Case-study-Teva-p719.pdf - TEVA case study In this presentation we\u2019ll analyze the strategy of the multinational TEVA which is a global company

Case-study-Teva-p719.pdf - TEVA case study In this...

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TEVA case study In this presentation, we’ll analyze the strategy of the multinational TEVA which is a global company specialized in the pharmaceutical sector. We’ll discuss here concerning the critical success factors related to the given industry. Then we’ll resume the reasons why Teva should develop series acquisitions, this with an international point of view. Then, we’ll compare the two strategies developed by Mylan and Allergan and list their differences. To pursue, we’ll go through the internationalization strategy followed by the multinational in order to give recommendations. Just after, we’ll draw up a financial analysis with some key financial indicators. This analysis helped us to give some conclusions prior the acquisition of Allergan’s generic business. Finally, let’s assess the acquisition of Allergan’s generic business based on three factors which are suitability, acceptability and feasibility. For the last part, we’ll focus on the AI strategy related to TEVA, we’ll give our opinions and why we recommend to do this or that, to see things accordingly. 1) What are the critical success factors in the industry? This part discusses the critical success factors in the multinational pharmaceutical company called TEVA, which is an Israel-based company now considered as the world’s largest. They expanded their position by becoming more diversified with the acquisition of new markets all over the world since some years. However, we can already noticed that this newness in the organization has lead to some disappointing performance at the beginning. With some figures, TEVA definitely looks as a big organization, it’s the fifth largest pharmaceutical company in the world. They are present in more than 120 countries, and when we think about generic medicines only they are the first one in the world. When the business started they have as an opportunity, the emerging market of USA and Europe for generic medicines. After some acquisitions from these two strategic parts of the globe, TEVA quickly gained their premium position. They became really competitive on the market thanks to a dual approach of aggressive acquisition of competitor generic companies and diversifying the company into over-the-counter medicines. They also took advantage of their joint venture passed with Procter and Gamble. Moreover, they employed high qualified employees by hiring them from their own competitors. “We are welcoming many of Cephalon’s talented employees into the Teva family. The combination of our
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two winning teams will position Teva to create maximum value for our patients and customers.’Their advantage is a perfectly controlled pricing policy since the least profitable products are eliminated, while price increases have been applied for others.TEVA also controls its production costs since the company achieves economies of scale by reducing costs by 1.5 to 1.5 percent. Their spending on innovation is optimal and focuses on high-value generic products. Besides, the company is gradually
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