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Main Qs        Pharmaceutical Industry Landscape

 competitors   Identifi es incumbent competitors and their   Who are our competitors? Who are the dominant   ›  Several large and medium size players compete in pharma
 (incumbents)  relative strengths  players in our particular sector? What are their   ›  Most players are struggling with empty product
 competitive advantages or disadvantages? Describe   pipelines and low R&D productivity
 their main offers. Which Customer Segments are they   ›  Growing trend toward consolidation through mergers   must the value
 focusing on? What is their Cost Structure? How much   and acquisitions                        proposition change to   which part of the
 infl uence do they exert on our Customer Segments,   ›  Major players acquire biotech, specialty drug developers   for which parts of   accommodate shifts in   pharma industry
 Revenue Streams, and margins?  to fi ll product pipeline                  the industry value   the industry (e.g. the   offers the greatest
                ›  Several players starting to build on open innovation processes  chain should key   growing importance   earnings potential?
                                                                          partnerships be built   of biotech fi rms)?
 new entrants   Identifi es new, insurgent players and determines whether   Who are the new entrants in your market? How   ›  Little disruption of the pharmaceutical industry over the   as opposed to develop-
 (insurgents)  they compete with a business model different from yours  are they different? What competitive advantages or   last decade  ing key resources and
 disadvantages do they have? Which barriers must they   ›  Main new entrants are generic drug companies, particularly   activities in-house?
 overcome? What are their Value Propositions? Which   from India
 Customer Segments are they focused on? What is their
 Cost Structure? To what extent do they infl uence your
 Customer Segments, Revenue Streams, and margins?                        KP       KA       VP      CR       CS
 substitute products   Describes potential substitutes for your offers—including   Which products or services could replace ours? How   ›  To a certain extent, prevention represents a substitution
 and services  those from other markets and industries  much do they cost compared to ours? How easy it is for   for treatment
 customers to switch to these substitutes? What business   ›  Patent-expired drugs replaced by low-cost generics  KR  CH                 205
 model traditions do these substitute products stem from
 (e.g. high-speed trains versus airplanes, mobile phones
 versus cameras, Skype versus long-distance telephone
 companies)?                                                             C$                    R$
                ›
 suppliers and other   Describes the key value chain incumbents in your market   Who are the key players in your industry value chain?   ›  Increasing use of research contractorsIncreasing use of research contractors
 value chain actors  and spots new, emerging players  To what extent does your business model depend   ›
                ›  Biotech fi rms and specialty drug developers as important Biotech fi rms and specialty drug developers as important
                 ne
 on other players? Are peripheral players emerging?   new product generatorsw product generators
 Which are most profi table?   ›  Doctors and healthcare providersDoctors and healthcare providers  could suppliers
                ›
                ›  Insurance companiesInsurance companies
                ›                                                         such as research
                ›  Bioinformatics providers growing in importanceBioinformatics providers growing in importance
                ›                                                         contractors turn
                ›                                                         into competitors?    is it necessary to
                ›  LaboratoriesLaboratories
                                                                                               acquire smaller      which of the key
 stakeholders  Specifi es which actors may infl uence your organization   Which stakeholders might infl uence your business   ›  Shareholder pressure forces drug companies to focus   fi rms to fi ll product
 and business model  model? How infl uential are shareholders? Workers?   on short term (quarterly) fi nancial results  pipelines?  resources emerging
                                                                                                                    among new actors in
 The government? Lobbyists?  ›  Governments/regulators have a strong stake in the actions                           the value chain need to
                 of pharmaceutical companies because of their pivotal role                                          be developed in-house
                 in healthcare services                                                                             (e.g. bioinformatics)?
                ›  Lobbyists, social enterprise groups and/or foundations,
                 particularly those pursuing agendas such as low-cost
                 treatments for developing countries
                ›  Scientists, who represent the core talent of the drug
                 manufacturing industry



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