A pharmaceutical company functioning in France for the last 10 years has moderate sales in a crowded market with competitors offering drugs with similar efficacy and safety precautions, but with better sales. The greatest challenge is to increase the prescription of their drugs. What would be the MOST effective strategy to improve sales performance in the existing market?
A) modifying marketing communication to increase brand familiarity within key physician segments
B) relocating all the existing drug manufacturing facilities to developing countries to reduce operational costs
C) employing hiring plans that aim at acquiring drug designers from rival companies
D) exiting the market and entering a new unexplored geographical location
E) engaging in new contract talks with suppliers about price breaks

Question

Quizplus · Accepted Answer

Modifying marketing communication to increase brand familiarity within key physician segments would be the most effective strategy to improve sales performance in the existing market. Since the competitors are offering drugs with similar efficacy and safety precautions, the focus should be on building brand awareness and preference among physicians who are key decision-makers in prescribing pharmaceuticals. It will help the company generate more prescriptions, thereby increasing sales. Relocating manufacturing facilities or hiring designers from rival companies may not directly address the challenge of increasing prescriptions. Exiting the market and entering a new geographical location would require substantial investment and may not guarantee success, while engaging in new contract talks with suppliers about price breaks could cannibalize profits and damage long-term relationships.

A Pharmaceutical Company Functioning in France for the Last 10