Global Management

1. NPIL’s strategy is different from any other companies in India, which is a benefit for them. Rather than focusing on reverse engineering like other companies the main strategy of NPIL is custom-manufacture for clients who are looking for a low-cost manufacturer. NPIL provides a low-cost, high quality manufacturing to the multinational companies as well as respecting their intellectual property, this make NPIL has high creditability from the clients. The client can also be assured that the supplies will be delivered to them continuously. NPIL doesn’t only focus on large companies but also focuses on small starting-up companies. The company is divided into two division, PMS and PDS and they have awareness of PMS and PDS differentiation. The company acts as one-stop shop for customer at every stage of Pharmaceutical development. Having chance to deal with small and large company would benefits them in having more aspect about the trend of the market. Because of its unique strategy NPIL is in a good position in the India’s pharmaceutical market. NPIL has a fast growing rate as shown in the case (from ranking 48 it came up to number 8 in less than two decades). But NPIL doesn’t want to grow only domestically but wants to be international. The company is advice by Michael Fernandes to acquire Avecia, UK pharmaceutical company, which had acquired Torcan, the Canadian Pharmaceutical firm before. The advantage of acquiring Avecia is that both Avecia and Torcan had the similar business alignment as NPIL and it allows the company to go global easier because the company would have more plants operating near the customers. But with advantages also comes the conflicts. Before, when NPIL let Avecia manage themselves everything is fine but when NPIL wants the business development function to be centralized, this caused problems because Avecia has been using it’s own management strategy. Wanting to integrate Avecia into NPIL’s overall business strategy and organized globally...