Emerging Business Models in the Pharmaceutical Industries ...

12
10
8
6
4
2
0
The
Americas
Revenues by Region (in billion US$)
Continental
Europe
Source: Company’s Annual Reports
UK Asia, Africa
& Australia
AstraZeneca plc has a strong global presence. The company
generates most revenues from the US, which accounted for
$8.7 billion in the year 2003.
In absolute terms, Europe is growing much faster then the
Americas and rest of the world together.
AstraZeneca
1999
2000
2001
2002
2003
Strategic Direction
AstraZeneca believes in organic growth and strategic
regional investments in order to increase its presence in
new emerging markets. The company expands its
development pipeline through continuously improved inhouse
discovery processes complemented by external
collaborations and partnerships.
Other strategies include investment in projects, targeted
licensing and acquisition opportunities, and
strengthening of their commercial skills. The company
has invested its R&D resources in genomics and other
research technologies especially for the US oncology
markets.
It is also involved in extensive outpatient cancer
treatments through Salick Health Care, which is the
company’s health care division.
AstraZeneca has taken the first tentative steps towards
building a B2C business by moving into markets that
are most amenable to DTC. In Denmark, along with
other investors, AstraZeneca is financing an electronic
physician/patient hub for sufferers of asthma, a medical
condition for which the company has several leading
products.
Astra raised DTC ad spending for Prilosec by 19%, and
boosted its professional promotional efforts for the
antiulcerant by 95% to $52.2 million.
Strategic Analysis of the Pharma Market, Future Revenue Models and Key Players 74