to technology for the areas of planning, design and production within
marketing and MRM solutions do not provide the analytics, decisioning and automated
execution capabilities for personalized marketing across channels. MRM is a subset of Enterprise
Marketing Management (EMM) solutions which provide more complete capabilities for all of
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The short falls with MRM is that it is considered at times to be the all and every in marketing
solutions for a given marketing operation. The reality of MRM is that it is roughly 5 to 10% of
the overall solution that puts into place a procedure for automating paper pushing and approval
PHARMACEUTICALS:
The Drugs and Cosmetics Act, 1940: This Act regulates the import, manufacture, distribution
Schedule M of the Drugs and Cosmetics Act specifies the general and specific requirements
for factory premises and materials, plant and equipment and minimum recommended areas for
Schedule T of the Drugs and Cosmetics Act prescribes Good Manufacturing Practices (GMP)
Schedule Y of the Drugs and Cosmetics Act governs the clinical trials legislative requirements
The Pharmacy Act, 1948: This legislation regulates the profession of Pharmacy in India. Under
the provisions of this act the Central Government constitutes a Central Pharmacy Council of
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The Drugs and Magic Remedies (Objectionable Advertisement) Act, 1954: This
Act provides to control the advertisements regarding drugs and prohibits the advertising of
The Narcotic Drugs and Psychotropic Substances Act, 1985: This is an act concerned with
control and regulation of operations relating to Narcotic Drugs and Psychotropic Substances.
The Medicinal and Toilet Preparations (Excise Duties) Act, 1956: An Act to provide for the
The Drugs Price Control Order (DPCO), 1995: This is an order issued by the Government of
India under the Essential Commodities Act, 1955 to regulate the prices of drugs. The Order
provides the list of price controlled drugs, procedures for fixation of prices of drugs, method of
among other things. For the purpose of implementing provisions of DPCO, powers of the
Government have been vested in the National Pharmaceutical Pricing Authority (NPPA). Good
Clinical Practice (GCP) Guidelines: The Ministry of Health, along with Drugs Controller
General of India (DCGI) and Indian Council for Medical Research (ICMR) has come out with
draft guidelines for research in human subjects. These GCP guidelines are essentially based on
The following are some of the other laws which have a bearing on pharmaceutical manufacture,
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The Trade and Merchandise Marks Act, 1958
Factories Act
Regulatory Bodies:
The Ministry of Health & Family Welfare (MoHFW) and the Ministry of Chemicals and
Fertilizers (MoC&F) of the Government of India play a major role in regulating the
Department of Health: The following are the main agencies of the department which deal with
Health, the CDSCO works both at the Central and the State level and is responsible for ensuring
safety, efficacy and quality of drugs supplied to the public. The agency performs the above
mentioned functions with the Drugs Controller General of India (DCGI) as the executive head.
Drugs Controller General of India (DCGI): The DCGI is an apex body in the pharmaceutical
industry governing issues such as product approval and standards, clinical trials, introduction of
new drugs, import licences for new drugs and enforcing new drug legislation.
The following are the major acts which the Department of Health administers:
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The Tobacco Control Act
The Ministry of Chemicals & Fertilizers constitutes bodies such as the Department of Chemicals
& Petrochemicals and the National Pharmaceutical Pricing Authority (NPPA). These
departments are entrusted with the responsibility of policy making, planning, development and
Department of Chemicals & Petro-Chemicals: This department is the concerned authority for
formulating and implementing policies and programmes for achieving growth and development
of pharmaceuticals in the country. In order to attract investment into the sector, the Department
has undertaken several initiatives, the major being the Pharmaceutical Policy with the objective
The national pharmaceutical policy has seen a number of changes through new policy guidelines
issued in 1986, 1994 and recently in 2002. Pharmaceutical Policy 2002 - The main objectives of
To ensure availability of good quality essential pharmaceuticals at reasonable prices for mass
consumption.
To strengthen the indigenous capability for cost effective quality production and export of
Quality control system for pharmaceutical production and distribution to make quality an
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Encouraging pharmaceutical R&D that is compatible with the country's needs.
To encourage new investment in the pharmaceutical industry and the introduction of new
Draft Pharmaceutical Policy 2006 - The Department of Chemicals has released the draft of the
New Pharmaceutical Policy 2006 which is waiting for approval by the Indian Government. The
draft National Pharmaceutical Policy, 2006 seeks to strengthen the Drug Regulatory System and
Patent offices in the country. It focuses on research and drug development with clinical trials.
The policy aims at providing a better access to anti-cancer and anti-HIV/AIDS drugs to the
patients. It seeks to rationalize the excise duty on pharmaceuticals and to streamline the system
of bulk procurement of drugs by the Government besides promoting the generic medicines.
National Pharmaceutical Pricing Authority (NPPA): It has been entrusted with the task of
fixation / revision of prices of bulk drugs and formulations, enforcement of provisions of the
Drugs (Prices Control) Order and monitoring the prices of controlled and decontrolled drugs in
the country.
Drugs Price Control Order (DPCO), 1995: The Drugs Price Control Order (DPCO), 1995 is an
order issued by the Government of India under the Essential Commodities Act, 1955 to regulate
the prices of drugs. DPCO controls the domestic prices of major bulk drugs and their
formulations with an aim to provide patients with medicines at affordable prices. DPCO
ascertains, as per Drug Policy guidelines, the bulk drugs (and their formulations) to be kept
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under price control. At the State level, the State Food and Drug Administrations (FDAs) monitor
the drug manufacture, sale, and testing by companies in their jurisdiction. There are also two
The Drugs Technical Advisory Board, whose technical experts advise the Central and State
The Drugs Consultative Committee, where Central and State drug officials ensure that drug
pharmaceutical associations:
association of research based international and large pharmaceutical companies in India and is
Indian Drug Manufacturers' Association (IDMA): The IDMA represents the interests of
domestic manufacturers and plays a vital role in the growth and development of the
pharmaceutical industry, by taking up with the Government major issues such as Price Control,
Patents and Trade Marks Laws, Quality & GMP, R&D, Exports and so on.
CRITICISM
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The Indian pharmaceutical industry is already over-brimming with many me-too drugs. In this
situation, each pharmaceutical giant is adopting aggressive marketing strategies. For this they
are paying heavy penalties too. But to keep their position maintained (or in other words, to
maintain the product life cycle) in the market, they seem ready to pay the heavy prices. Some
A New York drug company paid pediatricians consulting fees and treated them to expensive
meals and entertainment to get them to prescribe antidepressants to children, a class action
charged Wednesday.
The U.S. Justice Department and attorney generals from Michigan and 12 other states plus the
District of Columbia filed suit in U.S. District Court in Massachusetts alleging that Forest
Laboratories tried to build sales for Celexa and Lexapro by encouraging their use in children.
Each carries a warning that the drug may cause suicidal thoughts.
Doctors can prescribe adult drugs to children, but the company's actions violate laws that forbid
drug companies from paying kickbacks to doctors to encourage their prescription of a drug, the
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Michigan Attorney General Mike Cox said the company failed to tell doctors that some studies
have found the drugs are ineffective in children and may have put some kids at risk.
Michigan's Medicaid program paid $3.5 million between 2000 and 2008 for prescriptions of the
In what seems to be a case of giving the fox the job of guarding the henhouse, the government
has decided to curb the practice of bribing doctors for promoting drugs by allowing
pharmaceutical companies to self-regulate rather than have a legislation to tackle the menace.
This is despite the fact that more than a quarter of the members of the Organisation of
estimated to account for 70% of the drug market in India are subsidiaries of companies that
have been penalized in the US for illegally promoting various drugs through inducements for
doctors.
The latest to be penalized is pharma giant Pfizer, which on September 2 shelled out $2.3 billion
The charge against Pfizer was that it promoted drugs for usages not approved by the Food and
Drug Administration, by inducing doctors to prescribe the drugs by wining and dining them and
Another big player, Eli Lilly, was fined $1.42 billion at the beginning of the year for illegally
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promoting a drug, Zyprexa, by funding continuing medical education of doctors through millions
of dollars in grants to push them to prescribe the drugs for unapproved use.
Drug companies spend billions of dollars wooing doctors--more than they spend on research or
consumer advertising [all of which contributes to the high cost of health care in the U.S.] Much
of this money is spent on giving doctors free samples, free food, free medical refresher courses
and payments for marketing lectures [using materials prepared by the drug companies]. The
Last year in a tiny nod designed to appease critics, several big drug companies agreed to stop
giving pens, prescription pads, coffee mugs and other small gifts to doctors, but they defended
These have a very bad impact on customer's part. The industry which is meant to serve the
patient has shifted its focus towards making big profits. Steps should be taken to curb these kinds
of marketing strategies.
Of all the external environments, in which the firm operates, it is the competitive environment
that has the most immediate impact and is the easiest to understand. Apart from customers,
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1. Company history of three major competitors for each major product.
2. Plant location.
3. Investment history of the past five years, plant expansion, new licensed capacities,
4. Financial history of last five years like net sales, cost of sales, inventory, net
income, total assets, operating expenses, gross margin, net margin, inventory
5. Major products of competitors accounting for80% of their sales and their growth in
6. Product quality of the competitors: what is the emphasis given by the competitors
for product quality? How do they compare with the firms product quality standards
on a ten point-scale?
SUMMARY
Pharmaceutical marketing can be studied from various perspectives. Managerial approach is the
most widely adopted, which essentially consists of assisting the marketing manager in selecting
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(2) identification of target market by market opportunity assessment, resource and
differentiation strategy,
variables --- product, price, place and promotion --commonly known as four Ps, to
In effect, management of marketing functions can be described as providing the right product, at
the right price, at the right place, with right information, to the right market, to achieve the
organizational objectives. The Task Force on Prescription Drugs endorsed this approach when it
described rational prescribing as Prescribing the right drug for the right patient, at the
right time, in right amounts, and with due considerations of relative costs.
In the formulation of objectives of the management, using this approach, may be guided by
many orientations, such as production, finance, sales, or customer orientation. The customer
marketing management. Although its advocates have usually discussed the application of this
approach only from a manufacturers perspective, there is nothing inherent in the approach
indicating that it cannot be adopted by parties other than pharmaceutical manufacturers, such as
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The major limitation of this approach is that it views marketing as a tool for achieving
organizational objectives (a normative view) and not as a field of investigation (a positive theory
identification of target market(s) in the pharmaceutical marketplace may lead to the development
of many me-to drugs, and may create a class of many needed orphan drugs. In other words,
achievement of organizational goals at the micro level in the pharmaceutical marketplace may
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REFERENCE
reprint, 2002, Eastern Economy Edition, Pentice-Hall of India Private Ltd., New Delhi.
2. Prof. Sood A.K., Cases in Marketing Managrment, June 2003, Symbiosis Centre for
impression,2007, Dorling Kinderseley (India) Pvt. Ltd. New Delhi, Licencees of Pearson
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