Pfizer
is considered one of the world’s largest pharmaceutical companies. The
company’s corporate headquarters is located at the 42nd Street, New York, NY
(USA).

Cousins
Charles Pfizer and Charles Erhart founded Pfizer in 1849. From mass-producing
penicillin to discovering therapeutics, Pfizer has become into a global
pharmaceutical company whose goal is to provide access to innovative treatments
and quality health care. For more than 165 years, the company has been
developing products that have touched millions of lives all over the world. Pfizer Philippines was established in
1954, and has been collaborating with health care providers to support and
expand access to reliable and quality healthcare for Filipinos. For over 60
years, Pfizer Philippines has earned the trust of patients and the confidence
of health care practitioners (HCPs). Pfizer Philippines is one of the preferred
employers in the industry, having garnered the Employer of the Year Award in
2004 and consistently winning awards for

 

Marketing, Innovation
and Stakeholder engagement programs. The company celebrated its 60th
anniversary in the Philippines in 2014. And in May 2016, Pfizer announced that
the combined Global Innovative Pharma, Vaccines, Oncology, and Consumer
Healthcare businesses will be known as Pfizer
Innovative Health,   and Global
Established Pharma will be known as Pfizer
Essential Health.   

 

 

 

1.1
Location

Pfizer Philippines holds its new
office at 8 Rockwell Building, Hidalgo Drive, Makati City, and is an affiliate
of the mother company – Pfizer New York.

 

 

 

 

 

 

Figure 3.Pfizer
Philippines, Rockwell, Makati

 

1.2
Organizational Structure

There are two Business Units that
Pfizer Philippines operates in – Pfizer
Innovative Health, and Pfizer
Essential Health.

        Figure 3.Pfizer
Innovative Health logo

Pfizer Innovative Health (PIH)
includes four business groups – Internal Medicine (neuroscience and pain,   and cardiovascular and metabolic),
Inflammation & Immunology, Oncology, and Vaccines. Each business group is
committed to improving health with our innovative products from prevention to
treatment to wellness – at every stage of life. Products are clustered into
four therapeutic categories Internal Medicine, Inflammation and Immunology,
Vaccines and Oncology. (Pfizer Intranet)

             Figure
4.Pfizer Essential Health logo

Pfizer Essential Health (PEH)
is a vastly diverse and profitable business with distinctive opportunities
across portfolios. This comprised of products that will go off patent and
established brands in the market.

The
company’s new operating structure represents the next steps in Pfizer’s journey
to further revitalize the innovative core, enhance the value of newly launched
and off-patent established brands and maximize the use of resources to add
value to the patients and customers. This development promotes greater
independence, focus and awareness for commercial businesses. (Pfizer Intranet)

Currently combined Pfizer Innovative
Health and Pfizer Essential Health has 650 employees of diverse backgrounds and
capabilities who work together to deliver its commitments to patients.                              

1.3
Products

Pfizer Innovative Health (PIH),
products are grouped into four therapeutic categories:

Internal
Medicine, consists of  Lyrica (Pregabalin)
used for neuropathic pain, Eliquis

(Apixaban) for stroke
prevention;Dynastat (Parecoxib) used for acute and post-operative pain.

Inflammation
and Immunology, includes Enbel (Etanercept) and Xeljanz (Tofacinib

citrate)
for treating moderate and severe Rheumatoid Arthritis.

Vaccines,
comprised Prevnar (Pneumococcal 13- valent conjugate) used to preventPneumonia.Oncology
products Inlyta (Axitinib) and Ibrance (Palbociclib) will be launched in thePhilippines on the August, 2018

Aside
from Ethical brands, Pfizer Innovative Health (PIH) also markets pharmaceutical
products that are readily available over-the-counter (OTC) for cough and colds,
gastrointestinal, vitamins and minerals, fever reducers and pain relievers. Pfizer
is positioned to transform global health one patient at a time. They are
committed not only in discovering new medicines, but also in driving the future
of healthcare. (Pfizer Intranet, PIH)

 

 

Pfizer Essential Health (PEH) products, include
the blockbuster drug Lipitor (atorvastatin), used to lower LDL blood
cholesterol, Diflucan (fluconazole), an oral antifungal medication Zithromax
(azithromycin), an antibiotic Viagra (sildenafil) for erectile dysfunction and
Celebrex (celecoxib), an anti-inflammatory drug. Included in their portfolio as
well, are the leading injectable products and infusion technologies from Hospira,
which was acquired by Pfizer in 2015. (Pfizer Intranet)

Based on
the Philippines Moving Annual Total (MAT) IMS corporate standing data report in
2013, Pfizer Philippines occupied the second position in the market with a
market share of 7%1 for total markets which
included the Ethical and Proprietary divisions.

According
to the Securities and Exchange Commission (SEC), Pfizer reported gross sales is
7.942 Billion Php and a net gain of 1.310 Billion Php.2
In 2013.

 

Research
Design and Methodology

    This
paper made use of Exploratory Qualitative Research in determining the critical
success factor in the Pharmaceutical industry and Quantitative Research to
validate the ratings, weights, financial analysis, and other statistical
requirements. References include the following:

2.1 Internal Data (Primary)

Primary data include Pfizer Intranet,
Corporate website and Audited Financial statements of Pfizer, Company Magazines
and Newsletters, Press Releases, Internal Emails, Digital materials and
numerous interviews were conducted from Sales, Marketing, Operations and
Finance to understand technical details. Due to legal and other internal
policies, some delicate internal information will not be disclosed and data is
handled with care to ensure confidentiality. Confidential information such as
actual sales per product, detailed price margins, and account sales will not be
cited.

2.2. External Data (Secondary)

External data include corporate website of
Bayer and Boehringer, Newspapers and Articles released by organizations such as
the Department of Trade and Industry, Department of Health (DOH), National
Statistics Office (NSO) and Bangko Sentral ng Pilipinas (BSP). Industry data
was obtained from the IMS Heath, Pharmaceutical Healthcare Association of the
Philippines and online sources such as Business Monitor International. To
gather relevant information regarding the key competitors of the company,
copies of the audited financial statements of Bayer and Boehringer were
obtained from the Securities and Exchange Commission (SEC).

 

The main reference for conceptualization and
formulation of approaches, matrices, 
tools and other strategic management topics was the book Strategic
Management Concepts and Cases: A Competitive Advance Approach by Fred R. David
(15th Edition).

Methodology

Table 2

Summary of Frameworks, Tools, Activities and
Output for this Strategic Management Paper

Limitation
of the Study

     The
study focuses on Pfizer Innovative Health (PIH) Operations, and will only cover
Eliquis (Apixaban) business of the
company and its relevant recommended strategy. Amongst PIH brands only Eliquis
(Apixaban) ranks number three in its therapeutic area, while majority were
already the market leader. All information that is written in this paper will
be treated with full confidentiality and will only be for academic
purposes. 

Vision,
Mission and Values Macro
Environmental Analysis

5.1 Economic Factors

5.1.1 Opportunity: Economic Performance,
Outlook and Impact

According to Philippine Statistics Authority
(PSA), the Economy Grows by 6.9 Percent in the Third Quarter of 2017.

Gross Domestic Product (GDP) grew by 6.9
percent in the third quarter of 2017. 
Manufacturing, Trade, and Real Estate, Renting and Business Activities
were the main drivers of growth for the quarter. Among the major economic
sectors, Industry recorded the fastest growth of 7.5 percent followed by
Services with 7.1 percent growth. Meanwhile, Agriculture slowed down by 2.5
percent from 3.0 percent growth in the previous year. Net Primary Income from
the Rest of the World (NPI) grew by 5.7 percent compared with the 4.1 percent
growth recorded in the same quarter of the previous year. As a result, Gross
National Income (GNI) posted a growth of 6.7 percent.        http://psa.gov.ph/nap-press-release   
Reference Number:  2017-139 

1
2013 Moving Annual Total (MAT) IMS corporate standing data report

22
Securities and Exchange Commission 2012 audited financial statements of Pfizer
Philippines