Avoiding invasive tactics when conquering markets, by Fernando Ferrer. Multinational Partnerships LLC, NYC Sept 29, 2012

Avoiding invasive tactics when conquering markets

Fernando Ferrer. BS, MBASeptember 29, 2012

New York City-Microsoft Building

Avoiding invasive tactics when conquering markets

AbstractEntering into and succeeding in Global, Latin-American and Emerging markets demands not only a deep analysis but real international experience, a wide range of skills, and culture sensitivity. This presentation outlines the global perspectives of the organizations and their leaders, tackling then business in Latin America and in the life science market.

Fernando Ferrer. Multinational Partnerships 2

from Domestic … to Global business

Domestic

International

MultinationalGlobal

3Fernando Ferrer. Multinational Partnerships

Globalization is a continuous process of worldwide interconnections

A global business strategy should be doing everything the same everywhere

What works in one country,

fails in another. Because national

differences still matter.


if national differences still matter, What can a Global firm do?

Think globally

Embrace diversity Decentralize

Set few standardized

polices

Create links around the processes

Manage tradition and

change


Diversity of experience

Skills to build successful partnerships

Cultural sensitivity and awareness to get the message across

…and a Global leader?


Heading to Latin America

understand the environment from different perspectives

Global

Country

Industry

Internal


Latin American Alliances

9

CELAC - Comunidad de Estados Latinoamericanos y Caribeños

Mercosur - Mercado Común del Sur

CAN - Comunidad Andina de Naciones

SICA / SIECA - Sistema de la Integración Centroamericana

Caricom - Comunidad del Caribe

ALBA - Alianza Bolivariana para los pueblos de nuestra America

OEA - Organización de los Estados Americanos

NAFTA - North American Free Trade Agreement

Bilateral free trade agreements with other Nations and Economic Alliances

Fernando Ferrer. Multinational Partnerships

similar hurdles faced in established markets …

…but they need to be addressed with Fresh Eyes

entering into “new” markets

regulations., quality,

compliance

pricing, market access &

distribution channels

resources and infrastructure

competition, costs

market awareness & promotion


Fresh Eyes

understand the market’s dynamics

use bottom up approach


address the countries’ demands

commitment, flexibility

clear objectives,strategy, organization, people,

resources, skills

deep and rigorous analysis to take informed decisions in an ambiguous multicultural

environment


connect with the targeted Country and Region from different perspectives

invest in learning

Economical

Social

Political Technological

Industrial

Natural Environment


avoid invasive tacticsconquer the market by understanding it:

business development

show cultural sensitivity

engage with the local culture and community

spend time with international

customers

lead with Senior decision-makers

demonstrate local commitment

understand the rational and the

emotional culture

partner & learn with local experienced

organizations

divide risk by partnering with players that are looking to grow

through innovation

building trusts takes time


specific market approach

eliminate complexity in the processes


lead the change against “Not Made Here”


Procedures, controls and ensuring quality, ethics

and compliance must support business

development and innovation

Planning & Decision Making

Organizing

Leading

Controlling


Regional & Country Strategies aligned with the Corporation and the Market

Business Models, Plans and Life Cycles

• Organic / M&A , JV , Alliances / Distribution , PartnershipExpansion & growth

• Revenue / ProfitFinancial goals and cash flow

• Proprietary / Generics / Holistic Approach Product portfolio and Marketing strategies

• In-company / outsourcing - mixed / investments , infrastructure Commercial & Industrial organization

• Global / Country / AccessPricing & Served markets


Expansion & Growth models

Organic

High Time and Resources consumption

Gain experience

Follows the Corp model

M&A, JV, Alliances

Time Savings

High Cash Investment.

Integration is key

Distribution, Partnership

Less Investment & profit

Communication and alignment

different needs, benefits and time to market


• select the products that make sense to the market

• new expensive therapies are difficult to commercialize

• different demographics and diseases from US and EU

• Wide range of registration timelines and requirements

Product Portfolio / Product Mix


• For pricing approval, Governments are requesting pharmacoeconomic studies showing benefits

• discounts and exchange rates of local currencies affect the forecast & marketing plans

• autonomy among the Business and Therapeutic Areas avoid the bargain of the portfolio

• invest on developing partnerships with the multiple distribution channels

Price and Place


• push and pull messages locally tested and validated throughout multilevel channels

• local market research and holistic vision including all the stakeholders

• follow and innovate on the traditional and digital channels

Promotion and Communication channels


• impact on Latin American and Emerging markets must be considered at early stages

• production scale is key for cost leadership and market share after LOE

Integrate Clinical, Technical, Operational and Growth Strategies


• remain global and differentiate yourself from local competitors

• protect Brands and IP from non-international practices or corruption

Brands and Intellectual Property (IP)


• resources in headquarters providing dedicated support and guidance to the local business

• local organization fully dedicated to the local operation

• integrate the organization across the boundaries

• higher demand of experienced talent, exchange rates and inflation impact the HR costs

Human Resources (HR) and Structure


• achieve profit as the ultimate goal• invest within the local communities • think long term

Bottom Line


Thank you

Fernando FerrerMultinational Partnerships LLC

[email protected]+1 908 219 9291

Documents

Avoiding invasive tactics when conquering markets, by Fernando Ferrer. Multinational Partnerships LLC, NYC Sept 29, 2012