A Case Analysis On Biocon 371bi

QUE. 1) What are the advantages and disadvantages of starting and operating a pharmaceutical firm in India?

ANS. 1) Advantages:  India having a large no. of scientists and professionals having great skills and knowledge.  Indian population is big pool for the clinical trail studies.  Indian low like DPCO and IPA are also helpful for growth of Indian Pharma companies. Disadvantages:  Some Government policies are not allowing the collaboration of global companies with India companies which lead to lower growth rate of Indian companies.  Most of Indian biotech and pharmaceutical firm counted on organic growth or acquisition, not outside funding, to fuel any expansion.

QUE. 2) Is the Indian CRO market attractive? ANS. 2)  Biocon India group are the first one for the establishment of CRO in India named Syngene, syngene provide its clients with bulk volumes of target molecules, reagents, and custom molecules for early-stage drug discovery and development.  This high growth potential represent significant opportunity for Indian CRO players like syngene and clinigene.  Indian CROs are focused primarily on serving the need for bio-equivalence and bio-availability studies in market and some companies also offer services in clinical trials, pharmaceutical MNCs are giving outsourcing for activies like critical and sensitive task to the Indian CROs.

 Indian CROs are more focused on low-to-medium segment value chain to get more profitability.  In India very few pharma companies having CROs compaire to foreign countries. Intas having “LAMBDA”, Zydus Cadila having “B.A research centre”; so in Indian market CROs are very attractive for clinical trials.

QUE. 3) What is the best way for biocon India group to expand? ANS. 3)  Biocon can also try to expand by introducing a new and higher quality products for the market, as they are already involved in all the research activities before production of drug for market so this can be good and better way of expansion area for biocon.  Biocon has not started to produce animal products, so they have to start discovering animal products.

QUE. 4) What is the best way for biocon India group to expand, and what factors should it consider? ANS. 4)  As biocon started its very first industrial infrastructure in Bangalore, but now for the better future they should look beyond for the other available places for new development in India. They should try to establish their plans and projects in new cities and new industrial area of India to get maximum coverage of Indian and global demand.  In future Biocon should look beyond the syngene and clinigene for expansion. its should jump in to the other pharma related market in domestic as well as globally to sustain in market for longer duration.  biocon can also try to expand by introducing a new and higher quality pharma drugs for the market, as they are already involved in all the research activities before production of drug for market so this can be good and better way of expansion area for biocon.

Factors should Biocon consider :  Partnering with incubators and research centers in order to involve them early in the commercialization process.  To be able to evaluate innovations that have a commercial success.  Partnering with universities to follow up basic research trends, and identifying those willing to becoming entrepreneurs or willing to commercialize or sell their innovation.  Hire the Directors and find technology consultants and sales personnel shortly