BRIC countries analysis
The comparative market size of the China and US by 2015 will increase. The Indian market is decreasing from 10.7% to 10.1% because of improved equipment. The sales of pharmaceuticals in USA have been increasing from $9423 million to $12948 million. This will attract more pharmaceutical firms to be established in USA because of the ready market (Protzman, et al. p. 122). The well established firms in India will invest in USA and China because of the ready market due to population increase. USA GDP spending has increased from 15.7% in 2006 to 16.3% in 2010, and it is projected to be 16.2% by 2015. China is expected to maintain 4.7% and 10.6% (Germany) GDP spending by 2015. All these metrics will help the firms to decide whether to establish a pharmaceutical firm in certain country or not. It will be determined by the population increase and government spending in the country (Protzman, et al. p. 123).
From 2011 to 2015 the percentage of GDP has been fluctuating in different countries. India has been performing exemplary well especially from 2006 to 2010 and the 2015 projections are positive. From 2008 to 2015, the GDP of India has been constant at 5%. There has been growth in the pharmaceutical industry in India because the government has a policy of ensuring availability of primary healthcare as a priority to its citizens (Protzman, et al. p. 124). This is important in making a global business strategy because it can export its pharmaceuticals to other countries such as United States of America, China, Japan, and Germany. The hospitals in India are well equipped and well staffed. The country has become a tourist destination due to improved infrastructure, facilities, and technology. This will assist the country to open new health facilities in other countries. The Economist Intelligence Unit has estimated that, the spending will double to $165.7 billion by 2015 from $78.6 billion 2010. This means the health care industry will expand by more than 14% globally (Protzman, et al. p. 125).
In India, there are both the local and international company players in the industry. The leading one is Ranbaxy Laboratories Company based in India but was acquired by Daiichi Sankyo of Japan in November 2008. It was competitive in India and it has gained competitive advantage in Japan. The Piramal Healthcare in India is one of the performing firms but it was acquired by the US Based pharmaceutical firm known as Minrad International (Protzman, et al. p. 126). The Dowpharma Small Molecules in USA is one of best performing pharmaceutical firm in the healthcare industry. It has gained its competitive advantage because of the technological advancement. Pfenex a US based firm is performing well after it formed a pact with Ranbaxy in March 2010. In India, the health industry is competitive compared to other nations such as USA and Japan. The staff and facilities in the healthcare are of high quality. Due to competitiveness, it is an added advantage as the pharmaceutical firms prioritize to expand to other countries through the global business strategy (Protzman, et al. p. 128).
Protzman, C; Mayzell, G. & Kerpchar, J. (2010). Leveraging Lean in Healthcare: Transforming
Your Enterprise into a High Quality Patient Care Delivery System. GUATEMALA: CRC