Usv Pharmaceutical

Porter’s Five Forces Strategy Analysis for USV India Ltd.

Industry competition:

 In INDIA pharma industry is one of the most competitive industries. Where all 10,000 number of companies belligerent for the same pie. The fact is that the top company in pharma industry in India has only 6% market share, from this we can know how big rivalry in the pharma industry. The top five companies together have about 18% market share.

 The key factor in pharma industries is manufactured good separation, which gives more advantages to the firms in any industries. In terms of value as well as prescriptions USV lead in India in the oral anti-diabetic Drugs. Almost from last two decades USV have maintained a leadership position in this segment. From the total sales of USV 32% are just contributed by the anti-diabetic portfolio, which includes insulin.

 In terms of prescription generation USV also lead in the cardiovascular disease segment. In terms of value, USV rank amongst the first 10 companies in India. The cardiology portfolio also contributes 32% to USV sales.

 As a result, the attentiveness proportion for pharma industry is very low. New players are attracted because of high growth prospect in pharma industry.

 Many minor industries that are paying attention on a particular section have a better hang of the distribution channel, which gives more competition to USV pharma industry.

 One of the important talks is that pharma industry is a stable market and its growth rate generally equivalent to economic expansion of the country with some multiple (1.2 times average in India).

Bargaining power of buyers:

 The main key factor for the USV pharma industries is the end user of the drug which is manufactured by the company is unique and easily differentiates from the influencer. The patient or the costumer have no option but have to buy which is prescribed by the doctor. However, when we over look on bargaining power of the patient or customer,...