1.

1 INTRODUCTION Even though there are a number of pharmaceutical companies in Bangladesh, most people do not get the proper medication here. For some particular treatment people still need to depend on the medicine imported from outside of the country. But it is really great news that some companies like Square Pharmaceuticals, Be imco Pharmaceuticals, !"#E $aboratories $td. etc. are doing their best to fulfill the general needs of the medicine. !nd in this respect the pharmaceutical companies can be given the status %success%. But still there are some lacking of professionalism in the pharmaceutical business. Square Pharmaceuticals is one of the best pharmaceutical companies of Bangladesh. 1.2 Origin of the report &n order to fulfill the partial requirement of the BB! program, my respected teacher $i'a (hanam, lecturer )epartment of Business !dministration, *niversity of +*B assigned me to study Business level strategy of Square Pharmaceuticals $td. followed by a detail report. 1.3 Scope of this report ,he scope of the report was based on the annual reports - web site, input from interviews of e ecutives of the Square. ,o analy'e the situation in question, & worked on focusing on Square Pharmaceuticals $td. !naly'ing their ob.ectives, market strategies, #arket situations, product mi es, etc. ,he analysis was based on the e posed and available information only. &n/depth data were not always available on/demand due to some unavailable reasons. S01, analysis of the company has been done. Some recommendations also have been worked out to improve the current situations for the company.

1.4 Objective of the stu ! ,he specific ob.ectives aimed for this report is to conceptuali'e the current Business level strategy of SP$ and to identify and suggest scopes of improvement in current strategy. 1.5 Methodology &nformation used to prepare this report has been collected from both the primary and secondary sources which together provided more comprehensive information. 1.6 Collection of the data !n open discussion method was followed to gather primary information by informally interviewing the various e ecutives of the company. Participants were purposefully selected as they commonly engaged in marketing directly or indirectly. 1bservations were also used to collect primary data while working in different desks. ,he secondary data was accumulated from two sources/ a. internal and b. e ternal. ,he former sources were annual reports, periodicals, articles and brochures published by the company. But in the later case, .ournals, research papers and articles from various online sources. 1.7 Limitations of the Study ,his report suffered from several limitations3 4 4 ,he most important of them was 5time constraint6. ,ime was not adequate !nother important limitation was 5inaccessibility in many section of the complete the study more perfectly. organi'ation6. & confronted difficulties in getting appointment from the desired respondents as well as appropriate response from the selected respondents due to being confidential for the company. 4 4 4 ,his report also suffered from inadequate secondary information. ,his report7s factual accuracy may be compromised due to out/of/date information. ,he findings may not be generali'ed to the SP$ as a whole.

2.1 "#c$groun %

S9*!:E Pharmaceuticals $imited ;SP$< is the largest pharmaceutical company in Bangladesh and is leading the Pharmaceuticals sector from the very beginning. &t has been continuously in the 2st position among all national and multinational companies since 2=>?. &t was established in 2=?> and converted into a public limited company in 2==2. ,he sales turnover of SP$ was more than ,aka @.? Billion ;*SA 2B@.=2 million< with about 2C.=8D market share having a growth rate of about 8E.2@D. Square Pharmaceuticals $imited is an organi'ation with equal emphasis on $eadership, ,echnology, 9uality and Passion. Square Pharmaceuticals $td. is the leading branded generic pharmaceutical manufacturer in Bangladesh producing quality essential and other ethical drugs and medicines. S9*!:E today symboli'es a name / a state of mind. But its .ourney to the growth and prosperity has been no bed of roses. From the inception in 2=?>, it has today burgeoned into one of the top line conglomerates in Bangladesh. Square Pharmaceuticals $td., the flagship company, is holding the strong leadership position in the pharmaceutical industry of Bangladesh since 2=>? and is now on its way to becoming a high performance global player.

2.2 &#n#ge'ent (pp#r#tus'#n#ge'ent (pp#r#tus

"O(RD O) DIR*CTORS #r. Samson F. "howdhury #r. Samuel S. "howdhury #r. ,apan "howdhury )r. (a'i Farunar :ashid #r. #. Sekander !li #s. :atna Patra #r. !n.an "howdhury #r. (a'i &qbal Farun #r. (. # Saiful &slam (UDIT CO&&ITT** #r. #. Sekander !li #r. Samuel S. "howdhury #r. (a'i &qbal Farun &(N(+*&*NT CO&&ITT** "hairman #ember #ember "hairman Gice "hairman #anaging )irector )irector &ndependent )irector
)irector

)irector )irector )irector

#r. ,apan "howdhury #r. ( # Saiful &slam #r. Parve' Fashim #r. #. !shiqul Foque "hawdhury #r. #uhammadul Faque #r. #d. (abir :e'a, F"#! S*NIOR COR,OR(T* O))ICI(-S

"hairman #ember #ember #ember #ember #ember

#r. #d. (abir :e'a, F"#! "hief Financial 1fficer #r. (handaker Fabibu''aman, #B!, !"S "ompany Secretary #d. #a.ibur :ahman Bhuiyan, #."om Fead of &nternal !udit CO&,(N. S*CR*T(R. #r. (handaker Fabibu''aman, #B!, !"S (UDITORS #Hs. "howdhury Bhattachar.ee - "o. "hartered !ccountants I@H8, &ndira :oad )haka/282?, Bangladesh

-*+(- (D/ISORS #r. :afique/ul Fuq, Bar/at/$aw I@H2, Purana Paltan, )haka #r. :okanuddin #ahmud, Bar/at/$aw 0alsow ,ower 82/8E, (a'i +a'rul &slam !venue, )haka #r. #. #oniru''aman (han, Bar/at/$aw "ity Feart C@, +aya Paltan, G.&.P :oad, )haka #s. +ihad (abir, Bar/at/$aw Fouse +o. C8, :oad +o. 22! )hanmondi, )haka "(N0*RS Janata Bank $td. 2, )ilkusha ".!, )haka "itibank +.! 2B=, Kulshan !venue, Kulshan, )haka Standard "hartered Bank C@, Kulshan !venue, Kulshan, )haka "ommercial Bank of "eylon $td. 8, )ilkusha, ".!, )haka Eastern Bank $td. E2, +orth ".!, Kulshan "ircle/8, )haka #ercantile Bank $td. C2, )ilkusha ".!, )haka Bank !lfalah $td. ?, :a.uk !venue, #oti.heel, )haka Shah.alal &slami Bank $td. Fouse/C, :oad/E8, Kulshan !venue, )haka ,rust Bank $td. 22B, Kulshan !venue, )haka

Bank !sia $td. >8, #ohakhali ".!, )haka INSUR*RS Pioneer &nsurance "o. $td. 2B, )ilkusha ".!, )haka Pragati &nsurance "o. $td. 8B/82, (awran Ba'ar, )haka -ISTIN+ )haka Stock E change $td. "hittagong Stock E change $td. R*+IST*R*D O))IC* %Square "entre% I>, #ohakhali ".! )haka/2828, Bangladesh Phone3 >>EEBI@/?C, >>?=BB@ www.squarepharma.com.bd )(CTORI*S
Square Road, Salgaria, Pabna, Bangladesh Board Ghar Bazar Kaliakoir, Gazipur, Bangladesh.

2.3 COR,OR(T* 1ISTOR. Lear of establishment;&nitially as a partnership< &ncorporated as a private $imited "ompany ,echnical collaboration agreement with Janssen Pharmaceuticals of Belgium ;a
subsidiary of Jhonson - Jhonson &nternational $td.<

3 3 3

2=?> 2=CI 2=@?

,echnical collaboration agreement with F. Faffman/$a :ache - co. $td. "onverted into Public $imited company &nitially Public 1ffering ;&P1< Stock E change listing

3 3 3 3

2=>I 2==2 2==I 2==? 2==C 2==> 8BB@ #anufacturing - #arketing of Pharmaceutical finished Products, Basic "hemicals, !gro vet products - pesticide products. ,(. ?,BBB million ,(. >=I.8I million E,?CI Square Spinning $td. Square "ephalosporin7s $td. Square Biotech7s $td. Square ,e tile $td. Square (nit Fabrics $td. Square Fashions $td. Square Fospitals $td.

!greement with #Hs Bovis ,anvec $td. 1f 3 *( for &mplementation of )haka Plant !warded &S1/=BB2 "ertificates !warded *(/#F:! "ertificates Business lines 3 3 3

!uthori'ed "apital Paid/up "apital +umber of Employees Subsidiary "ompany !ssociate "ompany

3 3 3 3 3

2.4 /ision Square views business as a means to the material and social wellbeing of the investors, employees and the society at large, leading to accretion of wealth through financial and moral gains as a part of the process of the human civili'ation. 2.2 &ission &ts #ission is to produce and provide quality - innovative healthcare relief for people, maintain stringently ethical standard in business operation also ensuring benefit to the shareholders, stakeholders and the society at large. 2.3 Objective &ts ob.ectives are to conduct transparent business operation based on market mechanism within the legal - social frame work with aims to attain the mission reflected by its vision. 2.4 Corpor#te )ocus &ts vision, mission and ob.ectives are to emphasi'e on the quality of product, process and services leading to growth of the company imbibed with good governance practices. 2.5 &#n#ge'ent ,hi6osoph! ,he Philosophies as have been adopted by Square Pharmaceuticals $td. are as follows3 Bangladesh should support and respect the protection of internationally proclaimed human rights within their sphere of influenceM and #ake sure that they are not complicit in human rights abuses. Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining. ,he elimination of all forms of forced and compulsory labor. The effective abolition of child labor and Eliminate discrimination in respect of employment and occupation. Business should support a precautionary approach to environmental challenge. *ndertake initiatives to promote greater environmental responsibilityM and Encourage the development and diffusion of environmentally friendly technologies Business should work against corruption in all its forms, including e tortion and bribery.

Square strives, above all, for top quality health care products at the least cost reaching the lowest rungs of the economic class of people in the country. Square values our social obligations.

Square owes our shareholders and strive for protection of their capital as well as ensure highest return and growth of their assets. Square strives for equality between se es, races, religions and regions in all spheres of our operation without any discriminatory treatment. Square strives for an environment free from pollution and poisoning.

Square strives for the achievement of millennium development goals for the human civili'ation.

>

Square Pharmaceuticals $td. is follows &ntegrated $ow costH)ifferentiated Business level strategy. 3.1 )ir's using #n Integr#te Str#teg! '#!%
NNNN

!dapt more quickly $earn new skills and technologies. *tili'e fle ible #anufacturing Systems to create differentiated products at low costs. $everage core competencies through &nformation +etworks across multiple business units. *tili'e ,otal 9uality #anagement ;,9#< to create high quality differentiated products which simultaneously driving down costs.

( v#nt#ges of Integr#te Str#teg! ! Firm that successfully uses an integrated cost leadershipHdifferentiation strategy should be in a better position to3 !dapt quickly to environmental changes $earn new skills and technologies more quickly Effectively leverage its core competencies while competing against its rivals.

Dis# v#nt#ges of Integr#te -o7 cost8 ifferenti#te Str#teg! :ecogni'e that the &ntegrated $ow costH)ifferentiation business level strategy involves a "ompromise. ,he risk is that the firm may become 5Stuc$ in the &i 6e6 lacking a strong commitment to or e pertise whit either type of generic strategy.

3.2 &#r$et *9p#nsion Str#teg! of S,#!:(E,&+K #&O Before going into deeper, we should define the present marketing mi of SP$ which is figured
out in the following model3

,ro uct ;#edicine< T#rget Custo'er ;)octors Physicians<

,rice
;!ll most regulated<

,ro'otion
;Personal Selling through relationship<

,6#ce
;)omestic foreign<

a< &#r$et Seg'ents% ,he main basis of segmenting market in Bangladesh is therapeutic drug i.e. +!S!$ ):1PS, !+,&B&1,&" etc. Presently SP$ has the largest product portfolio to serve as many segments as possible. &t consistently strives to make it larger. &ts present segments are identified in the product table. b: T#rget Custo'ers% :ather than the consumer of the medicine, the key customers for SP$ have been the physician. Physicians are considered here as opinion leader. ,he ma.or innovative drugs can not be purchased without a prescription provided by a doctor. SP$7s main selling task has been directed therefore, not at the user, but at physicians. )octors and physicians are segmented on the basis of its therapeutic drug segment. !s for e ample, +!S!$ ):1PS products are communicated at E.+., specialists. ,herefore, if SP$ has +!S!$ ):1PS product line, then E.+., specialists are treated its target customers. Besides this, general physicians are also its target customers.

2B

c: /#6ue ,roposition% SP$ has presently been offering its products to its market segment with the value proposition 5*tmost quality, e cellent efficacy6. : ,ro uct% SP$ develops, produces, and markets drugs of different therapeutic groups licensed for use as medications. ,he Bangladeshi Pharmaceutical #arket is primarily a generic market producing both patented and off/patented products. ,his is popularly known as Branded Keneric #arket since any manufacturer can produce the same molecule ;either patented or off/patented< and market it in different brand names. SP$ is not beyond this scenario. &t produces off/ patented molecule and market it in its own brand. ,he product list according to generic segment can be found in appendi part. e: ,rice% )rug pricing is heavily dependent on the +ational )rug Policy adopted by directorate of )rug !dministration of Bangladesh Kovt. agencies act as a countervailing power in pricing pharmaceuticals. !s per the +)! 8BB?, regulatory authority pursuing 5:ational pricing6 of drugs to ensure essential drugs available to the end/users at affordable prices. 1n the basis of that policy, SP$ has been pursuing two different kinds of pricing policy/ a. For 1," product, all most similar price as the competitors7 b. For P1# product, competitive pricing. ,here are also few e ceptions. &f SP$ introduces a product first in the market, it charges little bit higher price than its competitors, but within the rules and regulations of )rug !dministration. f: ,6#ce% SP$ has the strongest domestic distribution network for smoothing distribution of medicines to all parts of the country. "urrently it has 2? depots all over the country. ,hose are situated at )haka, Pabna, Bogra, :angpur, (hulna, Barisal, "omilla, #ymensingh, "hittagong, +oakhali, Sylhet, ,angail, :a.shahi, Faridpur and +aryangan.. &t uses own transport system to deliver its product to the stockist and retailer.

22

S,- #6so e9ports its pro ucts to 31 countries% #yanmar ,an'ania !fghanistan $ibya &raq "ambodia #o'ambique g: ,ro'otion% Public advertisement for medicine, especially P1# drug is strictly prohibited in Bangladesh. But it may be done for 1," medicine to some e tent. Fowever, no pharmacy company in Bangladesh is engaged in such advertisement. SP$ heavily depends on personal selling through rapport building and maintaining. ! team of sales representatives, called #P" have been employed to meet with physicians to e plain the merits, demerits, indication, contraindications, etc. of the medicine with the help of literature, brochure, pad, booklet, leaflet, gift item etc. ,hat is, the #edical Promotion 1fficers promote the companies product to doctors front with the help of different promotional materials. &f a new drug is to be more e pensive, then it needs to demonstrate that its superior performance is worth it. 3.3 &#r$eting ,rob6e's of S,!fter analy'ing its present market e pansion strategies the following problems have been found in it3 2< &t seems that SP$ pursuing ;prescription for profit< strategy for market penetration. &t is partially good, but may not be perfect as the completion is very hard. ,here are some other parties who have the scope and ability to act as 5opinion leader6 and to motivate the buyer. ,hese potential 5opinion leaders6 are remaining une ploited. SP$ has enough resources to let them add value to the company. 8< & didn7t find SP$ adopting any strategy to create brand loyalty. But client is more profitable than customer in terms of both transaction as well as positive word/of/mouth ,resent e9port '#r$et covers Papua +ew "omoros &sland Bhutan Kuinea +epal Kambia +iger ,a.ikistan #auritius Sierra $eone #acau countries :wanda #alawi (osovo (enya Sri $anka Somalia Lemen *kraine *'bekistan Gietnam Benin Botswana Khana

28

communication. Fe himself can be an opinion leader. E< !t present, SP$ gets only 8BD raw materials from its !P& plant and the rest are to be imported. &t increases product cost. I< #arket should not be segmented only on the therapeutic drug basis. ?< Folding the heaviest product portfolio should not be the ultimate goal at all. Emphasis must be given on how early a new product can be launched in the market place than the competitor. 3.4 ,R*S*NT &(R0*T ,OSITION

2E

3.2 )IN(NCI(- R*SU-TS

=

,he operating financial results of the "ompany for the year 8BB>/8BB= as compared to previous year are summari'ed hereunder3 ,R*S*NT )IN(NCI(- ,OSITION

C#pit#6 Resources
(SS*TS Non>Current (ssets% Property, Plant and Equipment/"arrying Galue "apital 0ork/in/Process &nvestment $ong term;at cost< Current (ssets% &nventories ,rade )ebtors !dvances, )eposits :epayments &nvestment in #arketable Securities;at cost< Short ,erm $oan "ash - "ash Equivalents Tot#6 (ssets 31>?3>2??@ 5A2@1A2@?A@54 I,BB>,IE8,2@2 ?=2,22I,CI= E,C22,@II,2CI 4A411A533A433 8,B8C,@EC,E88 ECB,8I?,CIC 8>>,>BC,IIB 8B,8?B,BBB 2,?2B,?B8,EEI 8B?,8=?,C=I 12A4?3A124A42? 31>?3>2??5 3A5?4A42@A2@2 E,?E2,BBE,?B= I>2,8E=,I2= 8,@=8,2>C,ECI 3A352A21?A412 2,?II,2=2,@=> E88,>CI,CE@ 8EC,I??,E=? 8B,8?B,BBB 2,I2>,>=E,@BE 2E=,>??,2@= 1?A453A@4?A??4

2I

"USIN*SS ,ORT)O-IO Subsi i#r! Oper#tion Square Spinning $td. Square "ephalosporin7s $td. Square Biotech7s $td. -ong>ter' invest'ent Square ,e tiles $td. *nited Fospital $td. +ational Fousing Finance and &nvestment $td. "entral )epository Bangladesh $td. Square Fospitals $td. Square (nit Fabrics $td. Square Fashions $td. Square &nformatics7 $td. "(-(NC* S1**T !s at E2 #arch 8BB= (SS*TS% Non>Current (ssets% Property, Plant and Equipment/"arrying Galue "apital 0ork/in/Progress &nvestment / $ong ,erm ;at "ost< 31>?3>?@ =,IB@,@EB,BB2 I,>==,C@=,>E8 /// I,?B>,B?B,2C= 31>?3>?5 >,8=2,8=B,=>I I,B>>,IE8,2@2 ?=2,22I,CI= E,C22,@II,2CI Invest'ent In &#r$et#b6e Securities Shares Pioneer &nsurance "ompany

Current (ssets% E,>IE,?28,>?? I,I22,>EC,IEC &nventories 8,B=>,@??,8E2 8,B8C,@EC,E88 ,rade )ebtors I@@,?C8,BB8 ECB,8I?,CIC !dvances, )eposits and Prepayments 8CB,EEB,2C8 8>>,>BC,IIB &nvestment in #arketable Securities ;at "ost< 8B,8?B,BBB 8B,8?B,BBB Short ,erm $oan C=E,2?@,@8B 2,?2B,?B8,EEI "ash and "ash Equivalents 8=E,I?@,@IB 8B?,8=?,C=I TOT(- (SS*TS BT0.: 13,251,242,856
12,7 3,127,42

S1(R*1O-D*RSC *DUIT. (ND -I("I-ITI*S% Sh#reho6 ersC *Euit!% Share "apital Share Premium Keneral :eserve =,=I=,E=@,CEI 2,8B@,88I,BBB 8,BE?,IC?,BBB 2B?,>@>,8BB >,I2@,BIB,@B? >=I,8IB,BBB 8,BE?,IC?,BBB 2B?,>@>,8BB

2?

,a Foliday :eserve :etained Earnings Non>Current -i#bi6ities% $ong ,erm $oans P Secured )eferred ,a $iability Current -i#bi6ities% Short ,erm Bank $oans $ong ,erm $oans / "urrent Portion ,rade "reditors $iabilities for E penses $iabilities for 1ther Finance

2,2B2,=E?,8E@ ?,I=>,>=?,2=@ CCB,=@C,CC> II=,@?@,CB> 822,82=,BCB 8,CIB,>C>,??I 2,?EI,EI?,@>8 8=?,?=B,CB2 28I,888,C== C=,?@E,@B8 C2@,2E?,@@B

2,2B2,=E?,8E@ I,8@=,?88,8C> @>?,8I2,C28 CB8,?>I,C2? 2>8,C?C,==@ E,?BB,>I?,2BE 8,CC=,C=E,2>I 8=@,BB8,CIC 2BB,=?E,8?> E8,8=B,8E? IBB,=B?,@>B 12A4?3A124A42?

TOT(- S1(R*1O-D*RS *DUIT. (ND -I("I-ITI*S 13A221A242A523 BT$:

INCO&* ST(T*&*NT For the Lear Ended E2 #arch 8BB= 8BB>/8BB= K:1SS ,*:+1GE: $ess3 Galue !dded ,a N*T TURNO/*R "1S, 1F K11)S S1$) +ROSS ,RO)IT 1perating E penses3 Selling and )istribution E penses !dministrative E penses 22,ECE,?=@,=8> 2, ! ,"#$,%&# QQQQQQQQQQQQ =,>8B,@=C,?C> ;?,C@8,?C?,=@E< FFFFFFFFFFFFF I,2I>,8EB,?=? ;2,@@=,@=E,EC>< ;2,E2=,EC8,E2@< ;ICB,IE2,B?2< 8BB@/8BB> =,?C?,@2?,=B8
$,%#',"'(,$&%

QQQQQQQQQQQQ >,8?@,>IE,@E= ;I,>?C,BC2,=EE< FFFFFFFFFFFF E,IB2,@>2,>BC ;2,C=8,I@?,=>>< ;2,88B,=@=,8C>< ;I@2,I=C,@8B< 2,@B=,EB?,>2> CBI,C8>,?BI ;E?2,>C>,I8E< 2,=C8,BC?,>== ;=E,IE2,@B=< 2,>C>,CEI,2=B ;IB=,CCB,>8@< ;@@,22B,8@B< 2,E>2,>CE,B=E 114.44

P:1F&, F:1# 1PE:!,&1+S 8,EC>,IE@,88@ 1ther &ncome CC?,?8B,=2? Financial E penses ;E=@,2E?,=CE< +E, P:1F&, BEF1:E 0PPF 8,CEC,>88,2@= !llocation for 0PPF ;28?,?C8,=C2< +E, P:1F&, BEF1:E ,!O 8,?22,8?=,82> Provision for &ncome ,a ;?=8,CII,88C< Provision for )eferred &ncome ,a ;8>,?C8,BCE< N*T ,RO)IT ()T*R T(G BT0: 2,>=B,B?8,=8= ;,ransferred to the Statement of "hanges in Equity< *#rnings per Sh#re B*,S: BT0: 123.23

2C

C(S1 )-OH ST(T*&*NT For the Lear Ended E2 #arch 8BB= 2??5>2??@ C#sh )6o7s fro' Oper#ting (ctivities% :E"E&P,S3 "ollection from Sales 1thers P!L#E+,S3 Purchase of :aw and Packing #aterials #anufacturing and 1perating E penses Bank &nterest &ncome ,a 0orkers Profit Participation Fund 1thers 2??4>2??5

=,@BC,IB8,8?@ ICC,E8C,>?B 2B,2@8,@8=,2B@ I,?=?,8I>,@C2 8,2?8,?>2,E?8 E=@,2E?,=CE I@?,==@,II> CB,2=8,88> @,C>I,>88,CC=

>,8E2,B=@,?8? II=,@8@,CC2 >,C>B,>8?,2>C I,IEI,C2I,EII 8,B@?,B>C,I>> E?2,>C>,I8E I?>,88@,ECC ?>,B?2,B8@ @,E@=,==C,I>8 2,EBB,>8>,@BI ;2,2BC,8B2,I@2< >,=>?,B?? ;?BB,BBB,BBB< ;E,2?@,>BB< ;E2C,IBB,BBB< //// ;2B=,>@?,8EB< //// 228,?=?,=>B IB,2=@,2C> ;2,>@E,>?C,8=>< I2I,8>>,BBB ;8E@,BIC,?CC< >?B,=2?,EBC ;=2,CB>,CE2< ;8=>,B>B,BBB< CE>,IC>,2B= C?,IIB,?2? 2E=,>??,2@= 8B?,8=?,C=I

+et cash provided by operating activities 8,I>@,=BC,IE> C#sh )6o7s fro' Investing (ctivities% Purchase of Fi ed !ssets ;>@@,=CB,@8I< )isposal of Fi ed !ssets >,>BC,8?B &nvestment in Square Fospitals $td. ;?BB,BBB,BBB< &nvestment in +ational Fousing Finance - &nvestment $td. //// &nvestment in Square Biotech7s $td. ;2?B,BBB,BBB< &nvestment in Square #ulti Fabrics $td. ;8I=,?BB,BBB< "apital 0ork/in/Progress //// Sale of #arketable Securities C@,8>=,88? &nterest :eceived >=,??2,B22 )ividend :eceived I8,BB@,C>@ +et cash used in investing activities C#sh )6o7s fro' )in#ncing (ctivities% $ong ,erm $oan :eceived $ong ,erm $oan :epaid Short ,erm Bank $oan &ncreaseH)ecrease Short ,erm $oan &ncreaseH)ecrease )ividend Paid +et cash ;used<Hprovided by financing activities &ncrease in "ash and "ash Equivalents "ash and "ash Equivalents at the 1pening "ash and "ash Equivalents at the "losing ;,(< ;2,?C=,>BC,??2< 2?2,2C8,CB@ ;EB?,IB2,CCB< ;2,2E?,EI@,IB8< >2@,EII,C2I ;E?@,C=C,BBB< ;>8=,=E@,>I2< >>,2C8,BIC 8B?,8=?,C=I 8=E,I?@,@IB

2@

SHOT (N(-.SIS

,he S01, !nalysis comprises of the organi'ations internal strengths, weaknesses, e ternal opportunities, and others. S01, analysis is an important tool for evaluating the company7s strengths, weaknesses, opportunities, and others. &t gives an organi'ation an insight of what they can do in future and how they can compete with their e isting competitors. ,his tool is very important to identify the current position and performance of the organi'ation relative to others, who are playing in the same field and used in the strategic analysis of the organi'ation.

SHOT (N(-.SIS

STR*N+T1S

H*(0N*SS*S

O,,ORTUNITI*S

T1R*(TS

2>

4.1 STR*N+T1S%
Square is the largest private sector industrial conglomerate in Bangladesh. Square is more efficient and leading company in pharmaceutical industry for their strengths. ,heir strengths are given below3 ,he well qualified employees are strength of Square. Fuge e perience in the pharmaceutical market *sed modern and sophisticated technology Strong research and development division Fighly Skilled workforce, efficient management Strong brand recognition, outstanding service Price of "ephalosporin is very competitive 0orld class manufacturing facilities.

4.2 H*(0N*SS*S%
,he chain of command of Square is elongated, which takes long time to take any decision. &n reality Square has insignificant weakness in strategy +eed more smooth distribution channel $ess prescription share compared to the competitors. ,t &neffective and inefficient detailing of FPs &n case of product launching Square is follower rather than to become pioneer. Some of the "ephalosporin7s are showing negative growth

4.3 O,,ORTUNITI*S%
,he pharmaceutical market of Bangladesh is booming rapidly, so Square has a huge scope to do better. ,oday technology is more advanced and sophisticated which opens the door of the new generation of medicine. #ore and more health care centers and hospital are being established Square has scope to penetrate in those. Klobali'ation opens the door of new era for Square.

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 Established - Krowing market segment. "an be penetrated easily in the market

4.4 T1R*(TS%
,here are lots of big pharmaceutical companies established in market in the country, which create more competition .So that is a threat for Square. &ncrease the price of raw material $ack of availability of raw material Fuge import ta "ompetitor increase day by day

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2.1 Conc6usion%
,he purpose of this paper has been to analy'e the market e pansion activities of Square Pharmaceuticals $td. SP$ is a very big business organi'ation. ,herefore, it7s very difficult on my part to analy'e its each and every strategy precisely in this small study. ,here can be various ways through which a business organi'ation can achieve success in the market, after scanning its e ternal - internal environment and considering all alternatives, & have tried my level best to sort out the best way as per my thinking ability for SP$ to run ahead. But finally & can say this much that it has a large potential both in the short and long run due to its sound distinctive competencies.

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2.2 Reco''en #tions%

Ne7 C#tegor! Opinion -e# er )octors are the only opinion leader in SP$7s present strategy. &t may be partially good, but can not be perfect as the completion becomes more intense day by day. ,here are some other parties who have the scope and ability to act as 5opinion leader6 and to motivate the buyer. ,hese potential 5opinion leaders6 are remaining une ploited. SP$ has enough resources to let them add value to the company. Custo'er OnceA C6ient for ever "lient is more profitable than customer in terms of both transaction as well as positive word/ of/mouth communication. Fe himself can be an opinion leader. So, & am suggesting adopting some programs that will let its customers be transformed into clients. ,he following model would better describe this concept3 SP$ has a strong brand image in pharmaceutical industry. &t will facilitate this strategy. & am citing some instances here which may be useful for this strategy3 a. #obile Fospital service with free treatment and medicine. b. Fealth awareness program in rural area. c. #oderni'ation of educational institute or public hospital etc. 0eep ,#ce 7ith the R#ce ,oday7s world is changing very rapidly, in every sphere. ,herefore, updating production plant alone is not enough to cope with the new environment. SP$ has to have a keen eye if there is any change in F: development, transport, information technology, consumer relation management, medical science and so on.

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Integr#te +re#t6! SP$ imports >BD raw materials of its total requirements. ,his is a weakness if it wants to consistently e pand its market. So it requires either more !P& plants or increase in present production capacity. Discover the un iscovere Pharmaceutical value chain is a bit different from traditional value as it includes an additional step 5)iscovery6. &n the start this step is a vital strength of any pharmaceutical company. SP$ lacks this component in its value chain Innov#tion is the Destin#tion Pharmacy is on the brink of a scientific and technological revolution that will ultimately transform both the nature of the medicines it makes and how it makes them. &n future, then, Pharmacy will not only make the white powders, creams and tablets it has traditionally produced, it will manufacture a complete mi of biopharmaceuticals, parenterals and diagnostics. #aking targeted treatment solutions will generate greater revenues than conventional drugs and offset the increasing competition from generic producers. But it will also require the restructuring of the entire pharmaceutical value chain, including the fi ed asset base and downstream distribution. Seg'ent the Current &#r$et Seg'ent SP$ is in need of more segmentation tools in an ongoing effort to establish close and sustainable relationships with customers.

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"ib6iogr#ph!
!nnual :eports of Square Pharmaceuticals $td. www.squarepharma.com.bd

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+6oss#r!
&n this report, we use some technical words and these are flowing with e planation3
SP$3 Square Pharmaceuticals $td. &#S3 &nformation #edical Statistics 0,!3 0orld ,rade !greement #:P"3 #arket :esearch Planning - "ell !P&3 !ctive Pharmaceutical &ngredients. ))!3 )irectorate of )rug !dministration. P1#3 Prescription 1nly #edicine

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