MARKITING ANALYSIS REPORT OF GETZ

PHARMACEUTICAL PRIVATE LIMITED

COLLAGE OF MODERN SCIENCES

THE SINDH’S FIRST AFFILIATED COLLAGE WITH UNIVERSITY OF SINDH JAMSHORO

RESEARCH MONOGRAPH THESIS

SUBMITTED BY

MUHAMMAD MAHAD
MBA EVENING BATCH (36)
ROLL NO 17

For the partial fulfillment of the Degree of MBA

Under the supervision of

SIR MUJTABA BHATTI

DEPARTMENT OF BUSINEES ADMINSTRATION

COLLAGE OF MODERN SCIENCES HYDERABAD

Date of submission
12-5-2023

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 DEDICATION

Dedication this thesis / research monograph to my family members

My respected Teacher for supporting with affection and live and their

Dedicate partnership for success in my life

ACKNOWLEDGEMENT

It was great pleasure to prepare internship report on the marketing mix practices of Getz
Pharmaceutical Private Ltd. I would like to thank and convey my gratitude to honorable
supervisor, Dr Ubed-ur-Rehman, Professor, Department of Pharmaceutics, University of
Sindh, for letting me to prepare this report and I would also like to express my sincere
appreciation to him for his whole hearted support and guidance.

Then, I express my sincere gratitude to Dr Syed Races Ahmad, Executive Director, in Getz
Pharmaceutical for his guidance, constant supervision and constructive suggestions. Without
his help this report might not have been a comprehensive one. I have bothered him so many
times in connection with my works, both during and after normal working hours.

Finally, I am grateful to all the cooperative staffs of the pharmacy team who gave good
response for completion of my Research Monograph

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3
 ABSTRACT

The report is divided into the following five parts- Introduction, Organization Overview,
Marketing Mix Practices of Getz Pharmaceutical Limited, SWOT Analysis and Conclusion
Introduction section deals with some elementary ismas regarding the background and the
process of preparing this report. The next section following the introduction helps to know
the brief history of Getz Pharmaceuticals Limited Further, it focuses on the services provided
by Getz Pharmaceuticals Limited. Third section of this report is about job where I am doing
my internship program for three months. It focuses on my work in this period.

Marketing Mix Practices is major part of this report Marketing Mix Practices include how
Getz Pharmaceuticals Limited operates their Marketing operation in their day by day Next
section is SWOT analysis which includes strengths, weaknesses, opportunities and threats of
the Getz Pharmaceuticals Limited. Final section shows findings, suggests some areas of
perfection and draws a conclusion

The marketing mix refers to the set of actions, or tactics, that a company ass to promote its
brand or product in the market. The 4Ps make up a typical marketing mix - Price, Product,
Promotion and Place. However, nowadays, the marketing mix increasingly includes several
other Ps like People, Process, and Physical environment as vital mix elements

The tools available to a business to gain the reaction it is seeking from its target market in
relation to its marketing objectives 7Ps-Price, Product, Promotion, Place, People, Process,
Physical environment. Traditional 71's extended to encompass growth of service industry

Product is the core of all marketing activities. There are two types of organizations according
their product. Some organization's core product is goods on the other hand some
organization's core product is service.

In the pharmaceuticals market of Pakistan, there is not much price differentiation. in general,
among the different companies due to the highly competitive nature of the industry Whatever
price differentiation is there, it is between the multinationals and the national companies. It is
due to the fact that the multinationals charge a premium price for their product.

In the pharmaceuticals market, distribution is very important. Having made all decisions of
marketing properly, a company will not be successful if it cannot distribute its products well.
According to the physicians, square has the strongest distribution among all the companies

Due to high competition in the industry among the different players in the market, aggressive
marketing have been adopted by the different companies. In this regard, promotion has
become a useful tool to fight competition. Moreover, promotional materials of companies

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have an impact on doctor's prescribing medicine. Therefore, different companies have set out
different promotional tools to increase market share

People all people who directly or indirectly influence the perceived value of the product or
service, including knowledge workers, employees, management and consumers

Process is the procedures, mechanisms and flow of activities which lead to an exchange of
value

Physical evidence the direct sensory experience of a product or service thatallows a customer
to measure whether he or she has received value. Examples might include the way a
customer is treated by a staff member, or the length of time a customer has to wait, or a cover
letter from an insurance company, or the environment in which a product or service is deliver
n today's competitive environment, pharmaceutical companies are demanding mach greater
coordination from promotional activities to physician customers. By conducting image
analysis, it can help pharmaceutical company's better target and segment customers, select
the proper combination of marketing channels, and precisely measure the impact of
promotional programs

The annual per capita drug consumption in Pakistan is one of the lowest in the world.
However, the industry has been a key contributor to the Pakistan economy since independence.
With the development of healthcare infrastructure and increase of health awareness and the
purchasing capacity of people, this industry is expected to grow at a higher rate in future.

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 TABLE OF CONTENT
NO. Content Pg.#
1 Dedication 1
2 Acknowledgment 2
3 Abstract 3,4
4 CHAPTER-1

INTRODUCTION AND BACKGROUND OF THE STUDY

1.1 Introduction of the report

1.2 Problem definition
1.3 Background of the report
1.4 Significance of the report
1.5 Scope of the report
1.6 Objectives of the reports
1.7 Methodology
1.8 Limitation
CHAPTER-2

OVERVIEW OF GETZ PHARMACEUTICALS LIMITED

2.1 Historical Background Of Getz Pharmaceutical Limited

2.2 Departmentalization
2.3 Company overview
2.4 CPM
2.5 Planning Department
2.6 Purchase Department
2.7 Sales Department
2.8 Training Department
2.9 International marketing
CHAPTER-3

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 MARKETING MIX PRACTICES OF GETZ
PHARMACEUTICALS LIMITED

3.1 Marketing mix

3.2 Marketing Strategies
3.3 Marketing Mix Practice Of Getz Pharmaceuticals Ltd
3.4 Range Of Products
3.5 Products Quality
3.6 Products Line
3.7 Products Decisions
3.8 Products Presentation
3.9 Introduction of New Products
3.10 Products Presentations
3.11 Production Utilization
3.12 Products Design And Style
3.14 Price
3.15 Price Decisions
3.16 Pricing strategies
3.17 Pricing Strategy For New Products
3.18 Pricing Approach
3.19 Distribution Place
3.20 Distribution (Place) Decisions
3.21 Distribution Strategies
3.22 Routine Work Of Medical Representative
3.23 42 Days Long Induction Training Program To Develop
3.24 Fundamental Training Program
3.25 Medical Representative
3.26 Channel Design
3.27 Promotion
3.28 Promotion Decision
3.29 Promotional Strategies
3.30 Advertising Appeals

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3.31 Rational Appeals
3.32 Physician Related Appeals
3.33 Clinical Use Appeals
3.34 Patients Related Appeals
3.35 Manufacture Related Appeals
3.36 Non Rational Appeals
3.37 Promotional Tools
3.38 People
3.39 Process
3.40 Physical Evidence
3.41 Transportations
3.42 Competitors
Chapter-4

Analysis and Findings

4.1 SWOT Analysis of Marketing Analysis

4.2 Strengths
4.3 Weakness
4.4 Opportunities
4.5 Threats
4.6 Findings
CHAPTER-5

RECOMMENDATION AND CONCLUSION

5.1 Recommendation
5.2 Conclusion
5.3 Bibliography

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 CHAPTER-1

INTRODUCTION AND BACKGROUND OF THE STUDY

1.1 Introduction of the report:

The report is based on Marketing Mix Practice at GETZ Pharmaceuticals Ltd A Review of
Marketing activities. The purpose of this report is to identify the drawbacks of marketing mix
strategies and possible remedies to overcome the lacking of current proceedings. GETZ
Pharmaceuticals Limited, one of the largest medicine companies in pharmaceutical industry
that has covered the maximum market share nationwide Marketing Mix is a crucial and
strategic part of any company A company's ultimate profit absolutely depends on how these
elements of marketing mix are analyzed and applied. Marketing decisions generally fall into
four controllable categories: product, price, place and promotion. The ingredients in
marketing mix included product planning. Pricing, branding, distribution channels, personal
selling, advertising, promotions, packaging, display, servicing, physical handling, and fact
finding and analysis. These ingredients are grouped into seven categories that today are
known as the 7p's of marketing.

1.2 Problem Definition:

The marketing mix framework was particularly useful in the early days of the marketing
concept when physical products represented a larger portion of the economy. Today
marketing is more integrated into organizations and with a wider variety of products and
markets, therefore it is needed to extend its usefulness by proposing a seven P, such as
physical, people, process, etc. Today however, the marketing mix framework most
commonly remains based on the 7P's. But sometimes there arise crucial problems due to
misjudgment and miss analysis of 7Ps. Further there may arise problems because of the
limitations of its structure,

1.3 Background of the report:

I worked as an Intern in GETZ Pharmaceuticals Limited, for 3 consecutive months. So

according to procedure I had to submit a Report. Thus, the report covers,
"Marketing Mix Practices at GETZ Pharmaceuticals Limited"

1.4 Significance of the report:

Knowledge and learning become perfect when it is associated with theory and practice This
Internship Report is an important partial requirement of two years MBA Master Program

As the parties, educational institution and the organization substantially benefit from such a
program, it seems a "win-win situation" That's why practical orientation is a positive
development in professional area Recognizing the importance of practical experience,
Department Business Administration of DIU has introduced a three months practical
exposure as a part of the curriculum of Master of Business Administration (MBA) program.
In such state of affairs the present aiming at analyzing the experience of practical orientation
related to an appraisal of GETZ Pharmaceuticals Limited

1.5 Scope of the Report:

This report is an attempt to analyze the every Pharmaceuticals activities of the GETZ
Pharmaceuticals Limited. This study focuses on the Marketing Mix Practices at GETZ
Pharmaceuticals Limited. This report has the crisp details of the procedure of the Marketing
Mix Practices. Along with that, a relevant stream of discussion has been made on the theory
and policy issues relating to Marketing Mix Practices. I had a great opportunity to have an in

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depth knowledge of all the Pharmaceuticals activities practiced by the GETZ
Pharmaceuticals Limited.

1.6 Objectives of the report:

Our objective is to provide better solution related to marketing mix strategies by identifying,
analyzing and justifying the following problems:

1. To identify the marketing mix framework of GETZ Pharmaceuticals Limited.

2. To analyze their product strategy and measure its operation

3. To analyze their pricing strategy and measure its application.

4. To analyze their distribution activities and product availability

5. To measure their promotional/ marketing strategy

1.7 Methodology:

Primary data are collected from the key executives of the marketing department of BPL on
the basis of a structured questionnaire. This study is exploratory in nature. Two types of
samples have been selected to conduct the survey. Two sets of structured questionnaires (one
for the BPL's key executives and another for customers including general people and drug
retailers) containing open-end type and multiple- choice type have been made Information
was received from 20 general people as well as drug stores areas of Dhaka city Personal
interviews were conducted to gain more in-depth knowledge To attain the objectives the
study has been confined to the evaluation of procurement of raw materials, channel of
distribution, pricing, promotion activities and consumers opinion about the BPL located
deferent

1.8 Limitation:

The limitation of the report includes the following

 . Lack of time: One of the major limitations of the study was limited time. The
allocation of the study was inadequate Because in this short time one intern student
had to both attend the office For the scarcity of time I could not communicate largely
with concern persons and authority, which would be very helpful for preparing, the
report could be made much more comprehensive

 Administrative secrecy: Another major problem every private company maintains

some secrecy of its sales and GETZ Pharmaceuticals Limited. Was not expected in
this regard. The authority kept much information as secrete

 Scarcity of adequate information: Scarcity of adequate information caused hamper in

report generation Primary and secondary data wasn't up to date to deal with

 Insufficient knowledge: Insufficient knowledge about Pharmaceuticals industries also

caused lapper in the long run

 Low proficiency in report preparation: Lack of self-knowledge concerning report

preparation, was also a limiting factor in preparing a better report.

 Improper Data: The secondary data that have been observed was in a form, which
was not helpful for this study

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 CHAPTER No.2

OVERVIEW OF GETZ PHARMACEUTICAL LIMITED

2.1 Historical Background of GETZ Pharmaceuticals Limited:

GETZ Pharmaceuticals Limited is one of the four companies strategically included in the
GETZ Chemical Division BPL attained turnover of Tk 2453 billion during 2000 It all began
in 1980 when BPLs first product made under license of Bayer AG Germany rolled out of a
small manufacturing plant in Tongs, Dhaka, Products made under license of Upjohn
Incorporated, USA followed. After its initial years of struggle it broke ground with the
launching of its own products in 1983, today. HPL holds almost 15% share in the domestic
market
The commissioning of BPLs Basic Chemicals Unit in 1990, established a very significant
milestone for it. It not only met 90% of the country's demand for two vital raw materials,
ampicillin and amoxicillin but also started selling these to overseas markets, including South
Korea and Malaysia.

2.2 Departmentalization:

BPL operates its business through extensive departmentalization as needed. This is for
specified effectiveness of the tasks. The business activities of BPL, BIL and PCL are
directed, controlled and monitored from the head office of GETZ Pharmaceuticals Limited
Located at 7A. Dhanmondi, Dhaka. Being a leading Pharmaceutical company in the country
it employs good number of people in different departments to keeps its business thriving. The
following major departments coordinate the activities of BPL, BIL and PCL

 Central product management (CPM) department

 Planning department

 Purchase Department

 Sales department

2.3 Company Overview:

 Sales education and training department

 Medical services department

 Business Research & Development department

 International marketing & fine chemicals department

 MIS department

 Finance and Accounts department

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2.4 CPM:

CPM stands for Central Product Management that takes care the total marketing of s product.
It includes

 Selection of new product

 Design of new product

 Design of packaging

 Introduction of the product to the market and others

2.5 Planning Department:

The planning department ensures smoothness of total operation of BPT. It is concerned with
the following

 The production planning and

 .Raw material procurement

 Inventory Planning

Based on sales forecast from the CPM planning department breaks up the yearly sales
forecast to monthly basis and develop the planning of production, purchase and stock
maintenance .it also initiates the negotiation of purchase: It refers the supplier's quotations to
the purchase departments.
Planning department try to ensure buffer stock of three months of all the raw materials to
meet any untoward events or circumstances in market.

2.6 Purchase Department:

The purchase department is concerned with all the purchases of BPL Apart from purchasing
it keeps the record for tracking the costs of the company. This department works in
coordination with planning department for negotiation and price fixing

2.7 Sales Department:

Follow the recent management of the business world the sales department has-been
completely separated from marketing department. It sets the forecast in coordination. with
marketing department and upon fixation of the sales it is the responsibility of the sales
department to realize the yearly sales volume forecasted. The departmental works in
following pattern:

The departmental works in following pattern:

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2.8 Training Department:

Training department is to provide the training to the medical representatives of the company.
This training is necessary to improve the quality of job-related function the curriculum of
training varies from group to group the department basically offers 4 types of training
programs

 Induction Training Programs (for MRS)

 Supervisory Management Programs (for FSs)

 Advanced Supervisory Management

 Refresher Training Programs (for everyone in sales in as and when basis). The MRS
is virtually the direct product of this training department. The selling skill of the MRs
are dig out through the training session on that ultimately BPL depends for attaining
its target sale

The product development process is as follows:

 Market Research

 Molecular Structure

 Development Sample

 Analytical Method Development

 Stability Profiles

Quality Assurance (in each stage in factory) and Quality Control improvement is another
concern of this department. It suggests the SOP (Standard Operating Guideline), which is the
biggest port of GMP (Good Manufacturing Practices). It is mention that by practice BPL
follows the highest standard of quality suppose as suggested by WHO. Purchase and material
management coordination is also included within responsibilities of this department

2.9 International Marketing:

It is note that BPL has started marketing its product internationally. This department is
concerned with the international promotion and marketing of BPL finished products and
basic chemicals. It analyzes country analysis in terms of health status, economy, market and
its growth, legal bounds of entering the market with its product etc to find the feasibility to
market its products. So far it has 18 export outlets.

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 CHAPTER-3

MARKETING MIX PRACTICES OF GETZ

PHARMACEUTICALS LIMITED

3.1 MARKETING MIX:

The marketing mix refers to the set of actions, or tactics, that a company uses to promote its
brand or product in the market. The 4Ps make up a typical marketing mix - Price, Product,
Promotion and Place. However, nowadays, the marketing mix increasingly includes several
other Ps like People, Process, and Physical environment as vital mix elements

The tools available to a business to gain the reaction it is seeking from its target market in
relation to its marketing objectives. 7Ps - Price, Product, Promotion, Place, People, Process,
Physical environment Traditional 4Ps extended to encompass growth of service industry

 Price

 Product

 Physical Environment,

 Process

 The Marketing Mix

 Promotion

 Place

 People

3.2 MARKETING STRATEGIES:

Marketing strategy is the goal of increasing sales and achieving a sustainable competitive
advantage. An organization's strategy that combines all of its marketing goals into one
comprehensive plan A good marketing strategy should be drawn from market research and
focus on the night product in order to achieve the maximum profit potential and sustain the
business. The marketing strategy is the foundation of a marketing plan.

3.3 Marketing Mix Practices of GETZ Pharmaceuticals Limited:

Product is the core of all marketing activities. There are two types of organizations according
their product. Some organization's core product is goods on the other hand some
organization's core product is service

3.4 Range of Products:

Range of products here represents different types of items of products. The pharmaceutical
companies divide their medicines into three categories- infusions, formulations and
pharmaceuticals. The total number of products GETZ has is 180. Whereas Square has about
300 types of products within their medicine range Therefore, Square is occupying the leading
position in producing the widest range of products. Incept is currently marketing about 137
products. Aventis holds the fourth position ACI formulates and markets a comprehensive
range of more than 120 products covering all major therapeutic areas, which come in tablet,
capsule, and powder. Liquid, cream, ointment, gel and injection forms Acme and Opsonic

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have the lowest range of products compared to the above-mentioned companies. The survey
results, as depicted in the above figure, more or less reflect the reality However, it fails to
show the huge gap in the product range between GETZ and Square According to the doctors,
the difference between the product ranges of the two companies is narrower The other bar in
the figure above mostly represent Incepts which has the third largest product range. The
smallest bars in the figure perfectly depict the lowest range of products of Opsonic and
ACME

3.5 Product Quality:

The quality of any product includes everything associated with it, ranging from the raw
materials to the effectiveness when consumed. Doctors usually emphasizes on less side
effects, less frequency of administration and quick and effective therapeutic response when
referring to product quality. However, it has been found that doctors give much more
emphasis on quick therapeutic response rather than effective therapeutic response. This is
because sometimes effective therapeutic dosage may cause delay in recovery and patients
switch to other doctors Therefore, doctors have to prescribe drugs which would lead to quick
recovery. According to the opinion of the physicians, square has the leading position:

GETZ holds the second position Aventis and ACI also have good positions in terms of
quality perception. This due to the fact that some their products are imported from abroad
Moreover the imported medicines have very few alternatives in the local market. Acme and
Opinion medicines are not rated high in terms of quality. It may be said that 22% respondents
believe that GETZ products provide quick recovery

3.6 Product Line:

A range of associated products that yields larger sales revenue when marketed together than
if they were marketed individually or in isolation from others

o Sterile Products

o Non Sterile Products

o Biological Products

o Cephalosporin’s (Dedicated manufacturing facility).

3.7 Product Decisions:

The term "product" refers to tangible, physical products as well as services. Here are some
examples of the product decisions to be made

 Brand name

 Functionality

 Styling

 Quality

 Safety

 Packaging

 Repairs and Support

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  Warranty

 Accessories and services

3.8 Product Presentation:

The product presentation of any product includes everything associated with it, ranging from
the color to the design. It has been found that the companies can even charge a high price if
their product presentation is good even if it is of the same quality as the others

According to the physicians opinion, square has the leading position in terms of product
presentation. Aventis and ACT also have good positions in terms of product presentation.
This is due to the fact that some their products are imported from abroad. Moreover the
imported medicines have very few alternatives in the local market. GETZA competitive
position is not quite good in terms of product presentation. Acme and Opinion medicines are
not rated high

3.9 Introduction of New Products:

New generation drugs always attract doctors. Sometimes even if a drug with the same
therapeutic value is there in the market, a new drug launched takes a huge percentage of the
market share of the older one. As for example, NeoceptineR was a market leader once.
When Neotack entered the market, the market share of NeoceptineR fell dramatically due to
doctors liking new generation drugs. In fact, because of this, the pharmaceutical companies
frequently arrange seminars and symposia covering a wide range of medical topics attended
by members of health care community. The faculty of these programs usually consists of
both reputed medical experts and experts from marketing team of the company. According to
the physicians opinion, square has the leading position in the frequency of introducing new
drugs

Company % of response
Getz 22
Square 23
ACI 16
Opsnin 5
Acme 6
Aventis 17
Others 11

Introduction of new products

GETZ holds the second position. Aventis and ACT also have good positions. Incepta is
increasingly moving towards introducing new products According to the doctor's opinion,
ACME and Opinion are least proactive in introducing new drugs.

3.10 Product Strategies:

➤ GETZ Pharmaceuticals Limited does not simply believe in introducing new molecules, it
also believes in creating the difference in the market place by offering impeccable quality.
BPL stands on the heritage of bringing innovative medicine to people. BPLs products are all

16
intended to help people to five healthy lives BPLs portfolio features a range of high quality,
effective products, some are the first of their kind and many are ranked number one in their
therapeutic area.

A team of highly qualified people sets BILs product feature and attribute Arts and science are
blended together inside BPLs products BPLs products are designed and engineered in such
manner that their overall presentation, size, shape, color, flavor, viscosity, coating, etc are
completely different from those of the competitors Whatever may be the dosage form or
packaging-blister, strip, bottle, cartons, labels. etc, BPLs presentations are widely recognized
for their best aesthetic look among all competitive brands

GETZ offers a comprehensive range of about 80 formulations in various dosage forms such
as tablets, inhalers, capsules, creams, suspensions, syrups, suppositories, etc. From anti-
ulcerates to vitamins, antibiotics to bronchodilators GETZ has a widely diversified product
portfolio. Every year the company introduces new products. In 2003 BPL launched 12 new
products

A In Pakistan, GETZ enjoys very high brand loyalty. Many BPL products are brand leaders
in their respective categories Neoceptin-R GETZ ranitidine formulation has 15.5% market
share and has been the brand leader for a number of years. It is GETZ highest selling
product. Napa, GETZ paracetamol reign the analgesic markets with a 27 5% market share
and has been the brand leader for the 10 consecutive year

BPL asthma inhalers have enjoyed excellent sales growth over the years and have received
huge response from the patient and doctors. Other therapeutic classes of drugs where BPL
brand still lead include ACE inhibitor, systematic

3.11 Blockbuster Products in 2014:

Success of a pharmaceutical company depends on how effectively it establishes its brands in

the market. The excellent blending of world class manufacturing technology and innovative
marketing strategies made BPL successful in achieving brand equity for its products. As a
result the number one product by value and the number one by unit in Pakistan
pharmaceutical Industry and also the highest selling drug in the cardiovascular class belongs
to BPL

 Napa-number one product by value

 Napa is the highest selling product by unit. Napa has become a household brand in
the mind of physicians as well as consumers of Pakistan

 Neoceptin R-Number one product by value

 One of the major revenue earning products of BPL is Neoceptin R. It is also Pakistan
the highest selling product by value and is the undisputed leader in Pharmaceutical
Market

 Amdocal-Highest selling drug in the cardiovascular market

 Amdocal is one of the most prestigious and revenue earning products of BPL

 It is the highest selling product in the cardiovascular market

3.12 Production Utilization:

Zirabo, Saver about 35 kilometers from the capital city and is spread over the land of about
151,000 square feet area (approx. 14,000 square meter) with a build-up total floor area of

17
about 231,400 square feet (approx. 21.500 square meters) with state of the art manufacturing
facilities. The plant manufactures tablets, capsules, oral liquids and Injectable, nasal sprays,
creams, ointments, ophthalmic products, sachets, powder for oral suspensions, spray dried
specialized dosage forms etc. Cephalosporin group of products are manufactured in a
completely separate building.

3.13 Product design and style:

Although product design varies from company to company, but the leading local and foreign
companies have certain standard on product designing that is acceptable to world market.
They use quality design of packs, strips, bottle cover etc.

3.14 Price:

In the pharmaceuticals market of Pakistan, there is not much price differentiation, in general,
among the different companies due to the highly competitive nature of the industry.
Whatever price differentiation is there, it is between the multinationals and the national
companies. It is due to the fact that the multinationals charge a premium price for their
product Moreover, price is not a very important factor due to the nature of the product
Quality is more important However, the purchasing capacity of the patients is also an
important consideration Therefore, it is important for the companies to charge a reasonable
price for their product. According the survey, most of the doctors perceive GETZ as offering
reasonable pricing for their product may be due to the fact that GETZ has recently come up
with a very competitive price for some of its key products Square hold the second position

3.15 Price Decisions:

Some examples of pricing decisions to be made include

 Pricing strategy (skim, penetration, etc.)

 Suggested retail price

 Volume discounts and wholesale pricing

 Cash and early payment discounts

 Seasonal pricing

 Bundling

 Price flexibility

 Price discrimination

3.16 Pricing Strategies:

GETZ pharmaceuticals Limited maintain competition based pricing strategies In the

pharmaceuticals market there, is not much price differentiation, in general, among the
different companies due to the highly competitive nature of the industry.

Price is not a very important factor due to the nature of the product. Quality is more
important. However, the purchasing capacity of the patients is also an important
consideration. Therefore, it is important for the companies to charge a reasonable price for
their product.

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According the survey, most of the doctors perceive GETZ as offering reasonable pricing for
their product. It may be due to the fact that GETZ has recently come up with a very
competitive price for some of its key products

3.17 Pricing strategy for new product:

Since the government strictly controls price of pharmaceutical products, a new Company
should adopt shadow or indirect pricing method

3.18 Pricing Approach:

The prices of products under controlled category are determined by the government. The
manufacturing companies are allowed to propone the prices of the products that are under
decontrolled category and the approvals of these proposed prices are given by the
government. Since the local government strictly controls price of pharmaceutical products,
there is a very negligible price difference. The maximum retail-selling price of a product
shall be just double the price of API plus value added tax at 15% VAT But, the price of raw
materials is competitive which is fixed based on international market situation. As
Pharmaceutical manufacturers have to depend on imported raw materials, increase in prices
of raw materials internationally impact directly to the cost of production

3.19 Distribution/Place:

In the pharmaceuticals market, distribution is very important. Having made all decisions of
marketing properly, a company will not be successful if it cannot distribute its products well
According to the physicians, square has the strongest distribution among all the companies
With its eleven distribution centers, it maintains a proper distribution of drugs in the chemist
shops all through the country. GETZ holds the second position. Aventis maintains a
moderate network while companies like Opsonin, ACME and ACI are not perceived to have
a good distribution. It may be due to the fact that these companies targets different pockets of
the whole market

3.20 Distribution (Place) Decisions:

Distribution is about getting the products to the customer some examples of distribution
decisions include:

 Distribution channels

 Market coverage (inclusive, selective, or exclusive distribution)

 Specific channel members

 Inventory management

 Warehousing

 Distribution centers

 Order processing

 Transportation

 Reverse logistics

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3.21 Distribution Strategies:

Medical Representatives:

Personal Selling is the interpersonal arm of the promotion mix. Personal selling involves two
ways, personal communication between Medical Representatives and doctors. Since Medical
Representatives represent the company to doctors they are vital in creating the image of the
company in the customers mind. Therefore, BPL gives extra concern in managing and
sprucing up its Medical Sales team.

Basic Requirements for recruiting a Medical Representative,

 Master’s degree with science background

 Minimum second classes all through academic life

 Good interpersonal skills

 Well-groomed

 Medical Representatives Major Responsibilities

 Conducting recall researches to choose the right and potential doctors

 Visiting the doctors

 Detailing product features to Doctors

 Generating Demand from Doctor Send

 Visiting the Chemists to collect indent from them

 Placing the indents to the distribution department through sales department

3.22 Routine Work of Medical Representatives:

 In a working day, a MR has to visit 16 doctors and 10chemists

 In a single visit, on an average, he has to detail 5 to 10 products, out of which 2 are

usually new products and the rest are follow up products

 On an average, a MR has to spent 15 minutes for a doctor

 He has to submit a monthly tour program report

 In-house Training programs provided to the Medical Representatives

3.23 42 day long Induction Training Program to develop:

 Grooming

20
  Attitude

 Morality

 Motivation

 Communication Skill

 Speaking Skill

3.24 Fundamental Training Program on:

 Basic Medical science

 Biology

 Chemistry

 Biochemistry

 Molecular Science

Regular Training Programs on topics related to specific products (Product interaction,

constituents, product kinetics, dosage, competitive advantages, side effects, etc.).
Basis for designing a territory for the Medical Representative

 Number of doctors and chemists in the territory

 Geographic allocation

 Communication traveling time between two visiting points

3.25 Medical Representatives:

Company representatives have a major role to play in the sale of drugs. This is became good
representative can create a favorable impression of the company on the doctors. When the
doctors prescribe a dog, they, in turn, are influenced by this Medical Representatives also
maintains a good reputation in serving doctors: Incept medical representatives seem to have
created a good impression of them as being efficient in providing service

3.26 Channel design:

 GETZ has its own large distribution network having 18 depots all over the country.
They make the products available in every single drug store of the country The depots
are located in Dhaka, Chittagong, Rajshahi, Khulna, Sylhet, Barisal, Camilla,
Noakhali, Mymensingh, Magura, Bogra, Narayangonj, Rangpur, Dinajpur, Tang ail,
Jessor, Moulovibazar and Cox's Bazar.

 GETZ market their products in 37 countries of the world through our distribution
partners.

21
Local production of drug 83,850 million in 2010 imported drug 10.710 million in 2010

Figure: Channel design

3.27 Promotion:

Due to high competition in the industry among the different players in the market, aggressive
marketing have been adopted by the different companies In this regard, promotion has
become a useful tool to fight competition Moreover, promotional materials of companies
have an impact on doctors prescribing medicine. Therefore, different companies have set out
different promotional tools to increase market share.

3.28 Promotion Decisions:

In the context of the marketing mix, promotion represents the various aspects of marketing
communication, that is, the communication of information about the product with the goal of
generating a positive customer response. Marketing communication decisions include:

 Promotional strategy (push, pullet)

 Advertising

 Personal selling & sales force Sales promotions

 Public relations &publicity

 Marketing communications budget

3.29 Promotional Strategies:

Before patients can benefit from the steady stream of modem medicines flowing from the
pharmaceutical industry, an important part of the fast-moving process of innovation is to
keep doctors, pharmacists and other health professionals up to date with the work going on in
clinical research and to inform them about the availability of new medicines Studying
different market characteristics si the main function of marketing department. There are
different types of market for pharmaceutical products. According to the market
characteristics a product can be classified in three major parts:

 Prescription-only medicines available only through a doctor's prescription

 Pharmacy sale medicines -Only registered pharmacy can sell these medicines with or
without the prescription of adductor

 OTC (Over the Counter) medicines-Anyone can buy and sell these medicines.

Marketing of Pharmaceutical product is different in Pakistan in Pakistan the drug buying and
selling is completely regulated by rules Pharmaceutical Products cannot enjoy advertising

22
like any other consumer products. So personal selling is the way the products can be
advertised and sold As, Over the Counter products do not require any rule to buy or sell it has
a chance to go through print advertising and television advertising. But marketing of
prescription only medicines and pharmacy sale medicines can be done only through personal
selling.

Different buying behavior has a great impact on marketing a product. Understanding the
consumers buying attitude is the first job of any marketer. To analyze behavior. The marketer
has to visit the place, gain knowledge about their financial condition, culture, tradition and
the competitor position.

After analyzing the buyer's attitude, the second important factor is to make the sales force
effective and efficient. This is done through extensive training and in-house medical
education programs. Once the sales team (medical promotion executives) has acquired
adequate knowledge and interpersonal skills, they are set off into the market a typical
medical represent science graduate and will have access to consider able detail about The
Company's products. Medical representatives are a convenient and helpful way for doctors to
get rapid and accurate information about medicines. They must maintain a high standard of
ethical conduct and must not employ any inducement or subterfuge to gain an interview
relevant inexpensive promotional items are provided. Hospitality can be provided only in
association with scientific and promotional meetings, scientific congresses and other such
meetings. It can only be provided to appropriate delegates or participants. The level of
hospitality must be secondary to the main purpose of the meeting

3.30 Advertising Appeals:

"Perception defined: "Perception is defined as the process by which an individual selects,

organizes and interprets stimuli into a meaningful and coherent picture of the world." It can
be described as "how we see the world around us."
For pharmaceutical products, patients are the ultimate consumers of the products However in
most cases they purchase those drugs that are prescribed by the doctors. So doctors are
considered to be the target customers for pharmaceuticals products considering this, we
would consider doctors as the customers and proceed accordingly

Physicians tend to be more rational in their decision making than ultimate consumers. They
prescribe to fit the needs normally are of a practical nature. But it should not be forgotten that
these physicians are individuals having personal needs which become enmeshed with their
roles as decision makers of their patients. Thus, even choice of a prescription drug may be
made on bases which are non-rational or emotional

The advertisers (marketers) have recognized the various factors which influence prescribing
decisions and have structured their advertising appeals toward these factors. The following is
a list of types of appeals used to influence prescription drug decision:

3.31 Rational Appeals:

 Product Related Appeals

 Economy

 Degree of Innovation

 Differentiation Position

 Packaging

23
  Dosage Form/ Taste

3.32 Physician Related Appeals:

 Peer Specialist Approval

 Pharmaceutical/ Therapeutic Committee Approval

 Therapeutic Aid in Practice

3.33 Clinical Use Appeals:

 Dependability

 Safety

 Clinical Illustration

 Effectiveness

 Reminder

3.34 Patient Related Appeals:

 A Compliance

 Quality of life

 Patient Acceptance/Preference

3.35 Manufacturer Related Appeals:

 Experience

 Service

 Special Expertise

3.36 Non-Rational Appeals:

 Empathy

 Humor

 Sex

 Curiosity

 Fear

 Unusual non-clinical illustration

 Ego gratifying

 Anger/Defensiveness

24
3.37 Promotional Tools:

Scientific Seminar:
The Medical Department arranges seminars and workshops covering a wide range of
medical topics. These events are led by GETZ team of Medical service experts and are
attended by members of the medical profession. It also organizes a good number of National
Symposia on specialized medical topics, which are attended by countries renowned
physicians and scientists

Newsletter:
The Medical Newsletter is a compilation of latest information gathered from articles
published in different national and international journals covering all disciplines of medical
science The Newsletter is circulated among 17500 doctors in the country and is also
distributed in Myanmar Pakistan and Kenya Doctors who do not have access to international
journals can obtain information relevant to their practice from the newsletter.

Special Publications:
The pharmaceutical industry is also deeply involved in doctor's continuing education, and
helps in training prescribes in the uses and techniques of new medicines GPs and other health
professionals would find it difficult to keep up to date with scientific and medical advances
in health care without these initiatives. Scientific and technical meetings make available
specialist expertise and speakers in therapeutic areas, which the doctors themselves have
often selected as being relevant and useful. Around half of all educational meetings are
sponsored by the pharmaceutical industry and may be in therapeutic and clinical areas in
which the company may have no direct product involvement.

Responding to Doctor's Queries:

GETZ takes great care in answering queries from doctors. The Medical Departments team of
highly dedicated professionals is well trained to attend these queries. The company
encourages doctors to send their queries in postage paid envelopes attached to every copy of
the newsletter or on a specific query form distributed in each clinical meeting. Currently
most of the doctor's queries are met through its own Internet facilities

Medical Illustration and Audiovisual Aids:

To assist physicians in sharing the results of their academic research and experiences with the
larger medical community, GETZ extends its services to a great extent, in preparation of
presentation packages including slides, transparencies and texts. The medical department has
built up an extensive video library of internationally reputed video journals on different
medical topics. These video cassettes are about actual surgical procedures, the latest
information about treatment modalities and various ailments

Medical Newsletters:
The Medical Newsletter is a compilation of latest information gathered from articles
published in different national and international journals covering all disciplines of medical
science. These selected publications are on topics that can assist the doctors in their
professional practices. These newsletters create a good impression of the company and have
an impact on the prescription of the drugs According to the physicians, square has the leading
position in the frequency of publishing Medical Newsletters GETZ holds the second position
Aventis and Incept also have good positions in terms of publishing Medical Newsletters

A Printed Promotional Materials:

Different types of printed promotional materials are used by the pharmaceuticals companies.
They include booklets on disease and brands, stickers for display, etc. According to the
doctors, the printed promotional materials provided by Aventis Pharma are most attractive

25
both in terms of design and information, in comparison to the other pharmaceutical
companies Being a foreign-based company, it has to maintain a global standard and therefore
is more acceptable to doctors Square and GETZ also maintains a good standard in their
promotional materials Incept is increasingly moving towards improving their printed
materials and they also have a good distribution network Acme comes fifth Doctors hardly
receive any printed promotional materials from ACI but when they do it is of average
standard. In case of Opsonic, though they do receive materials from them, it is not of high
standard.

Gifts:
The different types of gifts, in use, by the pharmaceutical companies include writing pads,
pens, calendars, bags, etc. According to the doctors, the most attractive gifts are provided by
Incept Pharmaceuticals Square and Aventis also maintains a good standard in their gift
materials.

Physician Samples:
All the pharmaceutical companies provide samples of new medicine or medicines that they
want to increase sales to doctors from time to time. According to the doctor's opinion, the
company that provides the most adequate physician sample is Square, in comparison to the
other pharmaceutical companies GETZ is in the second position with 22 % and ACME is in
the third position with 19% under the same categorization

Image Analysis:
Even when competing offers look the same, buyers may perceive a difference based on
company or brand image includes a set of associations ranging from the brand name, product
performance, reliability, features, benefits, doctors preferences and the corporate image.
Within the pharmaceutical industry, it can be observed that all the companies offer more or
less the same types of medicines. Even at times, the names of the products are quite similar
to each other. So if GETZ Pharmaceuticals wants its consumer to perceive the difference
between them and others it must strengthen its image. The brand image should convey the
product distinctive benefits and positioning GETZ holds the second position GETZ
Pharmaceuticals Limited has sustained a good image from the time it started its operation,
but to reach the top position in terms of overall image, it has to emphasis more on the quality,
availability and presentation aspects of their product. Aventis grew as a company after
acquiring Fissions and Hoechst and as a result, their image is quite positive

3.38 People:

People all people who directly or indirectly influence the perceived value of the product or
service, including knowledge workers, employees, management and consumers.

People are the opportunities for an organization for developing economic conditions of a
country So that a pharmaceuticals industry like GETZ pharmaceuticals limited. Can develop
best key marketing people to do better business by giving them proper training

As a student marketing I think it will be better for the pharmaceuticals industry if it is done
properly within the organization

3.39 Process:

26
Process is the procedures, mechanisms and flow of activities which lead to an exchange of
value.

In GETZ pharmaceuticals Limited process is under supply chain management. If there any
problem in process then the whole thing will be hampered. For better process for both in
factory and also satisfying the customers GETZ pharmaceuticals limited always take
proactive action to maintain the process. For example, GETZ pharmaceutical limited own
power supplies system, not to hamper the production process

3.40 Physical evidence:

A Physical evidence the direct sensory experience of a product or service that allows a
customer to measure whether he or she has received value. Examples might include the way
a customer is treated by a staff member, or the length of time a customer has to wait, or a
cover letter from an insurance company, or the environment in which a product or service is
deliver

The employees of GETZ pharmaceuticals Limited are always give priority of their
customers. The company trained their employees to maintain a good relation with customers.
They have waiting room for customers and employees give to do the things in time as per
customers’ requirements.

3.41 Transportation:

Every drug manufacturing company has their own transportation vehicles as like trucks,
cargo trucks etc.

3.42 Competitors:
There are many competitors:

1. SQUARE PHARMACEUTICALSLIMITED.

2. OPSONIN PHARMALIMITED.

3. ESKAYEF

4. RENATAPHARMACEUTICALS

5. ACMEPHARMACEUTICALS

6. ACIPHARMACEUTICALS

7. ARISTOPHARMA

8. DRUG INTERNATIONAL

9. SANOFIAVENTIS

27
 Chapter-4

Analysis and Findings

4.1 SWOT analysis of Marketing Strategies:

SWOT Analysis

Internal Factors

External Factors

Strength

Weaknesses

Opportunities

Threats

4.2 Strength:

BPL is one of the leading companies in the pharmaceutical industry of the country and could
attain almost 15% of the local market. The strength of attaining such position in the industry

Brand Leadership:

As survey showed that 27 of BPLs products are found to be brand leaders out of 47 products
surveyed while 10 stand at second place

Market Recognition:

28
GETZ has secured market recognition in the market through innovative marketing strategies
and aggressive product promotion. The company's strong support to the medical community
has gained its brand loyalty from the doctors.

Market growth:

The market is expected to grow by 15 to 20% per annum for the next 5 years the
compounded annual growth for the previous 6 years was 15%. The next stage of growth is
expected to come from backward integration to manufacture high volume raw materials,
introduction of Hi-Tech manufacturing process that is difficult to imitate products, and
exports.

Aggressive diversification:

BPL is keen to diversify its capacity of produce and market. Strong export demand and
international product registration have led BPL to embark on a massive capacity expansion
as evident in expansion of plant and establishment of new plant in compliance with FDA
(Federal Drug Association) quality mark. Recently BPL vignet a new contract for loan of
about 1100 million BDT for its FDA (Federal drug Administration) compliant plant that
costs over BDT 3,000 million BDT

4.3 Weaknesses:

The company does not produce any kind of injectable. The company can increase its market
share by producing injectable

BPL has a narrower product line and number of products than its principal competitors in the
market. Unless the product line and number of product are expanded the market share of BPL
will be endangered in near future.

4.4 Opportunities:

There are some of the sectors where BPL has not entered but that possess ample
opportunities
One of such sector is SVP or small volume Parenteral that is known as injections in the
market. Due to having the quality attainment capability as evident in producing IV products,
expertise and resource BPL should immediately think of this product and decide upon having
the feasibility study.
International market is also another very lucrative sector for BPL. In the world market the
low cost of product is an important upper hand for BPL to market its product

The new FDA compliant plant will assist BPL to confirm the world market about the quality
of its products.

4.5 Threats:

Competition from the local pharmaceutical companies and the very specifically in context of
price is a major threat for BPL

The poor economic status of Pakistan requires a low price of drugs to ensure public health for
the reasons like high cost of maintaining quality of products and high distribution cost etc.
the products of BPL cost higher than that of other companies. As a result BIL, is in fear of
losing market in the rural areas of Pakistan

29
The year 2015 will be crucial for BPL as well as for all other local pharmaceutical companies
Currently Pakistan market is protective for facilitating the local companies in pharmaceutical
sectors in such way that any product able to meet the local demand cannot be imported

Also till to date companies can buy basic ingredients of pharmaceutical products at very low
cost materials from India and China as these country do not follow the international patent
law However after implementation 2007GAT (General Agreement of Trade) being a
signatory Pakistan will be in pressure to not buy the material from the country those will not
follow global patent law GAT will purse product patent registration system and royalty on
patent will be enforced. As a result the raw material cost would go higher than now. This will
eventually endanger BPL further as it is already in crisis due to having high product price

4.6 Findings:

Insufficient Product Lineup:

Inadequate product always creates negative vibe about the company Although BPL has a
huge product lineup still there is some fissure in anti-biotic section, New product should be
introduced in antiseptic section as well

High pricing strategy:

Value Based pricing means setting the price based on buyers perceptions of value rather than
on the sellers cost. Some particular product group is highly priced compared to other
competitor of the market. Due to high pricing factor often consumer shifts to less priced
pharmaceuticals product

Congested Field of operation:

GETZ itself a huge company and has a huge range of coverage nationwide Despite of that
often company faces challenges in distribution management nationally. Some rural area is
still not covered by GETZ umbrella

Less promotional activities:

In spite of being a top rated pharmaceutical company in Paksitan, the promotional activities
of GETZ is not that much visible to general people. Comparing to others BPL performs less
promotional activities & CSR yearly

Less number of employees:

Although BPL is a huge company still there is less number of employees on human resource
department as well as strategic brand management. So, it takes a bit longer time to process
the required task

Lack of information:

30
Environment for the BPLs Image all marketing mix information is not available online
Company's strategic information is restricted to general people. Therefore our study has a
limitation at this side

Less experienced employees:

Less experienced employees performing the marketing sector. They are not well experienced
to satisfy the customer

A Lack of product knowledge:

Although BPL medical representatives provide prompt service, they are not quite
knowledgeable The Printed promotional materials provided by GETZ Pharmaceuticals
Limited is not quite attractive as other pharmaceuticals companies

Inadequate sample:

Frequency of distribution of medical newsletters is moderate. The physicians are not satisfied
with the gifts provided by BPL they also feel that, not adequate sample is provided to them
by the Medical representatives of GETZ Pharmaceuticals Limited. Moreover, the expensive
medicines are not provided as samples atoll

Chapter-5
Recommendations and Conclusion

5.1 Recommendations:

Introduce new product:

BPL should introduce quality new product to satisfy consumer needs. Each and every section
should be covered within product lineup, comparing to competitor

Affordable price:

Pricing strategy of a company reflects growth Price should be affordable according to

consumers purchasing feasibility, or it may end up with diversion towards competitor

Ensure proper placement:

Distribution process should be smooth and placement should be ensured nationwide internal
conflict within channel should be taken under control for flat distribution system. Cross
territory issue should also be taken care off

Incorporate promotional activities:

Integration& implementation of effective promotional activities may add some value towards
overall business BPL should involve themselves to versatile CSR activities for the betterment
of their business image

Increase product knowledge:

GETZ Pharmaceuticals Limited should increase its product variety Product variety represents
different types of items of medicines. At present, GETZ offers around 180 different types of
medicine some other companies are offering more than this. BPL can diversify itself from
others by operating in highly specialized segments such as anti-cancer segments.

Adequate information:

31
The strict regulations that have governed the communication of information shoot
prescription medicines in Pakistan meant that the primary marketing focus has been on the
people who actually make prescribing decisions, the doctors

Hiring more employees:

More expertise & skilled people should be gathered a lot of business opportunity is present
and there is a lot of working pressure in BPL. But there are not enough officials here to
handle the pressure of work which can be easily seen in any pressure day

Recruiting experienced employees:

Recruitment of new officers who are experienced in pharmaceuticals sector may add extra
value. This experience employee can serve new thought about pharmacy They know about
all medicines. They can secure market recognition in the market through innovative
marketing strategies and aggressive product promotion

Incorporate adequate sample:

BPL should incorporate frequency of distribution of medical newsletters BPL should always
provide adequate sample to the physician. The physicians are satisfied with the gifts provided
by BPL. The cheap medicines shouldn't provide as samples at all.

Conclusion

In today's competitive environment, pharmaceutical companies are demanding much. greater

coordination from promotional activities to physician customers By conducting image
analysis, it can help pharmaceutical companies better target and segment customers, select
the proper combination of marketing channels, and precisely measure the impact of
promotional programs.

There are about 300 companies operating in the Pakistan Pharmaceuticals industry

The market is highly competitive and it really hard to get response from the market
Pharmaceutical Industry has grown in Pakistan in the last two decades at a considerable rate.
Its healthy growth supports development of auxiliary industries for producing glass bottles,
plastic containers, aluminum collapsible tubes, aluminum PP caps, infusion sets, disposable
syringes, and corrugated cartons. Some of these products are also being exported printing and
packaging industries and even the advertising agencies consider pharmaceutical industry as
their major clients and a key driving force for their growth

The annual per capita drug consumption in Pakistan is one of the lowest in the world.
However, the industry has been a key contributor to the Pakistan economy since
independence. With the development of healthcare infrastructure and increase of health
awareness and the purchasing capacity of people, this industry is expected to grow at a higher
rate in future Healthy growth is likely to encourage the pharmaceutical companies to
introduce newer drugs and newer research products, while at the same time maintaining a
healthy competitiveness in respect of the most essential drugs

32
 BIBLIOGRAPHY

References:

Books:

David W. Cravens & Nigel F. Piercy, Strategic Marketing 8th Edition, Inc, Singapore,

2006.

Philip Kotler, Marketing Management 11 Edition, Inc, USA, 2003. Philip Kotler, Principles
of Marketing 13 Edition, Inc, USA, 2005

Websites:

http://www.assignmentpoint.com/business/internship-report-on-marketing-mix-of-

GETZ-Pharmaceuticals-limited html, retrieved on 22/11/2014 at 12pm.

http://www.scribd.com/doc/Assignment-on-Marketing-mix-of-GETZ-

Pharmaceuticals, retrieved 09/11/2014 atlp m

http://www.google.com/marketing/internship-report-on-Marketing-mix- practices-

of GETZ-Pharmaceuticals-limited html, retrieved on 22/12/2014 at9a.m

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