Great Leadership By Dan

JUNE 14, 2018

When does pharmaceutical pricing become price gouging? When does product promotion become false advertising? They require careful analysis, not gut feeling or simplistic platitudes. When does online data harvesting become invasion of privacy? When does cost saving become worker exploitation?

Ethics 197

Ethics Maturity Analysis Cost-Benefit Analysis 197

Strategy Driven

JANUARY 5, 2020

Its production is around 10% of that of gold (merely 7 million ounces a year), and during the world war, the US government banned any ownership of platinum and termed it as a strategic element. One such example is that of a large Swiss-based pharmaceutical company that invested around $11.3 Price Performance in Recent Years.

Price 67

Price Short-term Long-term Globalization 67

Marshall Goldsmith

NOVEMBER 4, 2013

As companies have become larger and more global, there has been a shift from buying stand-alone products to buying integrated solutions. They would prefer to work with fewer vendors who can deliver not only products, but systems for delivery that are customized to meet their needs. One reason for this shift is economy of scale.

Short-term 107

Short-term Long-term Trends Telecommunications 107

Strategy Driven

JULY 13, 2011

It turned out that the unit was driving profits by raising prices and cutting marketing and advertising expenditures. Higher prices and reduced advertising created an opening for competitors to take away market share, which they did. The next thing the company knew, it couldn’t raise prices anymore, and market share kept falling.

ROIC 62

ROIC Balanced Scorecard Metrics McKinsey 62

Harvard Business Review

AUGUST 3, 2016

Regulators try to model how prices, sales, and even the combining parties’ research and development efforts will change after a merger. That can benefit consumers through lower prices, more innovation, and better products. It’s far easier to predict short-run changes in prices and quantities in the current market.

Innovation 8

Innovation Pharmaceuticals Company Price 8

Harvard Business Review

JUNE 7, 2012

Or you could completely undercut industry pricing models by, say, 90%. You don’t cut prices by 90% through marginal improvements in existing products. If such radical price competition seems far-fetched, consider how smartphone and iPhone apps have cut the legs out from under numerous incumbents, like GPS manufacturers.

Disruptive Innovation 22

Disruptive Innovation Innovation Pharmaceuticals Class 22

Harvard Business Review

DECEMBER 20, 2011

The two biggest product stories of 2011 were arguably Lipitor and the iPhone 4S. The iPhone 4S's story seems to be about a new beginning: the highly anticipated launch of the latest version of a blockbuster consumer-technology product. Diplomat will sell mail-order branded Lipitor at generic prices. Both Pfizer and.

Disintermediation 15

Disintermediation Industry Pharmaceuticals Price 15

Harvard Business Review

AUGUST 9, 2012

Selling pharmaceuticals in Latin America is not the same as selling them in the United States or Western Europe. So if a doctor prescribes a medication priced at 100 pesos, that is what it will cost the patient. So if a doctor prescribes a medication priced at 100 pesos, that is what it will cost the patient.

Pharmaceuticals 13

Pharmaceuticals Strategy Advertising Price 13

Harvard Business Review

MAY 26, 2016

While a dynamic, competitive economy rewards innovative firms with high profits and punishes poor performers with low profits, sustained aggregate profits suggest, instead, that firms are able to get away with higher prices because competition is limited. If so, then high profits portend diminished productivity growth.

Pharmaceuticals 11

Pharmaceuticals Politics Price Chemicals 11

Harvard Business Review

SEPTEMBER 12, 2012

The study assembles considerable evidence about the hidden business model of major pharmaceutical companies: to devote most of their research budget to developing hundreds of drugs that provide few if any advantages over existing drugs and then market them heavily to doctors and patients.

Business Model 15

Business Model Company Pharmaceuticals Price 15

Harvard Business Review

MAY 20, 2014

In pharmaceuticals, the largest company, Pfizer, is the result of decades of mergers. The current corporate entity is comprised of firms that used to be called: King Pharmaceuticals, Wyeth, American Cyanamid, Lederle, Pharmacia, Upjohn, Searle, SUGEN, Warner-Lambert, Parke-Davis and others.

Pharmaceuticals 11

Pharmaceuticals Banking Chemicals Trends 11

Harvard Business Review

JUNE 7, 2012

Or you could completely undercut industry pricing models by, say, 90%. You don’t cut prices by 90% through marginal improvements in existing products. If such radical price competition seems far-fetched, consider how smartphone and iPhone apps have cut the legs out from under numerous incumbents, like GPS manufacturers.

Disruptive Innovation 12

Disruptive Innovation Innovation Pharmaceuticals Class 12

Harvard Business Review

JANUARY 13, 2015

In pharmaceuticals, there are blockbuster drugs targeted at mass-markets segments. But insurers pay this price because Soliris is the only safe and effective treatment for these diseases and that price is less than the total cost of alternative treatments. But there is also Nordstrom, Louis Vuitton, and many high-end boutiques.

Market Segmentation 8

Market Segmentation Mass Marketing Price Pharmaceuticals 8

Harvard Business Review

APRIL 2, 2018

There is an abundance of high-quality comparative effectiveness data for pharmaceuticals, largely because of the drug approval process, but there’s less data on the value of other expensive investments into health, such as doctor visits and hospitalizations. (For

Health Care 8

Health Care Insurance Pharmaceuticals Incentives 8

Harvard Business Review

MAY 31, 2018

The pharmaceutical company Valeant raised the price of Cuprimine — invented in 1956 and used to treat Wilson’s disease, a rare condition in which the body cannot process copper — from about $500 to about $24,000 for a 30-day supply, causing outrage from consumers. And the stakes are too high not to try.

CEO 8

CEO Short-term Long-term McKinsey 8

Harvard Business Review

MARCH 27, 2018

Ordinarily the harm from monopolies are higher prices, less output, or reduced quality. Unlike some pharmaceuticals, data-opolies do not charge consumers exorbitant prices. Most of Google’s and Facebook’s consumer products are ostensibly “free.” Lower-quality products with less privacy.

Company 11

Company Advertising Incentives Engineering 11

Harvard Business Review

NOVEMBER 8, 2018

The profusion of independent information sources, such as customer reviews and price comparison sites, adds to the confusion.) Amazon’s analytics use data to make inferences about what products each customer might buy. In other cases, the orchestrator is a person enabled by data and analytics.

Marketing 11

Marketing Team Software Pharmaceuticals 11

Harvard Business Review

MAY 7, 2015

But how do you know how much your product or service is worth to a customer? What value do you get from using it in terms of productivity, connection to loved ones, enhanced relationships, increased knowledge, convenience, etc.? They need to understand the EVC for each rival product in the marketplace.

Price 8

Price Venture Capitalist Incentives Cost 8

Harvard Business Review

MAY 10, 2018

But China also has a huge domestic market for fake goods: many consumers who buy counterfeits do so deliberately, because they want to pay a lower price for goods that look expensive. A store that guarantees the authenticity of all products it sells is a big relief for them. Fake merchandise accounted for 12.5% Insight Center.

Brand 8

Brand Supply Chain Merchandising Tactics 8

Strategy Driven

MARCH 18, 2011

PL and CM: Coherent companies – those that possess a capabilities system that aligns their strategy with their product/service portfolio – generate superior performance over time, which is what we call the coherence premium. SD : What is the ‘coherence premium?’. SD : What does it mean to have a ‘right to win?’.

Resources 52

Resources Industry System Strategy 52

Harvard Business Review

SEPTEMBER 22, 2015

As the ire over high prescription drug prices in the United States escalates , it’s easy to blame pharmaceutical companies. But pharmaceutical companies aren’t to blame. But blaming them for their high prices is short-sighted finger pointing. American drug prices are among the highest in the world.

Pharmaceuticals 8

Pharmaceuticals Price Budgeting Insurance 8

Harvard Business Review

AUGUST 17, 2012

You could argue that Cipla's formula is simply to piggyback on other companies' products, so it doesn't have to pay for R&D. You could also argue that since Cipla produces many of its products in India, they pay less for labor and don't have to worry about quality. and other traditionally developed markets.

Company 11

Company Pharmaceuticals Business Model Fixed Costs 11

Harvard Business Review

JANUARY 31, 2013

Second, we see a raft of innovations that will alter how products are designed, manufactured and sold — everything from nanotechnologies to 3D printing. Then, manufacturing's most important role is as a driver of innovation, trade, and productivity. Innovations Are Changing The Way We Design Products. Demand is Shifting.

Globalization 9

Globalization Supply Chain Pharmaceuticals McKinsey 9

Harvard Business Review

NOVEMBER 24, 2015

But those numbers are the equivalent of the price of the car, not the added value that the new ownership will produce after the merger. The most common source of joint value is economies of scale , which allow for a reduction in the costs of either production or back-office operations.

Pharmaceuticals 8

Pharmaceuticals Cost Airlines Productivity 8

The Practical Leader

APRIL 6, 2022

” Pharmaceutical company: “ Preserving and improving human life.” ” Discount retailer: “ Making our customers’ lives better through lower prices, greater selection, and higher value.” In this month’s Harvard Business Review article, “What’s the Purpose of your Purpose?”,

Mintzberg 111

Mintzberg Pharmaceuticals Energy McKinsey 111

Harvard Business Review

DECEMBER 14, 2017

To be the change that many desire, these new mergers and acquisitions, and the others that will likely follow, must produce a higher-quality product for consumers (and satisfy physicians and other health professionals) at an affordable price. The answer is far from certain, and the uncertainties differ for the two mergers.

Health Care 8

Health Care System Insurance Pharmaceuticals 8

Harvard Business Review

SEPTEMBER 14, 2017

A less aggressive mix (say 75:25) is typical in industries such as pharmaceuticals that want salespeople to focus on customer education, and for technical sales jobs that have a large problem-solving component. Products such as chronic care medications have high carryover. Free sales come in two forms.

Motivation 8

Motivation Incentives Franchising Short-term 8

Harvard Business Review

MAY 17, 2012

Enter jugaad innovation — a cost-effective approach for creating affordable products and services using limited resources. Realizing that their customers were doctors and parents in villages, they set out to identify the product features that would bring the most value to these rural users. million premature babies die each year.

Incubator 11

Incubator Business Model Entrepreneur Cost 11

Harvard Business Review

SEPTEMBER 5, 2016

Pearson, the educational publisher, measures the efficacy of its products to improve educational outcomes. Cigna is the first insurance company to get pharmaceutical companies to agree to value pricing based on results for certain cholesterol-lowering drugs. ” Health care. ” Health care. Required Capabilities.

Incentives 8

Incentives Health Care Education Insurance 8

Harvard Business Review

NOVEMBER 27, 2013

Recent events have seen a rash of the departures from large corporates: Steve Ballmer from MicroSoft, Jeremy Levin from Teva Pharmaceutical, and Thorsten Heins from Blackberry. On 1 March 2009, Burberry’s share price opened at £254.75. But the question is why do they wait to be pushed from the saddle, when they can simply quit?

CEO 14

CEO Long-term Welch Pharmaceuticals 14

Harvard Business Review

MARCH 12, 2012

That strategy could be especially effective if the company priced access at the point just below the competitions' 'go/no-go' price for developing similar technology. Third, the company could earn goodwill from the local communities in which it manufactures its products.

Co-Opetition 14

Co-Opetition Company Brandenburger Game Theory 14

Harvard Business Review

APRIL 22, 2015

This was the original purpose of forming corporations — to facilitate the production of products and services with the least amount of wasted time, materials, and labor. Many companies still compete this way and there continue to be successors to Taylorism, including business process reengineering and lean production.

Six Sigma 8

Six Sigma Company Lean Production Taylorism 8

Harvard Business Review

NOVEMBER 8, 2017

Still early in their health-care-modernization programs, many nations in the Middle East and Asia are already struggling with double-digit annual increases in health care expenditures, well above the rate of expansion of their gross domestic products. Over the same period, pharmaceutical exports have doubled. Insight Center.

Health Care 8

Health Care Tourism Pharmaceuticals Cost 8

Harvard Business Review

MARCH 2, 2011

Undertakings with $20 million price tags such as the post-merger integration of a giant pharmaceutical client and its equally humongous acquisition. For us, our strategy informs every big decision we make — what markets to enter or exit, what acquisitions to make, what products to introduce." (The

Consultative 15

Consultative Strategy McKinsey Porter 15

Harvard Business Review

JUNE 8, 2015

Pharmaceutical companies, buffeted by regulatory changes, new drug technologies that alter entry barriers and competition, price pressures, and an estimated 300,000 job cuts since 2000, seem to fit the popular narrative of large organizations unable to deal with disruptive forces. It’s not just products.

Health Care 8

Health Care Venture Capitalist Strategic Fit Pharmaceuticals 8

Harvard Business Review

APRIL 19, 2016

Imagine the changes afoot in the pharmaceutical, medical device, automotive, and consumer electronics industries. For example, printing products on demand would significantly reduce the U.S. What happens, for example, if the value of a product’s underlying intellectual property overtakes its production value?

Supply Chain 8

Supply Chain Execution Analysis Technology 8

Harvard Business Review

SEPTEMBER 13, 2011

After all, positive results attract investors, raise stock prices, reinforce customers, draw talent, and more. Here are some common examples: When pharmaceutical companies announce that a new drug has been "approved," they are actually saying that their researchers made some breakthrough discoveries as far back as fifteen years ago.

Short-term 14

Short-term Pharmaceuticals Long-term Maturity 14