Sustainable Distribution for Essential Medicines Research Paper

Excerpt from Research Paper :

Sustainable Distribution for Essential Medicines in Emerging Markets

Business Case Background

The Sustainable challenge

Current distribution climate of Cure Pharmaceutical

The growing importance of the emerging markets

Barriers to growth

Procurement and Distribution

Challenge to overall sustainability in pharmaceutical companies

Partnerships utilized in emerging markets and essential medicine distribution

Suggestions of partnerships effective in essential medicine distribution

Data gathering in essential medicine distribution

Sustainable distribution for essential medicines in emerging markets

Business Case Background

This report addresses the role pharmaceuticals play in emerging markets. Many people have associated these markets as havens for explosive future growth, but there are also serious challenges to be faced. The report will discuss what views investors, stakeholders, and company executives hold on emerging markets. There are three probable significant factors that may sway their stance. First, the reforms recently made by the government regarding pharmaceuticals and the obligations of multinationals resulting from the reforms. Second, the direction that shall be taken by the expanding healthcare market and the adaptation of the industry to it. Third, what response these changes trigger from the industry. The market in the emerging markets already exists and it is undergoing rapid expansion. Adjustments in products may be needed but the market is deserving of real attention. The value proposition should not be paid much attention to right now but focus shifted to volume proposition. Opportunities exist to better access as well as affordability in an equitable and sustainable manner (Faunce, 2005).

The pharmaceutical industry has always esteemed the emerging markets as the "promised land." By 2016, the emerging markets will account for around one third of the pharmaceutical market globally. These markets are highly populated, have increasing consuming power and longevity, and so they have become quite attractive to companies that have stagnated due to mature markets, regulations, and expiry of patents. While huge potential exists in these markets, there are huge variations in their development stages particularly as concerns healthcare infrastructure. Because of this, there isn't one plan that can adequately cater for all of them. Even within the market segments, there are variations that require that approaches be customized. Because of the diversity, it is absolutely necessary that the companies establish those markets in which they wish to establish a presence right now and those which can be tackled later. Also of concern is the determination of the best business strategies that can fit a given market and the right time lines. The organizations which failed to do this in the past have made losses in both confidence and revenue. These lessons must be taken to heart because they give the guidelines for the building of sustainable businesses in the future. 27% of executives have indicated that strategies that aren't hugely tailored are the biggest mistake; while a quarter of them criticize impatience and failing to strategize.

The World Health Organization (WHO) says that the objective of the Universal Health Coverage (UHC) is ensuring that everyone is able to get health services that they require without going through economic hardship in paying for the services (WHO, 2012). The UN and WHO have stressed that medicine access is a key pillar of UHC; the requirement is that medicines be available continuously at affordable rates at both private and health facilities, or other outlets selling medicine that are no more than an hour's walk from the populations' homes (UN Development Group, 2003). Globally, a resolution on affordable universal healthcare was adopted by the UN General Assembly (United Nations General Assembly, 2012). The goal lays emphasis on the UHC on the post-MDG agenda and is probably going to be a great influencer of policy and health donations.

Cure is one of the most notable oral thin film (OTF) manufacturers around today. It offers the leading development and manufacturing of OTC products, veterinary medicants, pharmaceuticals, and neutraceutals. Besides its OTF technology, the company has put forth innovative products in platforms like transdermal and sublingual applications. Overall, Cure has more than ninety years of experience in the world of pharmaceuticals in both formulation and manufacturing. It has earned the respect and trust of millions of customers the world over (KAMAE, 2010).

Cure creates solutions that provide both social and health benefits to people. The team at Cure is grounded on the creation of a better means of delivering drugs to both humans and animals. The mission of the company has seen Cure go to the developing world which is need of fresh drug delivery systems and also expand their operations at home where companies are looking for innovative means of delivering drugs that can ensure efficiency and speed. The company is just taking off and the team is working hard coming up with fresh formulations, processes as well as delivery systems that ensure that the key drug actives are sustained and life extended to ensure their efficacy.


Cure Pharmaceutical (Cure) falls under the sector of drug delivery technology. One technology that was designed by Cure helps patients take their medications effectively without having to use water. The Oral Thin Film technology (0TG) is patented and is small in size, light in weight, and occupies less space in packaging. This technology ensures that drug transport is easy and the dosage convenient. The belief is that fostering a sustainable community takes everyone and that medicines should be successfully distributed to markets like the Sub-Sahara Africa.

The Sustainability Challenge

Sustainability Challenge

The challenge involves coming up with a distribution model that is sustainable through the development of partnerships that shall help the company to access the developing nations faster and in an effective manner. The business model is the distribution of essential medication like the OTF pediatric malaria treatment to sub-Sahara Africa. Some of the barriers are regulations in the countries, education gaps, social unrest, and broken supply chains. A couple of dynamics determine portfolio success in Africa. First, the extent to which a corporation can offer services and products where there is enough demand, and optimize their offering for price/volume trade-offs between private- and public-paying markets. Second, the company's ability to bank on brand awareness and loyalty.

The challenge and the current situation

In Africa, there are several counterfeit products so safety is often a primary concern. The consumers are actively looking for genuine products so the notion that company's can get away with selling second-rate products is ill informed and unsustainable. Companies have to figure out the optimal volume/price trade-offs. Identifying the right product portfolios for particular nations will require the companies to first comprehend the way the portfolio is aligned with customer segments in the market and them make priorities accordingly based on the information gleaned (KAPLAN et al. 2012).

Wider relevance

Generally, countries in the developing world do not have enough resources for the training and support of officials so that they have the needed pharmaco-economic know how to allow for efficacy, interlinked safety as well as effective "Cost-Effectiveness Analysis of Pharmaceuticals" or "CEAP" and "Cost-Effectiveness Analysis of Medical Devices" or "CEAMD" evaluations. In response to the community and the employees of the companies' concerns on social justice that arise from high rents on intellectual property, the industry has suggested self-regulatory options that emphasize on public-private partnerships, covert differential pricing and pharmaco-philanthropy. Several developing countries are dependent on the WHO's Essential Medicines List.

Commentary on relavance

The recent interest drawn upon global problems with pharmaceutical cost effectiveness and safety has resulted in medical devices being considered in regulatory discussions. Pharmaeconomics and Outcomes Research (ISPOR) is trying to deal with the imbalance. Devices really create special difficulties, specifically in areas of skill development and getting blinded trial data, product modification frequency and inefficient regulatory theory.

Current distribution climate of Cure Pharmaceutical

Policy framework

The setting of policies is an ongoing process that keeps up with fresh developments in the national and global landscape. The formulation of policies by countries is often based on proposals of a team of experts that meet on the request of the health ministry. Other influencers that might have a say on policy formulation include the Global Alliance for Vaccines and Immunization (GAVI) which makes significant contributions in the areas of national immunization programs.

A sound comparison of the average prices of drugs should have generics as well as products that can be found over the counter which can substitute prescription drugs from big brands. In achieving this representation, nonetheless, same manufacturer, dosage form, pack size, strength and same brand requirements must be done away with. With an approach of that nature, it is more plausible to get a good comparison of drugs. Actually, it has been noted that price comparisons of international drugs are relatively weightier as compared to other metrics like methodological issues and consumption patterns. Currency conversion rates and purchasing power rates should therefore be considered,

The growing importance of the emerging markets

Stakeholder and community interest

The challenges presented above will be accentuated with the vitality that the emerging markets are gaining. While the prosperity of citizens of these nations is increasing, they…

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Cure Pharmaceutical

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