Mergers and acquisitions are of major importance in the pharmaceutical industry. In order to evaluate the dynamics of this particular industry, this paper critically evaluates the pre- and post- merger situation of GlaxoSmithKline concerning its ready-access to markets, know-how and management capability. Furthermore, strengths and weaknesses and merger’s outcomes will be outlined. Critical push and pull factors affecting M&A activity in North America will be analysed, using Pfizer and Pharmacia as an example. In addition, general reasons for M&A failure in the pharmaceutical industry will be illustrated focussing on the M&A activity of GlaxoSmithKline. Finally, using two global pharmaceutical players (GSK and Astrazeneca), the merits and demerits of the McKinsey’s five step programme will be discussed.
Inhaltsverzeichnis (Table of Contents)
- ABSTRACT
- CONTENTS
- INTRODUCTION
- QUESTION ONE
- QUESTION TWO
- QUESTION THREE
- QUESTION FOUR
- CONCLUSIONS AND RECOMMENDATIONS
- References
- Appendices
- APPENDIX 1: Porter's Five Forces Model
- APPENDIX 2: Global Pharmaceutical Industry - Overview
- APPENDIX 3: SWOT Analysis – Pre-merger (SKB & GW)
- APPENDIX 4: SWOT Analysis – Post-merger (GSK) & Outcomes
- APPENDIX 5: Pharmaceutical Relationship Alternatives
- APPENDIX: 6 Sales Growth of Astrazeneca - Pre & Post-Merger
- APPENDIX 7: McKinsey's 5-Step Table
Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)
This paper aims to analyse mergers and acquisitions in the global pharmaceutical industry since the 1990's through the lens of strategy management. The paper focuses on critical evaluation of the pre- and post-merger situation of GlaxoSmithKline, examining its access to markets, know-how, and management capabilities, as well as identifying the strengths, weaknesses, and outcomes of the merger. Additionally, it analyzes push and pull factors influencing M&A activity in North America, using Pfizer and Pharmacia as an example. The paper also explores reasons for M&A failure in the pharmaceutical industry, particularly focusing on the M&A activities of GlaxoSmithKline. Finally, the merits and demerits of McKinsey's five-step program are discussed using global pharmaceutical players GSK and AstraZeneca.
- Mergers and acquisitions in the global pharmaceutical industry
- Critical evaluation of GlaxoSmithKline's pre- and post-merger situation
- Push and pull factors driving M&A activity in North America
- Reasons for M&A failure in the pharmaceutical industry
- Merits and demerits of McKinsey's five-step program
Zusammenfassung der Kapitel (Chapter Summaries)
- INTRODUCTION: This chapter introduces the global pharmaceutical industry, highlighting its profitability and dominance by a handful of multinational companies. It uses Porter's five forces analysis to understand the competitive landscape and presents a brief overview of the industry's structure and key players.
- QUESTION ONE: This chapter focuses on GlaxoSmithKline, formed through the merger of Glaxo Wellcome and SmithKline Beecham in 2000. It explores the reasons behind the merger, including the underperformance of Glaxo Wellcome's shares and SmithKline Beecham's need to expand its drug range. A SWOT analysis is conducted to outline the internal strengths and weaknesses of the companies before and after the merger.
Schlüsselwörter (Keywords)
The key terms and concepts explored in this paper include mergers and acquisitions, pharmaceutical industry, global strategy, market access, know-how, management capability, SWOT analysis, push and pull factors, M&A failure, McKinsey's five-step program, and global pharmaceutical players like GlaxoSmithKline, AstraZeneca, and Pfizer.
- Quote paper
- Mennen (Author), Abayomi (Author), Jian (Author), Mead (Author), Zhou (Author), 2006, Mergers and Acquisitions in the Global Pharmaceutical Industry, Munich, GRIN Verlag, https://www.grin.com/document/145495
