Strategies of Johnson & Johnson & IBM

Page Count: 12
Length: 3093 Words

Pharmaceutical Business Segment, Johnson & Johnson

2.1 The pharmaceutical business segment of Johnson & Johnson enjoys a number of distinct competitive advantages and internal competencies. Hamer (2004) commented that among these advantages and competencies are such items as a well-established and highly productive research and development pipeline, an excellent cash position, superior marketing ability, and an ongoing commitment to high quality science. Research and development and various scientific laboratories are largely responsible for identifying potential products, testing and evaluating those products, and moving the products through the pipeline toward eventual Food and Drug Authority approval. Marketing is a major participant in ensuring that both prescription and over-the-counter (OTC) pharmaceutical products are appropriately priced, packaged, positioned, and advertised.

2.2 The pharmaceutical segment enjoys a number of competitive advantages as identified by Michael Porter's Five Forces Model (Wheelen & Hunger, 2000). The pharmaceutical sector is generally immune to the threat of new entrants. The cost of moving into this sector is prohibitive for most potential entrants, who are more likely to be acquired by an existing company. Rivalry among firms is, however, quite high and competition for research talent, market share, and so forth is intense. Pharmaceutical firms, according to Elling, et al (2002), have experienced enormous changes in the past

Read the full essay by joining our writing community - over 32,000 professional essays and term papers. Access this essay now!

Category: Business - S

Some common topics found in the essays are:

Johnson Johnson, Interestingly Linux, Chemist Druggist, Unix Linux, Politically IBM, Socio Cultural, Hewlett Packard, Threats Hypercompetition, Wheelen Hunger, Wing Perry, johnson johnson, business segment, market share, shankland 2004, ibm 2004, hamer 2003, server market, competitive advantages, joint ventures, research development, elling et al, et al 2002, sun hewlett packard, acquisitions joint ventures, competitive advantages identified,

Click Here to Get Instant Access to over 32,000 Professionally Written Papers!!!