Analysis on External and Internal Environment of Beximco

The new generic medicines player Beximco Pharmaceuticals Ltd. (Beximco Pharma) is
devoted to providing access to inexpensive medications. Company state-of-the-art production
plants have been recognized by US, Australian, European Union, Canadian, and Brazilian
regulatory agencies among others, and are presently growing their presence in numerous new
and developed markets worldwide (Beximco Pharma, 2021).

Beximco Pharma constantly builds on its portfolio and presently manufactures over 500
medicines covering wide therapeutical areas, and by delivering a selection of high, brand
placement impossible to replicate, the firm has established strong differentiation.

To begin with, Pestel is a strategic technique to assess an organization's external

environment. Changes in socio-economic and socio factors can directly affect not just
Beximco Pharmaceuticals Limited, but other healthcare players. The macro-environmental
factors can influence the policy and competitive landscape of porter's five forces. They can
affect the competitive edge or overall degree of profitability of the healthcare business in
particular companies.

Political Factor: Political considerations play an important role in defining the elements that
affect the long-term profitability of Beximco Pharmaceuticals Limited in a certain nation or
market. Beximco Pharmaceuticals Limited operates in more than 12 countries in healthcare
and is exposed to various forms of risk to the political environment.

The success of such a dynamic health sector in different nations is to vary the systemic risks
of the political environment. Beximco Pharmaceuticals Limited should evaluate the
government's bureaucracy and meddling with the health industry. In Bangladesh, political
instability is pervasive and plays a varying yet important influence in all economic practices.

Economic Factor: The elements of Macron's environment - inflation, savings rates, rate of
interest, foreign exchange, and the economic cycle affect consumer spending and economic
factors. While the competitiveness of the company is affected by microenvironmental
variables like competition standards. The entire success of the business on the market is
impacted by the Bangladesh inflation rate linked with the stock market. Different interest
rates play an important function in regulating investment in the growth of organizations.

Social Factor: The culture and manner of doing things in society affect an organization's
culture in an environment. The public's common ideas and attitudes play a major part in how
Beximco Pharmaceuticals Limited marketers comprehend the powerful customer base and
how they develop a business message for healthcare consumers (S.Muhammad, 2021).
Awareness of suitable medications and sources of vital medicines among persons in the
country. The career of the population.

Technological Factor: Technology is quickly affecting many sectors. The transport business
is a good example of this. The pharmaceutical business has been evolving quite rapidly in the
previous 5 years, leaving established firms no chance to adapt to the changes. Beximco not
only should analyze the sector's technology, as well as the velocity at which this business
becomes disruptive.
A slow pace will give longer while rapid technological breakdown speed may give a business
little time to deal with and be lucrative. Beximco has developed and developed its R&D
center throughout which its inventive work is both current and autonomous. As technical
improvement in Bangladesh takes place at an incredible rate, it is an additional promoter in
the growth of the execution of the association.

Environmental Factor: Environmental standards issued by the Bangladesh government have a

significant impact on the twist and subsequent limitations imposed on Beximco Pharma.
Various markets have varying standards or environmental regulations, which might impact an
association's advantage in certain economic sectors. Indeed, even within a nation, states
typically have their own environmental and responsibility laws. Beximco Pharma should
evaluate Bangladesh's atmosphere as it is constantly changing. Hence, it is affecting a variety
of aspects such as preservation, transportation, and so on.

Legal Factor: The legal system and institutions are insufficiently robust to protect an
association's permitted invention privileges. A business should use extreme caution when
entering such markets, since it may result in the theft of the organization's secret ingredient,
therefore reducing the overall serious advantage. With the amendments to the Labor Laws of
2006 and 2013, Bangladesh's legal safeguards appear to be stronger than in the past. The
Taxation Law may continue to evolve to involve the association in further extension.

The external environment may be extremely competitive and dynamic. However, Beximco's
growth potential is limitless due to the limited amount of or absence of substitute products.
The expense of illicit substances is often unimportant to consumers because they are
acquiring a life-saving product. Beximco Pharmaceuticals Ltd., a contemporary firm, believes
in and executes a corporate workplace culture that is a typical blend of efficiency and equity.
As a result, three components of their management are impacted. There is a beneficial effect
on employment as a result of the increased demand for pharmaceutical carriers. Although
there is a considerable environmental risk, Beximco Pharmaceuticals' stakeholder ties
facilitate them to mitigate other liabilities.

The internal environment elucidates the conditions under which it operates. Internal
environment refers to an organization's purpose statement and leadership style. To assess
Beximco pharma's internal environment, we determine its capabilities, resources, core
competencies, and ultimately, its competitive position, which is detailed below.

Beximco Pharma seems to have a strong technological staff, and the firm invests much in
improving its efficiency. In the pharmaceutical sector, the corporation has a strong brand. The
firm operates a variety of major manufacturing plants that are equipped with their electricity
generation and water purification systems. They have solid career management and human
resources staff in place at their firm. Beximco pharma does have a substantial distribution
network both within and beyond the nation. Beximco pharma also has a sizable product
portfolio.

Beximco Pharma can develop novel products (MD. Hasan Al Mamun, 2019). To develop
new products, the firm researches emerging diseases. Beximco pharma is suitable for large-
scale production. Additionally, Beximco Pharma is capable of producing on a big scale with
minimal input. The firm is capable of dealing with rapidly evolving technology and
machinery. It is capable of maintaining a positive connection with the raw material source.
The firm can increase an employee's efficiency by giving enhanced training. The firm is
capable of accelerating the flow of huge sums of cash for research. Beximco pharma
effectively dealt with their stockholders. Beximco pharma does have the monetary capacity
necessary to take calculated risks and diversify its operations.

Beximco pharma has great brand awareness in the industry because of the high quality of
their goods, their competitive pricing, and their advanced technology. At the moment, the
company's product portfolio totals around 500 items. Beximco pharma manufactures its
goods using cutting-edge revolutionary technologies. Costly to imitate: Because Beximco
pharma's products are unique, it is difficult and expensive to replicate them. Beximco
pharma's goods are extremely dependable in comparison to their rivals. Most of its items
have fewer market substitutes.

Bangladesh pharmaceutical is among the most technologically advanced businesses in the

country. Beximco pharma has competed in the sector and is presently ranked third in terms of
market share. It is ranked third because it serves a smaller market rather than pursuing the
whole market. Through market research, it determines which categories to target with its
goods. Additionally, the firm has approximately 500 hundred items on the market, while the
leading market square has approximately 600 products. As a result, the farm's competitive
position is fair about market conditions.

SWOT analysis is among the most widely used models of strategic analysis. It entails
assessing a business's capabilities, as well as potential opportunities and risks which refers to
the internal environment. SWOT Analysis of Beximco Pharmaceuticals is as follows:

Strength: Beximco has been successful in creating a strong company's brand image, which
contributes to its significant market share. The firm ranks third in the Bangladesh
pharmaceuticals industry in terms of market share. Its market is growing at a rate of 15% to
20% every year.

In 2018, the firm earned 1477 million in export income, a 37 percent increase over the
previous year. Exports currently account for 8.5 percent of Beximco's total revenue. Apart
from exporting, the firm has a robust distribution network throughout the country, with
domestic revenue now standing at 3,474.2 million. Beximco Pharma is the country's sole
exporter of pharmaceuticals to the United States of America, the world's largest and most
rigorous pharmaceutical market. Beximco now sells over 270 generic medications to over 50
nations across all continents.

Currently, Beximco employs 3800 people. Employees become more efficient in their jobs as
a result of the company's hiring procedure and training program. The firm thinks that
qualified employees contribute to the development of new products, product differentiation,
and high-quality products. Beximco has a robust research and development staff that is
continuously on the lookout for novel treatments. The primary objective of the firm is to
develop technologically superior multilayer drugs.

Weakness: There is a lack of operating capital in Beximco; moreover, they pay money to
doctors and distributors for promotion; as a result, they may incur losses or lose market share
in the future. At times, the organization is unable to efficiently generate unit products. That is
why they consistently fail to deliver stuff on schedule. Additionally, the firm does not
manufacture any injectable products.
In fact, Beximco Pharmaceuticals pollutes the environment with its dust, soil, and air, which
is unacceptable. Additionally, the company's structure is rather costly.

Opportunity: With the assistance of research and development, Beximco may expand its
product line and introduce new, high-quality products. As a result, Beximco's client base
grows, resulting in a stronger brand market position. Beximco employs cutting-edge
technology in its production operations, which enables it to decrease its high input costs.
They can, however, include third-generation technology into their manufacturing process to
create sophisticated medicines. Beximco is a globally recognized pharmaceutical business.
They can utilize this reputation to break into a new market. The firm can expand its product
line to include injectables in order to improve its market share.

As the business continues to develop, competition among current companies becomes more
intense, and everyone seeks to increase its market share. These open and local market
competitions have the potential to constrain Beximcos' operations. Because Beximco harms
the environment, they may encounter difficulties if the government takes unfavorable action
against them. Managing their big personnel is a significant issue for Beximco. Dissatisfaction
with employees might result in losses.

Threat: As the rivalry between established firms intensifies each year, everyone seeks to gain
market share. This free market and local competition might constrain the operations of
Beximco’s. If the government takes unfavorable action against the company's surroundings,
may be confronted with a dilemma. It is a significant issue for Beximco to oversee its vast
number of employees. The unhappiness of the employee might lead to losses.

To conclude, the pharmaceutical business in Bangladesh is very competitive and everyone

seeks to expand their market share by supplying the consumer with different goods. As a
result, firms must establish an effective business plan and policies to increase their position in
the sector. Beximco's pharmaceutical is no different. The analysis shows that Beximco's
management constantly attempts to sustain stable growth by supplying its excellent goods
throughout the country. Their approach at the function level focuses more on product quality
improvement and distribution networks. At the business level, the focus is mainly on
worldwide recognition. In their corporate strategy, however, they strive to expand their
domestic sales. With its overall strategy, the firm is effectively participating in the
pharmaceutical market. However, with their effective staff and management, they are always
willing to modify their approach in any scenario.

Reference
Beximco Pharma. (2021). Who we are. Retrieved from https://www.Beximcopharma.com/
MD. Hasan Al Mamun. (2019). Analysis of Strategic Management process of Beximco
Pharmaceuticals Limited . Dhaka: Jagannath University Department of Finance .
S.Muhammad. (2021). Beximco Pharmaceuticals Ltd. Bangladesh. In P. Siegfried, Business
Management Case Studies (p. 217). Dhaka: BoD.