Mt Ranbaxy

A Thesis on TO STUDY PROMOTIONAL STRATEGY ADOPTED BY RANBAXY LABORATORIES LTD RELATED TO RANITIDINE-150mg (Antiulcerant) IN NAGPUR CITY

By ASHISH L. RAHATE 1|Page

Enrol.No.8NBNG169

TABLE OF CONTENTS MAIN HEADINGS

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ACKNOWLEDGEMENT…………………………………..3 2. INTRODUCTION…………………………………………...4 2.1 OBJECTIVE OF STUDY……………………………….5 2.2 LIMITATION……………………………………………5 1.

3. SALES PROMOTION…………………………………….....6 4. INDUSTRY PROFILE……………………………………….7 5. ABOUT RANBAXY………………………………………….8 6. COMPANY PROFILE……………………………………….9 7. SWOT ANALYSIS…………………………………………...12 8. MISSION & VISION………………………………………...16 9. DETAILS OF RANITIDINE………………………………...18 10. HISTAC………………………………………………………..20 10.1 COMPETITOR OF HISTAC…………………………....20

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1. ACKNOWLEDGEMENT

In preparation of this report by me I feel great pleasure because it gives me extensive practical knowledge in my career. I have attended the information about sales promotion of Ranbaxy Lab. through this project I express my deep sense of my gratitude to my company for valuable guidance during my project work I also like thank to all the staff members those who guided me in my project of Ranbaxy Lab. At Nagpur. I am thankful to Mr.Ajay Patole (Faculty Guide) for valuable inspiration and guidance provided me through out course of this project. Last But not least, I feel proud to express my deep gratitude to my parents without blessings; the presence work would have never been employed.

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2. INTRODUCTION

2.1 OBJECTIVES OF THE STUDY ➢ To study the overview of Indian Pharmaceutical Market. ➢ To study the culture of Ranbaxy Lab.

➢ To find out the promotional strategies used by Ranbaxy with respect to ‘Histac’ tab. ➢ To find out various promotional strategies used by Ranbaxy to acquire market share in Nagpur city. ➢ To study the competitors of ‘Histac ’ in pharma market. ➢ To study the perceptions of Doctors on sales of ‘Histac’

2.2 LIMITATIONS 4|Page

➢ The scope of study is limited to Nagpur City only. ➢ There may be discrepancies in the actual data and the recorded data due to misinterpretations. ➢ Topic is vast but availability of information and timeline is short. ➢ Unable to meet the decision maker of the organization. ➢ Due to busy schedule of Doctors proper feedback is not possible.

3. SALES PROMOTION

Introduction Now a day in this competitive world there are many companies existed. Every company wants to attract more and more customers to them there are many policies which are being implementing by these companies. Sales promotion plays an important role to increase the market potential of any company. There are various products of big companies which failed due to lack of aggressive marketing and proper promotion of that product. Sales promotion can be defined as an activity taken up to boost the sales of a product. In a specific sense, sales promotions include those sales and advertising and coordinates them and make them effective. It can include a host of activities like running advertising campaigns, handling public relation activities, distribution of free samples, offering free gifts, conducting trade fairs, offering temporary price discounts etc. 5|Page

Purpose of Sales promotion The main purpose of sales promotion is to boost the sales of a product by creating demand. Sales promotion also helps in achieving the following purposes: 1. Encourage the customers to try a new product. 2. Attract new customers 3. Encourage the customers to use the product or service and make them brand loyal.

4. INDUSTRY PROFILE

The Indian Pharmaceutical Industry today is in the front rank of India’s science-based industries with wide ranging capabilities in the complex field of drug manufacture and technology. A highly organized sector, the Indian Pharma Industry is estimated to be worth $ 4.5 billion, growing at about 8 to 9 percent annually. It ranks very high in the third world, in terms of technology, quality and range of medicines manufactured. From simple headache pills to sophisticated antibiotics and complex cardiac compounds, almost every type of medicine is now made indigenously. Playing a key role in promoting and sustaining development in the vital field of medicines, Indian Pharma Industry boasts of quality producers and many units approved by regulatory authorities in USA and UK. International companies associated with this sector have stimulated, assisted and spearheaded this dynamic 6|Page

development in the past 53 years and helped to put India on the pharmaceutical map of the world. The Indian Pharmaceutical sector is highly fragmented with more than 20,000 registered units. It has expanded drastically in the last two decades. The leading 250 pharmaceutical companies control 70% of the market with market leader holding nearly 7% of the market share. It is an extremely fragmented market with severe price competition and government price control. The pharmaceutical industry in India meets around 70% of the country's demand for bulk drugs, drug intermediates, pharmaceutical formulations, chemicals, tablets, capsules, orals and injectibles. There are about 250 large units and about 8000 Small Scale Units, which form the core of the pharmaceutical industry in India (including 5 Central Public Sector Units). These units produce the complete range of pharmaceutical formulations, i.e., medicines ready for consumption by patients and about 350 bulk drugs, i.e., chemicals having therapeutic value and used for production of pharmaceutical formulations. Following the de-licensing of the pharmaceutical industry, industrial licensing for most of the drugs and pharmaceutical products has been done away with. Manufacturers are free to produce any drug duly approved by the Drug Control Authority. Technologically strong and totally self-reliant, the pharmaceutical industry in India has low costs of production, low R&D costs, innovative scientific manpower, strength of national laboratories and an increasing balance of trade. The Pharmaceutical Industry, with its rich scientific talents and research capabilities, supported by Intellectual Property Protection regime is well set to take on the international market. The future of Indian pharmaceutical sector looks extremely positive. Indian pharma companies are vying for the branded generic drug space to register their global presence. Several Indian pharmaceutical companies have acquired companies in the US and Europe and many others are raising funds to do so. For 7|Page

example, Ranbaxy acquired Romania's Terapia, Ethimed NV of Belgium and GSK's generic business Allen SpA in Italy. Dr Reddy's acquired German generic drug maker Betapharm. Companies like Glenmark Pharma, Lupin, Aurobindo and Jubilant Organosys are on the lookout for lucrative acquisitions.

5. ABOUT RANBAXY LAB. Company History: Ranbaxy Laboratories Ltd. is the largest pharmaceutical company in India, and one of the world's top 100 pharmaceutical companies. Long a specialist in the preparation of generic drugs, Ranbaxy is also one of the world's top 10 in that pharmaceutical category as well. Yet, with India's agreement to apply international patent law at the beginning of 2005, Ranbaxy has begun converting itself into a full-fledged research-based pharmaceutical company. A major part of this effort has been the establishment of the company's own research and development center, which has enabled the company to begin to enter the new chemical entities 8|Page

(NCE). In the mid-2000s, the company had a number of NCEs in progress. Ranbaxy is a truly global operation, producing its pharmaceutical preparations in manufacturing facilities in seven countries, supported by sales and marketing subsidiaries in 44 countries, reaching more than 100 countries throughout the world. The United States, which alone accounts for nearly half of all pharmaceutical sales in the world, is the company's largest international market, representing more than 40 percent of group sales. The company is also a leading generics producer in the United Kingdom and Germany and elsewhere in Europe. European sales added 16 percent to the company's sales in 2004. Ranbaxy's other major markets include Brazil, Russia, and China, as well as India, which together added 26 percent to the group's sales. Ranbaxy posted revenues of $1.18 billion in 2004. The company, which remains controlled and led by the founding Singh family, is listed on the National Stock Exchange of India in Mumbai.

6. COMPANY PROFILE

Ranbaxy Laboratories Limited, India's largest pharmaceutical company, is an integrated, research based, international pharmaceutical company, producing a wide range of quality, affordable generic medicines, trusted by healthcare professionals and patients across geographies. Ranked 8th amongst the global generic pharmaceutical companies, Ranbaxy today has a presence in 23 of the top 25 pharmaceutical markets of the world. The Company has a global footprint in 49 countries, world-class manufacturing facilities in 11 countries and serves customers in over 125 countries.

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In June 2008, Ranbaxy entered into an alliance with one of the largest Japanese innovator companies, Daiichi Sankyo Company Ltd., to create an innovator and generic pharmaceutical powerhouse. The combined entity now ranks among the top 15 pharmaceutical companies, globally. The transformational deal will place Ranbaxy in a higher growth trajectory and it will emerge stronger in terms of its global reach and in its capabilities in drug development and manufacturing.

Vision and Aspirations Ranbaxy is driven by its vision to achieve significant business in proprietary prescription products by2012 with a strong presence in developed market. The company aspires to be amount the top 5 global generic player and aims at achieving global sales of US$ 5bn by 2012.

Financials Ranbaxy was incorporated in 1961 and went public in 1973. For the year 2008, the Company recorded Global Sales of US $ 1,682 Mn, reflecting a growth of 4%. The Company has a balanced mix of revenues from emerging and developed markets that contribute 54% and 39% respectively. In 2008, North America, the Company's largest market contributed sales of US $ 449 Mn, followed by Europe garnering US $ 330 Mn. Business in Asia is going strong with India clocking sales of around US $ 300 Mn with market leadership in several business segments, backed by strong brand-building skills. Strategy Ranbaxy is focused on increasing the momentum in the generics business in its key markets through organic and inorganic growth routes. Growth is well spread 10 | P a g e

across geographies with focus on emerging markets The Company continues to evaluate acquisition opportunities in India, emerging and developed markets to strengthen its business and competitiveness. R&D Ranbaxy views its R&D capabilities as a vital component of its business strategy that will provide a sustainable, long-term competitive advantage. The Company has a pool of over 1,200 scientists engaged in path-breaking research. Ranbaxy is among the few Indian pharmaceutical companies in India to have started its research program in the late 70's, in support of its global ambitions. A first-of-its-kind world class R&D centre was commissioned in 1994. Today, the Company's multi-disciplinary R&D centre at Gurgaon, in India, houses dedicated facilities for generics research and innovative research. The robust R&D environment for both drug discovery and development reflects the Company's commitment to be a leader in the generics space offering value added formulations based on its New Chemical Entity (NCE) research capabilities. The new drug research areas at Ranbaxy include anti-infectives, inflammatory / respiratory, metabolic diseases, oncology, urology and anti-malaria therapies. The Company has signed collaborative research programs with GSK and Merck.

People The Company’s business philosophy based on delivering value to its stakeholders constantly inspires its people to innovate, achieve excellence and set new global benchmarks. Driven by the passion of its over 12,000 strong multicultural workforce comprising over 50 nationalities, Ranbaxy continues to aggressively pursue its mission to become a Research-based International Pharmaceutical Company and attain a true global leadership position.

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7. SWOT ANALYSIS

STRENGTHS: ➢

Low cost of production.

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Large pool of installed capacities

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Efficient technologies for large number of Generics.

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➢

Large pool of skilled technical manpower.

➢ Increasing liberalization of government policies.

WEAKNESS: ➢

Fragmentation of installed capacities.

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Low technology level of Capital Goods of this section.

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Non-availability of major intermediaries for bulk drugs.

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Lack of experience to exploit efficiently the new patent regime.

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Very low key R&D.

➢ Low share of India in World Pharmaceutical Production

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Very low level of Biotechnology in India and also for New Drug Discovery Systems.

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Lack of experience in International Trade.

➢ Low level of strategic planning for future and also for technology forecasting.

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OPPORTUNITY: ➢

Aging of the world population.

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Growing incomes.

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➢

Growing attention for health.

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New diagnoses and new social diseases.

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Spreading prophylactic approaches.

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Saturation point of market is far away.

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New therapy approaches.

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New delivery systems.

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Spreading attitude for soft medication (OTC drugs).

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Spreading use of Generic Drugs.

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Globalization

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Easier international trading.

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New markets are opening.

THREATS: ➢

Containment of rising health-care cost.

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➢

High Cost of discovering new products and fewer discoveries.

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Stricter registration procedures.

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High entry cost in newer markets.

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High cost of sales and marketing.

➢ Competition, particularly from generic products.

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More potential new drugs and more efficient therapies.

➢ Switching over form process patent to product patent.

8. MISSION AND VISION STATEMENT OF RANBAXY LAB. 16 | P a g e

MISSION:

“To become a research based international pharmaceutical company”.

VISION:

➢ Achieving customer satisfaction is fundamental to our business. ➢ Provide product and service of the highest quality.

➢ Practice dignity and equity in relationship and provide opportunity for people to realize their potential. ➢ Foster mutually beneficial relation, with all our business partner. ➢ Manage our operation with high concern for strategy and environment. ➢ Be a responsible corporate citizen.

VISION2012: 17 | P a g e

“Achieve significant business in proprietary prescription product by 2012 a strong presence in developed market”.

ASPIRATIONS 2012:

➢ Aspire to be a $5bn company. ➢ Become a top global generic player. ➢ Significant income from proprietary product.

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9. DETAILS OF RANITIDINE-150mg MOLECULE Structure of Ranitidine hydrochloride:

Ranitidine Hydrochloride- C13H22N4O3S.HCl

Composition:

RANITIDINE 150 mg: Each tablet contains ranitidine hydrochloride equivalent to 150 mg ranitidine.

Pharmacological Action:

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Ranitidine hydrochloride is a histamine H2-receptor antagonist that inhibits stomach acid production. It is commonly used in treatment of peptic ulcer disease (PUD) and gastro esophageal reflux disease (GERD). Ranitidine is also used alongside antihistamines for the treatment of skin conditions such as hives.

Indications:

Ranitidine is indicated for the treatment of duodenal ulcers, benign gastric ulcer including prevention of duodenal ulceration associated with nonsteroidal anti-inflammatory agents, reflux oesophagitis. To minimize the consequences of acids-aspiration syndrome during anesthesia, ranitidine is used as premedication to reduce volume and acid content of gastric secretion.

Doses and Direction for Use:

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Peptic ulceration: Usual dosage is 150 mg twice daily, taken in the morning and before retiring.

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Reflux-oesophagitis: Treatment for 8 up to 12 weeks with RANITIDINE 150 mg twice daily.

➢ Maintenance treatment: Patients, particularly those with a history of a recurrent ulcer, should be advised to take 150 mg at bedtime.

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➢

Anesthesia: 300 mg RANITIDINE given 2 hours before induction, in order to reduce the volume and acid content of gastric secretion, will minimize the consequences of the acid aspiration syndrome.

Side -Effects: Headache, lethargy, diarrhea, constipation, nausea, vomiting, and skin rash such kind of Side-effects arise.

10. HISTAC

HISTAC useful for the diseases such as Benign Gastric Ulcer, Duodenal Ulcer, Stress ulcer and prevention of Peptic Ulcer recurrence.

10.1 COMPETITORS OF HISTAC tab.

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ZINETAC------------GSK ULTAC-------------- CIPLA ULFAST-------------SUN Pharma. INTAC---------------DWD PEPLOC-------------ZYDUS CADILA MANOTAC---------MANO R-LOC---------------ZYDUS ALIDAC RENITAB----------MAICROLAB ULCITAB----------THEMIS ZORAN------------DR.REDDY 21 | P a g e

 ZOMOTAC-------EMCURE  RANTAC---------J.B.CHEMECALS

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