Global Business Strategy 2 Essay Example | Topics and Well Written Essays - 3000 words

Global Business Strategy 2 - Essay Example As such, this provided Dr Reddy Labs with an obvious cost advantage with the development and innovation of new drugs as well as setting up the infrastructure that would be able to compete on a global scale and provide pharmaceutical markets around the world with high qualities and high quantities of generic drugs. As a means of analyzing the overall strength, strategic position, fundamental tools at the disposal of the firm, strategy, outlook, history, and outlook for the firm in question, this analysis will seek to provide a commentary on each of these points. By means of beginning its industrial start as a primary supplier of Indian and Russian pharmaceutical industry, Dr Reddy Labs was able to save a massive amount of money that would otherwise be required to make the labs qualify under FDA regulations. In this way, the firm was able to begin generating a steady stream of revenue while seeking to focus supplying existing markets and consumers while minimizing the needs to jump directly into the more nuanced US and/or European markets. For this reason, few firms readily enter the pharmaceutical market due to the obscenely high cost of entry associated with all of the standards that such firms seek to meet within the beginning phases of company operation (Hopper 2003). Once a solid footing was established within Indian and international markets for both generic drugs, Dr. Reddy Labs shifted to seeking to penetrate the market for over the counter drugs in both Europe and the United States. This would serve as the first foray into the US ma rket; a market which according to the study that has been utilized to inform this piece accounts for over 50% of the entire world pharmaceutical market. This gradual approach to entry into the US market meant that the firm was able to continue to generate a high number of sales from the key markets that contributed mainly to their