Beximco Pharmaceuticals Bangladesh Limited

Beximco Pharmaceuticals Bangladesh Limited popularly known as Beximco Pharma. Beximco

Pharma belongs to Beximco Group of Industries. Beximco Pharma founded in 1976 and started
their action from 1980. The headquarter of Beximco Pharma is in Tongi, Dhaka, Bangladesh.
Beximco Pharma is the only Bangladeshi pharmaceutical organization that exporting their
medicine and other pharmaceutical accessories to many other countries. Beximco Pharma is the
only Bangladeshi Pharmaceutical organization that exporting their medicines approximately 45
countries. Currently Beximco Pharma has the highest number of international accreditations in
the country which include - AGES, Austria (European Union); Therapeutic Goods
Administration (TGA), Australia; Gulf Central Committee (GCC member states); ANVISA,
Brazil; INVIMA, Colombia; MCC, South Africa. Beximco Pharma is currently producing more
than 500 products in different dosage forms covering broader therapeutic categories which
include antibiotics, gastro-intestinals, respiratory, analgesics, cardiovascular, anti-diabetics, etc.,
among many others. At present Beximco Pharma has more than 2,700 employees, and each of
them is guided by the same moral and social responsibilities the company values most. Beximco
Pharma has the unique distinction as the only Bangladeshi pharmaceutical company to get listed
on the AIM of London Stock Exchange. Beximco Pharma includes professionals like
pharmacists,
chemists,
doctors,
microbiologists,
MBAs
and
engineers.
(www.beximcopharma.com) (www.beximcolimited.com)

Principles of Management

The Economic Condition: Interest rates, inflation changes in disposable income, stock market
fluctuations, foreign exchange rate, financing organizations investment opportunity the stage of
general business cycle are some economic factors that can affect management practices on
Beximco Pharma. We can further divide the economic conditions in few parts based on their
type. These are following:
01. Change in inflation
02. Change in exchange rates
03. Change in interest rates
04. Change in Gross Domestic Product
05. Change in unemployment rate
01. Change in Inflation: The present scenario is if there any changes in inflation, it may create
an impact on Beximco Pharmas action in various ways. A potential rise in inflation rates would
mean that the cost of raw materials would increase thus decreasing the profit margin of Beximco
Pharma. If inflation increases, this would translate in increased products prices, and Beximco
Pharmas imports could decrease since buyers may go elsewhere looking for competitive prices
and Beximco Pharma would the suffer adverse consequences given the amount of resources
employed in increasing production capacity. Thats why it has present status of occurrences.
02. Change in Exchange Rates: Considering the status of occurrence of the change in exchange
rates are potential. Change in exchange rate put some significant impact on the action of
Beximco Pharma. As Beximco Pharma is operating their business all around the world, so they
may face with the problem of decision making process. Exchange rates would play a major role.
03. Change in Interest Rates: Change in interest rate is a potential factor. Beximco Pharmas
business will be directly affected by the change of interest rates. Interest rate change also affects
on individuals or customers. If interest rates change, the incentive for individuals to take out
loans to buy goods will change.
04. Change in Gross Domestic Product: Considering the status of occurrence of the change in
Gross National Product, we will see that it is a potential factor. The Gross National Product
(GNP) is the total taka value of all final goods and services produced for consumption in society
during a particular time period. If Gross Domestic Product increases it means the total taka value
of all final goods and services produced for consumption in society increases and vice versa. It is
a present factor for Beximco Pharma while taking an action in Bangladesh.
05. Change in Unemployment Rate: The unemployment rate represents how many people still
unemployed as a percent of the labor force. The status of occurrence is present. The actions of
Beximco Pharma may not get affected by change in unemployment rate.
Technological Condition: Technological condition is one of the most rapidly changing
environmental factors for any business organizations. Making and continuing a business with

Principles of Management

these factors is very risky. Technology has changed the fundamental way that organizations are
structured and managed. In the technology aspect Beximco Pharma is well equipped and is
usually way ahead of most the pharmaceutical industry players as it continuously invests in its
plant facilities to upgrade its manufacturing processes and make them more effective and
efficient. Therefore competitors advancement in technology usually does not worry Beximco
Pharma. We can further divide the technological factors in few parts based on their type.
Growth in R & D in the Industry: As we know, R & D is the key to success for any
pharmaceutical company. Growth in R & D in the industry is an uncertain factor for Beximco
Pharmaceutical Limited. Almost of the competitors of Beximco Pharmaceutical Limited are
investing a lot of money for R & D purpose in recent times so it has become a vital factor for
Beximco Pharmaceutical Limited as well. (www.beximcopharma.com)
Political /Legal Condition: Political condition includes various federal state and local laws as
well as global laws that an organization must abide by other sectors of the political/ legal sector.
The political environment is really not much of an issue regarding Beximco Pharmaceuticals
business operations. As of now, Bangladesh is being governed by the political government.
Before this government took over the power, Bangladesh saw unprecedented political unrest for
quite some period. These types of political calamities spoil countrys reputation as a whole and
subsequently foreign authorities become reluctant to inspect the pharmaceutical companies. We
can further divide the Political/Legal conditions in few parts based on their type. These are
following:
01) Export/import policies
02) Political unrest
Export/Import policies: Beximco Pharmas export and import policy is strongly affected by
decision making process. The status of occurrence of this matter is low uncertain. Beximco
imports their needed raw materials and exports their medicines and pharmaceutical accessories.
Beximco Pharma is the only Bangladeshi pharmaceutical company to get trusted by foreign
companies. For instance, Beximco Pharma is trusted by Austria, Brazil, and Cambodia etc.
Beximco Pharma imports their medical raw materials from abroad. Especially not only Beximco
Pharma but also other pharmacies import their medicinal Capsule cap from foreign country.
Beximco Pharma earns 55% money by exporting their medicine and medical accessories to the
foreign country. Currently Beximco Pharma is exporting their medicine to 45+ countries.
Beximco Pharma is the only Bangladeshi pharmaceutical company that got authorized by any
Latin American country like Chile, Brazil etc.
Political Unrest: If we consider the status of occurrence of political unrest, than we can see that
its a low potential factor. Political unrest can greatly affect the decision making process of
Beximco Pharmaceuticals Limited. Political disturbance has a potential impact on the actions of
an organization. Recently Beximco Pharma may disturbed by many political problems. Their
export and import may shut off due to strike.
Demographical Condition: Demographic conditions encompass trends in population
characteristics such as gender, age, level of education, geographic location, income and family
composition. Managers plan according to the changes in these characteristics.

Principles of Management

Gender: Illness does not depend on gender. Anybody could be affected by many disease and
they have to face with doctor and get instructions to recover from disease. We may know that this
instruction is known as medicine or advice to be get recovered from diseases. So, there is no
question between gender discrimination and every men or women should follow instructions, if
they are affected by any disease. They need it to recover from illness and we all know that
Health is wealth.

Age: Peoples of different ages may take medicines, if they are affected by any disease. In
Bangladesh specially 50+ peoples take medicines caused by Diabetes, Blood Pressure, Asthma,
Typhoid and Diarrhea. People of every age have to take medicine, if they suffer from diseases.

Level of education: Level of education is a good point to describe Beximcos popularity.

Currently Beximco Pharma is a popular pharmaceutical company not only in Bangladesh but
also almost all over the world. Illiterate people are not able to justify that which medicine is
suitable for their diseases.
Geographic Location: Beximco Pharmas medicine can be found in every national area.
Beximco Pharma is trying to allocate their medicine into national boundaries. So, there is no
difference between urban and rural area because every single area gets their needy medicines.
Global Conditions: Global condition is another option, which affecting Beximco Pharma a lot.
Beximco Pharma is challenged by an increasing number of global competitors and markets as a
part of the external environment. They need to be taught about different business cultures.
Beximco Pharma should have idea about international language and trade factor for their
manufacture and sells. Beximco Pharma is running their business globally. They are exporting
their medicines and medical accessories in approximately 45 countries. Some foreign hospitals
directly take their medicines from Beximco Pharma like Singapore, Kenya, Pakistan etc. The
targeted global expansion areas include Middle East, European Union, Latin America, USA,
Australia and New Zealand.

Beximco Pharmas approval: The plant is ISO 9001: 2000 certified. Beximco Pharma have
been audited and approved by:

National Health Surveillance Agency (ANVISA), Brazil (MDI)

Therapeutic Goods Administration (TGA), Australia (OSD, MDI and Spray)
Gulf Central Committee for Drug Registration (for GCC member states)(OSD & MDI)
Qualified by UNICEF (MDI & OSD)

Principles of Management

Qualified by Global GlaxoSmithKline (MDI)

Qualified by Asthma Drug Facility (ADF), France (MDI)
Qualified by Global F Hoff Mann La Roche (OSD)
Approvals by UK MHRA and USFDA are under process. (www.beximcopharma.com)
Overseas Market: Beximco Pharma is the largest exporter of pharmaceuticals from Bangladesh.
Its the only company who receives National Export Trophy (Gold medal) and the highest
national accolade for export, for record three times. Beximco Pharmaceuticals Limited has a
global footprint in more than 45 countries across four continents. Currently Beximco Pharma is
trying to enter into the emerging markets of CIS with increasing focus on regulated markets like
EU and USA. Beximco Pharmas products are being supplied to renowned hospitals and
institutions like Raffles Hospital and K K Women & Children Hospital in Singapore, MEDS and
Kenyatta National Hospital (KNH) in Kenya, Jinnah Hospital, and Agha Khan Hospital in
Pakistan etc. Beximco Pharma is also an enlisted supplier for UNICEF (United Nations
International Children's Emergency Fund), Save the Children, WHO (World Health
Organization) and ADF (Asthma Drug Facility).

Socio-cultural Conditions: These environments basically include the values, beliefs, traditions,
customs, language and forms of a society. It is very important for any business, because
customers are actually emerged from these sections. As these values, customs and testes change,
managers must also change. Socio-cultural trends may pose a potential construction to manager
decision and actions. For example Beximco Pharma has to make new products as their existing
product demand has fallen or for newly made diseases. Because a customer tastes or preference
has been change a lot. Beximco Pharma also contributes a lot of the social programs needy
groups of society.

CSR Initiatives:
Official sponsor of the FIFA friendly match between Argentina and Nigeria held in
September, 2011.
Official sponsor of the Bangladesh National Cricket team for the ICC Cricket World Cup
2011.
Sponsoring events and national sport stars and teams.

Principles of Management

Proyash - A specialized institute that works for the holistic development of children with
special educational needs through different programs.
Proyash - Include early childhood development programs (ECD), special schooling,
therapeutic interventions, medical and neuro-developmental assessment, leisure time and
co-curricular activities, training for the teachers, parents and integrated services.
Charity contributions through the Gono Sahajjo Songstha (GSS) for the educational
sector for the unprivileged.
Free drugs during natural calamities and distribution of clothing during winter.
As part of BEXIMCO Groups focus on society development, Fazlur Rahman
Foundation has established a project called "FRF Diagnostic Centre". The project
provides health screening services for Beximco Pharmaceuticals and Beximco
Antibiotics Industries employees.

Awareness Campaigns: Awareness is needed to be fit and healthy. Prevention is the best cure
and the first step is to create awareness. Every year, Beximco Pharma campaigns touching on
different forms of health impediments ranging from Asthma, Diabetes, Hypertension and many
more. This campaign activity includes rallies in addition to organizing and sponsoring scientific
seminars and conferences for various associations and societies in medical disciplines.
(www.beximcopharma.com)

Employee Volunteering Program: Beximco Pharma has organized a program where their
employees as volunteers devoted their time and energy in spreading smiles across the faces of
children battling the ultimate battle of survival against cancer. The children are currently being
treated at the ASHIC Foundation. They arranged an outing at an amusement park in the capital
city where the children were accompanied by their parents and representatives. Later Beximco
Pharma donated hospital equipment to the palliative care unit where the children at the terminal
stage of cancer are being treated.

Preserving Cultural Heritage: Beximco Pharma hopes to preserve and promote Bangladeshi
vibrant heritage in a way that would imprint its immortal beauty in the hearts of todays modern
demography and the generations to come. In 2011, Beximco Pharma sponsored and organized
the grand cultural event, at the National Museum, marking the 150 th birth anniversary of
Rabindranath Tagore; the legend who had irrefutable contribution towards the heritage and
identity of Bengali culture. Beximco Pharma also sponsored the making and distribution of a

Principles of Management

comprehensive documentary, highlighting Rabindranath Tagores intermittent stay in

Bangladesh. It was premiered on 7th May at the National Museum, Dhaka.

Principles of Management

SWOT Analysis: A companys internal (Strength, Weakness) and external (Opportunity, Threat)
analysis is combinedly call swot analysis. Beximco Pharmas swot analysis is given below:
Strength:
Beximco Pharma is the only Bangladeshi company who exports their own medicine and
medical accessories to foreign country. Beximco Pharma earns 55% money by exporting
their medicines. Beximco Pharma exports their medicines and medical accessories
approximately 45 countries. As a Bangladeshi company Beximco Pharma earns a lot of
foreign money.
Beximco Pharma has a higher market share in Bangladesh because they earn a lot of
money by exporting their medicine to the foreign country. Beximco Pharma has unique
distinction of being the only Bangladeshi company to get listed on AIM of London Stock
Exchange.
From the eye of Corporate Social Responsibility (CSR), Beximco Pharma always works
for social improvement. Beximco Pharma was the sponsor of Bangladesh national cricket
team and was the sponsor during the match between Argentina versus Nigeria in domestic
national football stadium in September 2011. Beximco Pharma is associated with a lot of
social welfare organization.
Beximco Pharma has their own health point to communicate directly with the people of
Bangladesh. They have pharmacies in almost every division of Bangladesh. They have
big medicine pharmacy in Chittagong, Khulna, Mymensingh etc.
Beximco Pharma strongly depends on technology. They run their whole industry with the
support of technology. Every professional have to enter with electronic card and have to
leave punching that card.
Currently Beximco Pharma has 2,700 plus employees. Medicine makers like pharmacists,
chemists, doctors, microbiologists, MBAs and engineers are highly educated. These
employees are cheered, dedicated, energetic and well educated. Beximco Pharma trains
them for perfection and cares them as their family or asset.
Beximco Pharma is the only Bangladeshi Pharmaceutical Industry that certified and
approved by global regulatory bodies of Australia, European Union, Gulf nations, Brazil,
France, and Chile. Beximco Pharma is qualified by UNICEF. Nationally Square
Pharmaceuticals Limited and Incepta Pharmaceuticals Limited is upper ranked than
Beximco Pharmaceuticals Limited but Beximco Pharma is tested, approved, registered
and certified by those countries.

Principles of Management

Beximco Pharma has a strong brand image and consistency in improvement. This
consistency and brand image is not a onetime effort; this result came after a long time
hard work. After started their journey in 1980, Beximco Pharma didnt look back. They
are a consistently improved pharmaceutical company in Bangladesh.
Beximco Pharma produces more than 200 generics available in more than 400 different
dosage forms and strengths, and many of them are leaders in their respective therapeutic
categories; notable among them are Napa, Neoceptin R, Neofloxin, Atova,
Amdocal, Bextram, Filmet, Frenxit, Tofen, Decomit and Azmasol
Beximco Pharma is the first company in Bangladesh to introduce ARV drugs for HIV/
AIDS patients. Beximco Pharma also supplies antiretroviral (ARV) medication for AIDS
patients.
Weakness:
Beximco Pharma sometimes unable to supply their product. Sometimes they couldnt
effort to manufacture their product. They couldnt supply their product timely to the
customers or retailers. This problem of supplement may hamper Beximco Pharmas
reputation.
Beximco Pharma imports some of their raw materials from abroad. Beximco Pharma
imports Capsule Cap from abroad. Not only Beximco Pharma but also all Bangladeshi
pharmaceutical company imports Capsule Cap from abroad. Beximco Pharma also
imports Lutin, dry-aluminum hydro-oxide, Dry magnesium hydro-oxide from foreign
country.
Nationally Beximco Pharma has low market share than Square Pharmaceuticals Limited.
Square has 17.46% share and Beximco Pharma has 9.93% market share in stock market.
Although Beximco Pharma has a strong capital than any other national pharmaceutical
company but Square Pharmaceuticals Limited is in a better position for some of their
well-known products.
Beximco Pharma donates cash or goods to the doctors for suggesting their products to
patients or customers. Beximco Pharma donates huge amount of money to the doctor for
suggesting their products. Beximco Pharma is already a well renowned pharmaceutical
company. Peoples are already taking their products. This donating mentality will reduce
their popularity. They shouldnt do anything which will reduce their reputation.
Beximco Pharma produces approved and registered medicines for customers. Beximco
Pharma ensures good product for customers. Some product cost of Beximco Pharma is
higher than other company. Because their material cost is little bit high. Likewise per

10

Principles of Management

tablet of Neoceptin R is 2.50 Tk and Newteck per tablet of Square Pharmaceuticals

Limited is 2 Tk.
Salman F. Rahman, the owner of Beximco Pharma has taken some loan from Sonali Bank
Limited. Now he is unable or couldnt pay up that loan. This will affect Beximco Group
of Company and Beximco Pharma belongs to Beximco Group.
Beximco Pharma overly relies on some of their popular product like Napa, Neoceptin R,
Tofen, Azmasol, and Filmet. They dont have that concentration about to improve other
products. They should concentrate on improving their other products. This improvement
may increase Beximco Pharmas reputation.
Beximco Pharma has good and strong reputation. Just because Beximco Pharma is a
pharmaceutical company they have to produce medicine. Beximco Pharma pollutes
environment. Beximco Pharmas production industry is the cause of air pollution, water
pollution, sound pollution and soil pollution. This pollution may decrease Beximco
Pharmas popularity and reputation.
Beximco Pharma is facing many problems when they are selecting employees or labors.
They are trying to select right people for right place. But sometimes they couldnt get
appropriate person for their selected post. Right person for selected post is always a plus
point for any company but inappropriate person for the selected post is unimaginable.
Basically there are a large number of illiterate people in our country. Beximco Pharma
takes them as employee by considering their situation and skill. After taking those
employees Beximco Pharma have to train them for making them perfect for the right
post. They are not ready for the post; Beximco Pharma makes them ready for the post.
Opportunity:
Beximco Pharma is a big pharmaceutical company having 2700 plus employees. It has
more chance to move forward and get more success. This 2700 plus employee and their
spirit is a strong opportunity for Beximco Pharma.
Beximco Pharma has a strong brand image. Beximco Pharma is known by national and
international countries. This is a great opportunity for Beximco Pharma to take the
advantage. They can improve their situation by exporting their medicine and medical
accessories to more countries. They can make their business broader.
Square Pharmaceutical Limited has total 5000 million taka capital and Beximco has total
9100 million taka capital. Although Beximco Pharma is third ranked in domestic country

11

Principles of Management

but they have a good chance to be the first ranked pharmaceutical industry in Bangladesh.
They have to try harder to be the first ranked pharmaceutical company.
Beximco Pharma is approved and registered by Austria, Australia, European Union, Gulf
nations, Brazil, France, and Chile and they imports Beximco Pharmacies medicines and
medical accessories. Beximco Pharma can take the advantage by exporting their medicine
to some other country. Currently Beximco Pharma exports their medicine to 45+ country
and they can increase the number.
Beximco Pharma works with some social welfare organization and does some corporate
social responsibilities. They gives advertise for introducing their new product. Beximco
Pharmas fame and advertise is an opportunity for Beximco to get more success.
Beximco Pharma is the largest pharmaceutical exporter company of Bangladesh.
Beximco Pharma is the only company who receives National Export Trophy (Gold
Trophy) and the highest national accolade for export, for record three times. This is a big
opportunity for Beximco Pharma to focus on everyone.
Research & Development is the key to success for any pharmaceutical company.
Beximco Pharma have given top priority and made substantial investment in upgrading
their generic drug capabilities as they firmly believe Research & Development plays the
most important role in spurring innovation and helps company to go up the value chain.
Beximco Pharmas research and development activities are nearly focused on market
needs and driven by technological progress in order to create product differentiation. Its
a huge advantage and opportunity for Beximco Pharma.
Beximco Pharma produces more than 200 generics out of 400 different types of
medicines. This is a great opportunity for Beximco Pharma to produce more types of
products. Producing more products and improving them, Beximco Pharma may get more
customers and individuals.
Beximco Pharma has a group, which is busy to invent the medicine of Cancer and HIV
AIDS. These group members are highly educated. They are concentrating on inventing a
unique medicine against Cancer and HIV AIDS. After this invention, Beximco Pharma
has an opportunity to become the most popular pharmaceutical company in the world.
Another opportunity is about concentration. Beximco Pharma has some popular products
like Napa, Neoceptin R, Azmasol, Tofen, Amdocal. They should have concentration on
the other products which are not popular like Napa Extend, Triocim, Dinovo, Lectamil,
Acifin, Procan, Diactin, Informat, Azithrocin etc. This concentration may increase their
market business and success.

12

Principles of Management

Threat:
Beximco Pharmas production industry is a cause of
Bangladesh. Some of their production industry is in
combinedly air, water, sound and soil. Peoples of that
production industries for environmental pollution. Its
production industry.

environmental pollution in
urban area which pollutes
area may sue against those
a common threat for any

As a Bangladeshi pharmaceutical company Beximco Pharma is third ranked

pharmaceutical company. Upper ranked pharmaceutical companies are Square
Pharmaceutical Limited and Incepta Pharmaceutical Limited. As competitor these two
pharmaceutical companies are great threat for Beximco Pharmaceuticals Bangladesh
Limited.
Political threat is now the biggest threat for Beximco Pharmaceuticals Bangladesh
Limited. The political condition of Bangladesh is now in an awkward position. Beximco
Pharma is victim of regular strikes. Beximco Pharmas import, export, transaction is
hampered because of regular strikes. Beximco Pharmas business is now in a great threat.
Although Beximco Pharmas maximum medicines are popular in market, some of the
competitors are donating doctors to suggest their medicines to the patients. Competitors
are trying to run their products by donating doctors. This kind of illegal system keeps
pressure on Beximco Pharma. This is a common threat for any pharmaceutical company
in Bangladesh.
New comer in pharmaceutical business is always a threat for old companies. Although
Beximco Pharma is a well renowned company, new comers like ACME Laboratories
Limited, Beacon Pharmaceuticals Limited, Unimed & Unihealth Manufacturers Limited,
Pharmadesh Laboratories Limited etc. are allowed as threat because they already have
introduced some good products.
As Beximco Pharma is a pharmaceutical industry, they need to collect their ingredients
from various places like oil from Codfish, poison from snake etc. they kills lot of animals
for their ingredients like elephant, snake etc. this is a direct threat for country. Beximco
Pharma will get sued because of killing animals randomly.

Conclusion: First of all, a grand thanks to our course instructor from Unique Spartans. We had a
lot to know about Beximco Pharma. We acquired a lot of knowledge about Beximco
Pharmaceuticals Bangladesh Limited, Stock market share, medicine informations and other

13

Principles of Management

pharmaceutical informations. Beximco Pharma, the only Pharmaceutical industry to export their
medicine to foreign country. Beximco has a strong market share and got enlisted on London
Stock Exchange. They have strong capital in Bangladesh. Beximco Pharma introduced HIV/
AIDS medicines. Beximco Pharma is the only pharmaceutical industry that created group for
resistance of Cancer and HIV/ AIDS.

14

Principles of Management

Sources: Informations are taken from various sources. Some of the main sources are given
below:
www.Beximco-pharma.com
www.beximcolimited.com
www.slideshare.net
www.docstoc.com
www.assignmentpoint.com
www.studymode.com
www.ukessays.com
www.essaysforstudent.com
www.asiamedia.ucla.edu
www.moneyhub.net
www.scribd.com