TIPS for CEO's

TIPS for CEO's Volume:4 ISSUE:2 The Internet Pharma Strategist for CEO's June1999
To our valued members:
Our Value Added Offer for June is an Internet based Training Programme on MIND POWER development for your Managers. This Programme is brought to our members in association with We Care coalition of U.S.A. This Programme is suited for your senior management team and is result oriented with a focus on Goal Setting and Achievement using Creative Visualisation, Dynamic Meditation and ancient Vedic, Egyptian, Mayan MIND POWER development ceremonies. Members who are interested in this offer and who have email are requested to send us a blank email to us at ceo@tips4ceos.com with the words SENDMIND in the subject. We shall email you a short presentation immediately. Interested members who donot have email may mail in your business cards to us with the words SENDMIND on the reverse. We shall courier your report in a 1.44 floppy, in MS Power Point format to enable you to print hard copies, which can be distributed among your managers. This special offer is valid till Sept 30th '1999. Kindly mail in your business cards before the expiry of this deadline.

INTERNET NEWS:

Alembic awarded ISO 9002
ANALYSIS:
This is a master strategic move by Alembic as foreign bio-technology majors planning to license their newly researched molecules for commercialisation in India will prefer ISO 9002 approved manufacturing companies as they will have a documented procedure conforming to international quality standards. This will enable Alembic to get more newer patented research molecules into the Indian market through faster EMR tie-ups with U.S. based biotech companies. Pharmanet strategists foresee many more Indian drug companies following Alembic's footsteps in the coming years.
Glenmark Pharma sets aside 30 crore for R&D centre
ANALYSIS:

This R&D centre will focus on niche therapeutic segments like allergy, respiratory and dermatology . Research expertise of N.R.I. scientists will be used extensively in this venture. Pharmanet strategists opine that this is a master strategic move at the right time for Glenmark ( annual sales Rs. 107 crore ) Pharmanet strategists foresee many more Indian drug companies following Glenmark's footsteps in the coming years. This event was foreseen by us in the April '1999 issue of "TIPS for CEO's" where our strategists had foreseen as follows:-:

ANALYSIS:

Pharmanet strategists foresee Indian drug companies dramatically increasing their R&D spends, and looking at R&D as a separate profit centre in the coming years.

As usual TIPS for CEO''s brings you Tomorrows News Today..

Recon shelves Indonesian drug unit

ANALYSIS:

Pharmanet experts opine that this is a strategically unwise move by Recon. As Indonesian currency has lost value over the last few months and Indonesia faces a currency crisis, it becomes cheaper for Indian companies to relocate their manufacturing operations to Indonesia. Recon has been pro-active and was the first Indian company to take a step in this direction. Pharmanet strategists foresee Recon reconsidering their decision and continuing their tie-up with Pharmagriya PT, Purayashuma Sakti to set up a manufacturing JV for the Indonesian market. This will pay them rich dividends once Indonesia gets a stable Government and the economy turns around, which is bound to happen in the near future.

NPPA lowers prices of 8 drugs

ANALYSIS:

This is a market signal to the pharma industry signifying a radical change in the control of drug prices. This move was foreseen by TIPS for CEO's as early as October'1998. Strategic forecast in October'1998 issue of TIPS for CEO's :-->:

ANALYSIS:

Pharmanet strategists foresee a gradual decontrol in drug prices with the introduction of a health insurance scheme in the future. Pharmanet strategists donot rule out a phasing out of drug price regulation once a mass health insurance scheme is in place.

As usual TIPS for CEO''s brings you Tomorrows News Today..

Ajanta Pharma asks KPMG to find partner

ANALYSIS:

This is a direct result of Ajanta's unstrategic thinking and lack of focus. Pharmanet strategists opine that this is a move to sell the company to foreign buyers under the guise of a partnership. Pharmanet strategists foresee Ajanta Pharma becoming a take-over target in the M&A game unless they acquire a more long term strategic focus. This move was foreseen by TIPS for CEO's as early as March'1998. Strategic forecast in March'1998 issue of TIPS for CEO's :-->:

ANALYSIS:

Pharmanet experts foresee tough times ahead for Ajanta Pharma as they donot have a core competency in ethical formulations and their forays into bulk drugs lack strategic focus.

As usual TIPS for CEO''s brings you Tomorrows News Today..

SKB in merger talks with Novartis

ANALYSIS:

Such mega-mergers were foreseen by TIPS for CEO's as early as October'1995. Our valued members are requested to refer our Editorial in September'98 issue of TIPS for CEO's titled "The future of bioPharmaceuticals" where this forecast has been re-emphasised. CEO's who have joined TIPS for CEO's recently are requested to send us a blank email to us at ceo@tips4ceos.com with the words SENDBIO in the subject and we shall email you the September'98 issue of TIPS which contains this editorial. Pharmanet strategists foresee merger talks between other European and American pharma majors in the near future.

As usual TIPS for CEO''s brings you Tomorrows News Today..

Abbott Labs to acquire Alza for $7.3 billion

ANALYSIS:

As usual TIPS for CEO''s brings you Tomorrows News Today..

Ranbaxy names new CEO

ANALYSIS:

Ranbaxy named its Chief Operating Officer, Mr. D. S. Brar, as CEO from October 1, 1999 replacing Mr. Parvinder Singh who continues to be Chairman. Internet analysts opine that this move is a market signal. Pharmanet strategists foresee Ranbaxy shifting focus to domestic marketing, its most profitable business.

SKB in tie-up with Serum Institute for vaccine combo

ANALYSIS:

While Serum Institute will manufacture DPT vaccine in India, SKB will import the bulk Hepatitis-B vaccine from SKB Belgium and these to vaccines would be combined after reformulation and this combination will be marketed. Pharmanet strategists opine that this is a WIN-WIN tie-up and will benefit both partners. This move was foreseen by us in the January'1999 issue of "TIPS for CEO's" under the headline:

Pharma companies look to vaccines for growth

As usual TIPS for CEO''s brings you Tomorrows News Today..

Warner Lambert, Pfizer in co-marketing pact

ANALYSIS:

This pact is likely to include Warner Lambert's cholesterol lowering drug Lipitor among others. Pharmanet strategists opine that this is a correct strategic move by Warner Lambert and Pfizer. This was foreseen by our Pharmanet experts as early as June'1996 This strategic forecast was re-emphasised in the Editorial of April'1998 issue of TIPS for CEO's :--> As foreseen by us, there has been numerous take-overs, strategic alliances, joint ventures, co-marketing pacts and brand acquisitions in the Indian pharma industry.

As usual TIPS for CEO''s brings you Tomorrows News Today..

Wyeth to develop pneumococcal vaccine

This move was foreseen by us in the January'1999 issue of "TIPS for CEO's" under the headline: Pharma companies look to vaccines for growth

As usual TIPS for CEO''s brings you Tomorrows News Today..

Bayer looks to divest pharma business, looks for merger partner

ANALYSIS:

As usual TIPS for CEO''s brings you Tomorrows News Today..

Editorial

Cyber Pharma Marketing ? - The future is here!

Osteoporosis? In a deft mix of public relations and online and traditional advertising, an Internet florist and a major drugmaker teamed up to promote their products, simultaneously contributing to a public service campaign to boost awareness of osteoporosis.

Proflowers.com, of La Jolla, California, and Novartis Pharmaceuticals Corp, of East Hanover, New Jersey, created a $29.95 Mother's Day floral bouquet called `Mom's Treat.' It included a greeting card, a 10-minute prepaid phone card from Sprint Corp as a reminder to the customer to call his or her mother, and information about osteoporosis.

Novartis, a unit of Swiss drug giant Novartis AG, makes Miacalcin Nasal Spray, a treatment for post-menopausal osteoporosis, the bone-thinning disease that afflicts an estimated 23 million American women. The two companies agreed to donate 5 per cent of the sales proceeds to the National Osteoporosis Foundation, which proclaimed May as National Osteoporosis Awareness month.

To promote the package, Novartis hired Linda Dano, an Emmy Award-winning television actress whose mother suffers from osteoporosis, to act as spokeswoman for the campaign. The Ruder-Finn Healthcare public relations unit, which represents Novartis, booked Dano to speak about the disease on television talk shows, including the Rosie O'Donnell show, The View and Live With Regis and Kathy Lee.

In addition, the partners ran banner ads on Websites. It also placed one ad in the Family PC magazine. The effort paid off. Mr Bry said the ``Mom's Treat" bouquet accounted for 20 per cent of the firm's sales last week. She attributed the success to the publicity and the donation to the Osteoporosis Foundation. TIPS for CEO's is conducting a cyber-marketing campaign for our members. We have are in the process of compiling an email database of Indian doctor's. Soon we intend to email Powerful Power point presentations to these doctors about new product launches. Member CEO's who who are interested in this campaign and would like a more detailed presentation are requested to send us a blank email to us at ceo@tips4ceos.com with the words SENDCYBERMKT in the subject and we shall email you a short Power Point Presentation immediately.