Mgt 490- Independent University, Bangladesh

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INDEPENDENT UNIVERSITY, BANGLADESH (IUB)
Report on “Environment analysis on Incepta Pharmaceuticals Ltd”
Subject: Management 490 (MGT490)
Spring,2017, Section :03
Submitted to:
Sumita Das
Senior Lecturer, School of Business
Independent University, Bangladesh
Date of Submission: 01/04/2017
Submitted by:
Junait Husain Rahul
ID(1310911)

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Letter of Transmittal
March 30, 2017
Sumita Das
Instructor,
School of Business,
Independent University, Bangladesh.
Subject: Submission of term paper of environment analysis on Incepta Pharmaceuticals Ltd.
Dear Madam,
We are pleased to submit our report, according to the instructions given by you.
We have prepared this report with full determination and sincerity to make it a success. In writing we earnestly
tried to keep it simple and reader-friendly for you and others who may feel interested to go through it.
Moreover, we will be pleased to clarify and answer any questions regarding possible discrepancies or
inconsistencies that may have presented itself in the paper.
Thanking you.
Yours sincerely,
Junait Husain Rahul (1310911)

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Acknowledgements
At first, we would like to thank the Almighty for giving us this opportunity to study in
one of the most renowned university, Independent University, Bangladesh (IUB) and
study in their very reputed School of Business. To make this report successful, we want
to show our gratitude to those who have lent their hands of cooperative participation.
We want to convey our special thanks to our course instructor, Madam Sumita Das for
giving us such an opportunity, which will enhance our knowledge. Without her
guidance and help, the preparation of this report would have been difficult.

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EXECUTIVE SUMMARY
Incepta Pharmaceuticals Ltd. is now the 2nd largest company of the country and recognized as the
fastest growing of the top five manufacturing company in the country. Established in the year 1999,
the company has come a long way. Currently the Zirabo and Dhamrai plant consists of several
buildings with state of the art technology. Dedicated cephalosporin manufacturing building, a
specialized manufacturing building for the production of lyophilized products, insulin and amino acids
and newly built liquid and semisolid manufacturing building and large warehouse is also in operation.
Another multipurpose building for housing the Research & Development operation along with the
canteen facility is also there. Currently all the products are coming from the plant at Zirabo. The
company now produces almost all types of dosage forms covering nearly all therapeutic area.
Incepta now has one of the largest and competent sales force and large distribution network of its own,
operated from 21 different locations throughout the country. A most dynamic skilled and dedicated
marketing team comprising of pharmacists and doctors are at the core of the marketing operation.
These highly skilled professionals play a crucial role in providing the necessary strategic guideline for
the promotion of its product.

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Introduction
Bangladesh has a well developed pharmaceutical industry. It is enhancing the country’s economic
growth greatly. According the report of the year 2000, there have been 210 certified allopathic drug
manufacturing companies in the country, from which only 173 were activated production. Others units
were either shut down by themselves or hanging by the certification authority for drugs because of
noncompliance to good production practices as well as drug regulations. The industry produced over
5,600 brands of drugs in various dosage forms.. Bangladeshis Pharmaceutical industry is marketing
medicines to the world markets, such as the European market. This industry is also supplying 97% of
the total medicine necessity of the domestic market. They are rewarding the requirement of local
market apart from this they’re also exporting to overseas countries around the globe. Recently, several
new industries are founded with advanced equipment as well as professionals to boost the power of
this industry.
Sqaure Pharmaceuticals and Beximco Pharma got the approval of the Food and Drug Administration
(FDA) of USA in June, 2015. Incepta Pharmaceuticals is expecting the same opportunity and has
already established a separate plant with the intention of exporting medicines to the USA. According
to the Export Promotion Bureau (EPB), in the first half of the fiscal year 2015-16 Bangladesh earned
$37.9 million (about Tk.3.0 billion) by exporting medicines. There are opportunities for the
pharmaceutical companies to flourish. They have got a waiver from TRIPs until 2033 by using which
they can increase their annual sales both in domestic and international markets.
Most of the pharmaceutical companies still buy raw materials from abroad to produce medicines
which are a barrier on the path of self-reliance and the increasing growth rate of export. The
government has undertaken a project to establish an Industrial Park to produce Active Pharmaceutical
Ingredients (API). This will help the local manufacturers in reducing expenses, and increasing volume
of production and sales. The location of the project is Baushia, Gajaria, Munshiganj and the estimated
cost is Tk 4.39 billion (43905 lakh). In this park 42 Pharmaceutical Ingredients Manufacturing
Industrial units will be set up. About 25000 people will get employment opportunities.

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Bangladesh Pharmaceutical industry annual growth rate according to the International Management
System (IMS).
2009 2010 2011 2012 2013 2014 2015
2016 (
Quarter 3)
Series 1 16.83 23.8 23.6 13.5 8.12 9.97 13.85 38.21
0
5
10
15
20
25
30
35
40
45
IMS
Growth Rate %

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Incepta Pharmaceuticals Ltd.
VISION
Their vision is to become a trusted healthcare company to ensure better health for everyone,
everywhere.
MISSION
They are providing quality healthcare products and services for the benefit of humanity in the best
possible way through innovation and diversification.
INCEPTA PHARMACEUTICALS LTD. GROWTH IN COMPARISON WITH LOCAL
PHARMACEUTICALS MARKET (IMS* DATA)
From the very beginning Incepta has focused on launching newer and innovative products. High
investment in R&D and advanced technology has allowed the company to launch 429 generics with
783 presentations, 158 of which were introduced “first time in Bangladesh”. Incepta and its sister
concerns are now manufacturing Human vaccines, Monoclonal antibodies, Biotech products,
Hormones, Natural products, Animal health products, Hygiene products and Hospital devices in wide

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range of dosage forms. Acceptance of these high quality products led to the
company caring 2nd position among Pharmaceuticals companies within 8 years of starting operation.
Year No. of Products First Ever Product IMS Rank*
2016 783 11 2nd
2015 742 5 2nd
2014 706 3 2nd
2013 686 7 2nd
2012 631 7 2nd
2011 632 9 2nd
2010 594 10 2nd
2009 585 4 2nd
2008 532 10 2nd
2007 451 17 3rd
2006 368 9 3rd
2005 288 12 3rd
2004 198 6 5th
2003 154 18 8th
2002 119 14 10th
2001 78 11 12th
2000 35 4 31st
* Intercontinental Marketing Services (IMS)

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TEAMWORK
They know that to be a successful company they must work together, frequently transcending
organizational and geographical boundaries to meet the changing needs of their customers.
PERFORMANCE
Incepta strive for continuous improvement in our performance, measuring results carefully, and
ensuring that respect for people are never compromised.
VALUE PROPOSITION
Incepta Pharmaceuticals has presently been offering its products to its market segment.
Value creation activity includes:
Discovery
Development
Register
Manufacture
Marketing and Sales

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Balanced Scorecard
The balanced scorecard for Incepta Pharmaceuticals Limited is as follows
Financial
protestionof
shareholder's
capital
Ensure highest
returnon
investmentof
shareholder
Accretionof
wealththrough
financial and
moral gains
Customer
Redemtionof
customerclaimin
time
providingquality
healthcare relief
for people
avoidanyform
corruptive
delaings,
unethical &
immoral pratices
Internal
Pratice of good
governace
maintaining
workplace
equalityPratice of
good governace
maintaining
workplace equality
providing best
compensation to
all the employees
providing best
compensation to
all the employees
Growth
Strive forthe
achievementof
millennium
development
goalsfor the
human
civilization
Ensure
shareholder's
growthof assets

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The Strategic-Management Model
The strategic-management process can best be studied and applied using a model. Every model
represents some kind of process. This model does not guarantee success, but it does represent a clear
and practical approach for formulating, implementing, and evaluating strategies. Relationships among
major components of the strategic-management process are shown in the model, which appears in all
subsequent chapters with appropriate areas shaped to show the particular focus of each chapter. These
are three important questions to answer in developing a strategic plan:
1. Where are we now?
2. Where do we want to go?
3. How are we going to get there?
Identifying an organization’s existing vision, mission, objectives, and strategies is the logical starting
point for strategic management because a firm’s present situation and condition may preclude certain
strategies and may even dictate a particular course of action. Every organization has a vision, mission,
objectives, and strategy, even if these elements are not consciously designed, written, or
communicated.

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External Analysis
A PESTEL analysis is a framework or tool used by marketers to
analyses and monitors the macro-environmental (external marketing environment) factors that have an
impact on an organization. The result of which is used to identify threats and weaknesses which is
used in a SWOT analysis.
PESTEL stands for:
 P – Political
 E – Economic
 S – Social
 T – Technological
 E – Environmental
 L – Legal
Pestel
Political
Economic
Social
Technologica
l
Environmenta
l
Legal

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PESTEL Analysis of Incepta Pharmaceuticals
POLITICAL FACTORS
These are all about how and to what degree a government intervenes in the
economy. This can include – government policy, political stability or instability in
overseas markets, foreign trade policy, tax policy, labor law, environmental law,
trade restrictions and so on.
It is clear from the list above that political factors often have an impact on organizations and how they
do business. Organizations need to be able to respond to the current and anticipated future legislation,
and adjust their marketing policy accordingly.
 Incepta Pharmaceuticals Political factors
1. Growing political focus and pressure on healthcare
2. Export-Import policy of government changes with the change of political power. This has
a huge impact on the pharmaceutical industry
3. Harmonization of healthcare across the country.
4. For pharmaceutical industry, government do not allocate proper budget through fiscal
policy
5. Foreign Governments looking for healthcare savings
6. Political Instability and events like Hartal, Strikes etc hugely effects on the pharmaceutical
industry as these hampers the supply chain and sales
7. Tax and Tariff policy hugely affects the cost and pricing strategy. For Bangladesh the tax
for pharmaceutical product is about 27.5% which is quite high. So these high tax and tariff
hugely affects on pricing
8. Affiliation of giant market players with political party/entity also affect the market

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Among various features of our political situation, most noticeable and important conditions may be
identified as follows
Absence of democratic political culture
Absence the rule of law
Absence of strong civil society
Absence of strong political leadership
Confrontational politics
Corruption and terrorism
ECONOMIC FACTORS
Economic factors have a significant impact on how an organization
does business and also how profitable they are. Factors include –
economic growth, interest rates, exchange rates, inflation,
disposable income of consumers and businesses and so on.
Micro-economic factors are all about the way people spend their incomes. This has a large impact on
B2C organizations in particular
 Incepta Pharmaceuticals Economic factors
1. Recession in Global economy.
2. Cheap labor cost lead to an increase in profit margin for this industry.
3. Currency fluctuation has significant impact on pharmaceutical industry
4. Increased pressure on pricing of drugs.
5. Bangladesh has comparatively lower rate of inflation (6.2%) than our neighborhood
countries. This affects on the pricing strategy

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6. Exchange rates of foreign currency also has a huge impact on the industry
7. Recent growth figures have proved to be better than the projection, which demonstrates
that the growth prospect of the sector is justified.
8. In Bangladesh the unemployment Rate is quite low (about 4.5%) compared to our
neighboring countries like India and Pakistan (more than 7%). So these level of
employment has a huge impact on the industry
SOCIAL FACTORS
Also known as socio-cultural factors are the areas that involve the shared
belief and attitudes of the population. These factors include – population
growth, age distribution, health consciousness and career attitudes and so
on. These factors are of particular interest as they have a direct effect on
how marketers understand customers and what drives them.
 Incepta Pharmaceuticals Social factors
1. Patent awareness increasing with changing expectations.
2. Patient and public activism is also increasing
3. Population of Bangladesh is continuously increasing which boost this industry.
4. Poor people cannot buy the expensive medicines.
5. Demographics features of population also affects on the pharmaceutical industry
6. Health concerns and increase in self awareness of the population also has a huge impact on
the pharmaceutical industry
7. Religion has a huge impact in the pharmaceutical industry. Religious views plays a major
role in consumption of different products in our country

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TECHNOLOGICAL FACTORS
We all know how fast the technological landscape changes and how this impacts
the way we market our products. Technological factors affect marketing and the
management thereof in three distinct ways:
1. New ways of producing goods and services
2. New ways of distributing goods and services
3. New ways of communicating with target markets
 Incepta Pharmaceuticals Technological factors
1. Incepta is trying to upgrade and adopt new technology in production, quality control,
distribution and administration of its products.
2. Pharmaceutical is a high-tech rapidly propagating industry
3. More responsive service facilities for direct communication with the patients are required.
4. The machinery and raw materials for API manufacturing are also have to be imported.
5. Unreliable power supply force leads firms to depend on self-generation of power which
increases production cost of drugs.
6. Innovation in information and communication technology has a major impact on
pharmaceutical industry
7. Technological innovation observed only in medicine production process but not in the
production of material/machine. These has a huge impact on the industry

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ENVIRONMENTAL FACTORS
These factors have only really come to the forefront in the last fifteen years or so.
They have become important due to the increasing scarcity of raw materials,
pollution targets, doing business as an ethical and sustainable company, carbon
footprint targets set by governments (this is a good example were one factor could
be classes as political and environmental at the same time). These are just some of
the issues marketers are facing within this factor. More and more consumers are demanding that the
products they buy are sourced ethically and if possible from a sustainable source.
 Incepta Pharmaceuticals Environmental factors
1. According to UN, business should support a precautionary approach to
environmental challenges.
2. Growing environmental agenda and community awareness
3. Concern for the ecosystem is very high
4. Compliance with the anti-pollution legislation and regulation of disposal of
waste streams.
5. Climate change affects hugely on the whole operation and production
6. Growing environmental agenda and community awareness have a huge impact
on the pharmaceutical industry

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LEGAL FACTORS
Legal factors include - health and safety, equal opportunities, advertising
standards, consumer rights and laws, product labeling and product safety. It is
clear that companies need to know what is and what is not legal in order to trade
successfully. If an organization trades globally this becomes a very tricky area to
get right as each country has its own set of rules and regulations.
 Incepta Pharmaceuticals Legal factors
1. Global inconstancy increasing
2. The industry requires more rationalization.
3. Increased litigation in the pharmaceutical Industry
4. Monitoring and supervisory role of DDA also affects the production
and distribution.
5. WHO's current good manufacturing practices (CGMP) should be
strictly followed by the companies

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Michael Porter’s FiveForces Model
Michael Porter's famous Five Forces of Competitive Position model provides a simple perspective for
assessing and analyzing the competitive strength and position of a corporation or business
organization. Porter's Five Forces model, named after Michael E. Porter, identifies and analyzes five
competitive forces that shape every industry, and helps determine an industry's weaknesses and
strengths. These forces are
Figure: Porter’s Five Forces Model
POTENTIAL
ENTRANTS
(Threat of New Entrants)
INDUSTRY
COMPETITORS
RIVALRY AMONG
EXISTING FIRMS
BUYERS
(Bargaining Power Of
Buyers)
SUPPLIERS
(Bargaining Power of
Suppliers)
SUBSTITUTES
(Threat of Substitute
Products or Services)

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1. BARGAIN POWER OF CUSTOMER: LOW
1. Consumer has no choice but to buy what Doctor says. So consumers are left with zero Options
for bargain.
2. Retail buyers of medicine and drug stuff are scattered not united as it is not a commodity or
regular product.
3. NPPA (National Pharmaceutical Pricing Authority) tries to control the price but not much
effective due to the political and legal situation of Bangladesh.
So this observation clearly indicates that the Bargaining Power of Customer is Low.
Analysis
 Price Sensitivity:
Incepta pharmaceutical industry is produced the pharmaceutical products which are
undifferentiated product and there is few switching cost.
 Relative Bargaining Power:
Some factors related to the relative bargaining power
 Number of buyer :
The buyers bargaining power is determined by the number of buyer relative to the number of
suppliers.
When the suppliers depend on buyers for large percentage for its total orders buyers have more
bargaining power over suppliers. In the Pharmaceutical industry, producers sell medicine through
the dealer. In short, buyers can exercise power by seeking price reduction and threatening to go to
other suppliers to get their products. Powerful buyers demand costly service. The government
requires an in depth analyst that cost s money, and customers require up-to-date and relevant
medical information another costly service. Hospitals & other health care organization buy in bulk
quantities and exert pressure on pharmaceutical companies to keep prices in check. Regular
patients have lost bargaining power due to price increases in generic drugs.

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 Volume per buyer:
It is determined by volume of purchase by single buyer. The number of buyer of Incepta
pharmaceutical is a single buyer with several alternative suppliers.
 Availability of Existing Substitute Product:
There are many substitute products like Analgesic, Anti Inflammatory{ Actidex, Celenta ,Cenolon
Injection, Opifen, Opifen Injection, Oricox, Progesic} etc. are available in market. So buyers can
switch easily from one product to another. So here the burgeoning power of buyers is high.
 Substitute High
The actively 173 pharmaceuticals companies have 5,600 brands many firms offering similar
products and services because of the absence of patent protection. Cost of switching is relatively
low
2. BARGAIN POWER OF SUPPLIER: LOW
1. Pharmaceutical industry depends upon organic chemicals which are easy to produce and
comparatively cheaper in our country. So the producers of those chemicals have almost zero or
little bargaining power.
2. Chemical industry is very competitive and fragmented so switching cost for the bigger
pharmaceutical industries like Square is less costly and easier. So the supplier can’t bargain
much.
3. Only a few items of pharmaceutical industry require importing. And the big player of the
industry has their own supplier of those import goods.
Analysis
 Number of Suppliers:
When the inputs required are available only to a small number of suppliers then the suppliers have
more bargaining power and are in a position to raise price or offer less quality of product or poor
services. The majority of pharmaceutical products raw materials supply is not a bottleneck. The

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exception is bio-technology and genome technology, where supply is often
more of a problem because of the highly specialized nature of the inputs. Another area where the
supply might be an important constraint is, for example, the scarcity of donor organs which
severely limits the growth of immunity drugs. If labor is includes as a supply force, significant
bargaining power might exist specialized R&D personnel in attractive research areas. Unions may
also play a role as bargaining in the pharmaceutical industry, not so much to protect 25 salaries,
but more so to enforce strong and expensive safety measures for the work environment.
 Differentiated Product and Switching Cost:
Suppliers offering differentiated products point to high switching cost for buyers. In such cases
firms (buyers) depend on the suppliers and consequently suppliers have the benefit of having more
bargaining power over buyers. Buyers in the Pharmaceutical industry in Bangladesh can switch
between suppliers easily as there are large numbers of suppliers of inputs. Switching from those
suppliers to others involve high switching cost in the form of poorer quality and inconsistency of
delivery.
 The Product is Extremely Important to the Buyer:
For making Medicine, drug related chemical is the main and most important raw materials. So the
supplier bargaining power is high because producer has to buy chemical from suppliers to produce
medicine.
3. RIVALRY AMONG EXISTING FIRMS: HIGH
1. The number of firms in the industry is very high. So does the competition.
2. There are lots of similar sized firms in the industry. Only the market leader Incepta
pharmaceutical ltd is too large than the other companies and other companies are almost
similar in size regarding revenue, market share and distribution.
3. Product Differentiation is very high ranging from simple to sophisticated medicines and drug
stuffs.
4. Cost competitiveness is very high in the pharmaceutical industry.

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Analysis
 Concentration and Balance Competitors:
The number of firms in an industry and their relative sizes determine the degree of concentration.
Lots of similar size and strong competitor exist in the market and price competition is likely to
be harsh. So, Incepta Pharmaceutical product price is competitive. Incepta pharmaceutical is
growing company; the competition is low
 Well Defined Strategy:
In Pharmaceutical industry existence company’s strategies are well defined they know what kind
of strategies are best for attracting the customer because they are competing in this industry for a
long time. In terms of well defined strategy if any new company enters into this industry it will be
difficult to match the rival’s strategy.
 Product Differentiation:
Medicine is a commodity type product which is difficult to differentiate. As a result, Medicine gets
the higher prices for their produce in comparison to others.
 Stronger brand image:
After developing a new drug a company needs to patent it and develop a strong brand image
to differentiate. The pharmaceutical companies need to build a reliable and trustworthy image
about their drugs on the minds of Doctors and general people. Suppose in Bangladesh Incepta
Pharmaceutical industry has very good brand image.
 Exit Barriers:
Exit barriers are economic, strategic and emotional factors that induce firms in an industry to
continue even in the face of low return. If exit barriers are high companies may turn out to be
locked into an unprofitable industry. In the Pharmaceutical industry of Bangladesh, high fixed cost
or higher investment in office, medicine manufacture industry, equipment etc could constitute the
barriers to exit for any firm. Increasing demand of medicine both in local market and international
market attract the new investors to invest in medicine industry which reduce the exit barriers to
quit from the industry. It is quit impractical for Incepta pharmaceutical industry or other firms to
exit from this industry because of they cannot use those machineries in other purpose. Also here
some rules and regulation exist no one cannot easily exist from this industry

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4. THREAT OF SUBSTITUTE PRODUCTS: VERY LOW
1. There is little or almost zero substitute for medicine and drug stuffs. So it can be said there
almost zero possibility of substitution of drugs.
2. Biotechnology is a threat for pharmaceutical industry but for Bangladesh this threat will be
quite mild for several decades as the development of that sector is quite mild in our country.
So the Threat of Substitute product is Very Low in developing countries like Bangladesh.
This is one of the great advantages of the pharmaceutical industry. Whatever happens, demand
for pharmaceutical products continues and the industry thrives. One of the key reasons for highcompet
itiveness in the industry is that as an ongoing concern, pharmaceutical industry seems to have an
infinite future. However, in recent times, the advances made in the field of biotechnology, can prove to
be a threat to the synthetic pharmaceutical industry
Analysis
 Low Switching Cost:
When it is easy for a customer to switch to a substitute product at a less or no switching cost
substitute product poses greater threat. However, medicine is a low cost product. Switching from
medicine to injection for would involve higher monetary cost and thus the threat of substitution is
limited.
 Customers Loyalty:
When customers have low level of loyalty and price is the primary motivator, the threat of
substitutes is greater. Besides, if price is considered as the primary motivator, consumers are likely
to be more loyal to medicine as it is relatively cheaper for our country.
In market there are 24some substitute products, like-herbal medicine & homeopathic medicine, are
available. As a result the demand decreases. So the pharmaceuticals industry needs to introduce herbal
medicine. Generic drug companies do not have the high cost associated with the research &
development of new drugs and that to sell at cheaper prices

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5. THREAT OF NEW ENTRANTS: VERY HIGH
Pharmaceutical industry is one of the most easily accessible industries for an entrepreneur in
Bangladesh. The capital requirement for the industry is very low, creating a regional distribution
network is easy, since the point of sales is restricted in this industry in Bangladesh.
1. Capital requirement for introducing a pharmaceutical company is low for local firms or root
level. So anyone with minimum idea of the industry can easily enter the pharmaceutical
industry.
2. Creating a regional distribution network is easy as the communication channel became so
developed in the past decades. So any small local firm can easily grab their fair share from
the pharmaceutical industry.
From the analysis we came to the conclusion that Threat of New Entrants in the pharmaceutical
industry is Very High.
Analysis
 Economies of Scale:
The cost advantage associated with large volume of output is called economies of scale. If this cost
advantage is significant, a new entrant faces the dilemma of
either entering on a small scale and suffering a significant cost
disadvantage or taking a very large risk by entering on a large
scale and bearing significant costs of capital. Cost reduction
through mass production of medicine and spreading of fixed
cost such as land, building, factory, administrative expenses,
employee welfare, etc over a large production. Incepta
pharmaceutical can easily produce based on economies of scale
but it is quite difficult to new entrants for produce based on
economies of scale
 Access to channels of distribution and relationship:
The Incepta pharmaceutical is a large pharmaceutical company in our country so they have large
distribution channel and good relationship with the retailers

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 Fixed Cost Allocation per Added Value: Existing companies are already enjoying experience
curve effect. Through experience curve their employees become efficient because of their
efficiency they can produce higher units of product and they are capable to allocating their fixed
cost per added value so when a new company enters they will not enjoy experience curve as a
result of that there cost will be increased.
 Government Regulations: Government regulations sometimes add up to barriers to entry in many
industries. However, there is no as such restriction observed in case of pharmaceutical industry in
Bangladesh. Rather the Government provides incentives to export, such as, loan at a lower interest
rate from banks, particularly from Private Bank to invest in the industry.

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Market Analysis and Market Segmentation
In Bangladesh, promotion of pharmaceutical products in the mass media is strictly prohibited. Market
and sales promotional activities are carried out by field level sales force. Incepta has its own sales at
local and international level. Required transport facilities are given to the sales force in the field to
visit doctors, healthcare centers, hospitals, and private practitioners. Incepta has its own transportation
vehicles, like trucks, cargo trucks, etc. The pharmaceutical market comprise of pure or perfect
competition where there are a huge number of players actively competing against each other. Every
drug manufacturing company has their own inventory system their own transportation vehicles, like
trucks, cargo trucks, etc. The warehouse of Incepta is an enclosed building and protects the stored
goods from environmental influences. They are secured against fire by the design of the buildings and
technical facilities.
Activities like organizing trade missions and group visits to international trade fairs, displaying
pharmaceutical product and some other events, studies, seminars, training are helping promoting trade.
The pharmaceutical market is generally segmented based on geographic segmentation, i.e. nationwide
or globally the market is divided based on the geographic location.

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Conclusion
This Report is conducted to determine the attractiveness of Pharmaceutical Industry in Bangladesh
based on the well known, Porter’s Five Forces Model of Industry Analysis. The report includes
identifying the barriers to entry, understanding the rivalry among established companies, determining
the bargaining power of buyers, verifying the bargaining power of suppliers, and tracing the substitute
products and their threats. As far as the barriers to entry in pharmaceutical industry are concerned, it is
found that suitable land and environment for pharmaceutical production in Bangladesh is now
sufficient for export. The pharmaceuticals sector is the second largest sector after Garments that
contributes to the revenue generation of the Bangladesh Government. The sector has growth potentials
both in local and export market. There is an increasing trend in the export of pharmaceuticals that
indicates very good prospects for the country. It has today burgeoned into one of the top line
conglomerates in Bangladesh
.

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References
Bibliography
ANALYSIS,A.A.–P.(n.d.). ProfessionalAcademy .Retrievedfrom
http://www.professionalacademy.com/about-us
ArthurA. Thompson,JR.(2016-2017). Crafting and Executing Strategy. New Delhi,(India):McGrawHill
EducationPrivate LTD..
Hossain,A.M. (09/01/2017). Online Newspaper.RetrievedfromThe Financial Express:
http://www.thefinancialexpress-bd.com/2017/01/09/58657/Pharmaceutical-industry---a-promising-sector
Limited,I.P.(n.d.).Retrievedfromhttp://www.inceptapharma.com/index.php
ResearchDepartment|EmergingCreditRatingLimited.(n.d.). Emerging CreditRating Limited.Retrievedfrom
http://emergingrating.com/wp-content/uploads/2016/08/Pharmaceutical-Industry-of-Bangladesh-Vol-1.pdf
Works Cited
ANALYSIS,A.A.–P.(n.d.). ProfessionalAcademy .Retrievedfrom
http://www.professionalacademy.com/about-us
ArthurA. Thompson,JR.(2016-2017). Crafting and Executing Strategy. New Delhi,(India):McGrawHill
EducationPrivate LTD..
Hossain,A.M. (09/01/2017). Online Newspaper.RetrievedfromThe Financial Express:
http://www.thefinancialexpress-bd.com/2017/01/09/58657/Pharmaceutical-industry---a-promising-sector
Limited,I.P.(n.d.).Retrievedfromhttp://www.inceptapharma.com/index.php
ResearchDepartment|EmergingCreditRatingLimited.(n.d.). Emerging CreditRating Limited.Retrievedfrom
http://emergingrating.com/wp-content/uploads/2016/08/Pharmaceutical-Industry-of-Bangladesh-Vol-1.pdf

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