615.1.

03(620)
DOI 10.20538/1682-0363-2016-1-512

ANALYSIS OF PHARMACEUTICAL COMPANIES ACTIVITIES THAT

ARE DIRECTED TO PHYSICIANS IN EGYPT
Bahlol M.M., Lagutkina T.P.
Peoples Friendship University of Russia, Moscow, Russian Federation
ABSTRACT
Purpose. Pharmaceutical market is one of the largest world markets with its own conditions. In Middle East, Egypt
is a major pharmaceutical emerging market and has geographical, historical and political effective leading role among
Arab countries. This research aims to investigate pharmaceutical companies activities in Egypt directed to physicians.
Methodology. Urveying through simple random probability sampling is the approach appropriate for broad and
representative overview of situation in research. Therefore, a survey of 1068 physicians was conducted through
interviews and establishing structured data collection questionnaire.
Originality. This is the first empirical paper to investigate pharmaceutical companies activities directed to physicians in pharmaceutical market of Egypt. These activities include identifying pharmaceutical companies through
visits of medical representatives, analysis of those visits, frequency of medical representatives visits, characteristics
of information introduced by medical representatives to physicians, physicians trust in provided information,
spending of pharmaceutical companies on physicians, promotional techniques applied by medical representatives.
These findings are useful for managers in pharmaceutical industry. They can be also useful in other industries such
as medical equipment.
Findings. Pharmaceutical companies are employing medical representatives widely, as the most effective and widely-applied promotion tool in Egypt.
Practical Implications. Coordinate marketing management vision with pharmaceutical market real context will lead
to synergism effect in utilizing medical representatives activities.
KEY WORDS: pharmaceutical companies, medical representatives, physicians, egyptian pharmaceutical market.

Introduction
Pharmaceutical market is one of the largest world
markets that has its own conditions. In Middle East,
Egypt is a major pharmaceutical emerging market with
geographical, historical and political effective leading position among Arab countries. Accordingly, this market
has a great economic value. There is a valuable need to
investigate promotional tools thereof. This should be
done in real market situation and life context.
Promotional tools have a highly recognized significance. Marketing promotion (or marketing communications) is generally divided into two groups: mass
communications and personal communications.
1. Mass Communications
Mass communications include public relations, advertising and sales promotions. However, there is an
*Bahlol Mohammed Mostafa Hossni Abdelaziz, e-mail: Ph_hossni@
yahoo.com.

increase, on the one hand, in using personal communications, because of internet technology revolution in
addition to other electronic communication factors. On
the other hand, mass communications have a high effect
on promotion, e.g., companies resources and brands.
2. Personal Communications
Personal communications have two forms, i.e., direct marketing and personal selling. Sale to customers
depends on not only working hard, but also working
smart. It is a two-way interaction between company
and customer. The basic idea is not only how pharmaceutical company can reach customer, but also how
it can enable customers reach it and its product. As a
result of technological development, people are moving
from traditional media (e.g., newspapers) to advanced
media (e.g., smart mobile phones). By the time, pharmaceutical companies move to more advanced communications media, because of cost effectiveness and
ability of better targeted communications. Personal

, 2016, 15, 1, . 512

Bahlol M. M., Lagutkina T. P.

Analysis of pharmaceutical companies activities that are directed to physicians

Egypt
in

communications enable identifying the right time for

the best action with more effect on the targeted customer.
In other research, we evaluated marketing promotional tools in Egyptian pharmaceutical market and
found that medical representative is the most applied
promotional tool [1]. According to these results, we
investigated in this research applying personal selling
(employing medical representatives) in pharmaceutical
field with physicians in Egypt by pharmaceutical companies. Such activity concerned physicians, frequency of medical representatives visits, characteristics of
provided information, physicians trust in provided information, spending of pharmaceutical companies and
applied promotion means.

Literature Review
Most pharmaceutical companies depend on sales
force and a lot of customers consider that the salesperson is the company. He is the link between the company and customer and is important in international
business. They use professional sales force to locate
prospects, develop them into customers and expand
business. Pharmaceutical foreign companies can focus
on large cities. Sales force enables them to reach other
small cities [2, 3].
Although sales force is important, it requires high
cost due to salaries, travel expenses, commissions and
bonuses. Companies try because of high costs to increase their sales force productivity. They focus to
achieve high productivity on better selection, motivation, supervision and training.
Sales representatives have different six forms depending on the task [4, 5]:
1 Deliverer: Product delivery to customer;
2 Order taker: There are two types of order taker,
i.e., inside order taker who works inside the company
behind its counter; and outside order taker who calls
on customers;
3 Missionary: His task is to educate and build goodwill with potential customers, i.e., pharmaceutical industrys medical representatives try to build goodwill
and educate physicians and/or patients;
4 Technician: He supports his client with technical
knowledge;
5 Demand creator: He uses creative methods for
selling tangibles or intangibles;
6 Solution vendor: He solves customers problem,
e.g., concerning communication systems.
The company should manage sales force with high
professionalism. It should employ effective salespersons, train them to enhance their skills, pharmaceutical product knowledge and supervise them to ensure
achieving the companys strategic and financial goals.
An international salesperson should have high qualifications and emotional stability, enjoy travel allowance,
flexibility, cultural empathy and working context to
ensure his effectiveness [68].
In pharmaceutical field, a medical representative is

the image of company and the link with customer. Each

pharmaceutical company focuses on medical representatives selection, training, supervision and motivation.
Recruiting sales force in international companies
has different forms. The Company in one country may
have three sources of salespersons, i.e., local nationals,
expatriates and third-country nationals. Presence and
proportion of each type depends on company needs,
qualifications and availability [9].
1. Local Nationals
They are preferred due to their knowledge about
structure and barriers of legal, cultural and business
system in their country [10-12]. Their cost is lower
than other types. Major disadvantages thereof are as
follows: low trust between them and the headquarter
office, which leads to ignoring their advice; their lack
of understanding with regard to how the headquarter
office works; weak communication skills and the language used at the headquarters.
2. Expatriates
On the one hand, employing expatriates declines
nowadays due to high cost, legal and cultural barriers.
On the other hand, their employing has a lot of advantages, e.g., high knowledge about product and pharmaceutical company, a kind of pharmaceutical companys
prestigious image and also high ability to communicate
with the headquarters.
3. Third-country Nationals
Employing third-country nationals is increasing due
to international business expansion and multinational
companies existence. A third-country national is a
person who has nationality different from the companys and who works for it in another country (neither
his own country nor the companys). He is usually a
well-trained person with competitive advantage, several languages and good knowledge of culture and legal
system of the country where he works [2].
Many companies focus more on developing functional skills and less on developing cultural awareness.
A lot of foreign companies may fail in a certain country
not because of lacking technical and managerial skills,
but due to lacking understanding of country culture. It
is an important issue as international business becomes
more interdependent and companies depend more on
their profits from foreign market. Culture skills and
knowledge can be developed and learned as other social and functional skills [1317].
In our previous research, we evaluated different
marketing promotional tools and found that personal
selling (a medical representative) is the most applied
marketing promotional tool in Egyptian pharmaceutical market [1]. According to these results, our research
aims to studying personal selling as an important promotional tool in Egyptian pharmaceutical market.
Medical sales force structure has four factors (role
of sales force and selling partners, size, degree of specialization and resource allocation). Using these factors
should be accommodated to the stage of business life
cycle (figure 1).

, 2016, 15, 1, . 512

- Eliminating
- Increasing of - Focusing on Unprofitable
Segments
Penetration of existing
- Awareness
- Focus on Critical
customers
- Fast Uptake of Exciting
Customers
(efficiently
Segment
Products
Relationships
serving and
- Developing
- Emphasizing
retaining
New
Efficiency
them)
Segments
Role of Medical
Sales Force and
Selling Partners

++++

++

+++

Size of Medical
Sales Force

+++

++++

++

++++

Degree of
Specialization

++++

+++

++

Medical Sales
Force Resource
Allocation

++++

++++

Introduction

Growth

Maturity

Decline

Stage of Business Life Cycle

Figure 1. The four factors of successful sales force (adapted from Zoltners, 2006)

Research Methods
This research aims to studying pharmaceutical
companies activities that employ personal selling to
promote drugs to physicians in Egypt. When we need
a broad and representative overview of situation in research, survey is the appropriate approach [18]. Accordingly, for data gathering in this research we used
the survey, where we resorted to personal interviews.

Sampling
In this research, we used simple random probability sampling, where physicians were asked to answer
questionnaires in Egypt. We collected 1068 questioners
from physicians at clinics and hospitals who answered
questionnaires.

Data Collection
In this research, we focused on Pharmaceutical
Companies activities with physicians in Egypt. Our
information sources were secondary and primary data.
Firstly, we reviewed literatures of personal sales and
promotions in pharmaceutical field. Then, the next
step was represented in establishing structured questionnaire for data collection from physicians.
We used both questioners and interviews with physicians for information collection. We applied the Sta8

tistical Package for Social Sciences (SPSS) software to

develop reliable and valuable information from collected the questionnaires. Answering open-end questions
was good value as a source of qualitative information.
We collected questionnaires over nine months (from
July 2014 to May 2015).

Findings and Discussion

This research aims to studying pharmaceutical companies activities that employ personal selling to promote
drugs to physicians according to the following criteria:
activity concerning physicians;
frequency of medical representatives visits;
characteristics of provided information;
physicians trust in provided information;
spending of pharmaceutical companies;
promotion means.
Activity concerning Physicians
When studying activities of companies whose medical representatives work with physicians, we found
from surveying physicians that the most active pharmaceutical companies that directed their activities to
physicians are: Egyptian International Pharmaceutical
Industries Company (EIPICO); Pharco Pharmaceuticals; Amoun Pharmaceutical Company; GlaxoSmithKline (GSK) plc; and Novartis Pharma (table 1).

, 2016, 15, 1, . 512

Analysis of pharmaceutical companies activities that are directed to physicians

Egypt
in

EIPICO
Pharco
Amoun
GlaxoSmithKline
Novartis
Medical Union Pharma
SEDICO
Eva
Pfizer
Egyphar
Delta
Sanofi Aventis
Abbott
Top-z
Sandoz
Global NAPI
Al Ameria
Multiapex
Adwia
Sigma
Andalous
CID
M.S.D
Hikma
Nile
Servier
Minapharm
AstraZeneca
Minapharm
Merck Serono
MEPACO
Atoz
Liptis
October Pahrma
Egyptian Europian
Pyramids office
Memphis
Alkan
Leo
Advocure
Hi pharma
Ema
Acapi
Rameda
Orchidia
Janssen-Cilag
Nerhadou
Tabuk
Devert lab
IBSA
Bio pharma
Pharma cure
Utopia
Kahira
Nycomed
Eli lily
Al esraa
Debiky
Alcon
Novonordisk
Bayer
Jamjoom
Julphar
Borg

Table2
Pharmaceutical companies which medical representatives
visit doctors most often
Percentage of respondents who mentioned
this pharmaceutical company, %
Company Name

EIPICO
Pharco
Amoun
GlaxoSmithKline
Novartis
Medical Union
Pharma
SEDICO
Eva
Pfizer
Egyphar
Delta
Sanofi Aventis
Abbott
Top-z
Sandoz
Global NAPI
Al Ameria
Multiapex
Adwia
Sigma
Andalous
CID
M.S.D
Hikma
Nile
Servier
Minapharm
AstraZeneca
Minapharm
Merck Serono
MEPACO
Atoz
Liptis
October
Pahrma
Egyptian
European
Pyramids office
Memphis
Alkan
Leo
Advocure
Hi pharma
Ema
Acapi
Rameda
Orchidia
Janssen-Cilag
Nerhadou
Tabuk
Devert lab
IBSA

1-3 times
per year

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
2223
2223
2425
2425
26
2730
2730
2730
2730
31
3234
3234
3234
35
3641
3641
3641
3641
3641
3641
4245
4245
4245
4245
4653
4653
4653
4653
4653
4653
4653
4653
5464
5464
5464
5464
5464
5464
5464
5464
5464
5464
5464

Percentage of respondents
who called on this firm, %
46.4
25.4
22.1
21.7
18.4
10.4
9
8.9
8.2
7.4
7.2
6.4
5.9
5.4
4.6
4.5
4.4
3.5
3.2
3
2.1
2.1
1.9
1.3
1.3
1.1
1
1
1
1
0.7
0.6
0.6
0.6
0.5
0.4
0.4
0.4
0.4
0.4
0.4
0.3
0.3
0.3
0.3
0.2
0.2
0.2
0.2
0.2
0.2
0.2
0.2
0.1
0.1
0.1
0.1
0.1
0.1
0.1
0.1
0.1
0.1
0.1

46 times
per year

Company Name

7-11 times
per year

Rank

However, if we consider frequency of medical representatives of the same pharmaceutical companies visits, the results are different: in this case, superiority
belongs to other pharmaceutical companies (table 2).

1 time per
month

Table 1
Pharmaceutical companies which are most actively employing
medical representatives activity to work with physicians
for promoting their drugs

1 time per
two weeks

Bahlol M. M., Lagutkina T. P.

73.4
63.6
54.7
49.6
48.8

25.5
28.3
34.8
38.8
36.1

1
6
6.5
9.5
9.8

0.2
0.7
3.6
21
2

---1.4
0.4

56.9

25

15.5

1.7

0.9

60
63.6
34.1
75.9
61.3
40.8
47
98.3
43.1
60
77.6
59
44.4
66.7
78.3
60.9
33.3
64.3
53.3
66.7
54.5
54.5
54.5
27.3
87.5
42.9
28.6

28
27.3
38.5
18.1
28.8
46.5
36.4
---29.4
30
18.4
20.5
38.9
30.3
8.7
17.4
47.6
35.7
13.3
16.7
36.4
27.3
36.4
63.6

1
2
5.5
1.2
2.5
1.4
1.5

42.9
57.1

9
7.1
17.6
4.8
7.5
5.6
10.6
---13.7
10
4.1
12.8
13.9
---13
21.7
9.5
---20
8.3
---18.2
------12.5
14.3
14.3

9.1
-------------

2
---4.4
------5.6
4.5
1.7
5.9
------------1.3
------------6.7
8.3
---------9.1
----------

42.9

42.9

14.3

----

----

16.7

50

33.3

----

----

80
75
25
40
40
40
33.3
33.3
66.7
33.3
50
100
50
100
100

20
25
25
---40
60
66.7
33.3
33.3
66.7
50
---50
-------

------25
40
20
-------------------------------

---------20
---------33.3
----------------------

------25
-------------------------------------

, 2016, 15, 1, . 512

7.8
------7.7
2.8
---------9.5
---6.7
---9.1

3.4

7-11 times
per year

46 times
per year

1-3 times
per year

Bio pharma
Pharma cure
Utopia
Kahira
Nycomed
Eli lily
Al esraa
Debiky
Alcon
Novonordisk
Bayer
Jamjoom
Julphar
Borg

1 time per
month

Company Name

1 time per
two weeks

Table2
Percentage of respondents who mentioned
this pharmaceutical company, %

100
100
100
100
100
100
100
100
---100
100
---100
100

------------------------100
----------------

---------------------------------100
-------

-------------------------------------------

-------------------------------------------

We can explain such distinction of lists by the fact

that a certain pharmaceutical company can work with
smaller number of physicians (i.e., coverage of intermediate customers at this pharmaceutical company
is low), but to be more active (intensity of work is
higher). So, two options are possible: pharmaceutical
company actively works with either a small number
of physicians (promotion intensive tactics), or a large
number of physicians with a smaller frequency of visits
to one physician (promotion extensive tactics).
Frequency of Medical Representatives Visits
When we asked physicians about the number of
visits per month, the answers were as follows: 0.6%
expressed less than one visit per month; 3.6% expressed one to two visits per month; 7% expressed
three to five visits per month; 17.2% expressed six to
ten visits per month; and 71.6% expressed more than
ten visits per month (table 3). The average number of
medical representatives visits to physicians is 10 visits
per month.
Table 3
Total number of visits of medical representatives
to physicians
Number of visits per
Percentage of physicians who
month
answered psitively, %
less 1
0.6
12
3.6
35
7
610
17.2
More than 10
71.6

Characteristics of Provided Information

An important point in medical representatives activity is the information they provided and degree of
trust with physicians. Therefore, we asked physicians
about the most remembered visit of pharmaceutical
companies medical representatives (table 4) to estimate most remembered companies which their contents of oral information provided by medical representatives.
10

Table 4
Name of pharmaceutical companies which visits of medical
representative were most remembered by physicians
Percentage of respondents
Rank
Company Name
who mentioned this
pharmaceutical company, %
1
EIPICO
57.9
2
GLAXOSMITHKLINE
5.8
3
PHARCO
5.1
4
NOVARTIS
4.4
5
AMOUN
4.2
6
PFIZER
2.2
7-8
EVA PHARMA
2
7-8
MEDICAL.UNION.
2
9
TOP Z Pharma
1.9
10
SANOFI AVENTIS
1.6
11
SEDICO
1.4
12
DELTA
1.2
13-15
Abbott
0.9
13-15
Multiapex
0.9
13-15
EGYPHAR
0.9
16
SANDOZ
0.8
17-18
AL AMERIA
0.6
17-18
M.S.D
0.6
19-21
ADWIA
0.5
19-21
ALCON
0.5
19-21
HIKMA
0.5
22-26
ANDALOUS
0.3
22-26
GLOBAL NAPI
0.3
22-26
MEPACO
0.3
22-26
MINAPHARM
0.3
22-26
SERVIER
0.3
27-41
ADVOCURE
0.2
27-41
ASTRAZENECA
0.2
27-41
BIOMED
0.2
27-41
DEBEIKY
0.2
27-41
DEVERT LAB
0.2
27-41 EGYPTIANEUROPIAN
0.2
27-41
JULPHAR
0.2
27-41
LEO
0.2
27-41
LIPTIS
0.2
27-41
NERHADOU
0.2
27-41
OCTOBER PHARMA
0.2
27-41
RAMEDA
0.2
27-41
SEKEM
0.2
27-41
SIGMA
0.2
27-41
UTOPIA
0.2

Physicians trust in provided information

Physicians have more trust in pharmaceutical
companies medical representatives than advertising
of drugs (table 5). This is apparently due to presence
of two-way communication, conversational mode of
communication that allows medical representatives to
make quick adjustments to character and content of
communication in case of personal selling and to direct
communication where medical representatives demand
a certain reaction.
Table 5
The relation of physicians to drug advertising
Percentage of
The Relation of physicians
respondents, %
Negative.
14.4
Positive in case of advertising of nonprescribed drugs.
34.5
Positive in case of advertising of nonprescribed drugs and prescribed drugs in
specialized editions and tools for health
workers.
48.1

, 2016, 15, 1, . 512

Analysis of pharmaceutical companies activities that are directed

to physicians in
Egypt

Table 6
Spending of pharmaceutical companies on a physician
per year (according to physicians opinion)
Percentage of respondents who chose
Sum in $
this answer %
0
25.5
Less than 10
10.2
1020
10.9
20100
16.2
100500
20.5
5001000
9
More than 1000
7.7

The results are a subjective opinion of physician

surveyed
Promotion Means
In this study, we identified promotion means applied
by pharmaceutical companies in relation to physicians
(figure 2). The received results become quite justified
by comparison of these results to promotion means
applied by pharmaceutical companies with physicians.
The most widely-applied promotion techniques are: distribution of specialized literature according to 21.6% of
respondents; inexpensive gifts granted in medicine according to 30.5% of respondents; invitations to parties
organized by pharmaceutical companies according to
7.7% of respondents; offering free medicines for charity events according to 32.2% of respondents; financial
incentives, gifts and souvenirs according to 31.5% of respondents; financial participation in organizing trips to
symposia, workshops and congresses according to 56.8%
of respondents; sponsorship of scientific papers accord-

Free samples

Technical
equipment

the organization of...

Financial
incentives,..

100
90
80
70
60
50
40
30
20
10
0

Invitations
to parties

ing to 18.6% of respondents; and helping by technical

equipment in consulting offices according to 18.2% of
respondents. We observed that the most common promotion technique applied by pharmaceutical companies
in relation to physicians is represented in providing free
sample drugs 88.7% of respondents (which are not a
batch of medicinal preparations).

The low
valuable gifts

About half of physicians, i.e., 47.3%, said that pharmaceutical companies medical representatives offer
information about promoted drug which content is related to advertising materials as same as educational
materials; more than third of physicians, i.e., 36.7% said
that pharmaceutical companies medical representatives
offer information about promoted drug which content
is related to advertising materials and only 15.9% of
physicians said that pharmaceutical companies medical
representatives offer information about promoted drug
which content is related to educational materials. In
conclusion, according to physicians opinion, medical
representatives offer educational task but they pre-all
seek to induce them to prescribe drugs to patients.
Spending of Pharmaceutical Companies
In this study, we investigated how much the pharmaceutical company is spending for promoting their
products through medical representatives work. We
were interested in knowing physicians opinion on pharmaceutical companies expenses for promoting their
products to a physician (per year). Quarter of physicians, i.e., 25.5% said that pharmaceutical companies do
not spend money; half approximately of physicians said
that pharmaceutical companies spend less than $100;
30% approximately of them mentioned that expenses
were from $100 to $1000; and only less than 10% of
physicians said that pharmaceutical companies spend
more than $1000 on a physician per year (table 6).

Specialized
literature

Bahlol M. M., Lagutkina T. P.

Figure 2. Promotion methods utilized by pharmaceutical

companies with physicians

Conclusion
By studying pharmaceutical companies activities
directed to physicians, we found on the one hand that
the most active pharmaceutical companies are the following: EIPICO, Pharco, Amoun, GSK and Novartis.
On the other hand, pharmaceutical companies order
will be different, if it depends on frequency of medical representatives visits to physicians. We can explain
that by differentiating tactics chosen by pharmaceutical companies, i.e., intensive or extensive tactics of
promotion, ten visits per month is the medical representatives average number of visits to physicians.
Physicians have less trust in advertising than medical representatives. This can be explained by conversational mode of communication and two-way communication in case of personal selling. Information
provided by medical representatives is related to either
advertising and/or educational materials. So, 47.3% of
physicians mentioned that provided information is both
advertising and educational, 36.7% of physician related
information to advertising materials and 15.9% related
them to educational materials.
According to physicians opinion about spending on
a physician by pharmaceutical companies, 25.5% mentioned that pharmaceutical companies do not spend
any money; 50% approximately stated that they spend
less than $100; 30% approximately pointed out that
they spend from $100 to $1000; and less than 10%
mentioned that they spend more than $1000.
Pharmaceutical companies most widely-applied
promotion techniques are: distribution of specialized
literature; inexpensive gifts granted in medicine; invitations to parties organized by pharmaceutical companies; offering free medicines for charity events; financial
incentives, gifts and souvenirs; financial participation
in organizing trips to symposia, workshops and congresses; sponsorship of scientific papers; and helping

, 2016, 15, 1, . 512

11

by technical equipment in consulting offices. However,

providing free sample drugs is the most common promotion technique applied with physicians
Finally, we can say that a medical representative
is widely employed by pharmaceutical companies in
Egypt. Aligning marketing management vision with
market real situation will lead to synergism effect in
employing medical representatives.
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21.12.2015 .
20.01.2016 .
Bahlol Mohammed Mostafa Hossni Abdelaziz (*), PhD, Department of management and economics of pharmacy Peoples
Friendship University of Russia, Moscow, Russian Federation.
Lagutkina Tatiana Petrovna, doctor of pharmaceutical scinces, professor of the Department of management and economics
of pharmacy Peoples Friendship University of Russia, (Moscow, Russian Federation).
*Bahlol Mohammed Mostafa Hossni Abdelaziz, e-mail: [email protected].
Peoples Friendship University of Russia, 117198, Moscow, St. Mikluho-Maklaja, h. 21, buiding 1.
12

, 2016, 15, 1, . 512

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Analysis of pharmaceutical companies activities that are directed

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