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Running head: BUSINESS STRATEGY AND POLICY 1 1

BUSINESS STRATEGY AND POLICY 2

Business Strategy and Policy

Cuong Nguyen

Berkeley College

Pfizer Inc. Profile Comment by Joel Reichart: Very good start. Seem comments. How could you talk about this firm without mentioning the pandemic and vaccine situation?

Name Pfizer Inc.

NAICS CODE: 446110

Market: NYSE

Revenue: $ 51.75Billion, 2019

Ticker Symbol: PFE

Overview

The mission statement of Pfizer Inc. is, “To become the world’s most valued to all these people." The company produces and provides medicine and vaccines to make money and profits. I choose the company because of its historical background and its size. What drew it to me is the fact that it is the biggest pharmaceutical company in the USA. I think it is a good company because its profile provides a general overview of other pharmaceutical companies. I also think my classmates made good choices as the different companies they choose will help provide information and a deeper analysis of the organizations. Comment by Joel Reichart: From the very start, get right to business. Tell me what your firm does for a living. Mission/Vision analysis should come after company intro Comment by Joel Reichart: Delete all self-reference. This needs to be an objective analysis so you need to leave yourself out Comment by Joel Reichart: Ok but not really saying anything.

Introduction

Pfizer Inc. is an American multinational pharmaceutical organization. Pfizer was founded in 1849 by Charles Pfizer. The company produces and develops vaccines and medicines for various ranges of medical disciplines including cardiology, neurology, oncology, immunology, and endocrinology (Pfizer et al., 2011). Some of the known products of the organization include Viagra for erectile dysfunction, a blockbuster for lowering blood cholesterol, and Diflucan which is an oral antifungal medication. Comment by Joel Reichart: Good, but expand on what Pfizer does here. Start another section where you can list some of their best-selling drugs. Also, be careful…the patent for Viagra expired this year. Is it that special now?

Analysis Comment by Joel Reichart: Delete this word

Strengths Comment by Joel Reichart: No. this is NOT a SWOT analysis. This is supposed to be a profile of your firm ONLY. Do not use this language here.

Pfizer is a leading pharmaceutical company around the globe. The multinational status of the company enables it to benefit from economic upswings in some regional markets despite challenges in other markets. Organizational size also plays a crucial role in the success of the corporation. The USA is the biggest market for pharmaceutical products however economic challenges hinder Pfizer from making maximum profits. The company uses various strategies to ensure business growth and profitability. Comment by Joel Reichart: I don’t think you need this paragraph at all as it is general and not really flowing with what came before.

The company's strengths include its historical background. Pfizer Inc. has a long and great historical background of producing and selling quality healthcare products. The history gives the organization an edge in the market over other companies due to the existing consumer segment (Charrua & Pinto, 2017). The strong knowledge base of Pfizer also gives them a competitive advantage over their rivals. As one of the oldest pharmaceutical companies, Pfizer has built a strong base of its market. Moreover, due to the long time in the market the company has the experience and developed a reputation. Comment by Joel Reichart: This paragraph should be included in the company profile section at the beginning of your piece.

Threats and Risks Comment by Joel Reichart: Delete this heaading

Pfizer Inc. faces various risks and threats in the market. Competition is the main threat that Pfizer Inc. faces. The USA provides the biggest market for pharmaceutical companies hence there are many organizations in the market. The organizations are a threat to Pfizer as they target their customers. The competition brought by other organizations leads to price wars. Price wars give Pfizer Inc. pressure to reduce the prizes hence the profit margin of the company reduces significantly. Comment by Joel Reichart: Use a ‘Industry/Competition’ heading and then give me a general profile of this industry.

Government regulations are also a threat to Pfizer Inc. Healthcare products especially medicines and vaccines have very strict government regulations. Pfizer may develop new products however government regulations may hinder them from selling the products in the country hence they are forced to seek a market in other regions and countries (Badiani et al., 2020). The economic downturn also poses a great threat to Pfizer Inc. Developed countries face economic downturns that decrease sales of various companies leading to huge losses. Comment by Joel Reichart: Good. Put in a ‘hot issue’ section

Negative publicity mostly brought about by the media also highly affects the sales of an organization. Due to demand in the market, there are cheap substitute products that directly impact the sales of huge companies such as Pfizer. The demand in the market leads to the rise of substitute products that are sold at a cheaper price. The cheaper products lead to the drop of sales of Pfizer Inc. hence affecting the growth and productivity of the organization. The company has to find ways to ensure their consumers prefer their products over the substitutes. Comment by Joel Reichart: Delete paragraph. Not saying anything specific enough about your firm

Current Issues

Staying as one is currently the main issue at Pfizer Inc. The company manages its commercial operations through two different businesses which are Pfizer Innovative Health and Pfizer Essential Health. The decision to separate Pfizer into two was based on segmenting the higher-performing innovative products from lower-performing products (Badiani et al., 2020). However, recent reports indicate that both segments are performing well. The company believes that the structure of keeping the segments separated is the best for the profitability and the growth of the company. Comment by Joel Reichart: I do not understand what you are talking about here?

The separation of the segments also allows the organization to be accountable, have a sharper focus, great urgency, and more financial flexibility. The structure also allows the organization to retain its operational strength, become more efficient and increase its sales significantly. Pfizer stated that their decision of keeping the segments separately was based on the criteria of evaluating the performance of each business. Determining whether each business could compete with a single entity was also a crucial factor of evaluation. Other factors included assessing the trapped value that existed in a combined entity if any trapped value could be unlocked effectively, and whether key strategies of the organization could be achieved in the separated structure system. Comment by Joel Reichart: You are going to have to explain this section better as I am unsure what you mean here.

Opportunities for Pfizer Comment by Joel Reichart: Delete heading

There are various opportunities for Pfizer Inc. which will lead to more productivity and sales. The opportunities include the increasing demand in developing countries. People are more focused on their health hence products such as medicines and vaccines are in very high demand in the market (Wang & Tang, 2013). The awareness of the importance of health will increase the sales of healthcare products. The other opportunity that Pfizer can utilize to gain market stability is merger and acquisition. Pfizer can acquire more organizations and grow bigger hence remaining dominant in the market. The company can also make a strategic partnership with other pharmaceutical companies to increase their sales. Comment by Joel Reichart: Save all of this for the EFE.

References

Charrua, A. P. D. S., & Pinto, L. (2017). Equity research-Pfizer Inc (Doctoral dissertation, Instituto Superior de Economia e Gestão).

King, A. C., Woods, M., Liu, W., Lu, Z., Gill, D., & Krebs, M. R. (2011). High‐throughput measurement, correlation analysis, and machine‐learning predictions for pH and thermal stabilities of Pfizer‐generated antibodies. Protein Science, 20(9), 1546-1557.

Wang, S., & Tang, Y. (2013). Pfizer's growth strategies under different internal and external environments. International Journal of Business and Social Science, 4(16).