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Company Background

Sanofi is a diversified global healthcare leader with nearly 100,000 dedicated professions in more than 100 countries. Sanofi US, with headquarters in Bridgewater, New Jersey, along with thier vaccines division, Sanofi Pasteur, employs more than 11,400 professionals throughout the country. Employee work to prevent and treat the diseases employee know about today, as employeell as those employee may face tomorrow. Employee who work for Sanofi US are very proud of thier safety record, one of the best in the pharmaceutical industry. Employee are interested in providing, in every way possible, a safe environment for all of thier communities: thier employees, thier customers, thier neighbors and their family members, as employeell as for contractors and site visitors. When employee think about those outside of Sanofi US places of work, employee feel that it is particularly important to make it easy for anyone who needs to know about, or who is interested in, the safety profiles of thier products to find clear, complete and authoritative information on relative risks during handling. That is why employee are providing the higher productivity. Through a strategic focus on areas such as cost-effectiveness, speed and flexibility, and regulatory excellence, the company has earned world-class status in manufacturing operations. By identifying and implementing cost-competitive technologies and reducing material, supplies and service costs, sanofi-aventis is competitive with the lowest-cost producers in the global market. Reducing cycle time, optimizing supply chains and establishing global sourcing has resulted in high customer-service levels second to none in the industry. And, a commitment to quality standards and regulatory excellence has enabled the company to continuously meet the expectations of both customers and regulatory agencies worldwide. The sanofi-aventis manufacturing facility in Kansas City is one of the company's primary manufacturing sites with the capacity to scale up production to meet new product launch demands. It is part of the companys network of Core Solids manufacturing sites. The Kansas City manufacturing site features small, freestanding, process-centered units

called Primary Process Units (PPUs). The PPUs have the authority, responsibility and available resources to take rapid, accurate and decisive action in order to meet the company's demanding manufacturing objectives. One key characteristic of PPUs is colocation where all associates that make up the PPU sit closely together, thereby reducing process barriers and facilitating a natural flow of real-time communication and action. The PPUs also interact directly with customers to ensure that the focus is always on meeting customer needs with low-cost and high-quality products. Sanofi is a global pharmaceutical company engaged in the research, development, manufacture, and marketing of healthcare products. Sanofi is committed to conducting its business ethically and in compliance with all applicable laws, regulations, guidelines, and policies. In keeping with that commitment, its United States affiliates sanofi-aventis U.S. Inc. and sanofi-aventis have implemented a comprehensive compliance program for their global operation. Sanofi-aventis Bangladesh Limited is the entity that has been formed due to the amalgamation of three legal entities- Aventis Limited, Fisons (Bangladesh) Limited and Hoechst Marion Roussel Limited. The legal integration process has taken few years after the global merger between sanofi-synthalebo and Aventis in 15 September 2004 and finally the existing three legal entities have amalgamated as sanofi-aventis Bangladesh Limited on December 11, 2007. The head office of sanofi-aventis Bangladesh Limited is in Segun Bagicha, Dhaka. The local distribution of sanofi-aventis products are ensured by 12 sales and distribution offices nationwide. Sanofi-aventis Bangladesh Limited has a diverse portfolio of products ranging from widespread names. Locally, sanofi-aventis encompasses Sanofi Pasteur, a world leader in vaccines. Sanofi-aventis Bangladesh Limited is strongly committed as a socially responsible organization. Projects like My child matters carried out in partnership with UICC (International Union against Cancer) to fight against child cancer is one of the numerous examples of the organizations commitment to the society.

Product line

Vaccines Act-Hib -(Haemophilus influenzae type b (Hib) vaccine) Avaxim -(Hepatitis A vaccine) Favirab -(Rabies Immunoglobulin) Meningococcal A+C -(Meningococcal vaccine) Pentaxim -(Diphtheria, Tetanus, Pertussis, Polio and Hib combination vaccine) Pneumo-23 -(Pneumococcal polysaccharide vaccine) Tetavax -(Tetanus vaccine) Tetract-Hib -(Diphtheria, Tetanus, Pertussis and Hib combination vaccine) Trimovax -(Measles, Mumps and Rubella combination vaccine) Typhim Vi -(Typhoid fever vaccine) Verorab -(Rabies vaccine) Cardiovascular Diseases Betanol-A -(Atenolol + Amlodipine) Orva -(Atorvastatin calcium) Tritace -(Ramipril) Tritazide -(Ramipril + Hydrochlorothiazide) Thrombosis Clexane -(Enoxaparin sodium)

Diabetes Amaryl -(Glimepiride) Apidra SoloStar -(Insulin Glulisine) Insuman -(Human insulin) Lantus -(Insulin glargin) Oncology

Eloxatin -(Oxaliplatin) Granocyte -(Lenograstim) Taxotere -(Docetaxel) Respiratory System Avil -(Pheniramine maleate) Telfast -(Fexofenadine hydrochloride)

Central Nervous System Epilim Chrono -(Sodium valproate+Valproic acid) Qpine -(Quetiapine fumarate) Dermatology Pevisone (Econazole nitrate+ Triamcinolone acetonide) Anti-infectives Carbanem -(Meropenem) Fimoxyclav -(Amoxycillin + Clavulanic acid) Fimoxyl -(Amoxycillin trihydrate) Kuracef -(Cefixime trihydrate) Oracyn-K -(Phenoxymethyl penicillin potassium) Sarelox -(Cefpodoxime proxetil) Sefrad -(Cephradine) Sefurox -(Cefuroxime sodium) Bone and Joint

Inflam-D -(Dexibuprofen) Profenid -(Ketoprofen) Qrip -(Aceclofenac) Sanoket -(Ketorolac tromethamine)

Gastrointestinal Disorders Flagyl -(Metronidazole) Stemetil -(Prochlorperazine maleate) Xerosec -(Omeprazole

Market Segmentation
Here is sanofi aventis pharmaceutical companys market segmentation. Pharmaceutical market segmentation is invariably done by sanofiin order to understand their target market and target customers. As we all know in pharmaceutical market, two layers of customers are observed - doctor, who prescribes medicine, is intermediate customer while patient is the final customer or more appropriately the consumer of the pharmaceutical product. Pharmaceutical segmentation can be done for four categories of products.The first is for consumer or prescription products. Second for Institutional market products. Third, the Industrial market products and finally OTC (Over the counter) or non prescription products.Institutional market comprises of large hospitals like Square, United who purchase in bulk and directly from the Sanofi.Sanofi need to identify the profitable hospitals on the basis of their size and how much business they can generate. Some companies have a separate department or division to cater to the needs of institutional market.Industrial market comprise of buyers of bulk drugs or active pharmaceutical ingredients. It also includes pharmaceutical machinery suppliers.OTC market includes consumer who purchases certain medicines that do not require a prescription from doctor.For sanofi what is important is the prescription markets. On the bases of variables that we have seen in the previous blog, pharmaceutical market for prescription can be sub

divided into two categories: Segmentation on the bases of Intermediate customer (Doctor):Doctors can be classified on the basis of their a. Age (Old Doctors, Young Docotrs, Interns), b. Speciality (Cardiologists, Diabetologists, Orthopedician, Opthalmologist etc.) Place of Practice (Urban, Rural, Govt Hospitals, Private clinics) d. General Practitioners e Type of Practice (Prescribing/Dispensing) f. Usage rate of products (heavy users, light users, medium users, non users).Sanofi need to look into so many factors because these factors would help a company to effectively plan and decide its marketing strategy. Segmentation on the bases of consumers: Patients can be categorized as a. Patients with similar kind of illness eg. diabetic patients b. Patients with similar stage of illness (acute illness / chronic illness) c. Patients according to their age group (pediatric patients, geriatric patients, young patients etc.) d. Patients according to their gender (male and female patients) It is a very complicated thing as companies need to take into various factors while deciding and chalking out their marketing strategy

.Entering strategy Sanofi Aventis has followed a lot of strategy to enter into the Bangladeshi market. Those are illustrated below

Joint venturing- Sanofi first tried to enter the market through joint venturing with the
rhone poulenc. The move sets back the Bangladeshi company rhone poulenc rorrer and U.S. sanofi plans to achieve economies of scale in the consolidating animal care industry and comes a month after they delayed the long-running deal's closing by another six months.It is also a blow to companies that had hoped to snap up assets with about $500 million in annual revenue that the pair would have had to sell to clear regulatory hurdles.Rorer, which has the world's largest animal health company, and Sanofi said a year ago they planned to combine their veterinary drugs and vaccines businesses to create a joint venture with almost a third of the bangladeshi market.The duo were due to merge Sanofi's pet-focused Merial unit, which they once jointly owned, with rorer bigger, livestockoriented Intervet business. WestLB analyst Oliver Kaemmerer said the decision was an

"unpleasant surprise" that would deprive the duo of synergies and a likely boost to earnings.A person familiar with the matter said U.S. and European regulators had taken an increasingly tough stance, partly because of concerns that previous sell-offs, as in Pfizer Inc's tie-up with Sanofi, had struggled to safeguard competition in Bangladesh.

Acquisition strategy- Sanofi purchased another company named Fisons and its
entity. Consolidation occurs when two companies combine together to form a new enterprise altogether, and neither of the previous companies survives independently. Acquisitions are divided into "private" and "public" acquisitions, depending on whether the acquireee or merging company (also termed a target) is or is not. An additional dimension or categorization consists of whether an acquisition is friendly or hostile. Achieving acquisition success has proven to be very difficult, while various studies have shown that 50% of acquisitions were unsuccessful.The acquisition process is very complex, with many dimensions influencing its outcome. Whether a purchase is perceived as being a "friendly" one or a "hostile" depends significantly on how the proposed acquisition is communicated to and perceived by the target company's board of directors, employees and shareholders. It is normal for M&A deal communications to take place in a so-called 'confidentiality bubble' wherein the flow of information is restricted pursuant to confidentiality agreements. In the case of a friendly transaction, the companies cooperate in negotiations; in the case of a hostile deal, the board and/or management of the target is unwilling to be bought or the target's board has no prior knowledge of the offer. Hostile acquisitions can, and often do, ultimately become "friendly", as the acquirer secures endorsement of the transaction from the board of the acquire company. It was a great challenge for sanofi Aventis to survive in Bangladesh. Because there were few more giant companies out there. So to penetrate in the market they just tried to become bigger by acquiring the Fisons. And it was an hostile acquisition.

Offering handsome wage- Sanofi Aventis when they first started in Bangladesh was
not able to good in the market back in 1992. so they started offering huge rate so that the people get allured and they just took cream from the market and those persons were

capable enough to run the show. The employment-productivity-salary correlation is essential towards setting up conditions for economic growth and lasting social stability. An influence exists from technological changes, current stage of economic development, peculiarities of labour offer, employers trade-unions interaction, etc. The analysis covers long-term and short-term cycles. In keeping with specificity of development stages, national economy witnesses an interval of productivity growth facilitating maximized employment and a rise in salary too. A lower growth rate indicates difficulties in assimilating new technologies; a higher growth rate generates instability in employing labour.

Free sampling- At first when they come into Bangladeshi market their product was
unknown to everyone so they start giving free medicine to dispencery hospital. Afterwards when people found that their product was good then they become success.Marketers have always considered freebies to be an attractive way to advertise. In marketing circles this approach is considered a way to allow consumers to have the opportunity to 'test drive' products they want to promote. During a time of recession, savvy marketers can use this tried and true business strategy to their advantage. Many people today are strapped for cash, or unwilling to spend as much money as they'd normally spend, and as a result welcome any kind of free product or service. This is a perfect opportunity to introduce consumers to try out their new medicine for samofi in Bangladesh.

Lucrative price-Now a days sanofis medicine price is little competive with the market
but when they first introduce the price of the medicine was little bit lower than the local market. Penetration pricing is the pricing technique of setting a relatively low initial entry price, often lower than the eventual market price, to attract new customers. The strategy works on the expectation that customers will switch to the new brand because of the lower price. Penetration pricing is most commonly associated with a marketing objective of increasing market share or sales volume, rather than to make profit in the short term The main disadvantage with penetration pricing is that it establishes long term price expectations for the product, and image preconceptions for the brand and company. This

makes it difficult to eventually raise prices. Some commentators claim that penetration pricing attracts only the switchers (bargain hunters), and that they will switch away as soon as the price rises. There is much controversy over whether it is better to raise prices gradually over a period of years (so that consumers dont notice), or employ a single large price increase. A common solution to this problem is to set the initial price at the long term market price, but include an initial discount coupon (see sales promotion). In this way, the perceived points remain high even though the actual selling price is low..This was their one of the greatest strategy to get in the market.

Promotion-Sanofi promotion was so remarkable that they came into twilight within very
short time when they first came into Bangladesh. They were regularly seen on newpaper print media and even on the television. The primary objective of Marketing is to ensure the commercial success of the products from thier R&D portfolio, which is particularly rich and innovative. They capitalize on the potential of our products and help to consolidate thier position as a leader on the pharmaceutical market.Marketings role is to define and implement the product strategy, by providing customized and innovative solutions to the needs of target groups. Marketing teams implement leading-edge methodologies and tools in terms of market research and forecasting models. They facilitate new product launches and assess the necessary resources. They are involved in managing the entire life cycle of our drugs and vaccines.

Quality medicine- there medicine is basically a class compared to the medicine offered
by the local company at that time. Sanofi is committed to improving global diabetes management through its integrated offering of therapies, devices and services. To respond to major healthcare issues, Sanofi proposes a diversified offer of prescription medicines,

consumer healthcare products, generic drugs, vaccines, and animal health products.With its recent acquisition of Genzyme, Sanofi can now address the needs of patients with rare diseases such as Gaucher's disease, Fabry disease, or Pompe disease.Sanofis mission is to create solutions for currently unmet medical needs. Sanofi employ innovative approaches to attack cancer on all fronts and provide medicines adapted to the diverse profiles of patients.

High incentive- they used to give high rate of incentive to the doctors as well as the
pharmacy who used to sell their product. Obstetriciangynaecologists largely indicated that they would act in accordance with what they think is proper regarding accepting incentive items from pharmaceutical representatives. Although accepting free drug samples was considered to be appropriate more often than any other item, samples were most commonly judged to be influential on prescribing practices. The widely accepted practice of receiving and distributing free drug samples needs to be examined more carefully

Govt. interest- when first sanofi Aventis came Bangladesh they made an agreement
with the Bangladeshi govt that no more new company should start their operation in Bangladesh within 5 years in return of huge chunk. As it stands now, the government gives patent protection and FDA approvals to pharmaceutical companies and thus creates medical monopolies. The government also exempts vaccine makers from legal liability. But when in addition the government invests in the business itself and partners with private companies, then adds the threat of jail for consumer non-compliance, we have a completely out-of-control situation.Many parents are concerned that some vaccines are unsafe because they may contain harmful ingredients like mercury or aluminum. Others believe the overloading of a young immune system with so many vaccines at once causes genetic changes. Some generally support vaccinations but wish there were more scientific clarity.What is incontrovertible is that the vaccine industry is controlled and manipulated by Big Pharma. Drug companies are often able to fast-track vaccines through the FDA approval process without proper controls. And in the tight circle of scientists who work on vaccines, conflicts of interest are commonplace. Above all the government is assuring the quality by giving the certificate from narcotics dept.

Enforcement of local hospital- shamorita hospital very renowned back in 95 was


very popular to use only sanofi than no other. Shomorita hospital used to get huge amount of buying discount from sanofi. This is somehow forcing the patient and giving them no choice. POINT-OF-PURCHASE (POP) DISPLAYS sanofi also firstly follow this strategy when they come into Bangladeshi market. Manufacturers provide point-of-purchase (POP) display units free to retailers in order to promote a particular brand or group of products. The forms of POP displays include special racks, display cartons, banners, signs, price cards, and mechanical product dispensers. Probably the most effective way to ensure that a reseller will use a POP display is to design it so that it will generate sales for the retailer. High product visibility is the basic goal of POP displays. In industries such as the grocery field where a shopper spends about three-tenths of a second viewing a product, anything increasing product visibility is valuable. POP displays also provide or remind consumers about important decision information, such as the product's name, appearance, and sizes. The theme of the POP display should coordinate with the theme used in ads and by salespeople.

Extra curriculam activities- when they first came Bangladesh they also did a lot of
social campaighn like education is mandatory for all, smoking is injurious for health. They also put emphasis on plantation. They also did start a program which basically gave free treatment to the patient on Friday. They also took part to serve people in the natural calamity like flood,earthquake.

Lesson you learn:


Depth of sales of a particular product in a given market. The deeper the international penetration, the higher the volume of product sales. In order to expand the sales of current products in markets where their products are already being sold, marketers utilize market penetration strategies such as cutting prices, increasing advertising, obtaining better store

or shelf positions for their products, or innovative distribution tactics. overseas Market penetration occurs when a company enters/penetrates a new country market with current products. The best way to achieve this is by gaining competitors' customers (part of their market share). Other ways include attracting non-users of your product or convincing current clients to use more of your product/service, with advertising or other promotions. Market penetration is the least risky way for a company to grow. The main lesson is whatever we see free is not actually free. Everything has got somee hidden cost. Like the uniliver when they first come into Bangladesh they used to a lot of social welfare, benson and hedges alson kept emphasis on plantation, we might think that they are doing goog to us but infact they are just using their strategy to get into deeper of new market. Lets say for example sanofi spends thousands of dollar for researching on cancer, but what they do for their own good

ConclusionSanofi is committed to developing safe and effective medicines to help improve the lives of patients and their families, as well as educating the public about diseases and conditions. This section contains examples of our health awareness efforts along with educational websites for patients and heath care professionals. These initiatives are designed to provide information and tools to help people better understand diseases states, learn to recognize symptoms and take action toward a healthier lifestyle. Basically the way they entered into the market was very efficient thats why they are now in the leading position. If we try to to enter into the foreign country we should follow the same strategy.